Best Practices for Outsourcing Your Development

by Vikas Banga on March 14, 2009

Here comes another article on teaching me how to do Outsourcing… You must be thinking, come on guys no more best practices, no more advice, I have been doing it for so long, I know what works, what doesn’t works for me. I know communication with offshore team is a problem, I know productivity is not as good as what I get with my internal team, I know quality becomes an issue, and I know attrition is a major problem at Offshore where the talent is in great demand. So what is new in this article?

Well, you are absolutely right but imagine wouldn’t it be great if these problems would simply vanish, and offshoring your development actually starts generating business results for you.

Wouldn’t it be great if your offshore team productivity starts matching with your internal team? or because your product quality has gone up, your team is actually spending less time on solving urgent customer issues, and more time on building a competitive edge for you.

Is this really possible?

Yes, I believe so, and we have been working at Appulse for the last few years just to make this happen. Even The New York Times and IDG think so. Here is an article which appeared recently which talks about 13 Best Practices of Outsourcing. Here are what I think are the most relevant ones for ISVs and Technology Companies

2. Get a compatible provider. Make sure your service provider understands more than just how to code or implement. An outsourcer needs to be compatible with your company’s culture and business objectives, with the right experience, communications skills, and working style. Remember, they will become part of your organization and need to fit in as well as actual employees would.

6. Get the communications right. Make sure the service provider understands the project specifications. Be as detailed and precise as possible.

7. Expect to get what you pay for. If you put the outsourcer under too much cost pressure, it will cut corners too, such as using junior resources.

10. Get C-level sign-offs. Make sure you have senior-level stakeholders such as the CIO on the client side and CEO on the vendor side. Don’t delegate everything to middle management.

So, what are your views? What challenges you face while outsourcing? What are the best practices you have developed over the last few years which make outsourcing work for you? Do share with everyone.

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