How to Successfully Outsource Software Development?

Find out how software outsourcing can enhance your product and benefit the business.

Jul 30, 2021

Outsourcing is a popular business practice widespread across industries. However, in a rapidly changing IT world, even this trend is transforming. Previously, it was used to solve the high maintenance cost problems in regards to an in-house team, it has since become a critical advantage for a company. So, how beneficial can outsourcing software development be for your business?

Top 3 Reasons to Go for Outsourcing Software Development

Being extremely flexible, software outsourcing offers several benefits for companies of all sizes and industries.

1. Access an expert talent pool

The hunt for IT talent is predicted to become even fiercer. Already, 87% of companies are experiencing a shortage of suitable specialists. Outsourcing software development solves this problem by opening up access to experts around the world. These specialists regularly deepen their expertise and skills, while regularly creating, innovativing, and customizing solutions for their clients. You can become one of them by getting the best engineers, designers, and QA for your project. As a rule, outsourcing software development teams always follow the trends, they have access to the best-in-class tools and the latest technologies.

As practice shows, outsourcing teams show more diverse expertise in multiple areas, they have access to corporate knowledge base and corporate experts who have worked on many similar solutions and will help dodge major risks.

Besides, when assembling an inhouse team, it is necessary to solve recruiting and HR tasks and to get an assessment of personnel management. Outsourcing allows the client to focus on their business objectives and the outsourcer on the technical implementation and management of the development teams.

To top it all off, many outsourcing companies have solution templates which allow them to significantly reduce the time and budget.

2. Strengthen your product

A full-cycle service company can offer different types of services as part of software outsourcing. You can delegate product development from scratch, or break down individual parts for testing and inspection. No matter what kind of outsourcing software development you need, you can be sure that all of the team’s expertise and knowledge will be aimed at enhancing and boosting your product; all of which with your customers’ preferences in mind.

You also recuperate time and resources to focus on other, equally important, business goals, because a dedicated team will take care of your project.

3. Manage time and money

Even though other issues are gradually coming to the fore, cost-cutting is still one of the leading motivators for outsourcing software development. According to research, 70% of businesses use outsourcing to develop new products, and this figure will only grow in the coming years. 

Maintaining an in-house department can be a significant investment and expense, while a dedicated team works within a limited or predetermined budget. Moreover, it often takes months to find the right specialist to complement the in-house department, while this time could have been spent on the implementation of the project. Therefore, the reduction in time to market is another significant advantage provided by software outsourcing.

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Software Outsourcing Risks

However, you should also be aware of some of the pitfalls and obstacles that you may encounter if you choose to outsource software development. Your first and most difficult challenge is to choose a reliable outsourcing software development company or team. The mistake may cost you money and time if, in the end, you get nothing in return. Code with poor quality and performance would bury your project from the very beginning.

Misunderstanding or bad communication during collaboration may cause a gap between expectations and reality. Reasons for that may also be hiding deep within cultural differences or language barriers.

Another risk of software development outsourcing is losing your confidential data. It can happen at any stage of cooperation.

So, how to outsource software development successfully and defend yourself from these problems?

Key Tips to Choose a Reliable IT Outsourcing Partner in 2021

There are more than 200,000 software companies on Clutch that offer software development outsourcing services. Here are several important things to consider before choosing one of them.

1. Define and set your goals

At the very beginning, analyze your project and define core goals, requirements, and expectations. It will help you to choose the company with the proper experience and portfolio. It might be a mobile app or website development company that perfectly fits your goals.

2. Discovery phase 

To accurately assess the project, you need to know the boundaries of the project and understand how much time it will take to identify requirements, analysis and drawing up a statement of work.

A good company always puts a shoulder on a wheel to make sure they are on the same page with their client. They analyze your business goals and based on that write technical implementation, fix the project boundaries, estimate the cost of development, and predict possible risks. 

3. Explore the company

Start with their portfolio: the company’s website, LinkedIn, Clutch (or GoodFirms) profile, social media, case studies, and testimonials. The most preferable option is to look for reviews on trustworthy web platforms to find honest opinions about collaboration with the potential team. It is crucial, since you need to be sure that the software development outsourcing company delivers reliable solutions that make their clients’ businesses more successful and profitable.

4. Discuss the project

Don’t be in a rush. Contact the company, or its representative, and discuss your idea, requirements, and goals. Feel free to ask for a cost estimate for your project and pick the outsourcing pricing model. It is a great way to check their communication skills, flexibility, transparency, and the ability to speak with you in the same language. Do not hesitate to thoroughly clarify everything.

5. Call for a trial project

Ask the outsource software development team for a short test project. It will help you to identify whether you’re a fit for each other, and how the experience of collaboration will be. This is a good option to make sure that the team meets the deadline, follows the task, works transparently, and is open to dialog. You’ll probably have spent more time and money, but it will help you make the final decision. That’s why it’s important to either keep an eye on how the company proves itself during the discovery phase or try to agree on a test project. 

Before making the decision to outsource software development, you should take all of the aforementioned information into consideration, and follow the short guide to find a trustworthy, robust, and efficient partner to implement your business idea.

If you would like to know more about Computools’s outsourcing services, please feel free to contact an expert by emailing info@computools.com, or by using the form below.

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