What are some risks of software development outsourcing?

How do you minimize risks when you outsource software development?
Co-founder, Laylo
Your goals are almost guaranteed to be opposite. You want to keep costs low, iterate as much as necessary and find product market fit. They want you to pay them more, and often. They are also rarely obsessed with your vision which makes it extremely difficult to build the thing that's in your head (especially when you are communicating via text in most cases). To minimize the risks you should work with them in sprints, have set development costs that includes iteration and you should get a breakdown of everyone that will be working on your project. You should be constantly working to replace them with a full time co-founder or employee as soon as possible. Keep detailed notes of the positives and negatives of each of their team members so you know what you are and are not hiring for.
Founder of Fusion Engineering
I think it’s a fundamental misunderstanding of what software is. It’s not just technology it’s also artistry. Visually, philosophically. When you outsource you loose something. You just get back something that’s often lacking.
Startup entrepreneur.
You build trust based on the virtual (usually) meeting and portfolio only. There is nothing wrong with that approach unless you sign a good contract before commencing the work. And it is valid for the both sides. Check this Software Development Agreement out: https://doctual.com/document/1YQ...
Well, there is no proven way. Don’t listen to people who say that there is some kind of algorithm for determining a good vendor. Sometimes you can do everything wrong and just get lucky with an awesome team, and sometimes everything is done by the book but you end up with crappy developers and testers. Checking reviews, analyzing portfolios, looking into ratings, and assessing team - it all seems so well-known and so boring. Show more on https://svitla.com/blog/5-risks-.... However, when I talk to our clients and ask them how they found us, it’s often ‘You answered my letter first’. Really? Okay, you can get lucky. But there are never too many things to check before actually giving your project to vendor’s hands. Trust me, it’s so much easier to understand a client when he/she knows at least remotely what to expect from the project, what is the purpose of the service. Now, if you have found a good company, you’ll be lucky because they won't start developing a purposeless project but rather recommend a better alternative. However, not all companies are willing to do that. Hence, protect yourself. Your goal is not to do something a cheap as possible. You want to create a great service which will achieve your main business goal. Preferably, cheap. But it is not, and it never should be, the main thing you look for. You deserve to know all the details. Ask examples, ask estimate, ask risk evaluation. Whatever you need, you should ask. Don’t worry about looking incompetent or whatever. The more you know, the more control you hold over the project. And control matters.
Product & UX Nerd
I think if you get contractors with a set time period on a project they might not implement solutions in the most stable and maintainable manner. If they are faced with bugs, its easy to put a hacky fix rather than a maintainable solution, if you know you wont be responsible for the code in 3-6 months and just want to get the job done/leave for the day. I think you want a technology expert reviewing the outsourced teams solutions and code to help make sure you are getting good quality results.
Most often is: misunderstanding, management, technical debts. The most important thing communications. It makes sense to talk with a team. Ask the experience they have. What projects did. And how can they solve issues. Check out this https://plus1generation.com/dedi... software development team.
I'm a digital marketing specialist
Risks always exist in any business. It is better to consider the following risks in your legal documents before you proceed with technological implementation: - Delays or inability to complete declared services - Not meeting the service levels - Performance interruption or cessation - Violation of laws by the service provider that impact the customer - Intellectual property infringement or abuse - Failures in communications between the parties More about it here https://perfectial.com/blog/stay... Also, check if the company has a relevant outsourcing experience, C-Level executives, Local presence. However, despite the risks of outsourcing, this area will only evolve. Because you have a lot of benefits, one of them, you can to create a dedicated team that will work with your project. Also, it is a cost-cutting tool. More about Dedicated Team - https://perfectial.com/services/...
Founder budgetfuchs.de
A risk you might face rarely, the contractor, even a larger company, can retract quite abruptly due to unrelated factors. In those cases you might face a very short notice. All the knowledge the individual developers and designers have accumulated is lost and replacements will have to spend time to work into the application.
Dir. of Product @ Nexcess | CEO @ Forge
Barring being the complete gatekeeper for any/all lines of code/infra that get built, you're running the risk at something being "acceptable" but not at your actual standard for quality. That being said, you could definitely review everything that comes in, request revisions, then repeat... but that in and of itself might end up killing the cost benefit of outsourcing. Also, there's a *huge* difference between talking to "Jane Smith" who runs your website codebase whenever you're in the office, vs "Website Solutions, INC" who you're talking to at whatever their review standard is. There are great companies that can help with Software Engineering from a contractor perspective, but unless they can also - ideally - cover the gap between third-party vs actual hire it's tough to justify IMO unless you're really trying to save some capital/it's something small.
I like to use book writing to illustrate the software development process. As you did not provide more context, there are many possible starting points. Are you having a guest author for a single chapter? Do you want someone to write the whole book for you? Do you want them to write only half of the book and then hire someone else to finish the book later? You can probably see where this is going. This biggest risk is if you want someone to start working on your project and then have the next person continue. This will be the most painful approach if there isn't a good hand-off – how is this project structured, what assumptions were made at each point, etc. Even if you hire a developer with the same skillset later, your project might be in such state they will want to scrap it and start anew (hint: they always want to do this). Many times, such code is expected to be a throwaway code because of this. The fact your contractor will work on a fixed time cost basis fundamentally does not align with your goals unless you're working on a side project or developing a single feature. As an example, a large software company hires agencies to develop apps/demos for their annual conference (writing a whole book; once it's done it's done). SaaS companies often hire contractors to work on certain features in their projects if that's not their in-house specialty (writing a single chapter). Lastly, companies might outsource their main project for speed if they're raising funds, but I'd argue this will become only a throwaway code that will need to get rewritten later. On top of this, there are all the usual risks, deadlines, communication, competency, etc. Feel free to message me on Twitter if you want to talk more 🐦 https://twitter.com/lmenus.
PR Manager, BetterMe
I guess, its can be: 1.lack of engagement in the project 2.fear of miscomunication 3.product owner not being familiar with the processes and workk flow 4. proficiency level of developers So, the main risk is communication. If u can find a proper team and person who can explain and even more can actually hear u, don't be afraid - go for outsourcing
Backend Developer @Happyfox
In most cases, you can't align them with your vision and milestones easily. But, I have seen a lot of teams who are very much passionate and can really well-align with the teams and efforts. How good it would be, if there's a site that helps in maintaining a very good portfolio for these teams who handles a lot of outsourced development projects?
Strategy Execution w/ HoshinOnline
Its really about building a relationship with your offshore developers. If you are able to communicate your ideas efficiently and respect them as a co-worker- you will get a lot of success. I also like to visually communicate my ideas. When I work with the SDC teams, we used a lot of visual communication to explicitly 'show" developers what we are trying to express.
Web Development: www.innotechsol.co
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Digital Marketing Agency
When You Are Going For Some Outsourcing in software Development, then many risk are waiting for you. Its Sound Funny But This is truth. If You Are Developing 1. Duplication 2. Some Minor Security Bugs 3. Not Good Support 4. Sometime deveoper Use Some cheats while devekoping software which means they can track the same in future Adsmania
I think the risks always are and always will be. To minimize them, you need to work with experienced teams and companies that have already overcome various obstacles. From my own experience I can advise the following https://www.romexsoft.com/dedica...
I'm a SEO
Risks are really big and it will be hard to avoid them) Be ready! By the way, company Zefirity - https://zefirity.com/en/ - is fighting with them for a couple of years
I'm a SEO
Well, in every sphere of life you will face some risks. That's no something inappropriate! For the software development one risk is to miss SEO services. Really, it's true(( And lots of developers and their employers forget about that. This was a problem for approximately 5-7 years ago, but now our industry is growing up.
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