Pros and Cons of Software Outsourcing

When saving outsourcing software development costs meets the risk of entrusting an outsider with your business, you feel like you’re wading through muddy waters. 

Resorting to the services of software outsourcing can seem like a great idea. And it usually is, provided you’re aware of the advantages of outsourcing in general.


But if you’re informed about the process, then you’re prepared for it. Whether you are the owner of a business, a responsible top manager or a dedicated employee — you want the business to thrive.

Pros of Software Outsourcing

1. Saving time

Which makes your business processes easier to handle. One of the main advantages of hiring an outsourcing company is that, unlike most of the in-house teams, it usually meets deadlines.

2. Cutting costs

Software development outsourcing is not necessarily cheap, but it is usually cheaper than buying your own equipment, hiring additional staff, and getting an office for them to work in. Fulfilling your business goals and reducing financial input at the same time sounds like a dream come true.

3. Getting a fresh perspective

The ability to get a fresh pair of eyes is always a great idea — and what about a dozen pairs of fresh eyes? Letting someone from the outside overview your business may expose you to unexpected messages, innovation, and talent.

4. Reevaluating the in-house staff

Even if the nature of the project in no way correlates with the nature of your in-house employees’ work, the fact that you seek help from the outside usually boosts your staff’s morale. It makes them work better and giving them the time to dedicate their effort to the things that matter most.

5. Targetting what matters

Once you try outsourcing, you may decide to downsize your business or reconfigure it, for instance. Or you can dedicate yourself entirely to the future, namely, to developing strategic core tasks. Letting someone else carry the “burden” of developing your software means you can focus on other things — content, marketing, distribution, service, etc.

Cons of Software Outsourcing

1. Issues of communication

Outsourcing lets you hire the developer from any country on the planet. It sounds exciting, and does have lots of benefits of outsourcing, but, if handled incorrectly, can bring along mixed messages, cross-cultural misunderstandings, deadline shifts, and other circumstances you’d rather avoid.

2. Issues of adaptation

This interaction involves a lot of new, unknown things for both of you. You have to realize that the moment the outsourcing developer starts working on your project, there will be a period of adjustment. Be realistic and get yourself ready for the adaptation phase – then there won’t be a reason to panic. There may even be a time when you’d think that going outsourcing was a bad idea and the project is in danger.

3. Issues of risk

The fact that your control options are in a way limited, and you are never quite sure about the result, may seem like the software outsourcing may put your business in jeopardy. The core values and principles, the strategy, the database — there is a lot of information you share with the outsourcing developer. However, finding an ISO certified outsourcing team can alleviate nearly all of these concerns.

Avoiding Risks

The key here is to find a qualified and customer-obsessed outsourcing company. Although the “cons” of software outsourcing may seem like a dealbreaker, there are real ways to avoid the risks and pitfalls.

1. Choose from many – pick a few

What you’re looking for, obviously, are the companies with good reviews, with cases and projects similar to yours. Make a list of companies you liked or companies that at least look like trustworthy and experienced.

Take a look at company ratings like Clutch.co, SoftwareWorld, and the Better Business Bureau. Start spreading the news among everybody you know in IT. Get as many recommendations as possible.

2. Target the one you like

Whatever the outsourcing developer you choose, you should get all the information about it you can find. If possible – get to know about its current agenda. Also, get feedback from its previous clients. Check its portfolio – usually, it’s all presented on the company’s site.
  • Get to know the cultural aspects that predetermine your future cooperation: though nowadays it seems like there are no borders left in the business world, there are still some sensitive spots you should be aware of.
  • If possible, meet the representatives of the company in person, at least once.
  • Make sure the company is financially stable – one way to judge that is to watch how the company promotes itself.
  • Make sure that the company has a good reputation on the market – take some reviews from people you really trust.
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