8 Steps That Make a Difference in Software Development Outsourcing

When talking about outsourcing software development services, there are several opportunities to create advantages for your own project, such as

• Access to specialized skills
• Cost savings
• Faster time-to-market
• Scalability
• Reduced risks
• Reduced management burden
• Learning opportunities.

If you want to be successful with a third party in your organization, we recommend you follow these 8 winning steps:

1. Know what you want
2. Find the right match
3. Communication is key
4. Get the legal issues straight
5. Take a breath
6. Be clear and flexible about project management
7. Check your progress - or have it checked
8. Prepare for internationalization.

But first, let us clarify the term outsourcing: According to Techtarget, outsourcing is "a business practice in which a company hires a third party to perform tasks, handle operations, or provide services for the company". This sounds simple - but honestly, it is not that simple.

Outsourcing software development services can also involve risks that project or company managers fear:

• Communication challenges
• Quality control
• Security concerns
• Loss of control
• Lack of transparency
• Resistance from internal teams.

With the market at approximately $430 billion and growing, chances are your company has already outsourced or at least considered it. However, working with external service providers can be both rewarding and challenging. To ensure a successful outsourcing experience, it is essential to have a well-defined approach and a clear checklist. In this article, we provide a comprehensive checklist to follow when outsourcing programming services. By following these guidelines, you can maximize the benefits of outsourcing while minimizing potential risks.

Know What You Want - Define Project Scope and Requirements

Before reaching out to external service providers, it is critical to establish a detailed project scope and define your requirements. Clearly outline the objectives, deliverables, and timelines of the project. This will help you identify the specific skills and expertise you need from your outsourcing partner. A well-defined project scope also makes it easier to compare service providers and select the one that best meets your needs. Sometimes, bringing in a consultant can be the right idea to get a clear definition of what is needed and what is nice to have.

Finding the Right Match - Research and Select the Right Service Provider

Conduct thorough research to identify potential outsourcing partners with a strong track record and positive customer reviews. Look for companies that have experience with projects similar to yours and the technical expertise you need. Consider factors such as team size, communication capabilities, and ability to scale to meet your project needs. Request portfolios and case studies to evaluate their past work and determine if they can meet your quality standards. Here are a few things you can look for in a partner before you even contact them:

• Company size
• Level of experience
• Scope of work
• References
• Tech stack
• Reputation
• Pricing.

Unfortunately, we are not in a position to suggest what is best for you. Depending on your project and budget, you will have to decide who you want to talk to at this point. However, it is always worth contacting us to get a comparable and realistic quote.

Communication is Key - Communicate Expectations Clearly

Effective communication is the cornerstone of successful outsourcing projects. Most failed projects are due to 4 communication problems: Different mindsets, language barriers, number of communicators, quality and quantity of communication. Establish clear communication channels from the beginning and ensure that both teams are comfortable with the chosen communication tools and frequency. Clearly communicate your expectations for project updates, progress reports, and milestone achievements. Maintaining open and transparent communication will foster a collaborative environment and build trust between your team and the external service provider. How do we handle communication at Cayas Software? There is a project manager who is the point of contact for our client. In addition, we involve our top management in every project to ensure quality management.

Clarify legal issues - develop a comprehensive contract

A well-drafted contract is essential to protect the interests of both parties. Outline the project scope, deliverables, deadlines, payment terms, and any additional agreements in a detailed and legally binding contract. Clearly define ownership of intellectual property, confidentiality clauses, and anything else that is important to you and your organization. Engaging legal counsel to review the contract can provide additional assurance and avoid potential disputes in the future. Callzilla has a greatoutsourcing contract guide with best practices.

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Breathe - Take Your Time

During the onboarding phase, everyone is excited and eager to get started. But making sure everyone is up to speed is one of six important things to consider when outsourcing IT services, according to Forbes. There is one simple rule: Take your time early so you can work faster. At Cayas, we dive deep into the product to make sure every pain point is addressed before we start. This is something we have learned over the past 12 years of coding for our clients.

Be Clear and Flexible on Project Management - Set Milestones and Progress Checkpoints

Break the project into manageable milestones with specific deadlines. Regularly scheduled progress checkpoints allow you to track the development process and identify potential problems early on. These milestones also provide an opportunity to assess the quality of deliverables and make any necessary adjustments to the project plan. Transparency in tracking progress helps ensure that the project stays on track and meets its deadlines. At Cayas, for example, in addition to presenting the results of the last sprint, we offer monthly or quarterly meetings (depending on the size of the project) to discuss progress and challenges that have been met or that lie ahead.

Even with a well-defined project plan, changes may be required due to unforeseen circumstances or evolving business needs. Be prepared to accommodate changes and maintain a flexible approach throughout the development process. Collaborate with your outsourcing partner to find solutions and avoid rigid adherence to initial requirements. This is why at Cayas we work with sprints, but also with regular meetings to discuss project parameters, which we believe is critical to the outsourcing progress.

Check your Progress – or Have it Checked - Quality Assurance and Testing

Implement a robust quality assurance and testing process throughout the project development lifecycle. Clearly communicate your quality standards to the outsourcing partner and involve them in the testing process. Conduct regular code reviews to ensure that all code adheres to best practices and coding standards. Thorough testing reduces the likelihood of errors and glitches, and ensures a high-quality end product. But remember: Quality assurance can never be a one-person job.

Prepare for Internationalization - Address Cultural and Time Zone Differences

Working with external service providers often means working across different time zones and cultural backgrounds. Embrace these differences and find ways to leverage them for the benefit of the project. Respect cultural nuances and establish appropriate communication times that accommodate both teams' work schedules. At Cayas, we are flexible enough to deal with all kinds of time and language barriers when working for clients who want to outsource their projects in a different time zone. In general, it is quite interesting to work with European agencies as they are both 9 hours from Melbourne and 9 hours from San Francisco. This gives you the opportunity to make sure that you can have meetings as well as check ups on the completed work without "sleep-overs" between work progress.

Conclusion

Outsourcing programming services can be a game changer for companies, but it requires careful planning and execution. By following this checklist, you can ensure a successful outsourcing experience with external service providers. Define your project scope, select the right partner, maintain effective communication, and prioritize quality assurance. Embrace flexibility and cultural diversity while keeping an eye on progress. By doing so, you can unlock the full potential of outsourcing and efficiently achieve your project goals. Driven by skills shortages, IT outsourcing is becoming more attractive to companies. We have already shown why integrating external experts into your organization is almost inevitable in the future.

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