5 Reasons Why Companies Choose To Outsource Software Development
Will you find one a use-case?
Foreword
Is globalization really a thing today?
A recent crisis here, in Europe, shows that companies are looking for ways of smart cost optimization. IT outsourcing has proven to be an important tool in this strategy, so anyone who’s on that path should consider it.
Are you the one? Great.
Accounting for the aforementioned, we need to concentrate on having the necessary flexibility and tools to remain timely and efficient in meeting all customer’s needs.
This article will walk you through the exact reasons why companies choose to outsource software development today.
On the spot
The 5 main reasons why companies choose to outsource software development are:
1) Smart cost optimization
2) Connecting to a global talent pool
3) Enhancing workload management through decreasing micromanagement
4) Focusing on core competencies
5) The assurances procured
If you want to learn more about each as well as to read the success stories of our Clients who outsourced to us for exactly these reasons — read on!
What Do Companies Outsource?
Outsourcing is a driving force of progress that allows companies to get a desired result on chosen terms. We will be talking specifically about IT outsourcing but there's also a lot of other applicable areas:
- Customer development;
- software development;
- software engineering;
- customer success;
- customer support;
- marketing;
5 Solid Reasons Why Companies Choose to Outsource Software Development
1. Smart cost optimization
This is a strategy.
There’s a lot of challenges in the world. A present crisis is the brightest example.
And we work with those who, understanding this, use these times to get better than others and offer superior services.
This strategy is not only the optimization of expenses, it’s also the understanding of how to do it.
And we have a plan on how to help our Clients become better in this respect. For example, we offer a program of cutting costs on big data and configuring a data warehouse.
It’s no secret that Eastern Europe is one of the top choices for IT outsourcing because of a similar service model to that in the West where quality doesn’t suffer. And there’s a demand for this, especially in a crisis.
Capitalizing on opportunities
2. Connecting to a global talent pool
If a company can’t fill the desired positions, work slows down since a team can’t achieve the expected outcomes. IT outsourcing prevents businesses from dealing with such issues as now they are open to a drastically greater tech talent community, literally from all over the world.
SENLA can help you avoid the risk of not closing the desired positions locally or spending way too much time on it. Our 650+ meticulously nurtured experts in 13 industries grant that. You will be able to close skill gaps effortlessly, risk-free and lightning-fast.
Another common reason why companies choose to outsource their IT is because they need professional assistance in some specific areas (e.g. rolling out big data analytics that account for fintech peculiarities). These areas require specialized skills and knowledge that may not be widely represented on a company’s local market.
Again, SENLA can save the day for you here. Rich expert tech talent is what makes our living, so we eagerly perfect and diversify it to encompass as many Clients’ requests as possible. So, when you decide to go with outsourcing, there are much higher chances for you to find what you’re looking for.
Going global
That’s how We4G, an Israeli Telecom company, increased its visibility and competitiveness in the crowded Telecom sector. They reached out to SENLA for the experts that could create a custom banking option and did not lose.
We developed a secure platform for We4G’s customers to transact, which offered the company a competitive edge and thus a new stream of revenue.
3. Enhancing workload management through decreasing micromanagement
There’s a special way of work organization at our company — the SENLA Unit.
It is a project pod that includes a senior developer, several middle developers and one or several junior developers.
A senior expert sets up and oversees internal processes in the team, manages daily routine, communicates with a Client, determines a future solution’s architecture and performs quality control.
Middle-level developers are fully self-sufficient experts who can accomplish any development tasks on their own.
We also add one or more junior developers to the pod so that they could learn, practice and grow in a safe and predictable environment. Seeing how their impact counts also helps them keep high motivation levels.
Throughout our 10+ years of operation, we figured this to be the most efficient way of organizing project teams.
4. Focusing on core competencies
A company’s core competencies are what define it and distinguish it in the market. The quality in which staff performs these tasks is essential to a business’ success.
Training and onboarding new employees for in-house software development can be time-consuming and a company may not be willing to shift effort and focus out of the strategic tasks that much. This is the reason why many of them prefer to outsource these activities.
This frees their staff’s precious time to focus on what’s the most important, ensuring they meet the business’s goals and expectations and increase firm-wide productivity.
Focusing on what matters
That’s how Bosch, a global manufacturer of home appliances, outsourced software engineering to us to implement an automatic vendor assessment system. The decision brought them a working solution way faster and more reasonably priced so that they could start successfully prioritizing their core tasks of producing top-notch products as soon as possible.
5. The assurances procured
Organizations have to bear many risks associated with software development: properly utilizing budget, fitting into the timeframes, delivering on promised functionality, applying the right tech talent — this is just a short list of them.
This is why, understanding this, we’ve come up with a unique offer on the market. SENLA has been insuring all its project work since inception, thus emphasizing our quality, our reputation.