As a result, with outsourcing, you can scale up the team of professionals specialized exactly for that specific project. Outsourcing IT experts on a project basis enable you to get the best only when you need it the most. In this case, outsourcing can get you a high level of productivity at reduced costs.
Software development is a collaborative process. So, hiring freelancers from different cultural backgrounds can be a huge challenge for mutual understanding of specific requirements. Possible problems appear also from the language barriers, which might hinder a fluent collaboration. Working with a developer from a different time zone is challenging for both sides. Especially when picking the time for a conference call, and the deadlines are adapted to a one-time zone, but not to another.
Independent software development companies also work with more clients at a time. Companies face security and confidentiality risks even in-house. Since, they can be fully committed to this product, know it inside out, and easily and quickly make changes or fixes when needed. If a company is thriving, all employees have aligned interests and share the same vision. Such a commitment is hardly possible with freelancers who are not fully involved in your business.
Having in-house developers who are nothing more than capable to do the job, but who get along with you and your team is usually more productive than trying to work with the best specialists who are a poor culture fit.
Developing a product in-house enables you to monitor all the steps in the process. If something goes wrong, you can spot it immediately. Therefore, turnaround time in fixing the problem is shorter than it would be in the case of outsourcing.
It takes time to find the right developers and negotiate with them to join your team. If the clock for your project is ticking, you need the right persons now, which you can get with an outsourced freelancer or specialized vendor. Hiring a talent costs a lot of money. Do you need an expert in a certain field on a full-time basis? When considering in-house development vs outsourcing, it should also be noted that the first option can be a better solution when you are building a long-term project.
Especially if after completing all its tasks, you plan to maintain and update it for an extended period of time. Respectively, you must have a solid budget in order to successfully cover all these expenses. When contracting a vendor, you can choose on what basis the team will work. Almost all companies offer both full-time and part-time development options. At the same time, this type of cooperation has a number of significant advantages, which are definitely worth consideration.
We have compiled a list of most important benefits of contracting a third-party company:. One of the main goals of the outsourcing business is to reduce costs without losing quality. This is typical for countries like Ukraine, Poland, China, and Singapore.
By executing a contract with an outsourcing company, you avoid all the problems associated with the selection and hiring of personnel. Such companies already have all the necessary specialists who meet the requirements of the project. Due to this, the team can start working on the project immediately after the signing of the contract. You get access to an unlimited resource of seasoned pros around the world. There will be no need to spend money on the development of their talents. Besides, the competition among outsourcing companies is very high, so they take great care to ensure that their employees have in-depth knowledge and outstanding skills in software development.
You just have to choose a team that meets your personal expectations. At the same time, reliable outsourcing companies provide licensed project managers as well.
It is the link between you and the rest of the team. You set all the goals for the manager, and they, in turn, distribute tasks to developers, testers, etc. Additionally, the project manager provides detailed reports to you on the progress of the project. You can work on the most important tasks, leaving the rest to an outsourcing company. Google uses this model. They focus on the development of essential business products, while relying on outsourcing companies to deliver the less priority projects.
Another obvious advantage is that you can expand or reduce the team at any time. For example, you need to complete a specific set of tasks as soon as possible. To do this, an outsourcing company simply adds more members to the team. In the morning you discussed with the manager that you need to expand the team, and by lunchtime, extra specialists are already working on your project.
In this case, you do not need additional effort. You express all your wishes to the project manager, and they immediately go to work on its implementation. The time difference can be a real challenge for you. Depending on the company, the difference may be hours up to 10 hours or more. This significantly slows down communication. And if you want to make an urgent meeting in 10 minutes, in some cases, you will be deprived of this opportunity.
However, many modern software products, such as Jira, Trello, and Skype, are available to facilitate communication on the project. If this is your first project, most likely you are very enthusiastic. But not all outsourcing teams will share your interest. They will consider your project as just another task to be completed. This does not mean that their level of work will not meet your expectations, but the unequal level of enthusiasm may rub some first time users of this method the wrong way.
At KeyUa, we care about quality development. The whole process of building software is transparent and understandable. Customer satisfaction is important to us, so we make every effort to exceed your expectations. When deciding between the in-house or outsource processes, another option to consider is the hiring of specialists, known as outstaffing.
Salary costs and benefits are covered by the outstaffing company. Typically, this service is provided for several months to perform specific tasks. You can hire remote developers and manage them directly while they are still officially employed by the outstaffing company. In addition, outsourcing companies can also provide outstaffing services. This type of cooperation also has significant advantages and disadvantages.
You directly manage the development team, setting goals for each employee. The development process also becomes more transparent. You hire a team with a lower hourly rate, and you do not need to pay for the work of the project manager since this becomes your responsibility. Outstaffing is currently the cheapest option among the three main ways of hiring a development team. You do not hire employees. Simply put, you rent them. You do not need to worry about their salaries, social benefits, and office rent.
The outstaffing company is responsible for all of this. The whole team is under your full management. So you must spend time and effort to control their work.
If you are a busy person, this can be a big obstacle. There may be cases of miscomprehension if the team members do not have good English. In outsourcing companies, such a problem is solved by the project manager, who is fluent in English. In the case of outstaffing, you will have to find a common language yourself. After we have analyzed the basic approaches to creating a development team, let's summarize everything with a pivot table.
Despite the vital advantages of outsourcing companies, there is still some risk of signing a contract with an irresponsible contractor. In turn, this leads to significant risks, for example, the disclosure of confidential information. If not, you can count of these three question to make up your mind:. Traditional business models are facing significant changes across domains. There goes the time when a bank competes with other banks only since now, the new-age Fintech players have joined the game.
So for this, ask yourself: can outsourcing prevent me from getting left behind by my competitors? What are my competitors doing and how they are doing it?
Not every outsourcing company can offer you the right choice and adapt to the development needs. So for this reason, you should build a criteria list to evaluate potential partners, which can include:. If it is just a quick fix, outsourcing is an obvious choice. However, if the problem requires long-term effort, resources, you may need to think about investing in employee training, infrastructure and so on… in the long-term. Many small businesses benefit the most with their policy of upskilling their existing employee or hiring experts in-house.
In conclusion, it is up to you to choose what kind of approach you want to launch onto your project, in-house or outsourced. Your email address will not be published. Save my name, email, and website in this browser for the next time I comment.
Careers Contact us. Table of Contents hide. What is in-house software development? Advantages of In-House Development Face-to-face communication. Changes adaptive. Enhanced security. Staff turnover. Lack of tech talents. What is Outsourcing? Advantages of Outsourcing Software Development Cost flexibility. Huge talent pools with faster project delivery. More technologies to choose from.
Disadvantages of Software Development Outsourcing Security risks. Communication gap. Inhouse software development vs outsourcing — which is better? Does your business benefit from outsourcing? What options do I have for outsourced partners? What are your long-term goals?
0コメント