The outsourcing of software development usually entails—rightly so, and we will explain why—many doubts and even fears regarding the final result, collaboration and, above all, the confidentiality of the shared documentation.
As experts in software outsourcing and outsourcing our developers, this is something we understand very well.
These are often false myths that, either due to lack of information or due to previous negative experiences, increasingly surround this topic.
And that is precisely why today we are going to see in great detail all the advantages that, on the other hand, come with outsourcing software development solutions and, above all, we are going to uncover once and for all these false myths that, in the majority of cases, have no reason to exist.
First of all, we must resolve a bit of the confusion that exists about what in Spanish we usually call simply outsourcing or subcontracting and which in English, on the contrary, have small but very different nuances.
It is a way for a company to outsource the performance of some specific internal tasks, services or projects, entrusting the work of searching for human resources to a management company or subcontractor. Normally, the latter is the one that will, in fact, manage the employment relationship of the outsourced profiles. It is the most common type of subcontracting and substantially involves the participation of 3 entities .
Staffing is usually understood as the recruitment process carried out by recruitment agencies, which are in charge of the tasks of what can be a corporate HR department. In short, it is a methodology to directly outsource the operations of recruiting, selecting, searching and, sometimes, also managing new employees.
It is a recruitment process (sometimes even a true “psychological cruelty”) through which a company, entrusting the search to a headhunter or “talent hunter” (although the literal translation would be “headhunter”), tries to find someone who is extremely specific and complicated than in reality. They are already working at other companies and are not actively looking for work.
In the case of outsourcing or, we could say, a kind of “direct subcontracting”, a relationship of only two entities is established , that is, the client company that needs a certain type of profiles and the subcontracted company that, as a supplier, will provide its services during a specific period and according to the agreed contracting modalities. It is, in short, the most suitable methodology for those companies that want to have a direct and univocal relationship to find highly personalized and effective solutions .
example of outsourcing software development services through outsourcing To better understand all the differences above, let's give an easy and concrete example.
Company X , which works in the automotive sector, urgently needs to find 6 expert C++ developers for an 18-month project who can carry out specific tasks under its supervision and according to specific requirements. In this way, company x will be able to streamline its operations, delivery times and, above all, resolve other internal issues of the organization at the same time.
In this context, company x may: entrust the search for human resources to an outsourcing company that will find the developers and act as a third party between company x and the outsourced developers.
Or, alternatively, the company in question can directly hire another company, better said, “a consulting firm”, which has extensive experience in that specific type of technology (in our example, the C++ language) and will be the only other half which will be part of the employment relationship. That is to say: direct communication, extensive experience in the specific technology required and cost savings.
This is roughly what can happen. And it doesn't mean that outsourcing is always the best option at all. Each specific case will need the most appropriate solution.
However, at Tribalyte Technologies , since we are used to providing outsourcing services for software development , we have proven throughout our experience that outsourcing is a very effective way to streamline our clients' software projects. Particularly in embedded custom enterprise software development projects , for which you can quickly find expert developers in C, C++, Linux, etc.
After this brief but due introduction to the topic, we are going to look at some of the most common false myths about outsourcing software development . And, more specifically, we are going to refer only to the last case that we have commented on, that is, outsourcing or direct subcontracting .
This is undoubtedly the most common phrase that is usually heard when it comes to outsourcing to developers who are external to the client company. It is a deeply rooted false myth but there is a very easy answer to dismantle it once and for all.
Any type of technology consultancy—serious and with references, of course—when it comes to offering its software development outsourcing services , it is itself the one that will ask the client—and not the other way around – to sign an NDA , that is , a Confidentiality or Non-Disclosure Agreement , so that all types of shared information are protected from the first moment, even if it is a simple initial budget estimate. It is essential to establish a relationship of total trust, collaboration and synergy between the two companies from day one.
If the outsourcing company refuses to sign this agreement or does not even mention it, then we would have to “furrow our brows” and look for another more solvent supplier.
Maybe so, of course. The collaboration may be a total failure and organizational problems may arise, but, and here is the main point, all this usually happens when, behind the outsourcing, there is no team trained to use the different software development methodologies .
Today we no longer have only the “traditional methodology”, but also many variants that emerged precisely to compensate and avoid this type of problems. Agile methodology, DevOps techniques, SCRUM, work by Sprints and so on. Without forgetting what all the in-house work is—that is, directly on site, side by side with the corporate staff of the client company.
In short, when outsourcing software development, it is important to choose a consulting firm that can effectively adapt and integrate perfectly with the most appropriate type of methodology and according to the specific needs of your company. Whether it is a contract based on milestones or packages of hours of service, it does not matter. The more work methodologies a consulting firm offers you, the more opportunities your company will have to find a truly personalized solution.
Another false myth or, at least, only partially true. That is, if behind the individual developer that your company has outsourced, there is not a structure of experts both in the required technologies and in the management of the work and the eventual changes on the fly (because, of course, it may also be that in the client company, new needs and requirements arise throughout the project itself), then yes, it is very likely that the developer will feel lost and “abandoned”. And surely your company will also begin to notice communication and project management problems and, once again, will think that outsourcing software development is an a priori failure.
But, and there is a but, if, on the other hand, the consulting firm that you have subcontracted offers you a team that is truly specialized in the technologies you need and if, in addition, it has a project director or a CTO who knows your needs perfectly and technically, do not hesitate anymore because it is no longer an “isolated developer” but rather a highly qualified and prepared team that will accompany your expert throughout the project.
In short, if you want to outsource software development and are looking for outsourcing services, it may be better to opt for those consultancies that are dedicated exclusively to the technologies you are looking for (for example, C/C++ languages, Linux, C# , etc.).
Quite the opposite. That is, if the client company does not actually have an urgent need for software development and is planning to gradually create an internal department that has experts in specific technologies, nope! In the long term, this will undoubtedly become a very large benefit at the corporate level. The more experts, the better, of course.
But, on the other hand, if the company in question needs to carry out urgent tasks that, if not completed, could harm it in some way, then the search, management and entire recruitment process of new employees can mean both an increase of costs and longer than expected deadlines.
In short, there is no better solution than another, but when factors such as urgency, deadlines and contractual commitments come into play, outsourcing a supplier company will undoubtedly be the most profitable and effective option.
Fake. When we entrust another provider with the performance and resolution of specific tasks, each type of decision regarding the outsourced service will depend solely and exclusively on the client company. Likewise, all quality parameters will be established according to customized requirements that, once again, will be dictated by the outsourcing company.
Then, and that, of course, depends on the seriousness of the subcontracted company. If at any time the service provider notices something that he considers harmful to the execution of the work or that represents failures and inconveniences for the client company, it is important that he communicate it immediately.
First of all, an outsourcing service provider is and has to be a “consultant”, so when we outsource software development to a team of experts, it is important that they do not simply execute but advise us and guide us towards the best benefits for our company.
“ Four eyes see more than two ”, you know.
After having seen some of the most common false myths regarding the outsourcing of software services , we are finally going to see the real advantages that adopting this process will bring to the client company:
Shorter recruitment times, zero commissions, and resolution of urgent tasks = greater productivity for the company.
If I can optimize more tasks at the same time, my company will have more productivity, which means more competitiveness in the market.
If the competitiveness of my company increases, that means that, at the same time, the agility of my organization increases, and I will have a greater ability to adapt to changes and unforeseen events.
I can outsource whenever I want, for as long as I need and according to my specific requirements. Which, of course, I couldn't do with contract employees on my staff.
When it comes to subcontracting to a supplier company that is really an expert in the technologies I need, I am finding profiles with very high specificity to meet those requirements.
Behind the individual developer that I have outsourced, there will be a CTO and a team of expert developers who will contribute their knowledge with teamwork, helping the colleague.
All types of product, source code, etc. will continue to belong solely and exclusively to the client company. Furthermore, thanks to agreements with legal value, my company will be protected at all times.
Greater flexibility also means better customization. A service provider company will not offer me “standard packages” but rather solutions that are truly tailored to me. From the beginning to the end of the collaboration.
Within the personalized solutions, it is possible to choose the methodology that best suits my requirements: agile, scrum, traditional, DevOps, etc.
And lastly, but actually most importantly, all these advantages together will mean for my company a type of investment that, both in the short term and, in proportion, on a large scale, will lead to greater profitability for my business.
Here too, there is no single pattern but based on our experience, at Tribalyte Technologies , we usually propose 3 types of collaboration to our clients:
An estimate of the problem to be solved is carried out and an offer is created with a closed project in terms of costs and deadlines, always agreed with the client.
Since the total scope of the project is not 100% defined, the dedication in hours and the deliveries made will be considered.
The scope of the project and, above all, its priorities in terms of deadlines are established with the client. From there, sprints are established, always under the careful guidance of the client. Estimate relative complexity to bill the effective story points that have been achieved in the final delivery.
We are accustomed to providing software development outsourcing services for clients, management and subcontracting companies internationally. Therefore, if you are looking for developers available now to solve your software development needs, we will be happy to help you.
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