Measurement costs and control in outsourcing relationshipsCitation formats

Standard

Measurement costs and control in outsourcing relationships. / Bhimani, Alnoor; Lopes, Alexsandro Broedel; De Aquino, André Carlos Busanelli.

In: International Journal of Managerial and Financial Accounting, Vol. 8, No. 3-4, 25.01.2017, p. 296-318.

Research output: Contribution to journalArticlepeer-review

Harvard

Bhimani, A, Lopes, AB & De Aquino, ACB 2017, 'Measurement costs and control in outsourcing relationships', International Journal of Managerial and Financial Accounting, vol. 8, no. 3-4, pp. 296-318. https://doi.org/10.1504/IJMFA.2016.10002756

APA

Bhimani, A., Lopes, A. B., & De Aquino, A. C. B. (2017). Measurement costs and control in outsourcing relationships. International Journal of Managerial and Financial Accounting, 8(3-4), 296-318. https://doi.org/10.1504/IJMFA.2016.10002756

Vancouver

Bhimani A, Lopes AB, De Aquino ACB. Measurement costs and control in outsourcing relationships. International Journal of Managerial and Financial Accounting. 2017 Jan 25;8(3-4):296-318. https://doi.org/10.1504/IJMFA.2016.10002756

Author

Bhimani, Alnoor ; Lopes, Alexsandro Broedel ; De Aquino, André Carlos Busanelli. / Measurement costs and control in outsourcing relationships. In: International Journal of Managerial and Financial Accounting. 2017 ; Vol. 8, No. 3-4. pp. 296-318.

Bibtex

@article{f765748494174e56a4e91faaf2d8d32d,
title = "Measurement costs and control in outsourcing relationships",
abstract = "Past research suggests that when an organisation outsources an activity, its control over the execution of the service is reduced whilst service quality monitoring increases. Little accounting research has been documented on the links between measurement costs and control sharing in contracts entailing the provision of industrial services. We analyse 35 contracts involving 80 non-spot transactions and 749 contract terms at an iron and steel mill in Brazil. The study complements this data with information from 32 interviews. We find that the measurement costs of the contracted services are associated with the complexity of activities and the tightness of control maintenance by the contractor, where such costs are high, legal contract enforcement and use of extra-contractual coordination mechanisms is low. Additionally, variances between the conceptually expected enforcement mix and that operating in practice is associated with service performance level.",
keywords = "Management control, Measurement costs, Outsourcing, Transaction costs",
author = "Alnoor Bhimani and Lopes, {Alexsandro Broedel} and {De Aquino}, {Andr{\'e} Carlos Busanelli}",
year = "2017",
month = jan,
day = "25",
doi = "10.1504/IJMFA.2016.10002756",
language = "English",
volume = "8",
pages = "296--318",
journal = "International Journal of Managerial Financial Accounting",
issn = "1753-6715",
publisher = "Inderscience Publishers",
number = "3-4",

}

RIS

TY - JOUR

T1 - Measurement costs and control in outsourcing relationships

AU - Bhimani, Alnoor

AU - Lopes, Alexsandro Broedel

AU - De Aquino, André Carlos Busanelli

PY - 2017/1/25

Y1 - 2017/1/25

N2 - Past research suggests that when an organisation outsources an activity, its control over the execution of the service is reduced whilst service quality monitoring increases. Little accounting research has been documented on the links between measurement costs and control sharing in contracts entailing the provision of industrial services. We analyse 35 contracts involving 80 non-spot transactions and 749 contract terms at an iron and steel mill in Brazil. The study complements this data with information from 32 interviews. We find that the measurement costs of the contracted services are associated with the complexity of activities and the tightness of control maintenance by the contractor, where such costs are high, legal contract enforcement and use of extra-contractual coordination mechanisms is low. Additionally, variances between the conceptually expected enforcement mix and that operating in practice is associated with service performance level.

AB - Past research suggests that when an organisation outsources an activity, its control over the execution of the service is reduced whilst service quality monitoring increases. Little accounting research has been documented on the links between measurement costs and control sharing in contracts entailing the provision of industrial services. We analyse 35 contracts involving 80 non-spot transactions and 749 contract terms at an iron and steel mill in Brazil. The study complements this data with information from 32 interviews. We find that the measurement costs of the contracted services are associated with the complexity of activities and the tightness of control maintenance by the contractor, where such costs are high, legal contract enforcement and use of extra-contractual coordination mechanisms is low. Additionally, variances between the conceptually expected enforcement mix and that operating in practice is associated with service performance level.

KW - Management control

KW - Measurement costs

KW - Outsourcing

KW - Transaction costs

UR - http://www.scopus.com/inward/record.url?scp=85014509132&partnerID=8YFLogxK

U2 - 10.1504/IJMFA.2016.10002756

DO - 10.1504/IJMFA.2016.10002756

M3 - Article

AN - SCOPUS:85014509132

VL - 8

SP - 296

EP - 318

JO - International Journal of Managerial Financial Accounting

JF - International Journal of Managerial Financial Accounting

SN - 1753-6715

IS - 3-4

ER -