Outsourcing your software development needs would be more beneficial and profitable for your business. You can automate your business while focusing on the operations and the business side of it while your software needs and digital transformation is taken care of in a very cost effective manner.


Outsourcing your software development needs means to allocate your software development functions to a third party team.

By giving your requirements to an outsourced team, you get more benefits for your business that include cost reduction, access to a larger talent pool, time saving and an increased productivity.

The trend to hire developers or a team of developers from another country or organization has increased as more and more businesses are seeing its benefits.

The physical boundaries are no longer a hindrance for companies who seek exceptional talent and require software developers.

With the growth of digitization, automation and technology, the demand for enterprise or application solutions has increased.

Why outsourcing software development is right for your business?

Many businesses worry about the risks of outsourcing their software development needs to another organization in another country. There are many risks associated with it and doubts and queries.


Also, why not go for a team of your own? Should the project be outsourced or developed inside the organization? These are the questions that arise. Here is why outsourcing software development is the right fit for your organization:

Launch your scaling business faster

Your business is scaling faster than you have anticipated. You services or products are a hit in the market and you want to expand. In order to reach out to all your customers and provide a better, efficient and faster service, you need software or an application based business. This is where outsourcing comes in.

When you are scaling your business in the market at a quick pace, you want to automate and give it a digital transformation as quickly as possible. You require a project that is delivered to you for you to launch your product in the market as soon as possible.

By outsourcing your software development to another company, you get a ready to launch product. Usually, the software development companies have core products of different domains ready with them.

Only the development part is left and based on your requirements, you can quickly get your product to launch in the market.

Your core is not software-based

Sometimes, your new idea, new product is software based. Your business and your expertise is not in the software development niche. Your new idea requires you to have a software-based product that is completely automated.

It is imperative that your business also launch a software-based or a mobile application based service to keep up with the trends and the rapidly changing market demand.

This is where you know that your skills are not matching with the need of the hour. For this, you can give your requirements to a software development company and get the entire project outsourced.

This way, you will be able to have a software or mobile application based product ready without going into the technical expertise or having to hire developers of your own.

Increased workload on the existing business

Your business is scaling faster. This means two things. Requirements of software development needs and the increased workload that needs to be managed.

Sometimes, your workload and management of all the operations and sales is a difficult task for your business.

You are unable to juggle both the new requirements as well as the current increasing workload and increasing demand of the product or service. This means you neither have the time nor the luxury of hiring your own developers

By outsourcing your software development to an outside team, you reduce your workload. Half of your functions are delegated to a third team while you can focus on managing the incoming demand and workload of your business.

You want to reduce costs

When it comes to doing any changes or additions to your business and its functions, there is always the risk of incurring higher costs. Software development comes with a price as it is a very complex and expensive process.

To give your business a digital transformation while also saving costs is something that is possible if you outsource your software development needs.

By outsourcing software development, you reduce the cost of providing resources and infrastructure as they are all available with the outsourcing team.

Outsourcing software development is very cost effective as the cost of outsourcing a team of developers for your software development requirements is lower in comparison to hiring an in-house team or getting your own development team.

You need domain experts for your business

Software development for your business doesn’t just mean you can outsource it to anyone. Your business caters to a particular segment, a particular niche in the market and for that, you need a domain expert that specializes in developing softwares in your industry.

When you outsource your software development needs, you have the luxury to choose a team of developers that are experienced and skilled in developing softwares in your domain.

This is highly beneficial for your business because a software developed by a domain expert comes with their recommendations and expertise as they are aware about the market and the requirements of such a software.

You want custom development with upgrades

When you require custom software development and upgrades and updates on your existing business, outsourcing your software development is very advantageous.

You can get you requirements seen to and at the same time, outsourcing software development comes with updates and improvements in your product even after the project is completed.

In order to give automation to your business operations, you require software development but at the same time, one which can constantly be updated with new features or new ideas.

This is where software development that is outsourced is the best fit for your business.

How to know which outsourcing model is the best for your business?

Outsourcing software development comes in different types of models. Your business should go through all the alternatives and based on your requirements, should select the one that is the best fit for your business. The different types of outsourcing models are:


Read more: How to Choose the Right Outsourcing Model

Time & Material

Time & material model of software outsourcing is for dynamic business requirements. Sometimes, businesses require certain changes and not the entire product, Sometimes, there is very less requirement that might take very less time.

For such requirements, time and material is the best model of software development for your business. In this model, you are allocated developers with a pre-decided time period.

For instance you hire the team for 40 hours. Here, you get to provide them with your requirements and pay the outsourcing company for 40 working hours of each developer.

Dedicated Model

A dedicated team of developers is a group of skilled developers that are chosen based on the requirements of the project. In a dedicated model, the client has to supervise and direct the team with instructions and requirements.

A team of dedicated developers are assigned that work full time for the entire project of your business as per the agreed upon time. In a dedicated model, there are three different types – offshore, nearshore and onshore.

A dedicated model is more suitable for your business if you require a project that will take a longer time to complete and will need expert professional skills and knowledge. In this model, you will hire and select the developers for the team.

Fixed Price Model

In a fixed price model, the developers, the team, every resource is assigned by the outsourcing company. You just have to give your requirements and they will provide you with the team of developers.

This type of model is suitable for your business when deliverables and expectations are fixed and decided without any further changes. If the project goals and objectives are defined, the fixed time period will not be exceeded then this is the type of model you should go for when outsourcing your software development needs.

Product Engineering

Product engineering means from start to finish creating an entire new product. Starting the software development from scratch till the finished product that is ready to be launched in the market is delivered to your business.

In Product engineering, there are 2 different types – Consulting, planning, strategizing and Complete product engineering with software creation.

In consulting and planning, the outsourcing company studies and evaluates your business and provides you with the roadmap and a plan with a strategy for giving a digital transformation to your business.

In complete product engineering, you get consultation, planning as well software creation from the start. Here you will get the entire product ready to be launched in the market.


Outsourcing software development is something that comes in different types of models which is beneficial for your business. Any type of small, medium or large enterprises, outsourcing has an option of different models for your business to choose.

This way, not only do you get to outsource your software development, but you also get the opportunity to choose the right fit for you.


Krutika Khakhkhar

Krutika is an accomplished software project manager with years of experience leading complex software development projects from conception to delivery. They possess a unique combination of technical and project management skills, which enables them to successfully manage and motivate cross-functional teams to deliver high-quality software solutions.

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