Is it a bad idea to outsource software development? Let’s look at some examples of terrible IT outsourcing projects and think if there was a way to avoid failure.
Follow this smooth project transition plan to make sure the new vendor has all the required information, and the outgoing team gave you all the knowledge, documents and rights.
When it comes to software development, it’s often tough to decide whether to outsource or to build your own team. There are 5 significant factors to consider if you want to obtain a successful product. Let’s dive into each one of them and make your choice of hiring vs outsourcing easier.
If you decide to build an in-house team, additional costs will be connected to organizing office space, buying software and tools, offering perks and insurance. That is why you have to pay a higher rate in case of outsourcing – these are the costs your potential partner has to cover to gather the best specialists. When you decide to outsource, you pay a higher hourly rate, but you also gain full control over expenses.
Costs connected with hiring pay off in time. It’s essential to think for how long you need your team and if the demand will change with the progress. For example, if you want to sell your software, and you need your developers for years to maintain and develop it further, your investment in hiring will pay off. If you have a variable or timely-limited project, you may want to outsource. Even if you’re going to create something as crucial as an app that will be the heart of your startup or an online shop.
Choosing a perfect software development company for your project might take some time (to speed it up read “10 questions to ask your potential software outsourcing provider”). But professionals know how to organize the project to meet all your deadlines. What is more, you set a date, and your project starts. In case of hiring, the recruitment and onboarding process takes some time, and then absences can happen (outsourcing partner has that covered with substitutions).
If you want to start faster (for example, if your idea is innovative), outsourcing may be a better option for you. You only need to find out the best software house and set out a start date. Although, pay attention to choosing experienced professionals that understand your vision and know-how to organize a project. If the quick launch is not an essential factor for you, keep analyzing your case.
The IT market is very competitive; employees often change jobs and look for the best work conditions. With outsourcing, you can choose a team of developers and designers that are the best in their region and derive from their knowledge and experience. With hiring, you have to offer a competitive price and job conditions to attract experts.
It’s easier to outsource excellent developers than to find ones on your market, although you can initially do some research in your area if there are no significant players around.
Professional software houses provide you with constant access to the project files. You also get a Project Manager to keep you in the loop and organize everything. You can communicate via Slack, phone or set up personal meetings. The advantage of hiring is that you can talk to your team face-to-face any time you want. But you also need to hire a Project Manager to organize everything.
The professional partner will provide you with all the information you need any time you’ll need it – you play an important role in the development process. If you’re comfortable with that level of control, you can choose to outsource.
The external software house can size up a team devoted to your project whenever you need it. If you want to speed up the development or add something new, they will simply supplement the team with additional developers. Also, the team can be reduced according to your demand. In case of your own team, you’ll need to hire someone new or let some employees go.
Changes are common during software or app development. You can stay more flexible with outsourcing. Do it differently if appearing on the market quickly is not crucial for you.
When the software you create is a core of your company’s activity, and you want to sell it further, it may be better to invest time and money into building an in-house team. Many companies achieved success in that field. If you need a team of developers for a determined task, like to create an app (even if it’ll be the core of your startup) or an online shop, outsourcing may be a better solution. You can also begin with outsourcing to kick off your project faster, and then start to build your own team by successfully adding employees to the outsourced one. Everything depends on your business strategy, goals, time and money. Analyze your own case and make a decision. At Appstronauts, we offer two models of engagement. We can take all the development of your shoulders and create a web or mobile app for you or implement your team on site or remotely with the number of experts you need.
Why you may want to work with us? Our clients say that we are like their partners rather than vendors. Clutch named us a top app developer in Poland and TechReviewer listed us on the 6th place among the best software developers in the world.
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