An increasing number of businesses are outsourcing software development requirements to any reliable bespoke software development company in the UK. This provides businesses with several benefits, not limited to reduced costs and a leather talent pool and resources.
While having an offshore team gives you a commanding lead over the competition, it’s not without its challenges. If you are currently looking to partner with an offshore product development company, there are several factors and checks you need to go over. This brings down the chances of facing any hurdles or obstacles along your journey.
10 Tips for Avoiding Failure in Offshore Outsourcing:
- Create a clear strategy with a strong understanding of fundamental objectives:
Nothing succeeds without a plan, especially in business. You need to have a strong understanding of the goals you aim to achieve through outsourcing. This could mean round-the-clock customer support, talent acquisition, reducing costs, generating higher value or establishing your brand in the market. Without a clear singular objective, it’s hard to find the right direction to proceed for your business.
- Accept and familiarise yourself with outsourcing as a whole:
Most of the failures in outsourcing attempts happen as a result of lack of trust, biases about the offshore country, job insecurity, communication gaps, cultural differences and several other factors. Before you can choose an offshore product development company to partner with, make sure you and your team have overcome any internal resistance or issues regarding outsourcing. Change is not easy and adds new challenges. But working towards one objective as partners can change that mindset.
- Evaluate the vendor and their capabilities:
While choosing a vendor to outsource your business needs to, you must ensure by the end that you have built the competency required for your enterprise. This includes factors like skill set, domain knowledge, business background, quality control processes, response time, pricing plan, data confidentiality and security, employee retention plans,
- Ensure it’s a joint effort:
As a business looking to succeed through project outsourcing, you need a partner that shares your passion to see your project succeed. Engage your outsourcing partners by creating a team for joint migration. Engage every stakeholder directly in this process, including heads of various business teams, managers, key customers etc. When everyone is on the same page, there’s a greater chance of commitment and goal alignment.
- Have a work transition strategy:
This is a good opportunity for business enterprises to re-evaluate the internal processes, tools etc they use. Offshore product development companies generally have seasoned internal processes and a deep understanding of new tools, methods and technologies. Sometimes it seems easier to reinvent your working style entirely. But you must evaluate whether it works better to do that or to make smaller fixes to your existing processes.
- Knowledge sharing beyond workshops and training:
Offshore development outsourcing cannot succeed without a strategic and intentional transfer of knowledge among all the parties involved. You cannot throw a volume of data at your partner and hope they give you all the answers you need. Instead, invest in practices like introductory hand-holding, onsite exposure and other induction sessions that go beyond a mere training or workshop experience.
- Enough time to learn about your business:
An offshore product development company is technically sound and an expert in multiple industries. However, it will take time for them to understand the business aspect, especially your business idea. Internal teams have acquired this business and domain knowledge after months or years of working with the same customers, sales teams, markets etc. Make sure you leave enough buffer room for your offshore partner during the initial days.
- Incentivise your offshore development team:
Generate incentives to encourage your offshore team to work towards achieving your business goals. These incentives could vary from award programs and bonuses to team dinners and tokens. Some people value money, while others value recognition for their work. Make sure your incentives are a mix of monetary and acknowledging incentives.
Change is synonymous with challenges. To succeed in your outsourcing attempts, make sure you choose the right offshore product development company to work with. No matter which new avenue you wish to explore for your business, challenges will come your way. But in the end, the benefits outweigh the risks.