Your goals for outsourcing
If you’re already engaged in an outsourcing arrangement or considering outsourcing your software projects – let’s just talk about your goals for outsourcing! Just like any business decision, it’s important to realize the rationale, so you make the right decision and measure the success of the outcome.
There are no wrong reasons for why you outsource… the typical reasons we hear are:
- Reduce costs or Cost Savings
- Get it done faster
- Try out an idea or develop a Proof of Concept (POC)
- Have elasticity with staffing levels
- Farm out non-core work
- Expand team for larger capacity quickly
- It’s just a small job!
Any of these objectives above can be achieved locally where the business resides… may be with varying degrees of difficulty; but accomplishable! At a higher cost than what’s expected from an outsourcing arrangement. So, in reality – no matter what the stated objective is for your business to outsource, undeniably “reduced costs or cost savings” is at the center of it!
Now that we’re clear on why a business outsources, how do you go about having a successful outsourcing engagement? Asking the below questions and doing a deep dive to explore answers – help you understand the landscape much clearer, and will lead you to a better decision:
- What is the cost of “reduced costs”?
- What other “indirect costs” you may encounter?
- What skills you should be looking for in the outsourcing developers and the vendor?
- How do you choose the right vendor for outsourcing?
- What skills your organization needs to be successful in an outsourced engagement?
- Should this be entirely “cost-based” engagement or should you be looking for any other “value”?
- What kind of relationship you should be looking for with the outsourcing vendor?
This site is put together for you to make better decisions with outsourcing by understanding the complexities and intricacies of the models. You’ll quickly realize and appreciate that transparency and candor are foundations for these articles. I encourage you to explore this site, be equipped with the facts that you’ll not find anywhere else – before you make (or readjust) your outsourcing decisions.