More and more firms today turn to external agencies for web development. Outsourcing continues to grow in popularity. Many companies find that outsourcing reduces costs and risks. They also find that development time shrinks when they outsource. Instead of increasing headcount they decrease their time to market.
Companies outsource web applications to create an MVP (minimum viable product) as soon as possible.
In the past, most outsourcing happened in large corporations. Companies would hire outside firms to consult on complex systems. Nowadays, even boutique firms find benefits in outsourcing.
Companies that outsource range in size from giant conglomerates to mom-and-pop startups. Web application development works really well for outsourcing. Many smaller companies choose to outsource web applications because they lack in-house expertise. They let the experts create their application while they concern themselves with their core business.
Related post: Offshoring vs. Outsourcing: Which is better for software development?
Let’s take a closer look at web development outsourcing.
What is web development outsourcing?
Simply put, web development outsourcing means that you hire an external team to create or complete your web application. Many web applications begin life very small and grow in complexity. As you add features and fixes, the application you knew front-to-back may start to seem like a massive labyrinth. When this happens, it’s a great moment to consider outsourcing.
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Why should you outsource web development?
Outsourcing makes sense for many reasons. Many medium and smaller companies outsource to speed up production cycles while keeping costs down. They find that by hiring an outsourced team they reduce their overhead. Some companies save as much as 60-70% of what it would cost them to do the job in-house. Read more about the difference between outsourcing and in-house development.
6 Benefits to outsourcing web development
As mentioned before, most companies choose to outsource because of cost. If you choose to outsource offshore the savings become significant. Workers outside the US don’t have the same high salaries. And you also save money on taxes and overhead. You don’t have to pay for maintenance and upkeep of office space for your outsourced team. You don’t have employment taxes to pay or health insurance premiums.
Find more on how the software project cost is being estimated and contact us to get your custom price calculation.
2. Flexibility and scalability
Outsourcing companies have staff ready to take on increased scope. In-house you would have to recruit, onboard and train new team members. An outside agency has already done this groundwork. They can scale up and down as needed.
3. Reduced risk
Hiring an outside agency reduces risk. The outsourcing company takes responsibility for delivering the web application. The contract they sign ensures that they will deliver on time and to specifications.
4. Larger talent pool
Outsourcing means that you have access to a wider range of specialists who know their jobs very well. The company you choose to outsource to has already screened and trained their specialists. They have already seen how well they work. Finding key specialists, or even knowing exactly what kind of specialist you need can be daunting. By outsourcing, you remove this stress.
5. Faster delivery of MVP (minimum viable product)
Companies that specialize in web applications have the staff to get projects finished, fast. Outsourcing to a company that follows Agile principles means the leanest and fastest development possible. They know their requirements and work with efficiency to meet the goal.
6. Allows you to focus on core business
When you outsource your web application development, you free your team to focus on the core business. You can focus on projects that require immediate attention while the outsourcing company does their work. You can set up expectations and timelines and your agency handles the rest.
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Tips when outsourcing web development
How should you undertake an outsourcing web development project? Let’s take a look, step-by-step.
1. Define Goals
Think through and describe what you want your web application to do. Know the needs of your customer and write out your complete vision. Try to define as much as possible. Vague or opaque definitions will slow your project and increase costs.
2. Set out specific requirements
Define, with precision, the business goals of the project. What technologies will you need? Make sure to disclose as much detail as possible so your outsourcing company can plan their Agile Epics and Sprints according to your needs.
3. Vendor selection
Most companies take care and time with the vendor selection process. You should pay attention to the costs, of course, but also to the experience level of the company. Choose a vendor who specializes in what you need. Make sure you disclose as much as necessary to get realistic quotes. Make sure you understand the outsourcing company’s way of work. If your team likes to work Agile, hiring a Waterfall outsourcing team makes little sense.
Learn how Agile differs from Waterfall.
Communication must stay at the focus. If you hire an outsourcing team offshore, make sure you have some working hours that overlap. Make sure you give feedback and suggestions quickly so you do not block the workflow. Outsourcing companies work fast, be ready to keep up! Most outsourcing companies will work under an NDA (non-disclosure agreement). You need not keep secrets or hide information from them. The more open you communicate, the better.
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Outsourcing web development with Blocshop
Outsourcing web application development with Blocshop works! Our team understands business. We deliver results fast. Our experts and specialists work using Agile methods. We offer support and solutions to fit your requirements. If you’d like to learn more about how outsourcing with Blocshop works, please do get in touch!