Ever-evolving technology means entrepreneurs constantly desire a feature-filled website that will help their business thrive. But to develop a website that marks your presence on the market, you don’t always need your own development team. Enjoy the benefits of outsourcing. Outsourcing web projects to external providers is what small and large businesses choose when they want to save time and money, access talent, and manage risk.
For startups and small businesses, outsourcing a website is a solid choice, as they might not need a software development team on a regular basis. Big businesses, on the other hand, outsource some tasks to offload their work and free up their in-house employees.
Demand for outsourcing is great. Today, 75% of IT companies outsource app development. According to Statista, by 2021, demand will increase.
What tasks should you outsource?
Outsourcing offers a prompt, scalable, and cost-effective means to resolve technical challenges. This is why outsourcing should become standard practice for your business. You can outsource any tasks: website development and maintenance, support in implementing new features, remote diagnostics. Or you can share responsibility for security monitoring, database development, or migration to new technologies.
Benefits of website outsourcing
Today, businesses often decide to move existing employees from one location to another or hire talent oversees. A growing number of third-parties offering employee relocation services proves this. There are many reasons why. We’ve created a guide to explain why companies choose to outsource their work.
Lower costs is a powerful motivation and the first of many advantages of outsourcing. For in-house development, you invest money in hiring people, training them, and providing them with tools. When you outsource, you skip on many of these expenses.
Due to differences in the cost of living in different countries, the price of IT services varies greatly. Check out the costs of IT services in the most popular outsourcing destinations below.
The creator of Groove, Alex Turnbull, didn’t have tech skills or much funding for launching his platform. So he outsourced the entire development process to a web outsourcing company. Today, Groove has $2.5 billion in yearly revenue.
Significant time savings
Managing a website can be very time-consuming. This is especially challenging when there are many other deadlines you need to juggle. By outsourcing, you don’t have to worry about bouncing between tasks. You don't have to bend your schedule to fit into short timeframes.
When partnering with a software development outsourcing provider, you don’t have to train in-house developers. If you lack experts or particular domain expertise, hire an outsourcing team. Your in-house team will need time to study new technology, while outsourcing developers can quickly deliver the end product. Thus, by outsourcing, you can save a lot of time.
Many world-known companies go this route to cope with their tasks. A bright example is Google. They’ve been outsourcing for years. Google delegates their side projects to remote teams so their in-house developers can devote more time to major projects.
Shared working hours
The time difference is another advantage of outsourcing software development. Contrary to popular belief, it’s actually a blessing. When you offload your work by outsourcing some tasks to a company abroad, your team can work around the clock. As your in-house employees are on their way home after a long day, developers across the ocean can ensure an uninterrupted workflow.
For example, the seven-hour difference between the East Coast of the US and Ukraine is beneficial. It provides opportunities for shared working hours that you won’t get with other low-cost destinations such as the Philippines, India, or Vietnam.
Live in Europe and plan to hold a meeting in person? Ukraine International Airlines and other airlines offer regular flights between Ukraine and major European cities. Thus, your outsourcing partner is within easy reach.
Access to global talent
Outsourcing allows businesses to reach professionals that are in short supply. When hiring an outsourcing agency, you get access to a broad range of experienced programmers.
By experience, we don’t mean only the seniority level or how well developers know how to code. Experience is about how well people work together. It’s how they manage the process and contribute to your project’s success.
Outsourcing can fit into any phase of your project. You might work with graphic and UI/UX designers, Python developers, etc. To build this type of team in-house would take a lot of time.
TransferWise is a British online money transfer service that lets you perform international transactions. The Transferwise team hired software engineers from Estonia. Recently, they also opted for outsourcing to Ukraine – not because of budget limitations but because of the talent.
Netflix and SpaceX also love hiring outsourcing developers. They hire experts from different countries to create diverse teams that can address tasks from different angles and bring various ideas to the table. That allows these companies to create products for multiple markets that will be used by people from various cultures.
Better risk management or risk-sharing
In today’s business environment, effective day-to-day risk management is critical – especially to long-term viability. Some entrepreneurs believe it’s risky to outsource a project to an unknown company. But that’s a misconception. Why?
A typical business process outsourcing company prioritizes their reputation in the IT industry. Trust is crucial for ensuring long-term cooperation. By outsourcing certain tasks, you shift certain responsibilities to outsourcing developers. Thus, you can actually reduce the risks entailed by having a project completed by your in-house team, assuming they lack competence in the field.
Outsourcing companies have experienced developers. Thus, you can mitigate risks.
Scaling your website with outsourced developers is easier. Why? When you have an idea, you first need to develop an MVP. You collect customer feedback, scale your project, and pivot when needed. All this requires lots of workers.
At the early stages of project development, there’s much work: you need developers, designers, and project managers. At this stage, it’s best to outsource some tasks. Then, during website maintenance, you’ll be fine with a few in-house programmers.
But then it comes to further development and scaling. Your in-house team may have a hard time adjusting to a huge workload. This is when outsourcing developers again can make the process easier.
Has staffing flexibility become a priority? Choose to outsource more tasks to meet your website scaling objectives.
Alibaba started as a small company. To grow, they’ve outsourced many projects. Their virtual assistants, for example, are built in India. Outsourcing to India is a great option, especially for companies trying to grow their staff affordably.
More focus on core competencies
Developing and maintaining a website is crucial. But other important aspects of your business need attention too. Outsourcing frees up your time to focus on them.
Outsource the technical part of your work. By passing on development, you free your energies so you can concentrate on the core competencies of your business.
Your primary focus might be building your brand. Or you might invest in market research and move on to providing more value with your services. Perhaps you’ll use your time to look for investors and design strategies.
Top outsourcing destinations
Eastern Europe (Ukraine, Poland, Belarus, Romania, Russia, the Czech Republic). Companies from the USA and Western Europe choose development companies in this region for their high quality of work and English proficiency.
Asia (India, China, the Philippines, Vietnam, Malaysia). This is the destination for those who like low costs and good quality. But the political situation and the economy in this region are unstable. This might influence businesses that choose Asia for outsourcing.
Latin America (Mexico, Brazil, Argentina, Colombia). This is a convenient choice for companies from North America because of the small time difference and geographical location.
However, we should also account for the risks of outsourcing. If you go with the wrong team, you may encounter delays. Other risks include communication problems and issues with quality and security. But you might also encounter these when working with an in-house team.
To mitigate risks, choose the right outsourcing company. Talk to previous and current clients, ask for case studies, and find out what tools the company uses.
Stop wasting time on time-consuming processes. Move forward with your business instead. Are IT experts scarce at your office? Do you have any outsourcing-related questions? Feel free to contact the Steelkiwi team. We strive to understand our clients’ businesses and add value to them.