For anyone who is even loosely associated with the corporate sector, technology sector or even entrepreneurship, outsourcing is the buzz word. The effect of globalization has helped minimizing barriers to trade and the advancement in internet and communication technologies have helped bringing the world closer into a closely knitted community. As a result, consumers around the world can now enjoy greater variety of goods at cheaper prices. That being said with greater market exposure comes greater risks.
While it is true that free trade has opened new market avenues for otherwise regional corporate houses, it has also triggered a much more ferocious competition. The current ecosystem of the international corporate world is such that individual firms need to remain into a constant struggle to remain efficient so that they can survive the competition.
Regardless of the industrial sector a firm is operating in, the dependency of the firm on the latest technology cannot be overlooked. Technological prowess is a vital element in achieving sustainable competitive advantage. Investing in sophisticated software, high quality websites and other state of the art technological tools is important for the success of any start up, The problem is that doing everything on your own cannot only increase your costs but can also make you deviate from your real focus.
It is true that outsourcing can help changing your competition game 180 degrees. You can progress by leaps and bounds only making intelligent outsourcing decisions. Outsourcing software development wins extra brownie points because you can outsource the development to any part of the world and get the job done, since software do not have any physical freights involved as such. That said, outsourcing will only be successful if it is done smartly.
As simple as it may sound, software development outsourcing has its fair share of complexities and failure to consider them can result in severe backlash. In case you are considering to outsource software development for your firm, here are a few things you need to know so that you can make an informed and a calculated decision.
Do You Really Need It?
The first question that you need to ask yourself before outsourcing a software development project is that if you even need this software in the first place. Software development comes with a price tag and is considered an investment because you expect it to contribute to your returns in the future. You need to be aware about the cost benefit analysis of this new software. Why exactly do you need this software and how will it contribute to your business growth? Are there any better alternatives available than getting this software developed? Are there any areas pertaining to the development of this new software that you are still ambiguous about.
Are You Aware of the Technology Standards that You Require?
Software development is not as simplistic as it may sound. There are many tiny details involved that you need to take care of before you make a decision to hand it over to a developer. Do you need a website or an application? Do you need it to be mobile responsive? What operating systems are you targeting? These questions are important top answer because they will dictate who you will be outsourcing the project to. You cannot simply hand over the project to a web developer if your main focus is developing an application or if your developer does not know how to optimize a website for the mobile gadgets.
Do Not Ignore Personalized Communication
It can be very tempting to outsource software development projects over virtual networks such as Upwork because it will get the job done at very low costs. However, before you get too overwhelmed and hand over the project in haste, beware that more often than not, software are bound to come up with technical issues where you will require the assistance of the developer. This is why it is extremely important that you include personalized communication in your deal under which the developer should be available to offer you any assistance with regards to the functionality and technicality of the software.
Intellectual Property Rights
This is something really very important. You are paying a hefty amount to a third party to develop a software for you because it is something really important for your business. Since it is something being created exclusively for you, the last thing you would want is losing it to pirates. According to statistics, many South Asian technology hubs such as India have a notorious reputation for using pirated software. Therefore, make sure that you have secured your intellectual property rights as much as possible. It is highly recommended that you seek legal opinion in this regard because you would not want to land yourself in trouble because someone was sold a counterfeit software.