If you’re not careful, you may end up on the wrong side. And when it comes to software development solutions, it’s the last thing you want. After all, you invest your time and money to ensure you get the best digital solutions, one that does not turn into a big headache.
The global IT outsourcing market is expected to reach $1.18 trillion by the year 2030 as per Grand View Research. Alone in 2023, the total spent on IT services reached around $1.42 trillion worldwide, Source: Statista. Today, people are more comfortable working from the comforts of their homes. They feel they can be more productive and provide you with much better solutions when they are in their safety nets.
It is not an old concept and is now becoming quite the trend after its quick adoption from major companies like Slack, GitHub, Alibaba, and WhatsApp. Today, outsourcing appears as a great solution; it’s because outsourcing improves business efficiency, reduces time to market, and results in cost savings.
However, the question still begs; is it safe to outsource software development to a third-party company in the United States? If you’re unsure, then here are a few reasons why we believe you should.
Faster Implementation & Better Project Scalability
Companies willing to invest in software happen to exist predominantly within the market. Whether you’re just starting out with a software solution for your business or you simply have an old one that’s become outdated and requires updates and upgrades. You truly desire software that you can implement quickly.
Since software deployments can be a lengthy process and can eventually be complex in nature, you may also want a development team which can scale up your project most effectively.
As business owners, we understand the struggle of going through multiple resumes and screening potential candidates to find the right fit for the job.
Yet, even then, we often struggle with hiring the right people & ensuring our software development tasks are executed in a flawless manner.
Outsourcing to a third-party agency or a market can help you come up with an efficient solution. You can simply partner up with a specialized outsourcing firm, and companies can eventually onboard the right professionals on your behalf. The approach is not just flexible, but it also allows businesses to adjust their workforce based on the growing business demands.
For example, if you want to scale up your project & you’re unable to add more personnel, a third-party bespoke software development company will help you outsource more employees who can serve you purposefully.
Better Costing & Achieving Better Time Efficiency
One of the benefits of outsourcing your software development tasks is that it helps you reduce costs. When you assign tasks to seasoned professionals who are outsourced by a third-party firm. They share the liability which ultimately reduces the risk associated with software development release and so on.
Besides, you will eventually save time and money from getting trapped repetitively. At the same time, you can better focus on your core business functions and ensure the company achieves its objectives.
A report released by the International Organization for Standardization (ISO) suggests that companies save around 15% in costs by performing process outsourcing.
Similarly, Branex is a staff augmentation company which reports that more of their clients looking for business process automation or software solutions have saved up significantly in cost.
It indicates that when you outsource software development tasks, you not only receive a cost-efficient solution but also achieve more time efficiency overall.
You Engage Developers with a Proven Track of Success
Another key advantage of outsourcing your business is to delegate tasks to people who are capable of achieving them. When you hire professionals who are working full-time in-house, they are limited in their expertise and can only deliver a certain level of working efficiency.
However, when you have a third-party software development company, they have professionals from a larger talent pool. According to a report by Statista, 64% of businesses cited cost savings as a primary benefit of outsourcing, while Deloitte found that 57% of companies view outsourcing as a way to improve efficiency.
They assure you of quality service and accuracy in their deliveries. With outsourced teams, you can utilize their services whenever you want, wherever you want. Throughout the contract duration, they can build not just the perfect software for you, but one that’s personalized to your exact business requirements.
A McKinsey study indicates that companies that leverage external expertise can boost their productivity by 20-30%, allowing them to focus on core business functions while they handle specialized tasks.
Also, when you hire someone with a proven track record of success, they are bound to deliver results because they have previously performed similar services for other companies.
Access to a Global Pool of Talented Developers
When you hire traditional in-house hiring, they are limited in their capabilities to offer services for a specific geographic area. As a result, you often have to pay extra in costs; whereas, you can simply hire a professional at a better price from another region or different part of the world.
In fact, India alone accounts for 5.2 million software developers, and by 2024, it is projected that India will overtake the U.S. in the number of developers, according to a report by Evans Data Corporation.
There are many third-world countries such as India, Pakistan, Bangladesh, Sri Lanka, and many other Asian countries where you can find a massive global pool of talented developers.
You can easily outsource these resources through a third-party firm who can easily hire these professionals at a very reasonable rate. This approach allows them to acquire a broader range of skills from a global talent pool. The approach allows them to overcome all geographical constraints and ensure workers are available around the clock & optimize business.
Software Outsourcing Reduces Management Burden
Hiring a third-party software outsourcing also reduces the management burden. Management has to take care of several things, especially software development.
They are responsible for managing the human resources, overseeing the software development, and ensuring the project is delivered in a timely manner. All of these tasks require not just the people who build such solutions. But leaders who can manage the whole thing. For example, for a software project to be delivered successfully, a company needs DevOps, project managers, and many other intermediaries.
While onboarding in-house resources for all this can take a significant chunk of your investment, third-party outsourcing software development services can take all such burdens off your shoulders.
Concluding Paragraph
Outsourcing your software development not only relieves management from the burden of handling multiple roles and responsibilities. But it also provides access to a highly-skilled, global workforce without the hassle of lengthy hiring processes. When you partner up with a trusted third-party firm, you can organize operations, focus on your core business functions, and receive quality software solutions tailored to your specific needs—delivered on time and within budget.
Ultimately, outsourcing proves to be a strategic choice, offering flexibility, scalability, and cost efficiency, ensuring your project’s success without the typical headaches.