Outsourcing has quickly gained mass popularity due to the emergence of mobile apps in recent times. There is great demand for mobile apps, as businesses try to make their products and services more accessible to consumers. The number of smartphone users across the world has increased exponentially in the past couple of years, and it is only expected to rise further. This has placed additional pressure on enterprises to develop mobile apps and even more on those without the resources to make that happen by outsourcing to a mobile app development company.
The number of businesses that have started outsourcing their operations to others has also risen, and there are several advantages and disadvantages to this. Most companies act hastily in the race to get ahead of their competition, and the result is a haphazard app at the end. If you’re thinking about developing a mobile app for your business, but don’t have the resources, it is advised that you acquire the services of experienced professionals, as outsourcing mobile app development can allow you to compete with the big hitters in the industry.
So, if you’re thinking about mobile app development outsourcing, and want to understand whether it is worth it, you have come to the right place. We are going to do a complete rundown of the pros and cons of outsourcing mobile app development.
WHY COMPANIES MAY CHOOSE TO OUTSOURCE
There are several reasons why companies may choose to outsource mobile app development, but the primary ones are mainly because of resources, experience, technical expertise, money, or time. You may be forced to search for an external business to build a mobile app for you, especially if they are offering you cheaper rates for development services. The state of the market for mobile apps is growing exponentially. The secret for developing a proper mobile app is to ensure that you make the effort to establish a working relationship with an agency that is technically-strong.
That is the best way to make outsourcing work for you, as being on the same page with your partner will ensure that you’re both working together to create a proper mobile app. When you’re outsourcing mobile development to another company, there are several pros and cons that you end up gaining.
THE PROS OF MOBILE APP DEVELOPMENT OUTSOURCING
The first step towards successfully outsourcing mobile app development is to ensure that there is a team of managers and developers. Their main task is to ensure that everyone focuses on their activities, by delegating important tasks to professional partners, especially other outsourcing businesses that help create a professional business by adopting the duties of their clients. The main advantages of outsourcing are to ensure that you can cut down on costs and invest the extra capital for new development paths in the company.
The primary advantage of outsourcing to another business to take advantage of significant cost savings, which will not only help clients but also reduce development costs. You can also invest in extra capital to ensure that you can easily develop new paths for the company. There is a time to talk about these advantages closely, but you should also select the right partner for outsourcing mobile application development. One of the main things is to look closely at these advantages closely, but you should keep in mind that there are a lot of different factors that come into place when you choose to hire an external business for mobile app development.
Therefore, it is best to do your research and properly understand mobile app development outsourcing before you go ahead and acquire their services.
Here are some of the advantages you end up gaining from outsourcing mobile application development, instead of developing it in-house:
Cost reducing
One of the biggest advantages of outsourcing is that it helps save money and time because you don’t need to hire any employees for development and the outsourcing company will complete the project within a month. There isn’t a need for clients to spend any more money based on specific taxes for equipment, workplace, and employees, etc. You won’t need to spend any money, efforts, or time on the training and recruitment process since there is no need for releasing any resources. Here are the salient points of the cost-reducing advantage you gain from outsourcing:
- Acquire services at lower prices and higher quality
- Reduction of extra fees and charges
- Outsourcing is cheaper than looking for qualified staff
- No additional taxes on employee wages
- No additional charges for staff health, vacation, and weekends
There isn’t any need to invest any time or resources in the organization of employees and workplaces, or the infrastructure, as the mobile app development company has already chosen to outsource it. In most cases, clients pay fixed prices, because it simplifies the aspect of financial planning.
Quality and efficiency guaranteed
When outsourcing mobile development, you can be certain in almost all cases that you will get a superior standard of work. This is mainly because there are a lot of businesses that specialize in mobile development in the IT industry. They have experts, who are competent enough for working in all types of conditions and quality, whereas clients can choose to return services or pre-payment services if they don’t like the result of a job done poorly.
A lot of clients can return services or pre-payment services if they don’t like the result or if they don’t like how the job has been accomplished. A lot of customers can’t do that with their regular staff, because they can deny bonuses and fire staffers, but employees will always be paid on time. Here are the salient points of quality and efficiency you gain from outsourcing:
- Specialized experience in app development
- Using highly qualified staff, technologies, knowledge, and specialized equipment
- Competition on the outsourcing market
- Developer and client focus on the main business purposes
The outsourcing company guarantees superior quality work and can work in any timeframe suitable to your business.
Reduction of risks
You get the freedom you deserve, and peace of mind, since you won’t need to continuously monitor projects or have to worry about employees not completing tasks on time. Here are some of the benefits you gain in terms of reduction of risks when you choose to outsource to companies:
- The client pays for the result but doesn’t need to deal with any employees
- No employee downtime and illness to worry about
- All risks are taken by the outsourcing company
- No need to worry about downtime during the development phase
One of the main advantages you gain from outsourcing is not worrying about timing, since you have specialists working on the task. Even if they experience any delays or other problems, you don’t have to worry about anything. The outsourcing company will compensate you if such conditions aren’t specified clearly in the contract.
These outsourced mobile app development companies employ specialist developers, who will deliver exceptional results since they must maintain their market competitiveness and reputation.
THE CONS OF MOBILE APP DEVELOPMENT OUTSOURCING
Now that we have discussed all the pros of outsourcing to a mobile app development company. The next topic of discussion is to discuss the cons of outsourcing to a mobile app development company:
Loss of confidential information
If the priority is to protect confidential data or information, you should be selective when choosing to outsource to a mobile app development company. There are a lot of freelancers, who will offer to help develop your mobile apps without thinking about protecting confidential information. You can avoid losing confidential information to third-parties by having them sign an NDA before you hire them.
When it comes to mobile app development outsourcing, you will learn that there comes a time when you must trust someone else with confidential information. You must, therefore, try to ensure that you are on the same page with the development company if you want to ensure that nothing of this sort happens. However, there is always a risk of confidential data being stolen or information leaking when you choose to outsource to another company.
No control over the process
Once you outsource mobile app development to another company, you have no control over the process, and may not get reports daily. When you’re not personally overlooking every instance of mobile app development, you will end up compromising that constant assessment at the end of the day, when it comes to the progress of your project.
If you want to have greater control over the development process, then you should outsource your mobile app to a development company that has a dedicated project manner that will oversee every phase of your app development project.
Communication gaps
There will obviously be instances where you will have communication gaps, as there can be differences in time zones. This may prove to be problematic, especially when you want to get timely updates, which can be addressed if you sign up with a reputed mobile app development company that will address the language-centric issues you are dealing with. To ensure that there are no communication gaps, you must acquire the services of a company that offers you with dedicated project managers.
Loss in flexibility
There is also going to be less flexibility because requirements for an app change daily, and whenever you’re developing a new app, you must have an agreement in place for that. Any outsourcing project should have an upfront agreement with rules allotted for flexibility. Renegotiating contracts in the middle can prove to be impractical and expensive, so you should aim to work with a partner that is willing to accommodate all changes, and understands the development business.
When outsourcing, you should choose to hire skilled talent that has special expertise in mobile app development, and one that can deliver supreme talent. The most successful companies always put their heads down and are always working diligently to handle all challenges. So, make sure that you’re outsourcing to a mobile app development company that is versatile and experienced enough to understand the intricate nature of the business.
Unrealistic expectations
When you’re outsourcing to someone that is technically competent and rolls out apps in a manner that is time-bound, there is an inherent risk of mismatched expectations. There is always a risk of the development team that executes something that is different from the expectations of the client. The worst thing is to have a development team that has enough in their locker to cover any flaws in the app design that can’t be rectified later.
You can choose to have a robust and seamless system in place for communication that mitigates these risks, and that culture makes it impossible for successful outsourcing. Ensure that there are thorough requirements, backed up by solid documentation, requirements analysis, and a detailed description of product requirements, which is of paramount importance.
Final word
After weighing the pros and cons of choosing the right outsourcing agency for mobile app development, you should ensure that there are no operational or functional flaws. You can manage these flaws if you conduct an in-depth analysis of the company. This can be done by reading customer feedback published online, and considering their overall reputation in the market. There is no shortage of specialist mobile app development companies that are offering outsourcing services, and the best way to pick one is to understand the advantages and disadvantages that are associated with mobile app development.
Once you read up on the reviews, blogs, and forms published online, you will come to know about outsourcing to companies that have a reputation in the market. You can ask the right things and do your own research but the best way to pick the right one is to ensure that you’re doing your due diligence and don’t acquire the services of a company that overpromises but never fails to deliver.
Outsourcing is an agreement in which a company hires another company for planning and executing activities that could be performed internally; it also includes employees and assets transfer from one to another company.
A lot of famous companies like Google outsource, but only some of them succeed in doing so.The advantages of outsourcing software development are huge.
According to statistics, the gross market of software development outsourcing hit $64B in 2018.Here you will find out more on the following topics:1 The state of outsourcing development in 2019 - What's outsourcing?
Who outsources and why?2 The risks and rewards of software development outsourcing links for further reading3 Software development outsourcing models a comparison table4 Top 5 destinations for outsourcing software development5 How to start with software development outsourcing
You can increase your chances to succeed by reducing your expenses.Profit is the ultimate goal, regardless of the amount you invest in your business.To stay in the forefront of the changing world, businesses need to keep up with technology.Offshoring is a great way to save money and get ahead.Research and planning are essential in deciding whether to launch a new venture.
This will enable you to create the most efficient business structure.What Businesses Can Do to Reduce CostsTo ensure that every business runs efficiently and offers top-quality products and services, it is essential to make intelligent spending decisions.The profit margin is the difference between your revenues and expenses.
It is the difference between what you make and what your company makes.
This is the key determinant of a company’s competitive advantage.It is important to grow revenue at a rate of at least 15% each year.To maintain a competitive edge in the market, you must continuously seek improvement and make changes to your processes and spending.
You can cut costs if you don't have the funds to finance the needed advancements.There are many strategies you can use to reduce your company's costs.Priority-based Cost Cutting Strategies for Cost-CuttingEmployees are laid offOperational SavingsManagement a frenetic work capitalLower Supplier TermsReducing discretionary spendPrice adjustmentsProduct PortfolioReduction in the Management LayerAcquisitions Of Businesses And AssetsInvestments made in the area of Product DevelopmentCompensation adjustments for employeesSales Incentive Programs are changingOutsource/OffshoreNear-Shore/In-SourceMarketing efforts boostedMost information above shows companies making changes internally to reduce costs.
An exception is offshoring, which requires external help.What benefits does an outsourcing partner bring?Outsourcing is cost-effectiveOutsourcing your business, or the hiring of employees, can have many benefits.
