To outsource or not to outsource? If you are an entrepreneur, you likely have asked yourself that question at least once. In this article, we take a closer look at the bright and dark sides of IT project outsourcing to provide you with a big picture.
Outsourcing has become a norm across various industries, which use it to cover a changing demand for competencies quickly and efficiently. In recent years, we have seen a real boom in the outsourcing market in the areas of customer service, content reviewing, and research, among others.
IT project outsourcing is also blooming as digitalization is gaining momentum across industries, forcing companies to invest in new digital products for internal and external use. It is known to have various advantages, but some entrepreneurs remain hesitant to adopt it, having acknowledged the potential risks. In the following paragraphs, we will try to balance its pros and cons, preparing you for a potential IT project outsourcing collaboration. Being conscious of them, you will be able to make the most of such!
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Outsourcing IT development – Pros
Let’s start on a positive note, listing the bright sides of IT project outsourcing – and there are many!
1. Cost Efficiency
Outsourcing offers much more flexibility than hiring employees, as you can adjust their coverage to the current demand without having to deal with all the formalities. Whichever model you choose – team augmentation or dedicated team – you can count on this benefit.
You won’t spend money on sustaining vacancies that are not sustainable at the moment and staying fully flexible, which is essential in the current unstable market environment. If you outsource technical support from APEX Call Centers in the USA, you also gain the advantage of servicing your Spanish-speaking customers, thereby opening up a broader market.
2. Time Efficiency
Recruitment is always a time-consuming process, especially when it comes to IT, and time is so scarce nowadays! Outsourcing allows you to save it as you pass the whole process of acquiring employees and completing the team to the hands of an external company.
You don’t need to worry whether your internal HR team has enough IT expertise to distinguish the promising candidates.
3. Resource Efficiency
With outsourcing, your internal team can focus on their primary activity. External specialists have the skills you need for a particular project, but once they leave, the value they brought in stays within your internal team. Its members grow and learn during such a cooperation, expanding your future expertise.
Plus, if you choose end-to-end development with a dedicated team, you don’t need to invest in training resources and tools required for a particular IT project.
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Outsourcing Software Projects – Cons
Outsourcing is not all roses – as in the case of every service, there are more problematic aspects you should be conscious of. Here are some things to have in mind.
1. Less Control
If you pass the work to the hands of an external dedicated team, you’ll always have less control over the project than when you carry it out on your own – it’s inevitable. Fortunately, software houses usually try their best to keep all the stakeholders on the same page, as it’s in everyone’s best interest.
Nevertheless, if this project is your “baby”, have this aspect in mind.
2. Consistency Issues
Team extension is a model in which your internal and external teams join forces to deliver results together. Although the members of the latter are carefully picked to match the competencies demand, project methodology, and company culture, you should have in mind that it takes some time to sync.
Although it has some flaws, outsourcing is a perfect solution for companies that want to cut time to market and save their own resources while maximizing their chances of succeeding. We hope our article helped you decide whether it’s the right solution for you.
