| Abstract: | Effectiveness of outsourcing is affected by many factors. Therefore, for the successful implementation of
outsourcing initiatives, it is essential for company`s executives to assess its internal capability relative to the
suppliers, identify which processes to outsource and properly manage the outsourcing processes and its
implementation including other risk factors which could have influence on it. Similarly, in the case of
AAWSA, it needs to be determined why and how outsourcing is practiced, and its effectiveness. Outsourcing
is a newly emerging concept in Ethiopia, particularly, in its existence in the academic institutions. Since the
past few years, many organizations consider outsourcing with an assumption that if institution is unable to
provide a service or product at less cost than, and of equal quality to, an external agent, then it should
purchase the service or product from an external supplier. Organizations prefer to transfer non-core business
functions to be performed by an external third party with the aim of reducing considerable transaction costs,
improving quality of service delivery and to concentrate on their core competencies. The specific objectives
of this study is to describe the existing practices of project management outsourcing performances, to examine
communication managements, to explain how risk managements and quality managements are determinants
of outsourcing performances, and to show how cultural managements is determinant factor for outsourcing
practices. The methodology of the study is the research is explanatory follows by quantitative approaches
and the total numbers of top managements of a project are102 these are the target group for this research.
Censes method is used and the data is primary and survey questionnaires. Risk management, quality
management and Cultural managements are practiced above the averages of project management determinants
of outsourcing practices within lower standard deviation than the averages standard deviations except cultural
management that had higher than the averages of the standard deviations. Model summery of multiple
regressions R-square is 0.889 this shows the independent variables are 88.9% accounted the variance for
outsourcing practices of sewerage project. Water and Sewerage projects could maintain their Project
monitoring and controlling process group on determinants of outsourcing practiced well consistently
(convergent/similarly) since they are strong in terms of running these process groups. |
