Identification and Prioritization of Outsourcing Risks of Information Technology Projects (Case Study: Iran Technical and Vocational University)

Outsourcing of information technology projects has certain advantages such as decreased costs, improved service quality and competitive advantage, to name but a few. However, the expected outsourcing benefits of information technology projects may not be met once the outsourcing risks are not addressed before the projects are transferred to a service provider. Considering the growing trend toward outsourcing information technology projects in Iran, the present study aims to identify and prioritize the risks associated with outsourcing information technology projects by drawing upon the opinions of information systems experts. To this end, a review of the relevant literature was conducted, and a number of eleven risk factors were identified. Subsequently, Analytical Hierarchy Process was used to prioritize risk factors. A questionnaire was administered to ten experts to seek their opinions on the subject. The results revealed that the variable outsourcer and the subscale lack of outsourcer skills in outsourcing operations are the major priorities in the success or failure of outsourcing information technology projects as voiced by the designer experts of information systems. Finally, some applied and research recommendations will be made toward the end of the article.