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Writer's pictureGiao Huynh

5 factors to consider before outsourcing software development

Digitization has been a key factor for companies in recent decades. Companies focus on developing applications to streamline business operations and improve customer experience. However, it may not be possible for all companies to maintain an in-house software development team. This is why software development outsourcing has grown significantly over the past two decades.


Companies outsource software development for two main reasons: cost control and speed. They can keep software development costs within budget and create effective solutions in a short time. In addition, software development outsourcing has other benefits, such as increased efficiency, reduced risks and increased security. Established companies and startups outsource their software development work.



5 factors to consider before outsourcing software development


Identify your needs: The first question to ask yourself before hiring a third-party software development company is, "What exactly does my organization need?" The lack of clear goals is one of the main reasons why a software development project failed. You can solve the problem when you are aware of the requirements. Describing the goals and objectives of your project helps the customer better understand their needs and propose the right solution.


Look for a suitable supplier: Once you have identified your needs, the next step is to find the right software development company for your project. With outsourcing, you have the flexibility to choose a supplier based on your needs. Here are the factors to consider when looking for software development outsourcing companies.


  • Experience: Before hiring a development company, find out how long the company has been in business and what projects it has worked on. Experience is important as you want a highly qualified person to lead your project.

  • Customer evaluation: Observe customer evaluations to know the quality of the company's work; a reputable company guarantees excellent service which is reflected in customer reviews.


Consider the budget: One of the reasons companies outsource software development is budget. Regardless of the reason behind outsourcing, you need to consider your budget before you start looking for a software development company. Make sure you don't compromise on the quality of the work.


Understand the company culture: Cultural differences are one of the obstacles to outsourcing a software project. Every company has its own culture and values. When you want to outsource your work to another company, make sure their culture doesn't conflict with your values. To understand a company's work culture, check their social media or visit their office if possible to get a feel for their company culture.


Check security policies: One of the most important things to consider when outsourcing software development is to evaluate your security policy. You are sharing confidential information with another organization that may pose cybersecurity risks to you and your customers. Check your security protocols before signing contracts and make sure the company you're considering doesn't have a history of data breaches.


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