Software development outsourcing is not any new concept. However, it has become a popular choice for several enterprises, small, medium, and large-scale alike due to the countless benefits it offers. Here are 9 such benefits of your software development outsourcing that your business must not miss out on.
1. Business agility with quality
There are two things that every business requires but finds difficult to balance – business agility and software quality. Business agility means the ability of the business to quickly rewire its process according to changing market forces and customer preferences. However, when businesses try to be agile they often end up compromising on the quality of software. This has a long-term impact on productivity since time and resources will have to be spent on fixing the software issues.
An outsourcing software development company can ensure that business agility is achieved without compromising software quality. They put in place well-defined business processes that are optimized for timely deliverables and bug-free code.
2. One-stop destination for everything digital
Any IT project typically requires a team consisting of experts with diverse backgrounds. If you want to build an IoT mobile app, you need programmers, IoT hardware experts, UI/UX designers, and QA professionals who can build the code to life for real-life use.
Assembling a team from scratch is a daunting task since it would require extensive recruitment. Even with an efficient recruitment process finding and managing talent from scattered locations would be difficult. However, when you outsource software development, you can find all the required talent and expertise under one roof. It is a one-stop destination for software development.
3. Bring in experts for specific purposes
In software development, there could be instances when you have an in-house team for several functions but need expert guidance to help the team function better. In software development outsourcing, you can choose to bring in only specific personnel with expertise that you need for the purpose. These experts can help you set the strategic location for software development while helping your in-house team to bring out their maximum efficiency.
4. Universal talent at the disposal
What software development outsourcing does is bring to your table a global team of IT professionals from across the globe. The IT company takes care of building the team with the requisite qualifications and experience while the outsourcing company can reap the benefits of the global team without having to build it themselves. It literally puts universal talent at your disposal.
5. Faster time-to-market
One of the reasons why software development outsourcing has become so popular is that it can deliver large projects within a short period of time. The faster time-to-market is due to the presence of an IT team that can be upscaled and downscaled in accordance with business needs. Also, outsourcing companies work on stringent timelines that help achieve faster time-to-market deliverables.
6. Cost-effective means of IT transformation
For a very long time, IT transformation has been regarded as an expensive undertaking that only enterprises with deep pockets to spare can venture into. However, the fact is IT transformation is a level-playing field for all. Even small-scale businesses with a shoestring budget can achieve IT transformation on a piecemeal basis. They can plan the transformation journey to start small and scale big as the business grows.
And outsourcing is the best way to do that. It requires no extensive investment, does not mandate hiring resources, and certainly does not exert strain on working capital. This makes software development outsourcing a cost-effective means of IT transformation.
7. Strategic partner in digital transformation
Digital transformation has become the war cry of almost every enterprise on the planet today. It helps retune legacy processes for efficiencies, maximize output, explore new revenue channels, and also helps deliver great customer experiences.
However, digital transformation cannot be pulled off with a single partner or project. It requires strategic goal-setting, a long-term approach, and also the involvement of external parties who will have vested interests in the growth of the company. These are traits that perfectly suit an outsourcing company.
8. Access to the latest tech stack
An outsourcing engagement is not a long-term relationship, although it can be made into one. It is a contract entered into for the short-term spanning a year or couple of years. When it is time for the organization to venture into the latest tech stack, it is easy to find a new outsourcing partner and shift their operations without skipping a beat. This gives access to the latest tech stack without the need to hire and manage in-house resources.
9. Flexible engagement models
IT outsourcing offers several engagement models, like:
- Fixed cost – where the entire project is expected to be completed for a fixed cost determined and agreed at the beginning of the project.
- BOT (Build, Operate, and Transfer) – the engagement model where the outsourcing agency undertakes the design, build, and implementation of the IT projects, operates for a fixed time to recover specific costs, and hands over the project to the organization.
- Time and material – where the IT outsourcing company bills the client for the time and material consumed for the project
- Managed services – where the services of a specific nature agreed by both the parties are carried out for a definite period of time.
These models ensure that your business can choose the right engagement model that suits your needs and not follow a rigid model that other businesses follow.
Given these 9 benefits and several others, it is logical that your business opts to outsource IT transformation projects.
Looking for an outsourcing partner for your IT project. Talk to our experts.