Management Information |
Is It Worth To Outsource? How One Can Outsource Wisely
Recent trends in software development market show that it is no longer the most efficient way to work onshore. Competition is too high and in some particular cases, US or European IT people even go farming rather than admit the situation and adapt themselves. This article is mainly for those who are going to stay straight in the industry whatever surprises it keeps bringing. International division of labour has done its work. So nowadays, if you ask anybody about the regions he associates with IT-industry, you'll get quite a short list: India, China, Russia, Eastern Europe. No wonder, historically these regions had the most efficient technically oriented education. In addition to lower cost of labour in the East, that is their main selling point, which determines their competitive strength. As a logical sequence, almost each leading company engaged in IT sphere, whether publicly or secretly, outsources a part of its current work to third parties, often offshore. No wonder that Indian and other offshore software development companies prosper. So what are the key factors that make companies outsource? 1.Cost of labour is often several times less than onshore. 2.There is no need to maintain the whole technical infrastructure 3.Company can concentrate mainly on marketing tasks Although that sounds good and promises several times bigger profits, incautious outsourcing can be a trap for any company. Don't forget that you entrust your reputation to a company that is thousands miles away. Hence, if you have made a decision to outsource a part or the whole project to some company, you should take into consideration five simple tips. Make proper research Consult alliances and associations Communicate carefully Ask for references/samples Phone or visit them If you can do at least three of these five steps, there will be little chances for you to be cheated by an unreliable company thousands miles away. You'll be able to experience that kind of wise outsourcing that can give you required competitive ability. Each time you are going to give some project for offshore development, take into account that you should be an initiator and wise decisions maker. Research, consult, and communicate. That's the motto of any company that is successful in outsourcing. It's not too complicated, is it? Alex Polonski is a Senior Sales Manager in XITEX Software Company, Ukraine. The company works in offshore software development market since 1999 having fair expertise in J2EE and .NET technologies. Among company's own-developed and marketed solutions, one can see a J2EE content management system, Xitex WebContent M1.
MORE RESOURCES: Unable to open RSS Feed $XMLfilename with error HTTP ERROR: 404, exiting |
RELATED ARTICLES
Hiring a Book Keeping Service Whether you choose to do your own books and accounting or hire those services out there are a few things you should know first.A good book keeping service will normally charge you around $200 -500 per month while you are still somewhat small and you can receive: Profit and Loss Statements; Balance Sheets; Bill Paying Services; Checking Account Reconciliation; Journal Reconciliation; Tax Information Preparation; Tax Return Filing; Etc. Success: A Wholistic Perspective The world has always been mixed with the rich, the poor and the middle ground. Should we assume that if you make more and more money, that you are more and more successful? Perhaps not. Its Not Always What You Say A major source of communication breakdowns is incongruence between the words that people say and the nonverbal signals that they send, largely because we lose sight of the fundamental truth: You cannot not communicate. Every second that we are in the presence of another, we are constantly sending and receiving messages, often silent, nonverbal messages that can either augment our communication effectiveness or detract from it. Innovation Management: Radical Innovation Creativity can be defined as problem identification and idea generation whilst innovation can be defined as idea selection, development and commercialisation.There are other useful definitions in this field, for example, creativity can be defined as consisting of a number of ideas, a number of diverse ideas and a number of novel ideas. Muggers in Our Midst - When Rumour and Gossip Pay You a Visit 'I heard it on the grapevine' the old song goes. But the grapevine has the potential to cause your business strife, misunderstanding and ruin! In effect the rumour mill and gossip are dangers you cannot ford to ignore. Status Quo Pep Talks That Can Threaten Your Leadership Organizations live and die by results. Yet most organizations get a fraction of the results they are capable of. Tales from the Corporate Frontlines: Ideas for Everyday Training This article relates to the Training competency, commonly evaluated in employee satisfaction surveys. It tells the story of a group of team leaders who worked together to find ways to use information sharing and communication to provide valuable employee training. Virtual Assistance: A Money Saving Opportunity For Employers What is a Virtual Assistant? A Virtual Assistant is a highly skilled, independent entrepreneur who provides business services in a remote or virtual environment. Some have used terms like telecommuter or working from home. Take Your Firm to the Next Level So you did such a good job in 2003 at bringing in new clients to your firm that you're swamped with business, your firm is large and growing, and all parts of your marketing system are in place and running smoothly? Congratulations - you're off to a great start for 2004!If you can confidently answer "yes!" to the following metrics, then you're ready to take your practice to the next level (and if your answer is "no," get back to basics at http://www.turningpointemarketing. Innovation Management - does the idea fit with the firm? Creativity can be defined as problem identification and idea generation whilst innovation can be defined as idea selection, development and commercialisation.There are distinct processes that enhance problem identification and idea generation and, similarly, distinct processes that enhance idea selection, development and commercialisation. Is A Bad Attitude Permanent Today there is great weight put on a person's attitude.It is as if this is something for which they are individually responsible and should be held to account for. How To Get 10% More Work Out Of Your Employees It is getting harder to run a business for a profit. Weare faced with rising costs, lowered demand etc. Avoid Outsourcing Pitfalls in the Injection Molds and Stamping Dies Markets When looking to outsource overseas for Plastic Injection Molds or Stamping Dies there are many things to consider.Usually price is the first thing to be looked at, that's probably why you're looking overseas for a new mold or die source-to save money. My Companys Leadership Sucks! Maybe it's the season or just a more buoyant job market; but lately I'm sure involved in a lot more discussions about leadership.I'm receiving more requests for help defining the key characteristics which make a great leader; and I'm hearing a lot of negative stuff from clients about their bosses. Are You in Control of Your Practice or Does it Control You? One of the most common complaints that business owners have today is that they feel their practice is running them and that they're being pulled in every direction instead of really running the business themselves.Well, I'd like to tell you, when I was in practice I experienced the same thing. 6 Steps To Effective Management During Change Take the pain out of gain and decrease the upheaval surrounding change by following six commonsense steps to effective management.Step 1: Establish ObjectivesThe process must begin with a clear and detailed statement of objectives and move from there to goal design. Empowering Others - Giving Them Some Control It's been a pretty good weekend around the place - not done a lot, but I have done what I've wanted to do - and that makes the difference.I changed my role when I first left the employed world. Provisioning/User Management System Upgrades: Part I -- Ten Reasons Why Not To Do An Upgrade Tommy Sherman daily monitors a helpdesk-provisioning queue for a large company. The current provisioning/user management system was written with homegrown software. Think Twice Before Selling ROI When we're selling to business people, our value proposition has to show a good return. Solid, credible Return On Investment (ROI) calculations are supposed to prove this for us. Humor in Business With the advancement of computer simulators, anybody can repeat all the business routines before he goes to the field, and have the opportunity of relaxing from the tedious work with numbers. The businessman can concentrate more on the human factors: The Customer Service, the relationships among fellow workers, and self care. |
home | site map | contact us |