How can you avoid top 3 outsourcing nightmares?

date: 18 June 2014
reading time: 3 min

In today’s world more and more companies decide to outsource. This trend can be easily observed and comes as no surprise, since outsourcing can offer a myriad of benefits.

If your organisation lacks specific expertise – outsourcing IT functions can be a smart business move. However, certain conditions have to be met in order to do this well and avoid common outsourcing nightmares.

#1 Outsourcer employee turnover

It is sometimes the case that long-term projects require repetitive work which is boring for employees and as a consequence they quit. This may cause delays or delivering bug-prone software.

  • You should lay the ground rules and sign the contract that explicitly ensures the quality and standard of work. You may also ask for references that will provide you with feedback on your outsourcer’s previous work.
  • Consider using agile methodologies, where you agree on set of skills, not individual people, so it is much easier to fill the gaps in case anyone decides to leave.

#2 Communication breakdowns

Since you are, literally, in two different places, written communication is not always successful. Too much information may get lost or misunderstood. No matter how hard you try, sometimes there are discrepancies between what you wanted and what was actually done. Huge problems may result from lack of regular communication.

  • This may seem obvious, but constant communication is the key. Your outsourcing partner should be responsive and provide you with up-to-date information on what is currently happening in your project. Establish not only frequency but also a clear method of communication and use it!
  • Location is also important aspect to consider. Choose your outsourcer wisely – make sure that the distance between you is short enough that you can arrange regular face-to-face meetings.

#3 Poor software quality

Your developers keep telling you that everything is fine but after the release it appears that the product you paid for is nowhere near your expectations?

  • Avoid paying for the whole project in advance. Try to make up a payment schedule and pay for the job that has been done. Agile approach offers a great solution here, since you get working functionalities after each iteration, which you can test against your requirements. That way you know where your money is and you can put it to good use.
  • Make sure that your outsourcer understands your business needs. Provide a detailed plan and discuss it beforehand. However, remember that sometimes your initial requirements change along the way, so be open to suggestions.

This is of course not the end of the list. One thing you should remember though, is that outsourcing, as any other business venture, comes with risks. In order to avoid them you should keep an open mind, adapt to changing requirements and last but not least, hire the partner you trust.

If you are here, there’s a big chance that you’ve been looking for reasons why outsourcing fails. We can help you with it. Just check out the essential guide to outsourcing software development.

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