Today a lot of companies make decisions to outsource their companies software development/ business processes to near shore or off shore. There are wide range of reasons why companies decide to outsource and the most common among them are lower labor cost and high quality service, access to talent that can’t be found inside the country, chances to enter new markets and leverage better opportunities.
Outsourcing helps companies to allocate their resources on key business functions inside their company delegating all IT or other related responsibilities to their partners offshore. Choosing outsourcing company is not an easy task. First you must plan your strategy and decide what functions of your company you want to outsource, then make a list of outsourcing companies that might interest you, contact each of them, make due diligence and at the end choose the best among them that will eventually become your business partner and maximize your company’s success.
Here are five tips that will help you to choose a software development company for your business:
1. Experience in the same industry as your business
When choosing a software development company for your business, pay attention to company’s experience in the same sector and same geographical area where your business operates. The software vendor who is aware of the market and challenges you may face is more likely to come up with a right solution for your business. In addition, companies who previously had experience in your geographical area are already familiar with the business culture and work ethics of your country which will make it easy to do business together on day to day bases.
2. Project Management
In order to ensure effective collaboration between stakeholders and the development team, Software Development Companies should follow a defined project management methodology (Agile or Waterfall) in order to build strong cooperation between stakeholders and the development team so that customers can be involved in the development process and track the progress of the project.
Communication is one of the most important parts when choosing an outsourced software development company. You are going to work with developers who operate in different time zones than you do, use technical vocabulary more often than business one, adding to these the language barriers that you may face makes it critical to make sure that quality of communication both in management and methodology level is high so that your questions are answered and pitfalls and risks because of miscommunication are minimized.
3. Technical Ability and expertise
The software development company that you choose for your project is going to become your partner and a unit that solves your IT problems, so we strongly encourage you to visit your service provider, get acquainted with the technologies they use, see if they have necessary equipment for completing your project. Pay attention on team’s technical ability and domain expertise so that they can transfer your business requirements into a working software that will satisfy your customers. Of course as a stakeholder you want team members who are motivated in building your product so keep in mind to be open and share your company’s objectives with the developers so they can see your vision and be enthusiastic in developing your product.
4. References from previous customers
Very often businesses that are going to choose a software development company only hear about the completed projects and the range of services that the company has provided to its customers, so besides trusting the word of mouth ask for references from the vendor’s previous clients. From these references you can learn how reliable the company is, the work ethic they follow and the ability of the team to meet expected deadlines. It would also be good if you contact those customers and talk to them directly about the quality of service provided by the team in order to make better decisions for long-term partnership with the selected company.
Business is all about people and it relates to software development as well. Look at the leadership, what kind of values do they share, do they encourage their employees for personal growth and development? Look at the teams, are they winning and high-performing teams that can solve any problems for your business? Honesty and integrity are the key points that you should pay attention to when contracting a company because a technical talent that gives the best solutions to your requirements but lacks in human relation side may bring your business to trouble. Company websites, social network pages can give you a rough picture about the culture inside the company, relationships established between the employees and happiness they share working in that company.
Choosing a software development company for your enterprise can take time and a lot of planning. Do not hurry, consider your options very carefully, evaluate you results, decide for yourself what are the most important characteristics you want to see in your vendor company to become your long term business partner and last but not least trust your gut when making final decision J