Purpose – The research on effects of outsourcing tends to focus on financial effects and effects at a country level. These are not the only consequences of outsourcing, though. When firms outsource functions previously performed in‐house, they risk losing important competencies, knowledge,...

Purpose – Describes challenges and problems of outsourcing services at firms that are also adopting service logic and, based on an empirical study, provides lessons regarding how they can be managed. Design/methodology/approach – One in‐depth longitudinal study of a leading systems...