Hire Offshore Software IT Outsoucing Company

Hire Offshore Software IT Outsoucing Company

In todays world of technology, idea of growing business online is coming out as a boom. Having an online website improves visibility of your organization. For a business owner, Outsourcing Company will help you out to have an edge over your antagonist. Also, offshore IT outsourcing proves out to a reason for cutting business operation costs.

If you are a technocrat, best thing to go for is Software Outsourcing. There are many services catered by IT outsourcing companies like accounting, finance, benefit administration, payroll management, data processing, analytics, information technology and researches, about which you do not have to spare extra time and cost. Aftermath of this is, you can expect your employees to devour time in managing their task; in-turn enhancing productivity in your workplace.

Software outsourcing company will provide you with experience and knowledge you crave for successful completion of your project. Outsourcing company asuures that quality product is been delievered, which is indeed fit for widespread usage and consumption. Also they ensures that the ully debugged and duly checked for errors and bugs.

Issues those come into consideration while offshore IT outsourcing and begs a need of concern are:

Data Protection And Privacy: Companies seeking to outsource should assess the robustness of the IT infrastructure of their foreign supplier to determine the degree of security and privacy it offers to shared data. Furthermore, its better to adjudge the network security policy of the software outsourcing company to avoid any privacy issues later.

Legal Implication: Before opting for Software Outsourcing, ake into consideration the legal aspects of outsourcing in that particular region. Laws those come into action while outsourcing are intellectual property rights such as technology patents, copyrights, designs, trademarks etc. A prior arbitration regarding the choice of law governing the contract. An assurance should be provided from the outsourcing company that they abide by the prevailing laws and is transparent during audit.

Project Risks: Factors like time zone differences, language and cultural issues, training put impact on communication between two parties, which may lead to mismanagement. To ensure a successful project delivery risk related to technology transfer, service level, quality check and project life-cycle management should be evaluated beforehand.

People Management: Manpower and resources, attrition level and its management, the quality and experience of the offshore team should be evaluated before handling the project. Team working on project must be well acquainted with the newest technology and should also be expertise in their field.

Risk factors in offshore software development

1. Exposure of trade secrets
2. Deficiency of staff proximity
3. Difficulty to oversee remote management
4. Communication and cultural barrier
5. Increasing labour costs

Benefits for opting offshore IT and software outsourcing:

  • Delivery of project according to user’s need.
  • Significant reduction in development time and cost.
  • Employment of highly skilled and proffessional technocrats.
  • Periodic updates.
  • Less project related risk.

Globalization and liberalization are major factors that play role for booming of offshore outsourcing. Outsourcing leads to cost reduction, increase in productivity, diverse and abundant resource pool. Need for highly skilled and dedicated developers and competition in IT and ITES industry lead to more wieghtage of offshore IT outsourcing.

Source: TOPAIX
CATEGORY: Useful Articles
  • Martha Skavronsky

    IMHO major limiting factors of an offshore software development are not mentioned, and they are:
    - lower productivity of individual contributors, especially in countries that undergo economic boom, and experiencing high employee turnover and deficit of skilled labor
    - significantly lower time to market. A product that can be developed in weeks by a bunch of skilled on-shore developers takes months if delegated offshore; and the quality is often questionable
    - layers and layers of supervisors who have no clue about technology and business domain

    According to the stats of a major US high-tech company it costs roughly
    - 200 000 to have a developer in US
    - 60 000 in China
    - 40 000 in India

    But it is still more efficient to hire a team in US if one takes into account the difference in productivity and need for additional overhead. Let alone time to market and future maintenance costs.

    As for China, it doesn’t make sense to outsource there because of high employee turnover making it impossible to invest in training.

    People, wake up! Offshore labor is not free any more. Let’s rebuild our own countries. Bring the best people on-shore through work visas if you didn’t find anyone locally.

  • http://www.miraclegroup.com it software development

    I my opinion a good research must be done before approaching any Outsourcing Company and keeping in mind the risks and benefits one must approach further.

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