Home IT Own team or outsourced development: which is better?

Own team or outsourced development: which is better?


When there is a promising idea and the necessary resources, it is more logical to create your own team of like-minded people and implement the project on your own. In any case, in offline projects, this order of things is a priority. When developing software products, it is worth asking the question, is it worth spending resources and time on building a full-time team? After all, many work processes have finally moved online. Today, for the normal work of the team, it is not necessary to rent an office, it is enough to create motivation and have the necessary resources. Therefore, you need to carefully consider all pros and cons of outsourcing software development.

What does outsourcing mean?

The outsourcing format involves the transfer of a whole project or a separate part for implementation to a remote development team. The outsourcing logic is very simple. Why build and retain in-house talent when you can hire an external team and save money?

In addition, it should be taken into account that many specialties require lengthy training, which makes it difficult to “educate” employees within the company. Outsourcing also allows you to take a fresh look at the project. Employees from other countries will prompt the features of local markets and insure against risky actions.

Benefits of outsourcing

The history of the remote development format began in the second half of the 2000s, when the first prototypes of social networks began to appear. Volumetric and large-scale tasks required the presence of appropriate specialists, while in the market of one country it was not always possible to assemble a large team. In the conditions of tight deadlines and a limited budget, it was necessary to act quickly, and then the “outsourcing” format was born. Some of the benefits of outsourcing include:

  • Price.

Hourly rates in the developed countries of Western Europe and the USA differ from the rates of the CIS countries by 3-5 times. Moreover, many specialists from Russia and Ukraine have no less potential.

  • Optimization.

The outsourcing format is more flexible in terms of resource usage. For example, you can hire a front-end developer, marketer, and content manager to do part of the work. After the final part, these specialists are no longer needed, and further, instead of them, you can attract in-demand personnel for the subsequent stages.

  • Lack of local bindings.

As a rule, outsourcing companies can hire performers from different regions of the world. This is a great opportunity to select specialists taking into account the real scale of the project. The customer’s company simply does not have time to look for contractors abroad, because searching in other regions requires experience and knowledge of the peculiarities of foreign labor markets.

Outsourcing is a profitable and flexible format of cooperation that allows you to complete part of the work or the project completely within the agreed time and budget. Digitalsuits experts will tell you more about this.

Disadvantages of outsourcing format

The choice of an external team is associated with certain risks, because there are hundreds of thousands of offers on the outsourcing market, among which there are worthy and less acceptable options. There are important factors to consider when choosing a remote development team:

  • Quality risks. The main selection criterion is real positive customer reviews. At the same time, unscrupulous methods may be used on many sites, when positive reviews are published by the performers themselves to increase their own ratings. The customer should contact only reputable sites where there is moderation, video messages and the ability to check reviews.
  • Corporate communications. A remote team often encounters “conflicts of purpose” when the tasks of in-house specialists go against the purpose of the project. Sometimes it is difficult for the contractor to understand the task. Young agencies lack the experience of working with large companies and cooperation may end unsuccessfully.
  • Language and mental barriers. Most developers today speak English, but slang and dialect can make communication difficult. In addition, do not underestimate the difference in mentality, because the human factor can greatly undermine the principles of teamwork.

When choosing a team on the side, you should take into account the peculiarities of time zones. The discussion of work processes should take place at a convenient time for both parties. Comfortable working conditions ultimately have a positive effect on the quality of the final result.