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8 Reasons Why Your Startup Should Choose Software Development Outsourcing

Despite the many debates on the viability of software development outsourcing as a business strategy, the 21St century has seen a massive increase in the IT offshoring market size. A report from Statista states that over the past year, the Software development outsourcing market amounted to $66.52 billion.

With such a large number to its credit, is software development outsourcing just another fad, or is it an opportunity worth taking advantage of, especially in your startup's first few years?

Some of the obvious advantages of outsourcing software development are eliminating the need for office space, setting up infrastructure to support development, and hiring, training, and remunerating an in-house team. But these advantages are merely surface level. The actual core is a lot deeper.

In my experience, choosing Software development outsourcing can be a make or break situation for a startup. In this article, I have touched upon 8 reasons you as a startup should outsource software development. So without further ado, let's get into it.

1.Access to deeply knowledgeable and experienced resources

Software development outsourcing is a brilliant way for startups to compensate for lack of internal resources, allowing the business team to focus on core tasks. With software development outsourcing, all your startup needs is a product idea. Outsourcing offers immediate access to a complete suite of services covering consulting, marketing, analytics, design, and development.

With software development outsourcing, you can convey your project specifics, type, and budget to the outsourcing partner and directly proceed to development in strict adherence to the above facets. You could also choose to have your outsourcing partner create a minimum viable product (MVP) and then analyze and interpret the data it yields to develop your final product in alignment with what the market needs.

2. Access to the best tech talents across the globe

When you start to outsource its software development tasks, the acquisition of talent is no longer limited by geo-location. Your primary hiring criteria can now seamlessly shift to skillsets and professionalism from your team's proximity to your worksite.
With a little bit of groundwork, such as browsing a potential outsourcing partner's portfolio, checking testimonials, client feedback, reviews, and testing products delivered by the company, you can very easily find a team that is a good fit for your project needs.

With outsourcing, your startup gains access to an immensely deep pool of world-class development talent to optimally create your envisioned product.

3.A perfect balance of skills and rates

Software development outsourcing can offer your startup the opportunity to strike the perfect balance between development capabilities and development rates. Given the broad geographic reach afforded by outsourcing, you can acquire teams from software development outsourcing hubs like India or Eastern Europe, where the cost of living is a lot lesser, resulting in considerably lower development costs.

India ranks high on the list of the best value for money outsourcing locations, and you can rest assured that you will receive quality service and world-class end product with an optimal balance of expertise, creativity, functionality, and cost.

4.Ability to gather the best professional team

Hiring a fully functional in-house team can throw you off schedule quite severely. As a startup looking to launch a product successfully, not only do you need developers to write code for your project or DevOps to deploy it, you also need proficient business analysts, designers, QA professionals, and so on.
If your project requires specialized skills such as VR or AI, finding such experts will be an extremely time and resource-intensive task. With software development outsourcing, you can redirect your time and resources to your product's actual building.

An ideal software development partner will come pre-fitted with a complete team with the skill sets mentioned above. On the off-chance that additional resources are required, the development partner can quickly recruit known, vetted, and trustworthy professionals from their repertoire of outside experts. At the project planning stage, the project manager at the outsourcing company can propose team compositions aligned to your startup's needs and draft an approximation of the time required from each outsourced collaborator.

5.No micromanagement required

Upon outsourcing your project to a development partner, the entire process is overseen and managed by a dedicated project manager. It is the PM's responsibility to take care of all matters during the SDLC and be the main point of contact for resolving issues that may arise.

Your software development outsourcing partner will ideally introduce you to your PM in the very first stage of development. Once the project plan and estimate are approved, the responsibility for keeping on schedule, budget, and quality falls upon the PM. With tried and tested development methodologies to manage the development teams, the PM plans sprints, sets deadlines, controls schedule, delivery, and feature demos while offering you the chance to make suggestions or changes; Actions that you can be assured will be taken.

6.Effective inter-team communication

Effective communication is integral to efficient collaboration. An ideal outsourcing partner will come equipped with the latest tools and platforms required for lucid communication, thus almost eliminating the need for spending time and efforts on building a collaborative environment.

Software development outsourcing companies sport cross-functional teams to work together, resulting in high-quality output delivered in the fastest and most effective manner.

7.Application of the Agile methodology

Lean development is critical to software development by a startup as it minimizes unnecessary expenses, correctional tasks arising from flawed management, ineffective communication, project complexity, and poor coordination.

Almost every capable software outsourcing development company today follows the agile methodology to achieve the lean-approach. In the agile model, product development is broken into sprints where each sprint has an objective termed the product increment. The product increment is usually a feature, or functional component tested and demonstrated to you once the sprint has ended.

The agile methodology allows ample breathing room for revision and iterative development on the go to effectively adapt to changing requirements reducing the need to re-work completed components.

8.Easy scalability

During the SDLC, your project's scope might fluctuate, resulting in changes that need immediate implementation. Scalability in teams, both up and down, is, therefore, an imperative. In contrast, with software development outsourcing teams having such scalability in an in-house team is not possible.

In the case of an in-house team, finding additional team members with the required skillsets, especially when the team is stretched out already, can be difficult. Reducing team size is also an issue as dismissing people can affect team morale. It also means that you have to keep paying salaries to keep them on board for future projects.

In Summation

From user-facing applications to enterprise software solving everyday functional and operational challenges for your startup, every business needs a hyper-aligned team to bring its vision to fruition.

Make sure to approach your search for an outsourcing partner with clarity about your scope, technical pre-requisites, and skillset demands from the very beginning.

Outsourcing software development can help your startup overcome scalability issues, need for micromanagement, and even offer you a massive talent pool to choose from. Today, numerous startups hold software development outsourcing as a go to practise to reap benefits of cost, time and resource allocation, and in my experience, so should you.

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