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The functioning of businesses has been completely changed with the advent of new advanced technologies and the glottalization. Outsourcing IT requirements to offshore locations is a very common phenomena and almost all business and organizations outsource some or the other part of their requirements to offshore locations. Obviously there are many benefits of outsourcing projects to offshore vendors rather than in-house development of solutions which makes this business engagement model so popular.
However, apart from many advantages there are also some risks associated with offshore web development. It is very important that project managers and business analysts evaluate all the risks associated with it before starting the development of solutions. Offshore web development scores higher than in-house development of solutions in following aspects:
Total Cost Of Development: It is a well known fact that the cost of getting solutions developed by an offshore service provider is always significantly lower than in-house development of solutions. Clients do not have to pay for developing and infrastructure setup for development center and the equipments that are required to be installed there. Further, the cost of hiring full time resources and maintaining them is very costly. However, there are certain extra expenses that might come along with offshore vendors also. These expenses include the cost for transferring the software, clarification of legal aspects and so on. It is very important that business analysts should properly evaluate each option before they outsource web development requirements in order to ensure positive ROI.
Expert Resources With Special Skills: It happens very commonly that clients require resources with some special skills and experience over a particular technology while developing solutions on their own. Their developers and employees lack the knowledge and experience of these technologies. Clients should avoid hiring new resources and training them as it will be just a waste of time and money. The better option would be to outsource a part or whole project to an offshore vendor. The arrangement is very reasonable if you require the experienced resource for one project only.
The Risk Factor: In-house development of solutions is always a risky affair due to high chances of project failure. As most of the businesses and organizations are not core it businesses therefore they lack the experience of developing, managing and completing a web solution. Further, they also fall short of skilled resources for the job. These resources can always be hired but managing them might be a problem if you don’t have the experience.
Time And Resource To Focus On Core Business Activities: As mentioned in the above point, most of the organizations don’t have IT and software development as their core business functions. These organizations can greatly benefit by outsourcing their web development requirements to offshore specialists as it will give them more time and resources to focus on their core business activities. Thus, clients can benefit in both the core business processes and software development requirements if they outsource web development projects to an experienced and well reputed offshore service provider.
It is also important to understand that there are some projects and requirements that are better completed in-house whereas there are others which are required to be outsourced to skilled specialists. Clients must evaluate the requirements and properly decide whether they want to outsource the project or not.