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11 June 2008
Advantages of Outsourcing
To a layman, outsourcing would seem like a waste of time and money, as well as an unneeded complication. After all, why send business abroad when the work can probably be done better right at home? To a politician, the issue of outsourcing serves as a fortified objection to taking jobs away from ‘our own countrymen’. Sympathy towards this issue may elicit a few votes, but nothing more.

04 June 2008
Needs for IT outsourcing
IT companies spend countless amount of days and hours developing various kinds of software for their clients. The global organizations today have become more sophisticated and they need to develop complex systems, elevate their economic growth, increase the competitiveness and enhance their performance. These organizations range from banks, financial institutions, airlines, engineering and government agencies. Because of this, they need a lot of capital and people to handle the growing tasks for different types of softwares that is needed for the company.

31 May 2008
Outsourcing and Offshoring are Loaded Terms
To outsource or not - it's a serious business decision. But the problem is that words carry baggage, and none more so than the word 'outsource'.

 

New Downloads

30 March 2007
Eugene Goland, Tom Grubb, Patricia Fisher -Technology, Vendor Due Diligence and Management OOBP&IAOP
IP Protection: Technology, Vendor Due Diligence and Management OOBP.org and IAOP

04 August 2006
Jeffrey M. Kaplan - Examining the SaaS Alternative to Meet Your Business/IT Objectives
Examining the SaaS Alternative to Meet Your Business/IT Objectives

04 August 2006
Oliver Lewis Houck - What to Expect from Certified Companies:Pros & Cons of Existing Certifications
What to Expect from Certified Companies: Pros and Cons of Existing Certifications

 

New Links

26 March 2007
offshoring.fuqua.duke.edu
2006 ORN survey report: Next Generation Offshoring: The Globalization of Innovation.

02 August 2005
e-isn.com
ISN (India Software Network) is a leading IT research and offshore advisory firm, which helps clients, leverage the offshore opportunity in the IT outsourcing process. Since 1998, ISN has taken a lead in outsourcing procurement & since then developed and maintained a network of quality Indian software & BPO outsourcing service providers.

11 July 2005
Oxford BPO Research
The latest news and research on outsourcing and offshoring.

Is It Worth to Outsource? How One Can Outsource Wisely



Posted on Sunday, July 10, 2005 (EST)

Recent trends in software development market show that it is no longer the most efficient way to work onshore. Competition is too high and in some particular cases, US or European IT people even go farming rather than admit the situation and adapt themselves. This article is mainly for those who are going to stay straight in the industry whatever surprises it keeps bringing.

By Alex Polonski

International division of labour has done its work. So nowadays, if you ask anybody about the regions he associates with IT-industry, you’ll get quite a short list: India, China, Russia, Eastern Europe. No wonder, historically these regions had the most efficient technically oriented education. In addition to lower cost of labour in the East, that is their main selling point, which determines their competitive strength.

As a logical sequence, almost each leading company engaged in IT sphere, whether publicly or secretly, outsources a part of its current work to third parties, often offshore. No wonder that Indian and other offshore software development companies prosper.

So what are the key factors that make companies outsource?

  1. Cost of labour is often several times less than onshore.
  2. There is no need to maintain the whole technical infrastructure.
  3. Company can concentrate mainly on marketing tasks.

Although that sounds good and promises several times bigger profits, incautious outsourcing can be a trap for any company. Don’t forget that you entrust your reputation to a company that is thousands miles away. Hence, if you have made a decision to outsource a part or the whole project to some company, you should take into consideration five simple tips.

Make proper research

The simplest way to find offshore software development companies is to try search engine or relative online directories. However, there is no guarantee that under inspirational promises any website has, you won’t find cheaters. Spend several hours and try to find the most info about the companies you have selected. Search engines should be your best friend in these efforts.

Consult alliances and associations

Almost each country where IT industry is well developed has national alliances of software development companies. These pools of developers can become your first step in search for an outsourcing company.

Communicate carefully

When you have decided to contact several, as you think, most reliable companies, you shouldn’t provide them with complete info regarding your project at once. Keep a little intrigue and give the info partially. That will make you aware about professionalism of companies’ project managers as well as about their communication policy. Communication is what you will appreciate during the whole project’s development. Therefore, it is better to find out whether they are communicative enough before you sign the contract.

Ask for references/samples

Although offshore developers cannot disclosure their recent contracts, anyway, they have several clients that can provide you with references whether they are bad or good. If there are no references at all, ask for some software the company has developed. See and try each example of their work you can. That will make you aware about the quality of their services.

Phone or visit them

The best way to test the company, which you would like to outsource to, is contact them directly. Emails are good, but you can find out more info about the possible partners if you phone them. At least you will know about their command of English (don’t forget, you are going to outsource abroad) and their real interest. Additionally, you can make them relax a little, so they will be less defended against your research of true situation. If you visit them personally you’ll see exactly who and where will work for you. At least, if the company doesn’t mind you visit them, that can mean that they are open enough for collaboration and they have provided you with more or less true info.

If you can do at least three of these five steps, there will be little chances for you to be cheated by an unreliable company thousands miles away. You’ll be able to experience that kind of wise outsourcing that can give you required competitive ability. Each time you are going to give some project for offshore development, take into account that you should be an initiator and wise decisions maker. Research, consult, and communicate. That’s the motto of any company that is successful in outsourcing. It’s not too complicated, is it?

openoutsource.com


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