• Asia pacific journal of information systems
• /
• v.6 no.1
• /
• pp.195-222
• /
• 1996

Faced with the challenge of reducing costs and improving competitive position, firms have recognized outsourcing as an important information systems (IS) strategic option. It has not been understood clearly what determines IS outsourcing. Based on the IS literature and transaction cost economics, cost efficiency related factors were identified, and a questionnaire survey was conducted. The results based on 181 responses from the bank executives in U.S. revealed that vendor production cost advantage and transaction risk are significant predictors of degree of outsourcing and outsourcing preference for data processing services. Insufficiency of IS funds and information technology uncertainty were found to be not only positively associated with vendor production cost advantage, but also directly associated with outsourcing preference and degree of outsourcing. Firm size is, however, not significantly related to vendor production cost advantge and IS outsourcing.

• International journal of advanced smart convergence
• /
• v.12 no.3
• /
• pp.40-50
• /
• 2023

Blockchain is a technology designed to prevent tampering with digital documents or information, safeguarding transaction data and managing it in a structured manner. This proves beneficial in addressing issues of trust and data protection in B2B, B2C, and C2B transactions. Blockchain finds utility not only in financial transactions but also across diverse industrial sectors. This study outlines significant cases and responses that jeopardize the security of blockchain networks and cryptocurrency technology. Additionally, it analyzes safety and risk factors related to blockchain and proposes effective testing methods to preemptively counter these challenges. Furthermore, this study presents key security evaluation metrics for blockchain to ensure a balanced assessment. Additionally, it provides evaluation methods and various test case models for validating the security of blockchain and cryptocurrency transaction services, making them easily applicable to the testing process.

• Journal of Digital Contents Society
• /
• v.10 no.2
• /
• pp.341-348
• /
• 2009

This paper analyzes the outcomes surveying 79 firms in Korea to investigate how Information Technology(IT) Outsourcing risk factors affects IT Outsourcing intention. Based on our literature reviews based on number of key articles, journals, and the focus group interviews, IT Outsourcing risk factor s are proposed into three different domains: Transaction, Client, Vendor perspectives. As the statistic al analysis, it found that the risk factors related on the client, vendor perspectives, is closely related to the IT Outsourcing intention of the Korean firms. So It will be desirable to prepare and resist the risk factors of clients of themselves and IT service vendor's for the adopting and enlarging the IT outsourcing implementation.

• International Commerce and Information Review
• /
• v.9 no.3
• /
• pp.107-129
• /
• 2007

In 1990s, both development of internet and digital economy would make new products such as digital goods. Recently, digital goods composed of softwares, digital contents, and digital services have grown up rapidly in the world market. Characteristics of goods and transaction forms in the international trade of digital goods is different from those of traditional goods. Thus, this difference would appear a new risk that did not exist in the international trade of traditional goods. Identification and confirmation about unique export risks of digital goods would be necessary to the increase of export of digital goods needs; however, in spite of the importance, very few studies have been based on the export risks of digital goods particularly in research on the relationships between export risk management and export performance. This study classifies the types of export risks based on the previous studies, and examines the relationship between both management and identification of export risks.

• Journal of Information Technology and Architecture
• /
• v.9 no.4
• /
• pp.365-376
• /
• 2012

We examine the value of information sharing in the context of supplier-buyer relationships after controlling for trading partners' opportunism. Given that trading partners' opportunism is not randomly chosen, we explicitly incorporate their self-selection process into our estimation procedure by employing Heckman's self-selection model. According to our analysis, firms that have built safeguards via mutual trust, commitments and information sharing experience less opportunistic risk in supplier-buyer relationships. Our findings also suggest that information sharing has a positive impact on firm performance after controlling for opportunism. Further, firms that are less exposed to trading partners' opportunistic risk have achieved a higher performance than others that are more exposed. Importantly, higher performance for those firms with less opportunistic risk is driven by safeguards in supplier-buyer relationships as well as information sharing. Our findings can be applied for systems analysts to design information systems of supplier-buyer transactions.

• International conference on construction engineering and project management
• /
• 2005.10a
• /
• pp.459-468
• /
• 2005

International contractors must consider the substantial risks related to unexpected foreign exchange fluctuation incurred by conducting their business and using foreign currencies in foreign countries. Most international contractors attempt to minimize foreign exchange exposure within a manageable range because it may influence the company's fundamental financial structure, reduce market value or profit margins, or disrupt ongoing and future projects. This research provides a qualitative study of existing foreign exchange exposure (transaction, operation, and translation exposure) and current & effective foreign exchange risk management in American and Korean international contractors, as they represent both new and long-time members of the global construction market. Finally, recommendations of techniques for new and existing international contractors to minimize and better manage foreign exchange risk will be offered.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
• /
• v.50
• /
• pp.215-250
• /
• 2011

Korean won overseas construction projects worth 71.6 billion US Dollars in 2010, which exceeded that of 2009 by 45.6%. An overseas construction project is a transaction of large scale, long term project, many parties participating, deferred payment, and of high-technology. It contributes to foreign currency earning, and also leads the nation's export restructuring work towards high value-added one. There are various kinds of risks towards the relevant parties respectively, which are key elements in successfully performing the overseas construction project. There are completion risk, financing risk, operating risk, revenue risk etc, in an employer's place. A contractor may be confronted with payment risk, issuance risk of performance bond, financing risk, performance risk of sub-contractors, and exchange rate risk. In lenders place there are repayment risk, completion risk, and political risk in the host country. In order to mitigate risks, the parties shall take relevant measures or require relevant securities. A contractor needs to evaluate the credibility of an employer in respect of payment risk, and can also request export insurance cover by the Korea Trade Insurance Corporation(the former 'Korea Export Insurance Corporation"). An employer can require a contractor to provide performance bond in respect of completion risk, and employ a well-known first class bank as a mandated arranger to arrange financing with regard to completion risk. Lenders needs to evaluate the credibility of an employer and accomplish feasibility study of the project. Lenders can request insurance cover from export credit agency. Once the parties assess the respective risks and obtain relevant securities, the project will be successfully completed. The success of the project will be sure to bring the parties involved enormous profits and another opportunity to participate in overseas construction project afterwards.

• The Journal of Korea Institute of Information, Electronics, and Communication Technology
• /
• v.11 no.1
• /
• pp.100-106
• /
• 2018

Since the concept of virtual currency called Bitcoin was announced in 2008, the blockchain technology, which is the basis of Bitcoin, is attracting attention as an important platform technology in the era of the 4th industrial revolution that can change our society in the future. Although Existing electronic financial transactions store and manage all transaction history at a reliable central organization such as government and bank, blockchain-based electronic financial transactions are composed of a distributed structure in which all participants participating in the transaction store and manage the transaction history, it is possible to secure transaction transparency while reducing system construction and operation costs. Besides the virtual currency that started with bit coins, the technology of these blockchains has been extended in various fields such as smart contracts and document management. The key technology area of this blockchain is security based on proven cryptographic technology to make it difficult to forge and hack, but there are security risks such as security vulnerabilities in the virtual currency trading service, We will discuss security risks in using virtual currency and discuss countermeasures. Especially security accidents of virtual currency exchanges are occurring frequently recently, the damage of users who trade the virtual currency is also increasing, we propose security threats and security countermeasures against virtual currency exchanges.

• Information Systems Review
• /
• v.25 no.1
• /
• pp.111-128
• /
• 2023

With the development of artificial intelligence technology, interest in data-based product preference estimation and personalized recommender systems is increasing. However, if the recommendation is not suitable, there is a risk that it may reduce the purchase intention of the customer and even extend to a huge financial loss due to the characteristics of the financial product. Therefore, developing a recommender system that comprehensively reflects customer characteristics and product preferences is very important for business performance creation and response to compliance issues. In the case of financial products, product preference is clearly divided according to individual investment propensity and risk aversion, so it is necessary to provide customized recommendation service by utilizing accumulated customer data. In addition to using these customer behavioral characteristics and transaction history data, we intend to solve the cold-start problem of the recommender system, including customer demographic information, asset information, and stock holding information. Therefore, this study found that the model proposed deep learning-based collaborative filtering by deriving customer latent preferences through characteristic information such as customer investment propensity, transaction history, and financial product information based on customer transaction log records was the best. Based on the customer's financial investment mechanism, this study is meaningful in developing a service that recommends a high-priority group by establishing a recommendation model that derives expected preferences for untraded financial products through financial product transaction data.

• Journal of Information Technology Services
• /
• v.7 no.1
• /
• pp.151-166
• /
• 2008

The Outsourcing Industry has grown at a swift pace and evolved over time, and the Global IT Outsourcing market has shown signs of a steady growth. In the Korean financial industry, however, IT Outsourcing is not active as that of the advanced countries and there is lack of literature to understand the characteristics of IT Outsourcing in the financial industry. This paper, therefore, analyze the outcomes surveying 40 financial companies in Korea to investigate how IT Outsourcing risk factors affects IT Outsourcing intention. Based on our literature reviews based on number of key articles, journals, and the focus group interviews, IT Outsourcing risk factors are proposed into four different domains: Transaction, Client, Vendor and Environmental perspective. It found that two risk factors (Client and Environmental perspective) are closely related to the IT Outsourcing intention of the Korean financial industry. Finally, this paper concludes that concrete SLAs (Service Level Agreements) of the clients and support of government agencies are important to mitigate the IT Outsourcing risks.