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7 Advantages Of Offshore Software Development

They hardly require any time to train their workforce because the recruited candidates are well-versed with the technology and its implementation. Offshore as the name suggests, is the outsourcing of software development to a company from another country. An offshore software development team allows businesses to expand in other parts of the world. Software development companies have well-established work processes and productivity tools. Throw their experience into the mix, and you’ll get a power team focusing on the critical task of delivering a top-notch solution instead of wasting their time on side issues. The outsourced team starts baking your product straight away, while your in-house staff is only preparing the ingredients.

The dedicated team model allows deep involvement in the development process. Alternatively, you can have your outsourcing partner take full responsibility for the development of your product. You may lower the risk involved with software creation and the adoption of new technology by working with a custom software development company with years of experience, demonstrated knowledge, and skill. The fact that they offer continuing assistance is another advantage of outsourcing your company’s software development project in 2022. Every piece of software experiences defects and outages that require rapid correction.

This function is usually assumed by a CTO or VP of engineering, even if the startup is composed of only two people. In ideal cases, this person is already a kind of a proxy link between business and technology. In other cases, this person may be purely a developer who developed the very first version of the prototype, and who only has a technical understanding of what’s been done. But his expertise may not extend into the sphere of the interaction processes organization in product development i.e. the roadmap, development stages, priorities, approaches to releases of new versions, etc. This is the expertise with which software outsourcing companies are ready to help.

  • Its inexpensive labor cuts the development cost remarkably, and most of the support services in this country are time-zone aligned which makes the collaboration sustainable.
  • In case you have your own development team in the company, it may happen that none of the team members has skills required for your project.
  • In this manner, the global IT outsourcing market estimated at $556.67 billion in 2020 should reach $937.67 billion by 2027.
  • The company has been providing tech consulting, staffing and software development services for Fortune-500 companies, tech startups, and SaaS enterprises for more than fourteen years.
  • In this regard, software development outsourcing helps to build this model, run and maintain it in a working condition.
  • Despite all the perks of offshore software development, there are some flaws to it you should keep in mind when choosing the right outsourcing strategy for your business.

Let’s figure out what it’s like, what are the competitive advantages and risks of outsourcing software development. Again, support of the team is great from the point of view of stability and sustainability, as well as the stable availability of technological expertise. Therefore, people can more closely communicate not only outside of the company at conferences or on forums but can use the internal community of experts in a particular technological field.

Why strain when software development teams from India can handle your project effectively? However, you should ensure you hire the right partner to get all these done. Outsourcing companies focusing on software development services invest money for training of their team members, so they can sharpen the existing skills and develop new ones. If you choose in favour of hiring an in-house development team, you should ensure that your employees keep up to the changes occuring in the IT industry.

The Key Benefits Of It Outsourcing

India is one of the most renowned countries for outsourcing your software. With a population of 1.56 billion, the country houses about 5.2 million software professionals that dedicatedly work to provide services to the US, UK, and most parts of the world. Software development outsourcing has become a culture in the IT industry, owing to the amount of time and efforts consumed in the overall development process of software which is quite overwhelming.

What are the advantages of software outsourcing?

Dismissal of key development specialists that have been working on a software project for quite a long time may turn into a real disaster. If your project is very specific, there is a likelihood of spending an enormous amount of time to find a developer who can be a good replacement. Additionally, you should take into account time required for onboarding and initial training, so the new team member could get down to work. In case of outsourcing, your software project is developed by an external team which may be located in any point of the world. Outsourcing model presupposes a contract between a customer and an outsourcing development company where all the agreements between the parties are outlined.

It Team Management Tipsit Insourcing Vs Outsourcing: Which Model To Choose

The problem of choosing between in-house and outsourcing software development is always relevant, especially if both of them will help you to reach the desired result. Both approaches have their advantages and disadvantages, so you need to evaluate them thoroughly, and not to choose randomly without going into details. Clear understanding of strong and weak points of both these options will help you to make an informed decision to reach an expected outcome. The demand for experienced IT specialists is extremely high nowadays. Recruiters fight for the best talents offering higher salaries and various bonuses, so the risk of losing a valuable team member is pretty big.

Today, we have tons of approaches, and they all have their pros and cons. It’s a difficult and crucial task for your future or ongoing project to choose the smartest strategy as well as define objectives, budget, and deadlines. We have investigated the most popular and beneficial software development methodologies to give you a distinct image of what the industry suggests at the current moment. Companies worldwide strive to embrace the latest tech to remain competitive, increase customer loyalty, and accelerate revenue streams. The business world is transforming in front of our very eyes, due to daily upgrades of what automation and software development can do.

It will free you some time, money, and energy, ensuring you of world-class development solutions at the same time. Real-time access to your project proves to be very useful especially while traveling. They keep you updated with each and every phase of the development and provide you access to all your work documents, to-do lists, project delivery dates. Application builds help you track your application development phase so that nothing goes wrong throughout the process.

What are the advantages of software outsourcing?

In the meantime, your in-house developers can concentrate on the core tasks of high strategic and security importance. March 19, 2020 Pros and Cons of Major Software Development Methodologies One of the largest US stock market makers struggled to stay afloat after a software bug caused a loss of $440 million in just 30 minutes. The company’s shares lost 75% in two days after the faulty software flooded the market with erratic trades—Knight’s trading algorithms launched faulty trades through nearly 150 different stocks. That’s why choosing the right system and style of management is the key to successful software development.

Software Development Outsourcing

This is why startups work well with offshore outsourcing companies because you don’t need to increase your staffing immediately. Software experts in your given field may not be readily available and willing to join your startup. Each employee in your in-house performs his/her particular functions and has a certain workload. In case you do not intend to hire a remote team for a new software project, you will have to assign the additional responsibilities to the existing employees. Such a move will inevitably influence the efficiency of your team members, since they will be obliged to switch to another project and fulfill the additional tasks.

This strategic use of outside resources lets you minimize the burden from your internal staff and have greater control over the resources you spend. Moreover, outsourcing lets you not only contract organizations and delegate some functions but acquire a valued long-term business partner. The number of companies providing IT outsourcing services across the globe is enormous, and the problem of choosing a reliable software vendor is the primary concern.

Her writing is a reflection of the deep knowledge that she has of the silicon world. Corroborated by intriguing facts and innovative ideas, her articles present every aspect of constant technological evolution. When she is not penning, you will find her painting, traveling, or introspecting her emotions to craft a piece on @sutured_emotions. Company data is confidential and must be held with utmost sensibility. Any leak in this intellectual property of your organization may cost an innumerable amount of damage. Security and privacy risksSearch for mentions of ISO 9001 and other industry-specific compliance certifications on the vendor’s website.

Benefits Of Hiring A Third Party To Develop Your Custom Software

It enhances the life of the application and builds a good relationship with the customers. When you outsource your development in India, you are most likely to receive the latest features and configuration that meets the demands of the market. India has many companies that will take full responsibility for your development project and lets you focus on your marketing strategies to promote your product before its out available for the customers.


They have a clear understanding of their business domain but do not know the specifics of development of IT solutions to support the task or super idea that they’ve come up with. Apart from communication delays, you might encounter the problem of the language barrier. Of course, most developers speak at least some English, but if their language proficiency is not on par, you might experience serious communication breakdowns.

This is mutually beneficial cooperation because the businesses can save money while getting superb services and the developers get a chance to make more money than they would make working for the local companies. Working with an external team means freeing your in-house team from overload or enabling them to focus on the core tasks. You also get a managed group, which frees up your resources to focus on high-level business activities.

Due to the workspaces’ similar time zones, Nearshore software outsourcing gets the upper hand over offshore software outsourcing. Moreover, it increases the possibility of visits to the development center more often. We’ve actually written an in-depth study software outsourcing and outstaffing on minimum viable product you can read. This is the very first stage of business where you have only ideas and nothing else. You need to create a minimum viable product to show your investors and to continue growing and evolving with your product.

If something goes wrong, the time for solving the problem is longer than an in-house team would take. The vendor will provide the exact number of workers needed for each stage and task, adding the right specialists when required, providing substitutes, or removing idle workforce without firing anyone. If you are an IT service company and want profound expertise and niche experience on your company’s profile, it’s essential to keep and grow your own team of product developers. They can investigate issues immediately and promptly apply the fixes. Once the project is completed, companies are faced with yet another big challenge of its maintenance and providing support to users. Whether it’s a change in business need or a change in the taste of preference of the customer, it is very important for the business to maintain and transform the application if and when required.

Outsourcing is the solution to this kind of issue because it allows your staff to concentrate on their area of specialty. Using outsourcing firms will also enable you to take the development process as a whole and concentrate on the business necessity for your software project. You will discover the advantages of outsourcing your company’s customized software development project in this post for 2022. Outsourcing software to a vendor facilitates its deployment time without spending a fortune on the development part. It also addresses resource constraints and eliminates the need to set up a new team from scratch. With three unicorns and over 170 projects across industries under our belt, we at Acropolium have a fair share of experience fighting software outsourcing risks.

Why Choose Sigma Data Systems For Outsourcing Software?

It takes a lot of time and money to find someone who is a skilled and trained IT professional. And even if you find one in developed countries they are very expensive to hire and retain. Furthermore, you do not have to worry about huge salaries, sick leaves, paid leaves, insurance, and healthcare that are eating your profit each month. Outsourcing a software development team from India is the best option because you only pay for the agreed service fee.

The in-house development of an application comes with a lot of complexities and problems. You will have to dedicate a lot of your time to managing the project team and developing a successful project. This could result in not meeting the other key performance indicators like making an effective marketing strategy for the product. In comparison with the U.S, Canada, Australia, and other European countries there is a huge income gap between them and India. For instance, you won’t have to pay for expenses like equipment cost, training & development, software license, hiring costs, and IT architecture costs.

Your digital product development or provision of your service requires a long-term commitment. Also promotes better control over the company’s coding standards and facilitates future product maintenance. Moreover, India is the second-largest English-speaking nation in the world that makes it a perfect location https://globalcloudteam.com/ to outsource your business requirements without worrying about language barriers. Have you been thinking of taking your business online, or perhaps you need to refurbish your site with some unique features? It’s not rare for clients to be vague about what they want and assume that contractors are mind-readers.

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” And it turns out that you cannot change a thing as the cost is fixed, and extra expenditures are not accounted for, and then a “war” between the client and the outsourcing team begins. Even if you decide to visit your partner, this will cost you time and money to simply get to their location. If regular and timely communication means a lot to you and your project, offshoring might not be your best option. Idea and any development processes and stimulate the procedure of data collection, transfer, access, and processing in compliance with the EU General Data Protection Regulation or other applicable laws. Since outsourcing saves a lot of time and money, the company can develop its product at a lower price and launch it ahead of the competitors. Alibaba, Basecamp, GitHub, Google, MYSQL, Skype, and Slack are some of the big companies that have outsourced their software development needs.

These things can be crucial for delivering a high-quality app, while others may be nothing else but money-wasters scaling all the cost-saving benefits of outsourcing down to zero. These overheads and costs can take a big bite out of your project budget. Then comes a limited number of free product iterations and upgrades, relocation, redeployment, after-hour services, troubleshooting, and whatnot. You may need to pay a surcharge for these services, even though you might’ve assumed that some of them—like quality assurance to test your product—came with the package. Now, let’s check out the risks that can sabotage these benefits unless you deal with them in time.

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