Technology and Knowledge Transfer within Outsourcing Relationships: The Development of a Model of Interorganizational Innovation

This article uses a comparative case-study analysis to develop a model of interorganizational innovation. Innovation within outsourcing contexts is embedded within relational and environmental factors that have not been fully explored in prior literature. Yet, efforts to promote innovation within such contexts may be considered a special case of the diffusion of technology across institutional boundaries. Hence, the model derived from the case studies describes the factors necessary for successful technology and knowledge transfer within information-technology outsourcing environments. The model consists of four components: the client, the supplier, the relationship, and the innovation outcomes. Within each of these components we describe process and resource elements that influence the success of technology- and knowledge-transfer efforts. Finally, the interdependencies extant in the model are explored for a more complete understanding of the phenomena under examination.