7 Reasons to Outsource Software Development

Software Development

Time equals money and the speed at which this time is used equals outcome. Start-ups these days have to be agile and quick to adapt to changing time, trends and technology. 

A great example would be the Covid-19 pandemic, many start-ups had to quickly adapt to remote working (work from home) and revisit how they function as a team and how processes will roll out. 

With all this going on, the core team has several things to juggle, from developing the product, marketing, channeling sales and also looking after the team. 

One of the biggest advantages start-ups have today is technology at their fingertips which can minimise redundant tasks, automate day to day tasks, making it easier for you to just focus on your core business goals. 

Although technology may be a great solution, one of the biggest a start-up may face is bandwidth. While your IT team has to spend dedicated time to improve your product, maintain existing systems and keep everything up and running to ensure customer experience remains smooth. 

Furthermore, you may be a team who is still swimming through endless drives, excel sheets and waterfalls of emails for various queries, requests and problems. No matter organised an inbox maybe, there are always high chances of important emails slipping through the cracks. 

The right solution may be: expanding your team to take on tasks. However, you have to bear in mind that a new hire requires training and the HR management is eating away at your time and budget, diverting more and more resources from the actual work.

So, lets say, you’ve tried to get on top of it — you’ve experimented with free task management apps and subscribed to CRMs, ERPs, CPQs — but you are still not particularly close to getting the functionality you need. 

It’s time for a more efficient approach – outsourcing.

Outsourcing software development will allow you to focus on growing your business while lowering your time to market. Your product will remain in capable, trustworthy, professional hands and you can focus on running your business. It’s a key step to helping your business take off in a quicker time-span at better quality. 

Outsourcing to an expert team of reliable professionals will help you unload some of the burden of project management off your shoulders and give your existing IT team to focus on the core developmental needs of your business. 

Here are some benefits of outsourcing Software Development: 

1. Cost Savings

When it comes to outsourcing, a startup can reap benefits in 2 major ways. 

To begin with, let’s consider the cost of hiring an in-house expert from a specific background of expertise. The hiring of a new employee includes: the annual salary, benefits like health insurance, cost of recruiting and the time spent onboarding and training the new employee. 

In the process of onboarding and training, a new employee may take upto 2-3 months to get acquainted and be fully up to speed. Furthermore, existing employees will have to invest separate time to train the new recruit, in turn, there is a loss of productivity from other team members’.

By outsourcing your development team, you can avoid all the challenges and hurdles of the recruitment process. You end up paying less in the longer run as you as a company would pay on project bases vs the annual salary of a full-time employee. 

Outsourcing also allows you to seek out vendors whose team of developers are based in different parts of the world, less expensive parts of the world. For example, if you are a company based out of San Francisco, you can consider outsourcing to teams in countries like India. 

Rather than having to pay average, entry-level employees a wage that covers for the cost and standard of living in San Francisco, you can pay a vendor rate that covers living expenses for expert developers who live in regions with lower cost of living.   

2. Removing Human Resources from the Equation

When you outsource software development projects, the vendor is responsible for:  recruitment and training of their team, you do not have to invest time and face a loss of   productivity due to unexpected sick days, list postings on online job portals, follow up and filter applicants, conduct several rounds of interviews and worry about finding the  absolute best applicant. 

With the right vendor partnership, you can rest assured that all of those things are taken care of, and you’ve got a quality team working to help you achieve your goals.

3. Project Management and Planning

Project management and planning are exhaustive and need dedicated time and effort. This time eats into your higher-level strategy, vision and goal of the product. 

Finding vendors and outsourcing the project will take the logistics off your plate, you won’t need to invest time in employing industry-standard project management processes and engineering methods. 

The vendor, being a dedicated team, would already have fine-tuned to perfection in their specialized environment. 

4. On-Demand Scalability

When a project starts, it’s sometimes hard to predict some of the obstacles that may come your way, timelines and resources required for that project. 

In some scenarios, a team may have an unexpected load of work and you have to manage and juggle your resources around to make sure all hands are on deck. 

The other scenario may be – you’ve over allocated time and resources and the result is employees sitting around taking home a salary for it. 

This is where a third party vendor can solve for you. You can scale your project on demand, adding (or removing) team members to adjust capacity and service structure as needed.

5. Renewed Time & Resources for the Core Business

By finding a quality vendor who you can trust, you can rest assured that your team is invested in your business, building the software solutions you need to achieve and exceed your goals for revenue, brand reputation and growth.

With all logistical headaches out the way, it also frees up your time and allows you to focus on your core business. 

6. Specific, Relevant Expertise

Technology in today’s world is changing rapidly. With various new innovations, programming languages and development tools. 

While you may have an in-house developer who’s a whiz at Full-stack, if a new project requires a different sort of framework, you and your team will be at loss. 

Outsourcing your software development projects will allow you to bank on software solutions that aren’t limited to what your engineers can do — instead, they’re built exactly to suit your needs and specifications.

Vendors can be chosen based on the technology they use and how relevant it may be for you. Once you have the right vendor, they will handle and know the latest languages, frameworks and development tools.

They will also be able to give you insight and feedback on what may work best of all  for your project.

Many companies sometimes make the mistake of investing in unnecessary software or training. 

Instead, if you hire a team that already has the tools, resources, and skills on-hand. This reduces your costs, overhead, and startup time.

7. Staying Competitive

Outsourcing is becoming more and more common and popular for both start-ups and giants like Google and Microsoft. 

Every company is looking to get the best industry standards, but hiring experts full-time comes at a premium. 

Outsourcing allows businesses of all sizes to stay competitive by contracting work out to the most qualified talent so they can invest their money elsewhere. 

Whether it’s a mobile app for your customers, connecting a product to the Internet of Things, or streamlining your back-office processes with a custom ERP – outsourcing 

custom software solutions will enable your organization to save time, money, and hassle, focusing on the big picture and trusting the execution to the experts.

To stay up to date with the world, keep your product in line with changing trends and technology, as mentioned earlier, one has to be able to adapt rapidly. Outsourcing gives you the bandwidth to do this and lets you focus on just your core business. 

Explore more on: Why It’s The Right Time to Outsource Technology Talents

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