Outsourcing Software Development - Offshore Vs. Onshore

in Software-development

Many businesses need custom software, but they don't have the internal resources to develop the software that they need. The options of software developers really boils down to two things. Either going domestically or outsourcing the work oversees. Both options have an upside and a downside which should be weighed against specific needs of the business. When it comes to choosing the right custom software developer whether it be onshore or offshore greatly depends on a number of different factors including the budgets of the project, the required amount of interaction needed in order to develop the software, and how well equipped the winning vendor is in dealing with intercultural communications problems.

One of the biggest advantages of hiring a software development company that is located either locally or nationally is that communication is greatly improved and generally very straightforward. There aren't any cultural barriers to overcome and project miscommunication is generally kept at a minimum. There's an advantage with hiring a local company because you can meet face to face with the development team and give continuous feedback into the project. What this does is minimize risks involved in investing in custom software development.

On the other hand, when you hire offshore vendors, it usually comes with a higher price tag that smaller companies may not be able to afford. One cost factor involved with developing custom software is the driving factor for businesses to search for overseas vendors in places like Eastern Europe, India, and the Philippines where there are regions that have strong work forces that specialize in software development. Their wages are a lot lower than those in western countries like the United States or United Kingdom.

However, with the cheaper expense for software development may come with an added price in terms of lack of policy, potential communications issues, and a general overall misunderstanding with the development team as the project progresses. One big issue is the language barrier followed closely by cultural differences, like some countries have a lack of urgency when it comes to deadlines which can hinder the success of an offshore development project. If the quality of work is not up to snuff, this can also be a costly fix in order to meet customer deadlines and specifications. As a result, when these issues arise, there is a potential for cost savings to go out the window as a result.

Some successful offshore development companies have achieved a level of clear and detailed project specifications and require that they do not change the software development lifecycle of the project. As a result, many complex projects may need to be adapted to the requirements of the development team, and if it's a good fit that's great for using overseas development. However, if it's not a good fit, things may go awry.

If you have an in-house project manager who can oversee the process effectively and communicate with the development team, and address all issues as they arise this would be a critical part of making the software development process move that much smoother. It's also important to be able to choose an outside provider with a good background and testimonials from other satisfied customers prior to starting the project so that the outside developer is used to working with businesses in the United States.

Under the correct direction, offshore development can be a great choice for some businesses who need to build custom software and keep the budget low. If you have larger projects that require flexibility or custom solutions it might be best to hire local vendors instead.

Author Box
Meganic has 63 articles online and 3 fans

Custom software development might be just what you need to push your business to the next level. So, why wait? Get a custom solution now and keep moving ahead with today's changing technology while building stronger relationships with your customers.

Add New Comment

Outsourcing Software Development - Offshore Vs. Onshore

Log in or Create Account to post a comment.
Security Code: Captcha Image Change Image
Related searches:

Outsourcing Software Development - Offshore Vs. Onshore

This article was published on 2011/10/11