In the rush for digital transformation, many businesses are investing in software development to provide them with the tools they need to streamline business operations, gain a technological advantage over their competitors, and offer digital apps and services to their customers.

Many organizations do not have the resources to maintain an in-house IT team with all the specialized skills needed to handle every aspect of software development and maintenance. Instead, they outsource to a dedicated third-party software development services provider that can build, optimize, or maintain digital products for them.

The outsourcing model has many advantages. Businesses can get a custom software product tailored exactly to their needs, and not spend more on IT staff than what they need for the completion of the project. It is easily scalable and leverages cross-border talent to find in-demand skills at a reasonable cost. But outsourcing does come with some risks. Organizations considering this approach should take care to avoid these three main pitfalls:

1. Going In Without A Plan

Getting a software product designed to exactly meet your goals sounds great, but it only works if you know what your goals are and can communicate them clearly to the development team. Before starting your search for an outsourcing partner, make an outline including the following:

  • Technical requirements for the software
  • Desired features and functionality
  • Intended users
  • Roles and responsibilities on the team
  • Ideal budget and delivery time

Even a basic sketch of a plan that addresses the above points can be a starting point for discussion with the developers and help set expectations going forward.

2. Not Researching Potential Partners

Don’t commit to a partner that you know nothing about, even if they can talk a good game on a phone call. First, research potential partners using platforms like Clutch, and read testimonials and case studies from the software company that detail previous clients to see if they have relevant experience.

3. Failing to Establish Communication Channels

Outsourcing software development requires collaboration, and it’s best to set clear expectations from the start. Agree on a schedule of calls, video conferences, etc., with the responsible people. If the company offers a dashboard for monitoring progress, make sure you are familiar with how it works and actively use it.

Software development can be complex, but by avoiding the three common mistakes detailed above, you’ve already taken the first steps toward a successful project!

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CEO, AccelOne

As Chief Executive Officer of AccelOne, I feel very fortunate to lead a team of consummate professionals in the field of software development services which are delivered out of Argentina and the US. My operating experience spans industries which include venture capital, private equity, advertising/ publishing, search engine marketing and social media. I have built, trained and led sales and marketing teams from scratch which have gone on to become Fastest Growing companies per both Inc, magazine and Puget Sound Business Journal.
Specialties: IT & Software Development Outsourcing, IT and Software Development Staffing, IT and Software Contracting and Consulting, Software Project Management and Development, ecommerce, publishing, media, Distributed Teams, Nearshore, Offshore, Argentina, Agile, Mobile applications, Android, Apple, iOS, Windows, Tablet apps.