“Eventually all companies will be software companies”. This quote is attributed to the venture capitalist Marc Andreeson and refers to how a larger number of businesses across multiple sectors require software as the world moves into an increasingly digital space.
Most companies who use their own software, do not employ a large number of software developers in order to produce and maintain these products. In cases such as financial institutions, it comes down to a small IT team that is not equipped with the necessary skills to produce the programs required.
A study in Forbes shows it takes 50% longer to hire talent for tech roles than any other position. In the United States at the end of 2020, there were 1.4 million unfilled CS jobs, yet only 400 000 graduates a year. The US is facing a particularly difficult situation with the skills shortage as it revealed that 69% of their employers had difficulty filling positions in 2020 and Tech was ranked in the top 10 most difficult roles to fill.
Outsourcing for skills has become increasingly popular to fulfill these roles rather than internal hire. It is a more time-efficient solution that allows your project to begin immediately. Time becomes a spare resource in management as companies no longer require micro-management of the project but rather can communicate with the project manager to keep up to date with developments.
The cost of outsourcing is reduced greatly for smaller businesses and startups as the price of a full-time development team on contract can carve a large chunk into salaries and the time spent training new employees. Costs can also be saved due to the possibility of outsourcing to a different country and therefore, a different currency. Stronger currencies can outsource labor just as the manufacturing industry does, in order to reduce its cost dramatically.
Outsourcing provides the ability to scale your resources as you need them. It is impractical to shift employee numbers once a project is finished and then go through the hiring process once more in 6 months when the next project begins. By outsourcing, developers can drop off the project when the need for a large team is no longer necessary. This reduces the cost of developer hours and in turn, the cost of producing the final product.
When you partner with a software company, you allow yourself the opportunity to find and use the latest, hottest technologies. Software companies and developers are always up to date with the latest trends in technology. Outsourcing allows you to use companies and software developers with the latest tools and skillsets, without having to hire these yourself. You can be assured that expert developers are on top of all the latest trends.
Finally, the ability to outsource leaves a company to continue to focus on what they do best. Rather than having to take on a skill set that is foreign or battle with too small a team of developers and an impossible deadline, leave the project in the hands of another. Hold regular meetings to keep up to date with the project manager and progress, but outsource this development to give you more time towards making sure that the core of your business can receive full attention. This will help you to keep on top of what is happening while outsourcing it to developers with the best expertise.
The universe of current advancements is so unique, and moderate that we should be in a nearby connection to remain in the pattern. For the IT field, it is vital to know how to appropriately further develop productivity, utilize human and monetary assets.
SovTech is a leading bespoke software development company. We have a team of over 200 expert developers that are ready to build your custom software. Need a developer or development team? Contact us today to outsource your best fit!