How to Choose the Right Software Development Outsourcing Company?

Table of Contents

    Introduction:

    Imagine you are operating in a cluttered market, where every minute is crucial. With the competition increasing, you need to make sure your releases touch the market before others. 

    Collaborating with a software development company has become crucial in this aspect. They can help you stay relevant while rolling out your new application or upgrade faster. 

    57% of businesses use software development outsourcing to cut down on traditional development costs. 49% have mentioned they have shifted to outsourcing to gain new capabilities for their business. 

    At a time when the IT outsourcing market is estimated to reach $812 billion by 2029, it is indeed an important arm for growth. 

    Software Development Outsourcing Partner

    However, you must have a good software development outsourcing partner with the right mindset working on your projects. This can help deliver the highest standard, and ensure the best technical skills on the job.

    Moreover, they should be aligned with your goals, innovation needs and business culture. If the collaboration is seamless, you can release incredible products before time into the market. 

    This article will help you choose a good software development outsourcing partner by helping understand the key elements to make the choice. 

    What is Software Development Outsourcing?

    Picture this- you want to build a mobile productivity application. However, you don’t have the strength and infrastructure to build it within the timeline you have defined. 

    How do you resolve this issue? You can connect with a software development company, experienced with handling mobile app development and deployment.

    Software development outsourcing is when you hire external resources to work on the software project, allowing you some time to manage your time and core jobs. 

    In this case, the external team would be responsible for managing the resources and handling the entire project. They would be using their infrastructure to complete the entire project. 

    The Key Features

    1. Project-based outsourcing allows businesses to hire external resources to manage a particular project or task that the business needs.
    2. Dedicated development allows your business to hire a specific team of resources to work exclusively on the project. This dedicated team will become an extension of your in-house resource.
    3. Using the staff augmentation feature, you can add more people to your existing team with the skills and expertise that your team is missing. 

    Benefits of Outsourcing 

    Outsourcing is an excellent way of staying relevant and delivering your projects on time. Here are all the benefits of outsourcing software development for the business.

    Benefits of Outsourcing

    1. Cost-effective Option: When you outsource the project, you eliminate the hiring, training and maintenance costs. This would allow you to save some money on the job.
    2. Access to Experts: Whether you want an AI expert or someone to manage your analytics reporting work, you will find an expert from the talent pool. You can ensure there is a compromise on the resources.
    3. Easy to Scale: It is easy to scale the resources up or down using the software development outsourcing approach. You can easily add people or remove them from your team.
    4. Focus on the Core: As the team is no longer working on things that can take up their time, they can devote it to completing the core jobs. The primary line of business will grow as a result of outsourcing. 
    5. Accelerate Time-to-market: With outsourcing, businesses can ensure a quicker launch of the product into the market. This would help them get to the audience before the competition. 

    This strategic decision to outsource software development can help you access the latest technologies, innovate faster and use the company’s expertise. It can help you adapt to the changing market conditions flawlessly. 

    The Software Development Outsourcing Process - An Overview

    There is a defined process on how you can outsource software development. The process is divided into several phases/stages. This can help you accomplish individual project goals.

    Software Development Outsourcing Process

    #1. Understanding Project Requirements

    In this process, your team will work on defining the project scope, objectives and requirements. you need to understand why you are planning the software solution. This is the stage where you will determine the goals and objectives you aim to achieve with the project.

    For instance, you might want to increase the visibility of your brand with the mobile app. You may be looking at an increase in conversions with the project.

    At the same time, you should work on defining the budget and timeline for the same. Lastly, make sure to include the success metrics. 

    #2. Select the Outsourcing Partner

    Looking for a good outsourcing partner is crucial. You must take the most important steps when going through it. Researching the market and identifying potential partners could become your first step.

    Similarly, assessing their portfolio and checking for relevant projects can help know if they can produce results for your business. When selecting a software development partner, you must evaluate their technical skills as well.

    It is equally crucial to look for cultural fit and collaboration when finding the project partner. 

    #3. Engagement Model and Negotiation

    Finding a suitable engagement model is crucial before finalizing the contract. You must decide if you want to hire software developers on an hourly basis or as a dedicated team. You can also use a project-based outsourcing model.

    Once your engagement model is defined, you can draw a contract that includes the scope, deliverables and other details. Make sure you have a consensus on all the matters you will include in the contract. 

    #4. Planning and Kickoff

    This is the most crucial part of the outsourcing process is planning and the kickoff meeting. Here, all the stakeholders present will draw the most comprehensive plan for the tasks, milestones and deadlines. They will be presenting the responsibilities across the different teams and members.

    It is the stage where a detailed discussion on the resource and budget allocation is conducted. The stakeholders will cross-collaborate to define the software development tools and technologies needed to pull the project. 

    Lastly, there should be a defined communication plan, which will allow the business teams to stay updated about the progress. It can also help the software development company overcome any issues they may face while developing the project. 

    #5. Development and Deployment

    This outsourcing phase is related to building the code, processing the design into an actual product and iterating the entire philosophy to release high-quality solutions. It is during this phase that they conduct regular check-ins, sprint reviews and progress reports. 

    The idea is to conduct detailed testing and follow quality assurance protocols. This can help identify the issues in the early stages. 

    Once the development phase is done, the software developer will work on the final testing, training, optimization and deployment. Integrations are also a part of the deployment phase. Once the deployment is done, the developer will continuously work on improving the product.

    #6. Maintenance and Support

    This is the final phase of the outsourcing. During this phase, the company will focus on improving and upgrading the product. They will enhance the features and offer continuous support towards updates. They will also resolve any technical issues you might be facing.  

    Benefits of Choosing a Good Partner

    Benefits of Choosing a Good Partner

    By now you have understood the importance of outsourcing the software project to a development company. Let’s look at why you must choose a software development company that is aligned with your philosophy. 

    #1. Cost Efficient Services

    When you outsource to a software development agency, you reduce the cost of investing in a proper infrastructure. Moreover, you don’t need to hire or train the employees. By saving these overhead costs, you can reduce your software development budget tremendously. 

    Moreover, outsourcing to a country with a competitive hiring rate can also help you save some money on the projects. You can get high-quality solutions at a reasonable rate. 

    #2. Access Global Talent

    With the blurring geographical boundaries owing to the Internet, you no longer need to compromise on the developer’s talent and experience. you can choose someone who specialises in a particular technology. For instance, if you want an AI expert, then you can look for the best within the budget.

    This allows you to overcome the scarcity you may be facing in your region. Moreover, you don’t need to settle down on the talent you need. 

    Along with access to a diverse pool, you also get to work with reputed technologies. Moreover, they will also use cutting-edge solutions and best practices to develop the solution. 

    #3. Scalability and Flexibility

    When you hire a good company to manage your software project, you can easily increase or reduce the resources needed at the hour. In this case, you don’t need to hire resources permanently for your team. They will be available as per the requirements.

    This reduction in long-term commitment can help you manage the resources flexibly. Moreover, this can also help you adapt to the changing project scope. You can also stay relevant to the changing requirements and conditions. It is also helpful in ensuring agility and staying competitive. 

    #4. Problem-solving Capabilities

    As they are good at their work, they know your needs perfectly. This allows them to identify the issues you might be facing and how to overcome them best.

    For example, an experienced team can look at the issue and identify the solution for the case. They would know if you need to go with native or cross-platform. They can judge the best way to reuse the components as well.

    This can increase your project outcomes immensely. Their abilities can help you stay at the top of the competition. 

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    #5. Risk Mitigation Abilities

    A software development project has a high chance of running into delays and increased costs. This can cause more issues for the business teams. Delays can make the competition go ahead of your business, and make you the follower.

    If you don’t want to face this situation, you might want to partner with a good outsourcing team. They would be able to assess the potential risks associated with the software project. This could include milestone issues, scope creep and others.

    As a result, you can easily determine the risk mitigation strategies and survive the multiple issues. Their contractual guarantee on milestones and timelines can also help you reduce the risks. 

    #6. Fosters Innovation

    When you work with a good software development team, you can gain access to multiple perspectives. This would help you build on your idea and foster innovative solutions. This also allows you to think more creatively.

    As the core focus shifts from actual development to best practices, better solutions and user-centric products, it is easier to innovate for the businesses.

     As a result, you are more likely to stay ahead of the competition and be relevant in the business scenario.

    #7. High-Quality Outputs

    The software development team is responsible for the quality assurance and software development standards. They will work hard to meet these standards and ensure good product outcomes.

    Moreover, the development team is involved in developing and deploying the best products. As a result, they will use the feedback and tech advancements to improve the product. 

    #8. Long Term Support

    You get to enjoy a good and reliable relationship with the software development partner. It will help in developing the support and fulfil the maintenance needs. they will help keep the software functional and up-to-date. 

    They will also help with a collaborative relationship that can help in building a stronger relationship between the development agency and the business teams. This can help further the solution in the long run.

    Top Tips to Choose a Good Software Development Partner

    We have seen the multiple benefits of choosing a good software development partner for the business. Let’s look at the top tips to choose a software development partner.

    Tips to Choose a Good Software Development Partner

    Understanding the Outsourcing Needs

    The first step to a successful outsourcing is knowing your software requirements. Question yourself- why do you want to outsource the project?

    Think through the answers. Do you wish to reduce the project cost? Is your in-house team strength less compared to your needs? Is your competition eyeing the same position in the market?

    These answers would help you determine your outsourcing goals, objectives and scope. You must always have a detailed requirement guide for the outsourcing team to follow before you begin working with them. 

    This work outline will save you from facing scope creep in the future. 

    Research the Partners

    How to choose a software development partner? Simple answer- research. This is the most interesting part of your search journey. You need to look for strong candidates with a capable background and an equally sound portfolio. This is a good way to look for reliability while searching for a stable partnership.

    Market research (online and recommendations) can help you get started with finding the right partner. However, the list may be endless. This is where you need to shortlist the candidates and find someone that meets your work culture and requirements perfectly. 

    Assess Communication

    Communication is integral to a strong partnership. You must ensure your software development partner follows the rules of effective communication and has the right tools.

    Moreover, in case of language barrier, they should take proper measures for better understanding and collaboration. This will include getting interpreters and mediators for the job.

    Moreover, you must look for a more responsive team. They are more likely to be prompt with their replies. Moreover, they can handle the inquiries efficiently and satisfy you with the right answers. 

    If you feel they are not too prompt or cannot communicate properly, you may want to invest elsewhere. 

    Review the Projects

    If you have shortlisted a few candidates and are unsure who to choose, you may look at their portfolio. It is a great place to start assessing the team’s capabilities. You would know the diversity of projects they have worked on during their active years.

    You can also look for details by reading their case studies. This would give you an insight into their problem-solving capabilities and creative abilities. You will know how they maximised the project outcomes using their differentiated method. 

    Development Process Evaluation

    Every development company has a different approach towards software development. They may follow the traditional process or go with modern methodology. They could treat the development using Agile methodology.

    The development process must be aligned with your style and goals. It should also meet your ultimate purpose of developing the application. Along with the development process, you should also study their quality assurance methods. What are some of the methodologies they include to ensure a bug-free release? 

    Legal and Compliance Considerations

    When hiring a software development company for mobile app development, you should review the contract terms. Make sure to look into the scope, deliverables and timelines. You must also assess the payment terms mentioned in the contract.

    At the same time, you should also ensure there is clear mention of the intellectual property agreements and ownership rights on the document. Lastly, make sure you both are clear about the regulatory compliances to follow while planning the development. 

    When legal and compliance terms are clear, you can stay out of any type of hassles. 

    Interviews and Site Visits

    It is crucial to know your team and understand their capabilities. Assessing their expertise and communication skills is equally vital. That’s why before you even begin working, a site visit is a good idea. You can look into their culture and work environment. 

    At the same time, you will get a good understanding of how they work and complete the tasks assigned. 

    Experience and Expertise

    When assessing the software development company, it is crucial to produce a testament of their work. Along with the portfolio, it is crucial to look at their expertise and experience. 

    Have they worked in your industry? Have they handled projects that are similar to yours? Do they have relevant skills and knowledge?

    At the same time, you must also study what new things they can offer to your business. These answers will help you determine if the company is fit for you. 

    Feedback

    An understanding of what the users think of the company is equally important. Look at their testimonials to check how they completed projects for the client. At the same time, look at the reviews and ratings received by them. this will help gauge their understanding.

    At the same time, you must request the company for references, which can help you understand if it is worth signing with them. 

    Final Terms

    It is important to be clear about the milestones, deliverables and payment conditions. The contract should be crystal clear between you and the software development company.

    You must also have a properly defined payment condition that can help you reflect on the progress and decide on the performance.

    In case the partnership cannot go further, you should have an exit strategy to help you move out. 

    Continuous Monitoring

    It is crucial to continuously monitor the progress of the project. You should set up a point of contact that can help you get regular progress reports and understand the goals of the business. you should also have a method to measure the key performance indices for the job. Lastly, have a feedback loop that can help you get maximum input from the customers. 

    Why is ManekTech the right Software Development Outsourcing Partner?

    ManekTech is a leading software development company that has endless capabilities and an efficient team. There are multiple reasons why this company stands out as an outsourcing partner. 

    1. Their years of experience combined with industry knowledge have helped them accomplish successful projects over the years. 
    2. They have been heading diverse projects that require different problem-solving abilities. This showcases they can innovate and further the business in multiple ways
    3. Their agile methodology combined with their understanding of the market allows them to help businesses adapt to different conditions. 
    4. They have a smooth and responsive communication system that can ensure identifying and resolving performance bottlenecks. 

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    Conclusion

    Software development outsourcing is a great way to accomplish your project goals without burdening your in-house team. It is also a good way to collaborate with experts to translate your vision into software.

    However, choosing the right software development outsourcing team is key to a successful foundation. They can help you further innovation and deliver high-quality products. For this purpose, you must research well, identify their strengths and assess their abilities. It is equally important to look at the reviews and ratings before proceeding with them.

    ManekTech is a leading software development outsourcing company with an unmatched team and top-notch infrastructure. If you wish to build on a strong idea with external resources, our team will back your project. Hire dedicated developers from our company to build a strong and reliable product.

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    About Author

    Manektech Team

    Milan Shah

    Chief Technical Officer

    Milan Shah is Chief Technical Officer at ManekTech, having 18+ years experience in .Net department and technical expertise with increasing leadership responsibility. Having an experience of business processes of various Domains like, Online ticket booking Industry, Law-Firm Industry and Transport & Logistics.

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