Research Strategy: Quantitative vs Qualitative

Creswell (2009) identifies that quantitative methodology is founded on deductive methodology, objectivist ontology and positivist epistemology. Contrastingly, Bryman and Bell (2007) stated that the quantitative research strategy is a deductive approach using and numerical and scientific analysis to demonstrate the relationships amongst various features, derived from a foundation of established theoretical principles, in the development of studies. The qualitative strategy on the other hand uses methods for the development of hypotheses and theories inductively by affirming explanation and understanding the background of these factors (Creswell, 2009; Klein and Myers, 1999). Significantly, qualitative research provides the researcher to view how individuals perceive and interpret a social reality (Bryman and Bell, 2007).

Adopting a quantitative research strategy for this study comes from the fact that this research uses some established theories (namely, transaction cost economics, agency theory, resource based view and dynamic capability theory) to hypothesise relationships among various constructs and uses the deductive philosophy. The quantitative strategy is considered as a very useful strategy in natural sciences and in social sciences (Creswell, 2009). According to Patton (1990) and Blumberg et al. (2005), this method supports the researcher to test the validity and reliability of prior researched hypotheses and propositions which are largely based on measurement and experimentation techniques.

A qualitative research strategy is not chosen in this study for a variety of reasons. A qualitative research strategy is most relevant when the researcher aims to explore society in a subjective manner by defining and interpreting changing phenomena in

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a natural social context. Moreover, it is the most reliable method of research especially in the presence of past literature available to separate constructs and corresponding relationships (Gilbert, 2001; Cohen et al., 2011; Manion and Morrison, 2000). For the present study, the qualitative strategy is not appropriate because (i) the research is not preliminary as there is adequate previous/existing research facilitating to hypothesise relationships among the constructs and (ii) a subjective study is not prerequisite as data can be gathered objectively to validate the hypotheses using the deductive approach.

Creswell (2009) asserted that acceptance of theoretical generalities and recommendations in technical endeavours, particularly in management studies, necessitates a quantitative method which can be validated and explained statistically. Typically, a qualitative methodology is a dependable method for both group and individual studies, assisting the researcher to analyse in a natural setting, propagate theories, and give solutions to the problems. Thus it assists in understanding the problems and intricate measures are adapted to manage them and this enables the researcher to investigate problems not studied in the past (Creswell, 2009; Cassell and Symon, 2004; Yin, 2003). As found earlier, as such this is not relevant to the current research.

The selection of a particular research methodology (i.e. qualitative or quantitative method) should be a consequence of the research philosophical background.

Table 4.3 provides a general guide to the suitability of various research techniques to different philosophical perspectives.

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113 4.3.1 Research survey strategy

It is necessary to choose a suitable method and strategy as this is crucial within any research to avoid contentious decisions. Various methodologies and approaches have been organised in social sciences and business studies, such as survey methods, case studies, action research, numerical methods/ modelling, laboratory experimental research, field experiments research, grounded theory, ethnography, and phenomenology (Myers, 1997; Crotty, 1998; Creswell, 2009; Chen and Hirschheim, 2004). Among these research methods, the survey method has been found to be the most appropriate and effective for the current research. The justifications behind selecting the survey research method are the following.

 Firstly, it is an appropriate research strategy used in previous literature to achieve objectives as to those in the current research.

 Secondly, it is suitable for the current perspective of the research in order to achieve a generalised and comprehensive contribution.

These rationales are elaborated briefly in the following sub-headings.

4.3.2 Review of research methods applied in Information Systems Outsourcing

In disciplines like social science, psychology and medicine, empirical examinations are quite common. Empirical inquiries are also increasing in IT/IS with the emphasis on human characteristics of software engineering (Seaman, 1999). Current empirical studies of human facets have largely focused on management related facets of IT and IS services. Lately the software industry has identified according to Seaman (1999) that IT development equally involves many distinctive organisational and structural issues which are also called ‘people problems’ which requires to be tackled for future progress.

In the sphere of IT, studies have relied on the strategies and methods which empirically interpret questions related to the research with testing the hypothesis (Chen and Hirschheim, 2004). Resultantly, the survey is viewed to be a highly relevant method of assisting the researcher to analyse occurrences in their natural

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setting with a large population (Pinsonneault and Kraemer, 1993). The implication of survey research in relation to the IT sphere is identified with the literature.

The survey research strategy is a primary method within the positivist approach according to Farhoom and Drury (1999): with 49% of the studies applied this followed by 27.1% and 13.5% used experiment and case-study methods.

Literature evidence shows that 62% studies emphasised on empirical examinations and the rest 38% on non-empirical examinations. From the 62% empirical studies, the survey method was found to be prevailing. Hence, interconnecting the meta- analysis literature, survey approach was found to be more applied and popular (Chen and Hirschheim, 2004).

Hence, based on the outcome of the literature review and identification of gap (as most of the previous research in this domain were case-study and opinion poll based), the researcher decided to use a survey research method (with a positivist approach) to achieve the objective of the study.

4.3.3 Merits for selecting survey as the preferred research method

The survey research is according to Zikmund (2003) is a suitable research method as it facilitates a fast, economical, proficient and precise way of evaluating the information related to the population targeted. The three main aims for conducting research through the survey method according to Pinsonneault and Kraemer (1993) are:

1. The research necessitates a quantitative method of examination with standard information about the theme

2. The research necessitates data gathering through questions with a well-defined, organised tool;

3. The research necessitates the skill to simplify evidence about the entire population’s characteristics through sampling.

According to Pinsonneault and Kraemer’s (1993) principles, this study is primarily based on the positivist paradigm (section 4.2.2) with a quantitative strategy of analysis (section 4.3). Furthermore, this research evidently formulated various

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hypotheses linking the constructs, based on literature support justifications. In the current study, the unit of analysis is the individual outsourcing firm (represented by the authorised senior management functional head) in various industry sectors in Europe. Hence considering all the viewpoints and merits, survey method is adopted in the current study.