The process of building GSO relationships: the experience of a multinational vendor with Indian contractors

Global software outsourcing (GSO) market refers to the offshore development of software by personnel outside the client’s home country. The GSO market was estimated at US$50 billion in 1994, with an expected growth rate of 15% (Kumar and Willcocks 1996). This paper reports an ongoing case analysis of a North American telecommunications MNC (“Global”) and their GSO arrangements with two leading and two startup software houses. The processes of initiation and evolution of these GSOs over the past five to seven years is described and some underlying challenges presented.