Group Membership Prediction of an Outsourced Software Project: A Discriminant Function Analysis Approach

Oluigbo I.V.¹ , Asiegbu B.C.² , Ezeh G.N.³ , Nwokonkwo O.C.⁴

Section:Research Paper, Product Type: Isroset-Journal
Vol.3 , Issue.4 , pp.12-18, Apr-2017

Online published on Apr 30, 2017

Copyright © Oluigbo I.V., Asiegbu B.C., Ezeh G.N., Nwokonkwo O.C. . This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
 

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Abstract :
For an organisation to achieve success as regards software outsourcing, it is important for such organisation to have a clear understanding of the requirements necessary for success. A strategic analysis approach posits that successful software development outsourcing is influenced by a number of critical success factors. In this paper, the researchers identified six (6) critical success factors of software development outsourcing for Nigeria; these critical success factors were thereafter discriminated against an outsourced software development to predict the success or non-success of the software project. A sample size of 50 respondents was used in this research, and primary data was derived from our sample respondent through a well-structured questionnaire. Furthermore, a discriminant function analysis was adopted in analysing the collected data. The results of the analysis indicated that the prediction of group membership for the outsourced software project showed more sensitivity towards successful than not successful. Hence the outsourced Citrix software was classified successful by 96.8% using the six (6) critical success factors (Cost Saving and Financial Stability, Effective Communication and Trust, Technical Expertise and Knowledge Transfer, Understanding Software Development Outsourcing Industry, Effective Software Privacy and Security, and Overcome Cultural Barrier). However of the six (6) factors, Understanding Software Development Outsourcing Industry (USDOI), and Technical Expertise and Knowledge Transfer (TEKT) contributed more to predicting the group memberships of the outsourced Citrix software by 57.5% and 34.7% respectively. The discriminant function was therefore derived of the form; Df(Citrix Software for ATM Reconciliation) = -17.640 + .098CSFS + .026ECTR + .347TEKT + .575USDOI - .019ESPS + .124OCBA. The results of the discriminant factor analysis validates the six success factors as critical to successful software development outsourcing.

Key-Words / Index Term :
Critical Success Factor, Discriminant Analysis, Group Membership, Software Development Outsourcing, Technical Expertise

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