5 Reasons Why Outsourced Product Development Makes More Sense Today
– By Nagendra Rao, Vice President
Software vendors have been traditionally shy of outsourcing compared to other enterprises like manufacturers, retailers and service companies. Reasons have been many. Some desired to keep the “crown jewels” in house, and others were apprehensive about IP security. Many vendors found it easy to manage development in-house since it was much easier then to find, hire and retain software talent. The times have changed now. Here are 5 reasons Why Outsourced Product Development Makes More Sense Today
Gartner in a recent report stated how growth is the most important sustaining factor for software companies. Hardly 1% of software companies have the consistent growth rate required to win business and stay afloat in the market. According to them growing and sustaining growth is really hard.
Growth depends on resource availability. For CEOs of smaller software companies, it seems there is a need for limitless time and infinite resources. They never have adequate development talent to meet release deadlines, build new features and new products demanded by the market. Hiring is expensive and adds considerable fixed costs. Finding talent that has the right product development experiences that can accelerate product releases is also tough.
A capable outsourcing partner can help you gain access to the requisite talent needed and can help you meet the deadlines you need to penetrate the market in available time window.
The Social, Cloud and Mobile revolutions are disrupting the market more than ever. But the technology choices are so many and frankly, confusing.