Outsourcing projects and app development is been going for ages. Different companies handle outsourcing differently whether they belong from accounting, marketing, customer support, manufacturing, IT services etc. have been adopting this medium with great success and saved a lot of time and money through it. If we talk about IT and app development related services, it originally begins after the IBM era, when support was handled by other firms instead of IBM sales staff to cover the enormous customer support in a timely manner.

According to statistics, outsourcing has doubled since 2000 which in return deliver positive output while reserving additional costing and time constants. For anything else in the world, outsourcing is also composed of advantages and disadvantages for companies and startups. So it is important to understand both sides of the story whenever you need to approach outside assistance in the form of outsourcing.

To understand some minor concepts, there are only two possibilities for any company to perform a job or project, either they outsource or in the source. The outsourcing is further divided into more branches, but to wrap it all in a single sentence, it’s just outsourcing to external concern individual and/or group to deal with the project, or in our case app development in Singapore, whether we are from Singapore or from around the world. Let’s explore some greater depth about the concept of outsourcing and benefits companies get from it.

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Outsourcing work required?

As companies around the work are doing it, outsourcing is nothing new in the market and has been accepted by many small, medium and large enterprises. So what actually does a company declares to acquire outsourcing assistance? Well, it all resides in these 4 questions which depict ongoing for outsourcing or not. Here are the 4 question:

-Does your company possess require experience/skills/resource (e.g. App developer resources)?

– Does your company have time to do the project?

– Does your company really have to do the project?

– Does the project contain a security threat if done in-house?

Of course, there is more complicated question involve which helps to further break down a company’s opinion on whether to go for outsourcing or not, but you can pretty get on with these 4 ones for now. Let’s further digest this entire question and understand what does it really means.

Does your company possess require experience/skills/resource?

This is the biggest benefit a company gets from outsourcing their work (in other words Business Process Outsourcing). Everyone understands the limitation of a company’s experience, skills and necessary resource required to perform a task. Hence, outsourcing proves to be very economical for companies rather than hiring a full-time employee to do your work. If you want to manufacture a product, you need to temporary rent a factory to develop one for yourself. All you need to do is outsource the work to external resource whenever and how you need it.

There is more to it than just saving money and time for outsourcing based on experience difference. For a project which is one-time only, it’s a loss if you are willing to train an existing employee to overcome a new project, or hire a new resource for it, instead outsource it as it’s the best solution there is for this scenario.

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Does your company have time to do the project?

It can be a possibility that you possess necessary resource as well as experience to handle a particular task or new project, but you and your team are packed for a whole new month and it would be difficult to adjust any new work up in the pile. For that situation, your best bet is to outsource the project and focus on the current workload you are struggling to overcome.

Sometimes, there is a project which doesn’t take a lot of time in particular but still, many companies outsource to others for the sake of saving money? Well not in this case. You have to understand that there is a bigger fish in the app development sector than cost, which is called time. Doing something important need time, and outsourcing small or comparatively lower priority based project can help to focus on bigger things.

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Does your company really have to do the project?

Now, this is the most common question asked by many companies who are being in the direction of outsourcing some tasks. It has been observed that all those tasks which are outsourced in abundance are usually an ordinary task which doesn’t require external guidance or micromanagement to handle. Some of these routine based tasks include, such as generating income statement for a company’s audit report, or perform your company bookkeeping etc, are few of the tasks which are simple, contains minimum innovative ideas and can be handled based on calculated man hours due to its standardization.

All of these tasks which are not important for companies or startups which already had their hands full on other technical and more unique tasks to handle.

Does the project contain a security threat if done in-house?

Often you are handling some tasks which possess security risks and sensitive data that must be catered with great care and professionalism. Some of the startups, in general, are composed of professional from IT related industry and employees are usually unaware of tasks such as payroll and tax-related documentation for the company. Since the data is very sensitive and must be handled with care, most of the companies that are not equipped with related personnel usually feel safer to outsource the tasks for more professional and experts with relevant experience on the field.

There are mostly outsourcing firms specializing on certain high risk-oriented tasks such as company’s law related securities are handled by outsourcing law firms, similarly, for tax preparations, there are financial companies that handle these types of high profile tasks with great care and sophistication. Just make sure you fully investigate the company and read all the clauses for their terms and conditions. There is also some additional documentation signed to double check as a precautionary step such as Non-Disclosure Agreement.

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Outsourcing, Is it for you?

We have learned about some pre-designed questions to be answered through self-evaluation which seems to be the starting point on deciding whether to go for outsourcing or not, but that’s not all. Many companies also try going for outsourcing to retain resource for working on a task in much lesser amount than the current local market rates. For that, mostly country with larger resource pool and lower rates are selected. Here, we will go to underline some pros and cons about the outsourcing process for companies which will help us to understand the mechanics about the external assistance as well as made up our minds to go for this approach.

Benefits of Outsourcing

In general, there are 8 different benefits received through outsourcing as explained below:

– You can select a better resource from a larger talent pool

– Decrease in cost

– Better business formation of tasks and results

-Instant availability for higher skilled workers

– Assist in accessing better technology

– You can continue your work 24/7

– Helps to saves up time and resources

– Boost the in-house skills capability against reduced workload

It is possible to get one benefit out of the other and not enjoy every advantage in a single run, like for example for one task you can receive a cost reduction, but for another, a more skilled resource is required, hence increase the cost at another spectrum.

Let’s understand in details about all the benefits that a company may receive through choosing outsourcing business process.

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You can select a better resource from a larger talent pool

Through remote working, much business can benefit from having a greater availability of experts in their disposal. They can do that simply by using the Internet. The term remote work is very common among many IT entrepreneurs, which indicates that through the internet, many resources are readily available to work in your task from any part of the world. There is also a possibility to hire local talent but for most of the cases, it has been devised to have an open-minded approach when selecting the experts pool, because when you are limiting yourself to just local talent, you miss a great opportunity to get benefit from many amazing things, such as  more advanced individuals, more experts to hire, international touch and different time zone. Let’s understand Time zone for our scenario to have selected as international outsourcing rather than local, is in the business of customer support. If you are only interested in the single talent pool, you are leaving behind the huge potential for a top-notch customer representative activity; such as for US locality, the time would pertain to 24/7 only if you are willing to invest in outsourcing work with 6+ time zone countries.

Decrease in cost

Saving cost has always remained the top advantage of outsourcing based on two big facts namely: difference in foreign exchange rates and cheaper markets. For example, an App developer in the Philippines earns less than one-third of the developer from the US. Not just the cost of employees, but outsourcing also helps to reduce the expenses of a physical office, because you actually don’t need one when doing work through outsourcing. But a point to remember, that when outsourcing, you’ll get what you paid for, which means very little to no chance of getting a product that is above your expectations, or could be considered a next big thing in the market. You will be only working on a pre-existing product or at most, re-iterating your project based on many ideas, which still lacks fines and awe.

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Better business formation of tasks and results

Outsource comes with some risks that are easily be fixed if prior planning and some minor effort have been done by your end. You see, it’s in the best interest for the business and outsourcing talent to have a steady flow of communication with highly responsive replies between team members and company that hires them.

This can be achieved only by having a well-documented process about the project and have scheduled updates based on the process. This scheme is important for any project process management because it will ensure that team members are equipped with updates and follow-ups about the project with high transparency and positivity. Using project management software integrated with the chatting system would greatly assist the businesses and outsources talents to see each other’s progress and have minimum barriers during mobile app development.

This process not only help the business to gain access about the progress report and updates by allocated team members and outsource talents, but it also helps to understand shortfalls and an unreachable goal by members. It’s the job of the company to find out the root cause of the problem and plan alternative solutions which would help the project to move forward in the development phase without any major delay.

Instant availability for higher skilled workers

There are plenty of experts on almost every field in the existence, from simply making a logo to finding a complicated neurological solution of the third-degree quadrant, anything can be found with the right talent on-board. This is one of the biggest marvels of outsourcing in our modern times. Long gone are the days when you need to learn hard to make a website for one time only, or want to develop a mobile app like Amazon. All can be achieved by hiring a talented developer for onetime payment and make yourself a clean, professional website without any hassle.

But if all the sweetening aside, it’s important to understand that as a company, if you are not looking for any recurring work, you can hire a outsource talent without any second thoughts, otherwise, there is always the full-time employee to hire.

Assist in accessing better technology

A talented developer when hired through outsourcing doesn’t come in empty-handed, instead, it will be well equipped with the latest technology and best practices. Like an Android developer would definitely own an Android device, a computer, Android Studio, Mobile Emulator, and a high-speed internet. All you need to do is give those details about the project and you will get more than just a product, an invaluable experience about the latest on-going technology and its prerequisites as a technologist.

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You can continue your work 24/7

Why it’s popular for Indians to be handling mostly customer support for US companies? This is another amazing feature by outsourcing work as time zones are changed if a talent acquisition belongs from a different continent. Outsourcing helps the company to select time zones of their preference and gain many benefits, such as 7 days a week working, round the clock activity, and also has the time of your choice to work on the project (best if you are a night owl.

If you are hiring people through outsourcing especially for this purpose, it’s important to know that you will be active when the other party will be inactive, meaning your morning would be the night time of your outsourcing talent. Hence, make sure you provide thorough details beforehand and it continues to check with chatting update or simple IMs, no matter if the answer can be delayed a day or two, the communication must not break between the workers and company.

Helps to saves up time and resources

Outsourcing will greatly help you to save up time which is invaluable for a startup and newly incorporated companies. It is due to the fact that you’re planning and execution solely depends upon your business’s survival, and if you are busy catching up with project completion for years with no time for more important stuff, you will soon be tired to actually make them more prominent decision about your business enterprise. So make sure take some time by outsourcing every now and then.

Boost the in-house skills capability against reduced workload

Your company no matter big or small need must experience steady growth in order to retain its value and reputation. The workload could come to a certain point where your current resource doesn’t have any availability to carry on with additional tasks on hand. For this case either you can hire new resource which would take up more time to train and integrate into the new environment, or shrug it off to the outsourcing talent based on all four question necessary to be answered beforehand. This way, the work you in-house employees are going through could easily be finished without any extra pressure handling and in return, your business will gain positive environment boost and skill up gradation based on your current services.

Conclusion

Outsourcing has been going in full swing after the dot come boom has taken its toll into our lives. Now many small and large enterprises are emerging into the horizon which offers great services to the clients more especially in app development sector, like SleekDigital. If opting for outsourcing the business process, companies have a lot of choices based on their desire, whether they are looking to save time, money, have an expert level app developer, introduce  24/7 oriented service or simply don’t have enough time to handle new project. All you need is to have an internet, well-documented details about the project and a good fluency in the English language.

SleekDigital is a Mobile App Development Agency in Singapore that helps businesses transform digitally. We also offer digital transformation consultation and general digital consultation for companies who are looking for suggestions of different systems to be integrated. This is more of companies who lack a digital consultant to propose technologies. Arrange a digital consultation with us today!