When Should You Hire Offshore Developers?

Since the Industrial Revolution, businesses have started to grapple and have a competitive advantage to amp their markets and profits. The phenomenon of “own, manage and control” is still prominent. Companies have started diversifying while expecting high profits by increasing flexibility and creativity.

The idea of hiring resources from outside and making them work for a company is not new. Business owners have always collaborated with technology partners to level off while building long-term relationships.

The important thing about outsourcing or global sourcing is that it becomes a very powerful tool to leverage talent, improve productivity and reduce work cycle.-Azim Premji

Why Outsource?

Why Do You Need to Outsource?

1. Labor cost

One of the major reasons was to decrease labor costs. Rather than employing plenty of full-time employees on the payroll, outsourcing allows for a flexible workforce.

2. Efficiency

As professionals are specialists in their particular area, they are very familiar with the ins and out of everything. This way, the outsourced tasks can be completed effectively by highly-trained experts who can implement their skills and knowledge right away.

3. Customer Satisfaction

When you have the core business objectives to focus on, you will produce the products and services faster, and that is always a hit. There is no need to establish a separate department at your workplace, as most of the tasks can be outsourced. With this, the ability to respond quickly to issues and complaints can be handled smoothly.

4. Globalization

When you send a part of your business in different geographical locations, it helps in boosting the online presence. Depending on your collaborative partner, you gain a time zone advantage from the new arrangement that helps in operating 24 hours a day.

The other reasons include:

  • Reduce and control operating cost
  • Gain access to specialization
  • Free internal resources
  • Insufficient resources 

Factors that Influence Successful Outsourcing Include:

  • Understanding the goals of the company
  • Realistic strategies
  • Choosing the right outsourcing partner
  • A structured contract
  • Effective communication
  • Support

Questions that Determine if You Should Outsource or Not?

  1. Will the completed task create more value?
  2. Is it worth the investment?
  3. Can the task be done with better quality and in the shortest possible time?

When to Hire Offshore Developers?

When to Hire Offshore Developers?

1. Scaling or Increasing Staff:

Growth is a very crucial element of expansion. If your business is unable to incorporate various growth strategies like cost reduction or technology needed to improve performance, you might be hindering the ability to thrive in the marketplace. Having diverse clientele, offshore companies become collaborative partners that offer operational flexibility.

Outsourcing gives a competitive edge by helping in streamlining your business process, maintaining consistency across various geographies, enter into the international markets, or scale up/down efficiently.

This allows your organization to be flexible and nimble without diverting themselves from core competencies. This is actually a winning combination from keeping your business apart from your competitors.

2. Restricted Budget or Cost Reduction:

Startups usually have a restricted budget, and for this reason, it becomes very difficult for them to hire experienced professionals. Moreover, providing systems and other resources adds up to the cost when they work with your in-house team. Hiring developers is the best option to consider.

Besides, there may be a time when you want to lower the cost but want to expand your team to produce quality work. That is the right time to start outsourcing. While keeping production at its peak, you can easily bring down the cost.

3. Non-Core Skillset is Required:

When all the business functions are housed together, everything becomes complicated. The backend tasks require a good amount of time as well as attention.

Adding more employees to the team for doing non-core skills may be costly. In this case, take the outsourcing route. You can outsource the back office, finance, and other work so that you get the best from the people who are best at performing those tasks.

4. Challenging to Meet Customer Expectations

Is your company struggling to invest and keep themselves updated with the latest innovative technology? Do you have customers that wish for customer service at any time of the day?

Today, customers have started expecting a lot from the business. Customers expect people to know their names, their history related to the company, and to stay available 24/7 and 365 days.

They don’t want the company to simply answer their calls and direct them to some other member. They expect the first call solution. If the implementation of new software is required, this is the right time to start outsourcing.

Many companies have technology-based software like Cloud Computing and Robotics, Cognitive Process Automation, allowing agents to provide personalized service to clients. These tools help customers in resolving customer problems efficiently on the very first call.

5. Team productivity is Dropping

Outsourcing is not about handing over the projects or tasks that your in-house team is not efficient, but it is advisable sometimes to outsource your core competencies as well.

By outsourcing those specific tasks, you can free up time for in-house departments and flex their productivity muscles. Outsourcing has the ability to streamline the process or aid your team to complete a time-consuming task while not abandoning your daily tasks.

6. When you are Experiencing Seasonal Spikes

Outsourcing companies specialize in anticipating and planning for peal call volumes, and they have the training abilities to ramp quickly when required. Supplementing staff when the customer base is growing allows your business to grow while staying focused on important tasks.

7. Team Abilities become Doubtful

Outsourcing can amplify your team’s skill set. For example, the marketing team can check nine out of ten things but lacks one area. But, by outsourcing this task, you will be able to complete the ecosystem.

No matter what type of business it is, building it up via strategic outsourcing helps a lot.

While talking about the IT sector specifically, most businesses don’t specialize in different types of technologies. To establish and manage the project, outsourcing to a technology partner that has a good understanding will help the business thrive.

High-time to Propel your Business Forward

As per the  Deloitte Global Outsourcing Survey, budget-friendliness still remains one of the major benefits of outsourcing, but the main motivation behind this has changed. Nowadays, companies outsource in a way that they work with partners and integrate services that they themselves are unable to provide.

For startups and entrepreneurs, outsourcing is a primary key to propel their startup forward faster more efficiently than they could with a small team.

Recommended Read: How to Start Your Company with an Offshore Team?

Common Myths About Outsourcing

Outsourcing Myths
Source – Google Images

1. Don’t Know Who to Outsource

There are many portals like Your Team in India and Toptal, where you can hire developers for different technologies. Who have to simply check their previous work and the quality standards as per your requirements.

2. Don’t Know How to Get Started with Outsourcing

It is very simple/ Create a job list and note down the requirements. Post the same and wait for proposals

3. An In-House Team can Handle Everything

You have limited manpower, but focussing on high value is extremely important. Giving all the burden to the team means they will focus more on quantity than quality.

Outsourcing enables the in-house team to perform tasks they excel in and gives the opportunity to the remote team to work on their specialized skills.

4. More Money is Spent

If your client is satisfied with the work that you are delivering and the quality is top-notch, the money is well spent. It should be seen as an investment that is worth the cost and gives a better outcome.

Let the Experts Handle the Tasks!

Hire Offshore Developers

It is always better to hire developers who are a talented pool of experts who specialize in their respective fields; it is always better to hand over the task to them.

Lastly, outsourcing ultimately proves to be a very valuable decision for your company, especially when you get the most out of your time and money. The best offshore development center understands that every business is different, and so are the needs. Considering the unique situation, they adjust the pursuit accordingly.

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