What’s Outsource Development?

Outsource development is a process when a business delegates certain aspects of product creation to third-party vendors. Usually, an outsourced software company is qualified and experienced enough to help you deal with specific tasks better than your in-house team. The lack of skillful workers is one of the main issues standing in the way of achieving goals. It is especially critical for small businesses and startups that may not have in-house developers at all. However, the solution is rather simple: companies that use outsourcing can stand out from the crowd and collaborate with professionals cost-effectively. Feeling inspired? Continue reading to discover the advantages of outsourcing services and how they can take your business to the next level.

Why Does An Outsourced Development Team Benefit The Business?

Nowadays, the number of small businesses and startups that outsource is constantly growing. Why is it so? Because when you cannot find an employee with the necessary skills and qualifications, your business loses money and time. Though, outsourced business development can help you change the situation. Let’s find out its benefits. Lower development costs Hiring professional developers requires considerable spending on their salaries. This may be extremely harmful to small businesses and startups that are creating their products from scratch. On the other hand, working with outsourcing teams can reduce costs significantly. Firstly, you don’t need to rent an office, provide technology and set up infrastructure for outsourced developers. Secondly, you can delegate tasks to professionals throughout the world. This is especially important because the countries in Eastern Europe are known for their talented professionals who set comparatively low prices. Thirdly, you can partner with an outsourcing provider right at the first stages of startup development, which helps reduce the market price of the technology and make it more competitive. Access to profound knowledge and experience Applying outsourced business solutions allows you to work with a team of experts from different fields. Because of this, your employees will be able to focus on their main competencies, while all other aspects of development are delegated. This allows you to become more flexible and free the company’s staff from secondary tasks to keep the focus on product quality and long-term goals. The IT market is constantly changing. Sometimes startups need specialized skills that in-house employees may not have. In such a situation, it is better to work with outsourcing providers or a freelance developer to fill the gap and solve the problem quickly. Another advantage of this solution is that your main criterion is no longer the location of the worker. You can choose people from all over the globe based on their professionalism. Ability to create the minimum viable product If you have a prospective idea and the passion to change the world, the last thing you want to do is to gather a development team. Finding professionals in various fields can be rather time-consuming and frustrating. However, there are plenty of successful outsourcing examples when businesses launched an MVP (Minimum Viable Product) in the shortest terms. This is because collaborating with an outsourcing software development company allows you to come up with a strong idea and delegate the most complex tasks. Usually, in such cases, the project managers are able to give you a clear understanding of how much time the development will require. Moreover, you can start by delivering only the MVP and improve it according to the needs of the target audience. No necessity for micromanagement Firstly, communication with an outsourced development firm is usually more effective than within an in-house team. The only people you need to deal with are the project managers. They schedule meetings, set deadlines, build workflows and distribute responsibilities across the outsourced team. You can always get in touch with a project manager to discuss any issues and make changes to the budget planning. Secondly, people often work in one outsourced software company for years. Because of this, it is easier for them to achieve consensus and complete their tasks more effectively. And if there are problems, project managers can quickly replace one employee with another, as they know the experience and specialization of all team members. Easy scalability and reduced risk Working with outsourcing companies allows startups to scale with ease. In case you want to increase the number of features, managers can hire more people to work on your product. On the other hand, if you aim to reduce the development budget, they can make the team smaller and assign a few employees to other projects. It would be difficult to organize such a workflow with an in-house team, as you’d have to hire and fire people every time you need a specific skill. Also, outsourcing providers have enough experience and knowledge to foresee issues the product may have and solve them during the development work. It allows startups to deliver clear-cut technology at once and avoid fixing errors in the future. In such a way, your product becomes more well-defined and competitive to attract more potential users.

How To Choose A Top Outsourcing Company?

Deciding who to delegate product creation to is one of the main concerns for startup founders. In this section, we’ll cover how to successfully outsource software development and what aspects to pay attention to when collaborating with external experts. 1. Check the company's experience The most critical when choosing your virtual assistants for product creation is to check their proficiency. You can discuss previous projects the outsourced IT companies worked on. Then, analyze the performance of those businesses, make sure you like their developments and ask for testimonials. Experience in your niche is also an enormous advantage. When considering outsourcing examples of the companies, find out more about their specialization. There are plenty of outsourcing types, so if the business provides both full-stack development and particular services, it’s more flexible and can adjust its workflow to your needs. 2. Discover more about their reputation, values, and goals Look through the company’s social media, website, and blog. With all these owned media , you can make sure that its expertise and reputation are strong enough. Find out more about the values of the company, as you should clearly understand what kind of people you will outsource the part of your startup to. A clear understanding of your goals is one more important point. Whether you are focused on lead generation or building long-term relations with a few B2B clients — a top outsourcing company should keep this in mind and create a product based on your needs. Remember that one or a few consultations before starting the work will positively influence the further development process. 3. Discuss the budget and workflow at once Soft skills are also critical to successful collaboration. Pay attention to how managers of the outsourcing provider communicate with you. Talk about the peculiarities of the workflow and build a strategy: how often there will be meetings and feedback sessions, and what you will do if there are urgent tasks. Your partner company should be flexible enough to deal with all the changes. The budget is one of the main aspects startup founders consider while choosing the best outsourcing companies. Discuss all your needs, spending, and the opportunity to reduce or scale the budget if the situation changes before signing the contract. Remember that proficient developers cost more, but you won't spend money on refinements and debugging in the future.

Startups

Building your own startup is a tricky process. You may not know where to start or how to make it successful. In our tech startup blog, LITSLINK’s experts with years of expertise can help you with it by giving valuable pieces of advice and various examples.

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