SYS-CON MEDIA Authors: Pat Romanski, Gary Arora, Zakia Bouachraoui, Yeshim Deniz, Liz McMillan

Blog Feed Post

5 Tips for Successfully Outsourcing Software Development

Imagine you own a business and it’s doing well but you want to monetize it by going digital, taking advantage of innovations and your technologically savvy customers. In order to achieve, you need a team of professionals. And that’s when outsourcing software development comes in handy.

Today outsourcing is turning into a common practice and the one that slowly but surely changes the face of global business. The global outsourcing market has already exceeded $ 524.4 billion back in 2015 with IT outsourcing being its biggest sector. And according to Deloitte’s 2016 survey, there are some additional benefits to IT outsourcing apart from cost reduction. The company cites enabling focus on core business, solving capacity issues, enhancing service quality and being critical to business needs among top reasons why companies outsource.

outsourcing software development

Source: Why companies outsource (Deloitte Report)
But outsourcing software development isn’t a magical solution to any problem. It will only work successfully if both the company and an outsourcing vendor are deeply committed to a project and are willing to adapt to each other’s needs. Before you entrust your idea into someone else’s hands, here are some tips to consider.

Define your product and identify the user

Before you even start considering outsourcing software development, put your ideas into writing. Stories of failed products often cite not making assumptions about the market, product, and competition as one of the reasons. When you have a clear vision of your product, you can concentrate on the technologies and requirements aspect when searching for a software service provider.

Don’t strive to solve everyone’s problem. By trying to tap into needs of every user, you end up attracting none. Have a clear vision of the need. You can save yourself from miscalculated decisions, uncertain performance characteristics, and unrealised business values. All of which in their turn lead to a higher cost, wasted resources or lost business opportunities.


Global outsourcing market has exceeded $ 524.4 billion, with IT being its biggest sector
Click To Tweet


When outsourcing software development, entrust your product wisely

Sole sourcing has its risks and rewards. According to a recent survey, sole sourcing is still a widely applied method but only 6% of respondents always use it, while 48 % sometimes use one vendor.

RFP is still considered the most popular method to use when considering outsourcing. However, if you manage to find a trustworthy software vendor you see a potential for collaboration with, it makes sense to stick. 89 % leverage their current vendor always or sometimes for additional services. The business environment is dynamic and changing and finding a reliable partner you can entrust your product is difficult but not rare. Collaboration between the client and the vendor is beneficial for both sides. It can increase efficiency, cut costs and time.

Strive for outsourcing transparency

Successful outsourcing requires communication between a customer and a provider. Both parties need to agree on priorities and information requirements. By choosing a software vendor with a clear and transparent approach, you will find a like-minded partner that will be fully committed to the quality of your software.

According to Deloitte’s report on outsourcing transparency evolution, taking a proactive approach of discussing mechanisms and requirements can enable software vendors to provide better information and more efficiency. Transparent providers may offer opportunities for customers to involve them at more strategic levels where they can drive a higher value.

Learning how to use outsourcing transparency for risk management and leveraging provider capabilities can gain a competitive edge to both parties.

Give UX design a careful thinking


Very often it is up to design whether a product makes it or joins the ones that failed. A robust UX design brings value by helping understand users’ needs and desires.

Today design is not only about making a product look good. It’s about its functionality as well. 64% of employees cite poor UX as the main reason for rarely using enterprise mobile apps. People care about efficiency, especially when it comes to products they use. If the experience is bad, they will simply abandon it.

By adopting a user-first approach you are more successful at delivering right solutions and meeting users’ needs. Businesses are using it as a core element of companies’ strategies to realize business value. It’s not enough to find a software vendor that is technologically strong. Look for a provider that understands the importance of a strong overall user experience and is capable of delivering it as well.

Adopt Agile principles

In order to move faster and help your product reach customers quicker, go agile. Agile methodology has successfully spread to all types of industries. The need to use it in general management has been recognized by Harvard Business Review and McKinsey & Company. There’s already an agile marketing manifesto and UX and graphic design are widely using it in their design sprints.

Agile helps corporations adapt to the ever changing business environment. It promotes rapid delivery with a predictable cost and schedule because of the fixed sprint duration. But most importantly, it is flexible to changing circumstances, helps to understand what’s the most important to the client’s business, and focuses on technical excellence and solid design.

Agile methodology requires open communication and collaboration between the business, customers, and development. Partner with a software vendor who is experienced in Agile, is aware of the latest trends and knows how to move faster.

There are many other aspects worth considering when outsourcing software development. But what’s important to remember, no matter how efficient and experienced your software vendor is, your product development needs your personal involvement. By establishing communication, mutual understanding, and a constant feedback both you and your software provider have a better chance at succeeding and forming lasting business relationships.

Learn more about the services we provide

The post 5 Tips for Successfully Outsourcing Software Development appeared first on Perfectial.

Read the original blog entry...

More Stories By Rostyslav Demush

Ross Demush is a digital marketing specialist at custom software development company Perfectial, a leading provider of web & mobile development services, specializing in FinTech, Real Estate, Media & Entertainment & eLearning.

Latest Stories
Every organization is facing their own Digital Transformation as they attempt to stay ahead of the competition, or worse, just keep up. Each new opportunity, whether embracing machine learning, IoT, or a cloud migration, seems to bring new development, deployment, and management models. The results are more diverse and federated computing models than any time in our history.
On-premise or off, you have powerful tools available to maximize the value of your infrastructure and you demand more visibility and operational control. Fortunately, data center management tools keep a vigil on memory contestation, power, thermal consumption, server health, and utilization, allowing better control no matter your cloud's shape. In this session, learn how Intel software tools enable real-time monitoring and precise management to lower operational costs and optimize infrastructure...
"Calligo is a cloud service provider with data privacy at the heart of what we do. We are a typical Infrastructure as a Service cloud provider but it's been designed around data privacy," explained Julian Box, CEO and co-founder of Calligo, in this SYS-CON.tv interview at 21st Cloud Expo, held Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA.
Isomorphic Software is the global leader in high-end, web-based business applications. We develop, market, and support the SmartClient & Smart GWT HTML5/Ajax platform, combining the productivity and performance of traditional desktop software with the simplicity and reach of the open web. With staff in 10 timezones, Isomorphic provides a global network of services related to our technology, with offerings ranging from turnkey application development to SLA-backed enterprise support. Leadin...
While a hybrid cloud can ease that transition, designing and deploy that hybrid cloud still offers challenges for organizations concerned about lack of available cloud skillsets within their organization. Managed service providers offer a unique opportunity to fill those gaps and get organizations of all sizes on a hybrid cloud that meets their comfort level, while delivering enhanced benefits for cost, efficiency, agility, mobility, and elasticity.
DevOps has long focused on reinventing the SDLC (e.g. with CI/CD, ARA, pipeline automation etc.), while reinvention of IT Ops has lagged. However, new approaches like Site Reliability Engineering, Observability, Containerization, Operations Analytics, and ML/AI are driving a resurgence of IT Ops. In this session our expert panel will focus on how these new ideas are [putting the Ops back in DevOps orbringing modern IT Ops to DevOps].
Darktrace is the world's leading AI company for cyber security. Created by mathematicians from the University of Cambridge, Darktrace's Enterprise Immune System is the first non-consumer application of machine learning to work at scale, across all network types, from physical, virtualized, and cloud, through to IoT and industrial control systems. Installed as a self-configuring cyber defense platform, Darktrace continuously learns what is ‘normal' for all devices and users, updating its understa...
Enterprises are striving to become digital businesses for differentiated innovation and customer-centricity. Traditionally, they focused on digitizing processes and paper workflow. To be a disruptor and compete against new players, they need to gain insight into business data and innovate at scale. Cloud and cognitive technologies can help them leverage hidden data in SAP/ERP systems to fuel their businesses to accelerate digital transformation success.
Concerns about security, downtime and latency, budgets, and general unfamiliarity with cloud technologies continue to create hesitation for many organizations that truly need to be developing a cloud strategy. Hybrid cloud solutions are helping to elevate those concerns by enabling the combination or orchestration of two or more platforms, including on-premise infrastructure, private clouds and/or third-party, public cloud services. This gives organizations more comfort to begin their digital tr...
Most organizations are awash today in data and IT systems, yet they're still struggling mightily to use these invaluable assets to meet the rising demand for new digital solutions and customer experiences that drive innovation and growth. What's lacking are potent and effective ways to rapidly combine together on-premises IT and the numerous commercial clouds that the average organization has in place today into effective new business solutions.
Keeping an application running at scale can be a daunting task. When do you need to add more capacity? Larger databases? Additional servers? These questions get harder as the complexity of your application grows. Microservice based architectures and cloud-based dynamic infrastructures are technologies that help you keep your application running with high availability, even during times of extreme scaling. But real cloud success, at scale, requires much more than a basic lift-and-shift migrati...
David Friend is the co-founder and CEO of Wasabi, the hot cloud storage company that delivers fast, low-cost, and reliable cloud storage. Prior to Wasabi, David co-founded Carbonite, one of the world's leading cloud backup companies. A successful tech entrepreneur for more than 30 years, David got his start at ARP Instruments, a manufacturer of synthesizers for rock bands, where he worked with leading musicians of the day like Stevie Wonder, Pete Townsend of The Who, and Led Zeppelin. David has ...
Darktrace is the world's leading AI company for cyber security. Created by mathematicians from the University of Cambridge, Darktrace's Enterprise Immune System is the first non-consumer application of machine learning to work at scale, across all network types, from physical, virtualized, and cloud, through to IoT and industrial control systems. Installed as a self-configuring cyber defense platform, Darktrace continuously learns what is ‘normal' for all devices and users, updating its understa...
Dion Hinchcliffe is an internationally recognized digital expert, bestselling book author, frequent keynote speaker, analyst, futurist, and transformation expert based in Washington, DC. He is currently Chief Strategy Officer at the industry-leading digital strategy and online community solutions firm, 7Summits.
Addteq is a leader in providing business solutions to Enterprise clients. Addteq has been in the business for more than 10 years. Through the use of DevOps automation, Addteq strives on creating innovative solutions to solve business processes. Clients depend on Addteq to modernize the software delivery process by providing Atlassian solutions, create custom add-ons, conduct training, offer hosting, perform DevOps services, and provide overall support services.