›› 2015, Vol. 27 ›› Issue (10): 230-240.

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Governance Mechanisms in Service Outsourcing Relationship Based on Trust: A Multi-Case Study

Zhang Pei, Du Yaping, Ma Jianlong   

  1. School of Economics and Management, Hebei University of Technology, Tianjin 300401
  • Received:2014-04-29 Online:2015-10-31 Published:2015-11-06

Abstract:

With the characteristics of trust in both time and dynamic taking into consideration, this paper investigates the effect of multidimensional trust on governance mechanisms and relationship quality in two types of service outsourcing context: first cooperation and non-first cooperation. It encodes and analyzes the data related to the surveyed enterprises by using content analysis and supported by QSR NVivo10. We find that trust presents dynamic evolution characteristics in the development of service outsourcing relationship. Cooperation experience and complexity of outsourcing project will impact the selection of governance mechanisms. With regard to the first cooperation, calculus-based trust enhances the implementation enforcement of the contract governance, to the non-first one, benevolence-based trust increases relational governance, and competence-based trust plays the fundamental role in the whole process. Relational governance helps to promote the relationship effectiveness under the mid and long-term outsourcing cooperation.

Key words: service outsourcing, calculus-based trust, competence-based trust, benevolence-based trust, contractual governance, relational governance