In the past, outsourcing was viewed as an easy cost effective way out for companies. In this day and age it is a tactical method that companies employ to acquire a certain skill set, save money and capture growth opportunities to increase the chance of success.
The development of an IT project isn’t entirely different to any other kind of outsourcing. When a company is faced with the insistent need to kick off a development project they have to weigh up their current in-house capacity, skills set and budget. One such company that has capitalised on the ever-growing need for an efficient out-source option in the IT industry is Pyramid Consulting, providing complete development teams for the likes of Atlassian Software and Microsoft.
According to Laurent Calamy, the Group COO of Pyramid Consulting based in Vietnam, cost is not the only factor that people should consider when looking into outsourcing a development project.
“While many companies find outsourcing a viable option simply based on its ability to cut costs, the benefits go way beyond this,” Calamy explains. “Using an offshore company provides the ability for a collaborative, hands-on approach which will increase the changes of a successful project.”
In the past, companies believed that cost cutting through outsourcing was the biggest benefit but overtime it has become clear that a fixed cost project isn’t always successful. There is an imperative need for companies to be more agile in order to leave room for change and growth, which is inevitable in the development and management of an IT project. Flexibility, whether with regards to budget or how the project is run, is essential for the successful management of a project.
The methodologies and tools used in developing a project offshore have changed considerably over time. Companies have moved away from thinking of the offshore team as a separate entity to their in-house team and are embracing them as an integral part of their in-house team. While some of the tasks need to be managed in-house it is beneficial for the team to capitalise on the skills that might not be available within their own team.
At the inception of a development project, which is being managed and run offshore, it is important to set up clear goals, encourage a transparent communication path as well as build a collaborative team. While using an offshore development team has its benefits it can mean cultural and language barriers within the team, which is one factor that needs to be managed from the word go. Having a team sitting offshore insures that there is a need for certain processes to be used to ensure transparency and collaboration among the teams.
While there is a huge demand for offshore solutions it is also imperative for companies to invest the time needed to create a cohesive communication pathway between teams. Embracing the skills sets available offshore will give a company the ability to use methodologies, tools and processes that they might not have thought of within their immediate environment.