Startups and Outsourcing
The early birds of outsourcing
Getting things done by outsourcing experts has become vogue over time. Outsourcing although yielding productive cost-effective results, may flip the organization upside down if done wrong. Outsourcing is not just choosing elite professionals for getting things done. The success lies in how effectively we manage and be co-operative with the outsourcing team. Choosing the right ground to outsource is as important as outsourcing to the right company/person.
Outsourcing does not end with signing contracts. Management is an inexorable factor for the success of outsourcing. A proper management framework is inevitable. The framework should cover everything since choosing an outsourcing partner.
When and what do companies outsource?
When the technology stack goes out of the scope of companies, they outsource the technology stack. Outsourcing starts with writing content for the website for developing software technology for the companies. Many a time, business enterprises do fall in the trap of low costs. Hiring ten lions for the nominal cost is better than hiring hundred sheep for cheaper costs. Look for lions that are fierce with the tactics and not sheep that just bleats to your words. Cheap costs should not be the only motive for outsourcing. Effective workmanship should be the holy grail of outsourcing.
Startups are irresistible to outsourcing. This half myth and half fact. Taking it a startup or even a small business community, the resource strength is not too large. So, it is better to channelize the works and outsource it to experts. A good management framework should seep in every possible channel that is outsourced so that everything stays in the right rails. Hence it is very much important for the organization to be more effective than the outsourcing company.
The perspectives and objectives of outsourcing are not the same for all organizations. Outsourcing techniques vary with the development phase of the organization as well.
How early bird misses it worms?
The fascinating news that air around the internet will not always work in real life. Startups should research on factors and grounds of outsourcing. They have a deep passion and perseverance in the very beginning. Some aim at a very big goal and deal with little effort stack. Let us now look into common oversights of startups on outsourcing. Here is a catalog of scenarios to which you should put a big NO!
Outsourcing from day 1
It is better not to build a business paradigm that solely depends on outsourcing ground. Build from the minimal budget and focus more on the prototype than the audience. It has always been a problem where the company focuses on the crowd but not their demands. If one has enough manpower to build a prototype, it is preferable to train them than to just blindly outsource the prototype. Make your scratch first and evaluate it. If the pattern goes well, only then think about outsourcing to make it better. Do not depend on the outsourcing grounds for your entire prototype. This may multiplicate your cost than hiring an in-house team. Target a considerable number of audiences in the beginning but do not overdo the counts dramatically. It is often better to be practical than being optimistic.
“No market need (42%) and ran out of cash (19%) are the top reasons for startup failure.”
— Fortune
Outsourcing core-fields
A proper mockup is important. It is really hard for someone to understand the module that we have in our minds. Although outsourcing companies are considered business partners, they are third parties and may miss the spirit and passion that you put on your project. It is better to keep the development of core grounds in the house as we have complete control over the in-house employee. However, the scaling factor of the pre-built prototype can be a better deal and will pay our needs.
Choosing fancy technology stacks
People usually stick to the trend. But the generic technology which is at low cost may have the power to solve high weight issues. Why build a project with high-cost fancy software, if it can be developed with a generic word document. Look for outsourcers who are professional and elite with generic technologies. One who knows to create a strong basement can build a castle over it. Sketch out the technology to match the needs. Let it not just focus on accessorizing the prototype.
Choose your outsourcers wisely. They should have the strength to accomplish ideas, not just quoting in the ideas. Creative, collaborative, conscious, and dynamic outsourcers are what we need.
Setting up contracts and not communication
Outsourcing does not always stop with signing the contract sheets. It is beyond signing the printed letters. There should be proper communication to get things done. We should treat everyone as human. An intense relationship should be built making the outsourcers feel that they are a part of our organization. Suggestions and feedback from a person outside the development team will ornate the system/project before releasing it. A good outsourcing partner should have the ability to think and make innovations. Do not give them the chance of only accepting and implementing the inputs that you give them.
Coupling cost and your wallet
Spending everything for what you build initially does not seems to be a good idea. Always save yourself some pennies. Find some regular investors, although it is hard. One can even test the beta versions with their business partners. The development scales over the period so does the cost of outsourcers. Fixed cost contracts may work out sometime as we need not pay for the results that we are not happy with.
It has been very clear that choosing an outsourcer who can go beyond accepting instructions is a brainstorm. Sign in with service providers who can not just give in ideas but develop a structure out of it. As a startup, it is important to get a standard market. Hence find an outsourcer who takes your efforts and works personal and progresses.
SHRUTHE L
