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Relationship Issues in Global Software Development Enterprises

Abstract Recent studies have shown a substantial growth in the global IT outsourcing market. The literature discusses an extensive range of various IT outsourcing models. This study introduces a cross onshore and offshore outsourcing model. It discusses relationship issues between the vendor and its offshoring centre. The research reveals that global IT enterprise models face serious relationship issues. These issues are cultural differences, communication, economic conditions in the offshoring country, harsh contract penalties, lack of client support, lack of client's domain knowledge, unrealistic timeframes and the cost saving objectives of the model. The research uses a qualitative research methodology based on multiple case studies.