In the 21st Century, software development outsourcing or hiring remote developer is the one thing that has grown exponentially, making up around 47% of the total outsourcing economy of the world. It helps all kinds of businesses leverage its advantages and grow at breakneck speed. After all, this is a pressing need.
So before we dive deeper, we need to know what exactly Software Development Outsourcing or remote product engineering is.
What is it?
Software development outsourcing is when an organisation hires a third party for its software development team needs instead of keeping an in-house product development team for the product engineering. It helps to cut costs by using the economic geographical areas and also helps access the vast talent pool available with the third party vendors. It also streamlines the process, makes it flexible, and upscales the marketing capability.
Types of software development or remote cloud Infrastructure engineering outsourcing
When it comes to types of outsourcing, there are three main types of outsourcing, each with their own advantages and disadvantages.
Onshore outsourcing: This means outsourcing to a service provider in the same country in which the organisation is based.
Nearshore Outsourcing: This means outsourcing in a nearby area that is outside the country’s borders but within the same time zone.
Offshore Outsourcing: Offshore outsourcing means giving service to a different time zone, which is located in another country/continent far away.
Outsourcing Models to Choose From
1. Fixed Price Contract
This entails giving end-to-end software management to the outsourced team. The team takes overall responsibility for planning and delivery. The price is fixed, and the timeline is agreed upon beforehand. It is the best model for projects requiring precise deadlines.
2. The hourly Model
For small or medium-sized projects, the hourly model is the best. Here, the payment is based on the hours spent on development and delivery of a specific project. This is also useful for projects where there are no defined requirements and it is a progressive business model.
3. The Dedicated Development Team
This model is for specialised projects that require specialists like Software Developers, UI/UX designers, Web developers, Data Engineer, Machine Learning engineer and CTO. The entire development team acts like a team of the outsourcing organization, and the client pays a monthly salary to the expert development team. The vendor manages the on-boarding and hiring while the client has complete control over micro or macro-managing as required. It is an ideal mode of outsourcing for long term projects which require changing with the change in requirements of the markets.
Reasons to Outsource Product Development
1. Reduces the time to market which is the time taken for an idea to become a product.
2. It is cost effective and payment can be made as per requirement and the model used.
3. Changing technology and innovations can be better managed with new teams which are well equipped in new technologies.
4. It is flexible to upscale or downscale as per the requirements of the market.
5. It helps to widen the skills and Developers and outsourcing can rope in talents from all over the Globe.
The need of the hour is to be innovative in product development, and thus, outsourcing software development is the way to accelerate growth. In order to explore the offers we have, you can explore our website. Please contact with if you want to hire software developer to build remote Technology stack.
