16/07/2024 7 min read Author: softgorillas

IT services outsourcing — how to make it work? Customers and software house expectations

Would you rather carry out your project in-house or outside of your company?

In general, companies prefer to participate in digital product development.
It is not surprising. After all, an organization that invests in a certain solution, wants to know that it will be created according to the predefined requirements. Unfortunately, in real life it is not always possible to handle project in-house without any external help at all. The thing is, that not every company has the means to maintain the IT department and experienced development team of its own. Non-tech businesses don’t always hire full-time developers and designers, as it is an unnecessary expense for most of the time. So how can they develop customized websites, applications or modernize their infrastructure? By leveraging an IT services outsourcing.

But how to ensure that IT outsourcing will prove beneficial?..

Why do misunderstandings between software houses and their clients happen?

In today’s fast-paced digital world, many businesses turn to IT services outsourcing to meet their technological needs. While outsourcing can offer numerous benefits, it’s not without its challenges. Misunderstandings between software houses and their clients are common and can derail projects if not addressed promptly. This article explores the primary reasons behind these misunderstandings and provides actionable solutions to enhance collaboration and project success.

Common Causes of Miscommunication

Effective communication is the backbone of any successful partnership. Misunderstandings often stem from several key issues:

1. Poor Communication Strategy

Without a well-defined communication plan, information can become fragmented or misinterpreted. A poor strategy may lack clarity on communication channels, frequency of updates, and key points of contact.

2. Inefficient Communication Tools

Using inefficient or non-intuitive communication tools can hinder collaboration. Tools that are difficult to use or not suited to the project’s needs can lead to missed messages and confusion.

3. Unsuccessful Client Onboarding

Failing to properly onboard clients onto the project can result in misunderstandings about roles, responsibilities, and expectations. An effective onboarding process is crucial for aligning both parties.

4. Non-Flexible Business Models

A non-flexible business model on the client’s side can make it difficult to adapt to project changes or new processes introduced by the software house, leading to friction.

5. Time Constraints

A lack of sufficient time allocated to the project can pressure both teams, increasing the likelihood of mistakes and oversights.

How Software Houses Can Prevent Misunderstandings

As experts in carrying out outsourcing projects, software houses bear significant responsibility for ensuring smooth collaboration.

Planning and Tool Selection

Strategic Planning: Begin with a comprehensive project plan that outlines objectives, timelines, and deliverables.
Selecting the Right Tools: Choose communication and project management tools that are user-friendly and meet the project’s needs.

Effective Client Onboarding

Educate the Client: Provide training on tools, processes, and methodologies.
Define Responsibilities: Clearly outline what is expected from the client’s team.
Set Clear Deadlines: Establish timelines and ensure all parties are aware of key milestones.

Continuous Communication

Regular Updates: Schedule frequent meetings to discuss progress.
Open Dialogue: Encourage questions and feedback from the client to address concerns promptly.

The Client’s Role in Successful Collaboration

Clients must also play an active role to ensure the project’s success.

Full Engagement

Active Participation: Involve relevant team members in meetings and decision-making processes.
Resource Allocation: Ensure the project has adequate resources, including time and personnel.

Understanding Outsourcing Dynamics

Educate Your Team: Familiarize your staff with the outsourcing process, its benefits, and potential challenges.
Flexible Mindset: Be open to new ideas and adaptable to suggested changes.

IT Services Outsourcing Challenges

Outsourcing introduces unique challenges that need careful consideration.

Selecting the Right Software House

Making the right choice in a software house is critical.

How to Choose Wisely

Specialization: Select a company that specializes in your project type. For example, don’t hire a web development firm for a mobile app project.
Client Testimonials: Review feedback from previous clients to gauge satisfaction.
Industry Partnerships: Partnerships with reputable brands can indicate reliability and expertise.

Cultural Differences and Language Barriers

Working across cultures requires sensitivity and adaptability.

Addressing Cultural Context

Cultural Awareness: Understand and respect cultural norms and business practices.
Language Proficiency: Ensure both teams have adequate language skills or provide translation resources if necessary.

Clarity in Project Requirements

Clear project requirements prevent scope creep and budget overruns.

Setting Clear Expectations

Detailed Documentation: Provide thorough specifications and expectations from the outset.
Flexibility for Changes: Establish protocols for handling changes and understand that additional features may incur extra costs.

Understanding the Difference: IT Services vs. IT Projects Outsourcing

Recognizing the distinction helps in setting appropriate expectations.

IT Services Outsourcing

Long-Term Engagements: Services like system monitoring and maintenance.
Continuous Improvement: Ongoing efforts to enhance service quality and client satisfaction.

IT Projects Outsourcing

Short-Term Projects: Focused on delivering a specific product or solution.
Defined Endpoints: Projects conclude upon delivery, requiring clear agreements on deliverables and support post-launch.

Tips for Successful Outsourcing

Be Vigilant and Informed

Research Technologies: Understand the technologies being used and their implications for your business.
Protect Your Interests: Ensure proper agreements are in place regarding intellectual property and data security.

Foster Strong Relationships

Feedback Loops: Create mechanisms for regular feedback to continuously improve the collaboration.

Build Trust: Establish a partnership based on mutual respect and trust.

Simply, if you want to outsource IT development project, you should participate in it — it is your digital product that is being developed.
In Soft Gorillas we always insist on client’s full involvement in the entire process.

One of the most significant reasons, why organizations decide to outsource IT services is cost reduction. By moving the development or some internal processes to the companies in another country, you can save some money
and still get the highest quality product.

Access to various talents is also essential. It would be not only difficult, but also very expensive to gather highly skilled experts specialized in a narrow field of IT in your company. Software houses, on the other hand, need such
IT professionals on a daily basis. By leveraging outsourcing, you can use their skills in your project without additional expenses.

IT services outsourcing certainly enables companies to enhance their focus on their core tasks. They don’t have to waste their resources, hire highly specialized IT employees and manage complex IT projects. We provide our customers with applications and websites they dream of, so they can focus on what’s really important.

Types of IT services outsourcing — responsibilities of a customer and software house

There are some types of IT outsourcing, which can be leveraged to improve your company’s efficiency. Each type is strongly related to specific IT tasks
and processes.

IT consulting outsourcing

Consulting services are usually carried out by internal companies instead of your own, in-house specialists. It is always better to ask other IT company
to assess the state of your systems. You can outsource the cybersecurity audit, UX audit and many others. IT consulting and auditing services provide you with the knowledge about your current solutions quality. Such feedback can be used when planning infrastructure modernization or investing in new solutions.

Outsourced IT managed services

If you don’t want to handle some basic processes in-house (like systems monitoring, access management, ensuring systems’ security etc.), you can ask an external IT company to take care of it for you. The benefits are that you don’t have to think about it and you move the responsibility to the service provider. It is often cheaper than hiring employees and paying for necessary equipment.

IT staff augmentation services

If you already have some IT experts of your own, and you are determined
to develop your digital product in-house, but you lack enough IT talents,
you should consider IT staff augmentation services. This type of IT outsourcing simply means borrowing an expert hired in a software house and adding him or her to your in-house team. It allows you to stay in total control of your project and in the same enhance your in-house team. Leveraging staff augmentation does not only improve the efficiency on the project, but also gives your employees an opportunity to gain some new skills from highly experienced specialists.

Total IT projects outsourcing

Total IT projects outsourcing is the type of service usually leveraged by companies that don’t have IT departments of their own or there is no development team among hired IT professionals. In Soft Gorillas we mainly focus on this kind of outsourcing. We develop websites, mobile and web applications for various businesses according to their requirements.
We can also evaluate the quality of your existing applications or websites and suggest to you, how to make them better.

This IT outsourcing model is the best choice for companies that want to develop digital products tailored to their needs. An entire development
in performed in software house, but the customer is engaged in the development process from the very beginning to the very end.

Which approach is the best for your organization? Follow this steps

We will be more than happy to cooperate with you, if you need a digital product in the form of website, web or mobile application.
Soft Gorillas team use popular and secure technologies tested by vast communities of developers. Providing users with highly customized business solutions is our most important mission, hence we improve our skills every day, to develop the most extraordinary applications.