Outsourcing and relational performance: application to the Xerox-EDS case

The aim of this paper is to understand and describe what factors and process lead to a relational performance in an outsourcing strategy. Based on the relational view model from Dyer and Singh (1998) and completed by a more processual and learning focused approach, we develop our own descriptive model. This model is applied to the Xerox-EDS outsourcing contract. We then find that our model is quite designed to understand how performance is built. Relational performance is compounded of a gestation performance, a maturation performance and an infiltration performance. Each stage of the relational performance is evaluated on equity and efficiency. In our study, we identify the global process which explain how this performance is built, integrating, for example, how relational specific investments influence learning exchange and how then, shared routines can be created in the relation. So this study helps us to better understand outsourcing as a relational agreement and identify both factors and processes that make this relation evolve and reach the partners goals.