How to Avoid Mistakes When Outsourcing

How to Avoid Mistakes When Outsourcing

When there is a need for software development, outsourcing becomes a great option due to its convincing benefits. The most noticeable of them are the following:

  • cost-effectiveness (especially when you outsource to the country with the lower rates than in your own)
  • expertise (you can get a team with the skills and experience that you lack in-house)
  • saving time on hiring in-house engineers (no need to search for particular specialists)

Along with the advantages, outsourcing keeps a number of tricky moments that can result in low effectiveness or even spoil all the work. In this blog post, we will take a look at these potential mistakes and find out how to avoid them.

Top 5 Problems of Outsourcing: How to Avoid

The largest problem is the fear to outsource after reading a lot about negative cases. Keeping in mind only outsourcing failures without analyzing the reasons that led to them might result in missing the opportunity to get the significant advantages of outsourcing we mentioned above. That is why we decided to highlight the top 5 most popular mistakes and to show you how to avoid them.

Cost above all

Since the lower price is one of the main benefits of outsourcing software development, the cost will always matter when choosing a vendor. But it definitely should not be the only or the main factor to determine your final decision. Otherwise, there is a risk to get poor quality software (read: hidden costs of correcting mistakes or simply a bad product).

The advice here is to have a thorough selection process that would include the following steps:

  • perform vendor market analysis
  • reviewing the company’s related cases and relevant expertise
  • checking the developer’s skills while interviewing them
  • getting feedback from the company’s previous customers
  • and the hourly rates, of course

Unclear Vision and Requirements

The quality of the result directly depends on the quality of the technical task. Even though a tech-savvy and experienced development team is capable of creating effective applications, they are not magicians or mind-readers. To get exactly what you want, you have to set clear requirements and explain in detail what product do you need. This task is much easier when you actually have a clear vision and requirements.

Poor Communication

The lack of regular and effective communication is one more reason for failed outsourcing projects. In order to communicate regularly, you have to ensure that your outsourcing team speaks English and has the opportunity to participate in daily meetings. In case the outsourcing company is located in another country or even continent you should bear in mind that there will be a couple of over-lapping hours. And to make the communication process effective, the meetings should be focused and you always have to be involved so that all the concerns could be resolved right away.

One more advice here is to note how fast the company answers at the beginning of your communication (before any agreements are signed) and what channels it uses for communication.

Poor communication is one more reason for failed outsourcing.

Unrealistic Expectations

Once again, developers are not wizards: they cannot create a complex and robust software in two days. It is obvious that you want your product to reach the market as soon as possible but demanding too sophisticated functionality while setting extreme deadlines might result in launching a raw and bugged solution, the postponed launch, or even no launch at all.

This mistake is usually made by businesses that have no experience in working with the IT sector and software development. We would recommend learning about the development time and cost of the projects which are similar to yours as well as asking professionals for analysis-based advice.

Cultural Misfit and No Team Spirit

These factors could seem a minor problem but being ignored they can affect the working process a lot. Knowing English is not enough to set good relations and create a productive atmosphere. We advise learning more about the country of your potential partner, as sometimes the differences in cultural traditions and mentality can beat even the best team building techniques. Speaking of that, team spirit is important because while the developers work on your project, they are also a part of your company and should feel involved and appreciated. Try to find an opportunity to meet at least key team members in real life, share your corporate philosophy, and provide additional bonuses when they are well-deserved.

Summary

Summing up, here is a small jotting of what to take into consideration when choosing an outsourcing software development company:

Factors to consider when choosing an outsourcing company: related cases and experience, technical expertise, hourly rates, mentality and cultural differences, timezones and location, communication manners

Conclusion

Taking into account the main benefits and problems of outsourcing software development, we think that it is still the most inexpensive and time-saving way to get a high-quality product. Of course, if you know how to avoid at least the most common risks involved in outsourcing.

At SCAND, we do not only create custom software but also help every our client to keep the communication and development process as effective and transparent as possible. We provide a choice of several engagement models so that you could find the one fitting your company’s goals and budget. Do not hesitate to contact us and start developing great products together!