In this article, we will explore what outsourcing is, specifically in the field of software development and technologies. We will discuss its advantages, disadvantages and what companies need to consider to effectively outsource software development services.
A brief definition:
Outsourcing is the process of hiring companies or people outside the company, who specialize in a specific subject. It is used as a business strategy when companies, for various reasons, cannot perform certain tasks. It is important not to confuse the term “outsourcing” with “vertical integration”.
Advantages of outsourcing:
- Lower Costs: Outsourced companies provide services at a lower cost than it would cost to perform them internally.
- Speed in deliveries: Outsourcing companies gain time because they save the entire project management process from the learning curve of new technologies, hiring, equipment acquisition, licenses, etc. Generally, the outsourced companies already have all these processes advanced.
- Experience: Outsourcing can provide better quality products or processes due to the technical expertise and human talent available to perform specific tasks.
- Legal Aspects: Companies can explore new areas to diversify their revenues or improve their current products without incurring legal action due to changes in the corporate name.
- Focus: Contractors can concentrate on the core business and take advantage of outsourcing to clear the way and focus on the essentials.
- Ongoing Support: Good contracting will provide support and warranty for the products developed.
Disadvantages:
- Risks: Choosing an inappropriate service provider can affect the company’s image.
- Hiring unethical companies: There is a risk of hiring unethical companies. It is crucial to define from the beginning of the contracting process all the legal implications that may arise before, during and after the provision of the service.
How to outsource effectively?
- Define a list of selection criteria, such as costs, technologies to be used and work methodologies that best suit your company.
- Research the company: check their website, news, and reviews, analyze their social networks, evaluate their regulatory compliance, and public records to find irregularities and identify scam companies.
- Meet with their representatives to get a more direct impression and ask specific questions about their operations and business practices.
- These assurances and backing are essential to have peace of mind that you are working with a reliable partner committed to quality and project success.
How to find reliable companies in the market?
There are several platforms in the market that list outsourcing companies and offer guarantees on the services they provide such as SoftwareOutsourcing.
We invite you to explore Cloudnonic as one of the leading outsourcing companies with a focus on Cloud and AI technologies. Cloudnonic offers worldwide coverage thanks to its ability to communicate in several languages, including English, German, Spanish and French.
Here is an example of a successful project: EKOM
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