Top 5 tips for productively outsourcing custom software development

1st February, 2010 - Posted by Rob - 1 Comment

There is no doubt that offshore custom software development is a very profitable business proposition. Nevertheless, outsourcing is not without the usual hitches – communication issues, time zone differences, cross-cultural differences, to name a few. But the advantages of outsourcing far outweigh these minor glitches which can be further minimized through careful planning, working out clear communication channels and by seeking active co-operation from both sides.

Here are 5 useful tips that can help you in successfully outsourcing custom software development from India.

1. Find the right fit when you are choosing an outsourcing service provider:

Every project has its own unique goals, methodology and time plan. Choose an Indian software outsourcing company that can do absolute justice to this particular project. Look to see if the company has the experience and expertise to deliver quality software that caters to your needs. If you are looking at a Java-based software and if the service provider has no past experience with java programming, look elsewhere. You don’t want to waste your time and money to get a bad, unusable product. Also check with the previous clients of the outsourcing firm to find out about the quality of service and the company’s ability to deliver products in time.

2. Clearly define your needs and expectations:

Your outsourcing partner may genuinely try to cater your every need. However, his perception of your needs and expectations may vary from yours. This may result in dissatisfaction at both ends. To avoid these issues, you can clearly state the scope and the schedule of the project and your expectations from it, early on. When you provide information, be specific, accurate and realistic. Also, state clearly the deliverables that you expect from your outsourcing partner.

3. Work on building clear communication channels:

Communication is clearly the lifeblood of successful outsourcing. Work to put a proper communication model in place. The management team from the client’s side should regularly interact with the off-shore development team in order to clear up any discrepancies at the earliest. This saves a lot of time and avoids wastage of resources. Regular teleconferencing, videoconferencing, chats and face-to-face interactions can help clear up issues as they arise and improve productivity and accelerate the custom software development process.

4. Don’t make cost the only deciding factor:

The prime reason to look for an outsourcing partner is the cost factor. But remember; don’t let cost be the only deciding factor when choosing an off-shore custom software development company. Such a decision usually backfires. The most inexpensive vendor most probably cuts margins by hiring less efficient people or cutting back on key resources, which in turn would reflect on the quality of the end-product. Look for a vendor who has the right resources, the right background and partner with him, even if he costs a little more. This way, you can get better service and better software that will more than make up for the expenses you incur, right now.

5. Understand the cultural/time differences:

Plan ahead keeping in mind the holidays and vacation schedules in both countries. In the United States, the Christmas vacation would be a bad time to schedule major activities and mid-November would be a bad time to visit your outsourcing company in India, as Diwali festival is celebrated at that time. Also, the difference in time zones should be effectively managed when meetings or presentations are arranged, in order to ensure smoother flow of information.

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