Software outsourcing development is one of the most powerful and effective business strategies for companies and big firms without much time or resources needed to complete a project in-house.
Though there are numerous benefits of outsourcing software development still some companies may be hesitant to follow it because of some of the risks that can be involved.
Given below is a list of the most common mistakes in outsourcing or risks that companies usually make.
Also, some best practices are discussed to help avoid pitfalls that can cost your business time and funds.
1. Rushing Into It
You should not make any kind rush in the decision-making process while choosing software outsourcing services. Though it might take some time, it is very essential to do a profound research in order to get quality software development to meet your requirements and expectations.
Do not necessarily select the very first vendor that you find. Also, compare different available options and select the service provider with the utmost experience and whose expertise and skills will help you accomplish your goals.
2. Poor Communication
Communication between teams is important and essential for successful offshore outsourcing. While regular and effective communication can be tough when there are geographical barriers. But there are different ways to conquer this challenge.
For instance, professional development teams utilize many tools for daily communication with clients. By setting a process of consistent and steady communication, offshore teams can work like as if they are working in the same office as the partners or clients.
3. Forgetting Data Security Aspects
This is usually a major concern for companies when considering outsourcing. Ensure that the outsourcing service provider you work with takes the work of security very critical and also give details of your requirements and evidently indicate confidential materials. Plus, they should be given a perfect IP protection record and safe database.
Moreover, they must agree to sign proper legal protection documents, for instance, non-disclosure agreements. You must follow these IT sourcing best practices to make sure IP protection.
4. Focusing on price rather than value
There is no doubt that outsourcing is a cost-effective and affordable solution, but it is advisable for companies to focus on the value and the end product that the service provider delivers.
Many companies or organizations that outsource IT resources are mainly concerned with getting the cheapest hourly rate without seeing the main picture.
Think about the overall picture like you are getting low rates for a huge team of junior developers with less experience, or are you paying a higher rate for a small team of more experienced and professional developers?