The contract-type choice for short-term software development outsourcing: The role of behaviour-based formal control

2020 ◽  
pp. 026839622096766
Author(s):  
Cornelia Gaebert ◽  
Karlheinz Kautz
Keyword(s):  
Software Development ◽  
Transaction Cost ◽  
Transaction Cost Economics ◽  
It Outsourcing ◽  
Short Term ◽  
Term Contract ◽  
Short Term Contract ◽  
Contract Type ◽  
Software Development Outsourcing

With this article, we contribute to the recent debate regarding the role of transaction cost economics in IT outsourcing and software development outsourcing research. Our focus is on the contract-type choice for short-term software development outsourcing. For this purpose, we critically examine transaction cost economics and the extant IT outsourcing/software development outsourcing literature and propose a framework which classifies software development outsourcing transactions according to transaction frequency and transaction investment characteristics. The framework identifies short-term software development outsourcing as an occasional, idiosyncratic transaction. Based on this groundwork, we clarify the concept of short-term contract and put forward that such a transaction is governed by a short-term contract. Following transaction cost economics and control theory, our resulting theoretical considerations infer that for short-term software development outsourcing, the vendor’s high human asset specificity and the resulting behaviour-based outcome control, the monitoring of the developer staff, are the triggers for contract-type decisions. Accordingly, staff monitoring by the client should result in Time & Material contracts, whereas staff monitoring by the vendor should result in Fixed Price contracts. We develop corresponding hypotheses which we test with 468 specific contract records for short-term software development outsourcing. The results confirm the transaction cost economics–based recommendations for contract-type choice. We therefore conclude that the advice of the transaction cost economics to use certain governance structures according to transaction attributes is also applicable to IT outsourcing/software development outsourcing transactions. We suggest further exploration of specific contract records to substantiate our results.

Teaching and Research — The Role of the Industrial Unit

1981 ◽  
Vol 18 (1) ◽  
pp. 43-47
Author(s):  
A. P. Dorey
Keyword(s):  
Engineering Education ◽  
Full Range ◽  
Academic Research ◽  
Engineering Practice ◽  
Short Term ◽  
Term Contract ◽  
Research And Teaching ◽  
Industrial Unit ◽  
Short Term Contract

Engineering education and research must be related to both engineering practice and theory. An Industrial Unit engaging in short-term contract research provides a complementary activity to balance conventional academic research and teaching to the benefit of the full range of activities.

scholarly journals Analisis Penerapan Pengakuan Pendapatan Kontrak Konstruksi Berdasarkan PSAK 34

2019 ◽  
Vol 7 (3) ◽  
pp. 391-396
Author(s):  
Riki Subagja ◽  
Didit Pradipto
Keyword(s):  
Accounting Standards ◽  
Financial Statements ◽  
Revenue Recognition ◽  
Short Term ◽  
Construction Contracts ◽  
Term Contract ◽  
Short Term Contract ◽  
The One ◽  
Construction Services

This study aims to analyze the implementation of contract revenue recognition based on PSAK 34. The problem that is often faced by companies that are particularly engaged in the field of construction services in the recognition of income is the method of revenue recognition what should be used or applied, because there are differences in recognition between the one method with others. Especially if a project is done is more than a year or the so-called Long-term project. In addition, the presentation of financial statements of income recognition in each accounting period must be reported in accordance with generally accepted Accounting Standards (PSAK No. 34 concerning Construction Contracts). There is only one method used or applied that is the percentage completion method. The percentage method recognizes income with two approaches, based on physical progress and cost-to-cost. PT X as a construction service company uses the percentage of completion method with a physical progress approach (Physical progress) in the recognition of his opinion for both long-term contract and short-term contract. The results of this study conclude that the accounting treatment of the application of revenue recognition of construction services by using the percentage of completion method with physical progress approach on PT X is in conformity with the accounting standards set in PSAK No. 34. However, when compared to revenue recognition using the percentage of completion method with a cost-to-cost approach the firm can recognize the revenue and expenses more to illustrate or show a more proportional calculation because it corresponds to the costs incurred or poured out.   Keywords: revenue recognition, expense recognition, PSAK no. 34

Immigrant Servant Labor: Their Occupational and Geographic Distribution in the Late Eighteenth- Century Mid-Atlantic Economy

1985 ◽  
Vol 9 (3) ◽  
pp. 249-276
Author(s):  
Farley Grubb
Keyword(s):  
American Revolution ◽  
Critical Role ◽  
Short Term ◽  
Irish Immigrants ◽  
German Immigrants ◽  
Term Contract ◽  
Short Term Contract ◽  
Atlantic Economy ◽  
Contract Labor ◽  
German Adult

Contract Labor played a critical role both in financing European trans-Atlantic migration and in providing a hirable labor force to work the estates of the New World. During the seventeenth century at least three-quarters of the Chesapeake colonists arrived under some form of short term contract (Walsh, 1977: 111). By the American Revolution, a majority of English, German, and southern Irish emigrants still used servant contracts to finance their migration to Pennsylvania (Grubb, 1985). For the year 1773, 61% of the 387 southern Irish immigrants, 18% of the 1,420 Ulster immigrants, 25% of the 382 Scotch immigrants, and 52% of the 174 English immigrants to Pennsylvania entered servitude. For the years 1771–1773, out of 747 German adult male immigrants to Pennsylvania 58% entered servitude. For 1785–1804, 45% of the 7,837 German immigrants to Pennsylvania entered servitude.

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