IT Outsourcing is probably the most popular way to develop software.

From promising start-ups to Fortune 500 companies and even tech giants like Google, Apple, and Samsung choose to outsource their software development projects.

But why?

Well, if you want to learn why outsourcing is so popular and what the process for software development outsourcing is, this blog is for you.

Here, we shall be going through all of this and more.

So, let’s get right into it:

 

What Is Outsourcing And Why Choose It For Software Development?

Before we discuss how to outsource software development, let’s answer a more important question.

What’s outsourcing?

While the outsourcing concept is popular, here’s what it means. The term “outsourcing” refers to a process where a company hand over a particular project or development operation to another company known as an “outsourcing” company.

In-House vs Outsourcing

In-House vs Outsourcing

So, why doesn’t a company develop software in-house? Well, let’s compare in-house vs Outsourcing. And find out:

With IT embedded in every aspect of general life and business, regardless of the industry, every company needs digital support and products like software, apps, websites, etc.

However, not every company has its own IT department and even if they do, it isn’t capable enough of creative software that meets their demand.

In addition, in-house development can be very expensive and troublesome for a non-IT company.

On the other hand, outsourcing software development companies have expertise in development operations. With experience spanning over years and a development team, they can easily develop software in no time.

Plus, the development cost is also only a fraction of what it would cost the company to create software.

This is why it’s better to choose software outsourcing development.

With this out of the way and In-house vs. Outsourcing explained; let’s look at the process for software development outsourcing in the section below.

 

5 Steps Process for Software Development Outsourcing

5 Steps Process for Software Development Outsourcing

The concept of outsourcing is simple in theory.

But when you actually go for software development outsourcing, there are some things you need to take care of and steps you need to follow.

Here, we shall be going through these steps.

1) Requirement Audit

The first step of the outsourced software development process is a required audit.

As the name suggests, the first thing a business needs to do is figure out what are their development needs. They need to figure out, what caliber of software they need, what software should do, how soon they need it, and so on.

This is an important process considering the fact that good software can elevate a company’s productivity and also save a lot of time.

In other words, you can also call it defining the software. As the company defines what software they need.

With this explained, let’s move to the next step of the process for software development outsourcing.

2) Define Tech Stack

After the requirement audit, the company needs to define the tech stack for its outsourced software development product.

So, what is a tech stack?

Technology stack or tech stack means a set of technologies. It refers to the technologies being used for software development.

This includes the framework, programming languages, tools, scope, toolkits, SDKs, and any other development tools. MEAN Stack and MERN Stack are popular examples of tech stacks.

Defining the tech stack before starting the development is very important. The reason is that the tech stack or the technologies used for software development can affect the total development cost.

While some techs are free for everyone to use being open-sourced, there are others that can get quite expensive.

In addition to the cost, the tech stack also controls the software’s performance. Therefore, it’s recommended you choose the tech stack very carefully.

3) Create Budget

While the software development outsourcing option is a lot cheaper than in-house development, it can still be quite expensive.

Software development costs can range from $35,000 to $550,000 based on the project’s specifications.

That’s why, to make sure the software development cost doesn’t leak out of hand and become a burden for the business, they have to create a budget.

This is something that will be discussed between the company owners or company board members. Depending on the amount a company is willing to invest in software development also affects the scope of development and final solutions.

For that reason, it’s important to choose a budget that provides room for development while also not affecting the business negatively.

Once this step of the process for software development outsourcing is done, we move to the next process.

4) Find The Right Outsourcing Company

With all preparations done and requirement set, it’s time to find an outsourcing software development company.

But the question is how?

Well, in the age of technology, there are various ways to find a development partner. A few of these are, as mentioned below:

  • Explore platforms like LinkedIn for software development companies
  • Ask for references from your partners who have worked for software development companies before.
  • Post an ad on several social media and other platforms for your project needs. You will get many applications from across the market.
  • Use Google, as simple as that. If you look for “Best Software Development Company in –enter a location-” you will get results with the best companies.

Moreover, if you are living in a Metro city, there are high chances that you can find several local development agencies easily.

In any case, there are some things that you need to keep in mind when getting software development outsourcing.

They are, as mentioned below:

  • Check The Portfolio
  • Ask For Client Testimonials
  • Check Past Project Performance
  • Interview the development team
  • Inquire about NDA
  • Who will own Code at end of the project?

These are some things that you should keep in mind while hiring a development partner. And once you have shortlisted them, it’s time to move to the final step of the process for software development outsourcing.

5) Consult & Handover The Work

All that is left to do is consult the shortlisted software development companies and hand over the work to the one that offers the best services at the right process.

And with this, you have successfully outsourced your software development work to a market-leading development company.

 


Software Developer Hourly Rate In UK

 

Conclusion

Outsourcing is trending but a lot of business owners are still not familiar with it. That’s why in this blog, we discussed the entire process of software development outsourcing in detail. Now, all that is left to do is reach out to a Development Firm.

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