Software development projects refer to designing, creating, testing, and maintaining software applications. The life cycle of a software development project generally includes four distinct phases: requirements gathering, design, implementation, and testing.
Organizations may choose to outsource all or part of their software development projects for various reasons. One common reason is to save on costs.
Businesses today have their software development projects and hire dedicated developers to complete these projects. However, there are several advantages and disadvantages to this approach.
Advantages of outsourcing developers:
- Cost savings: When you outsource software development, you can save on average 30-50% compared to in-house costs.
- Access to skilled talent: You can check the developers’ skills and hire the most talented ones when you outsource.
- Flexibility: When you hire an outsourcing company, they can quickly adjust the size of their team according to your needs.
Disadvantages of outsourcing developers
- Security risks: When you outsource software development, you are sharing sensitive company information with a third party.
- Quality of the project might not meet your standards: When you hire an outsourcing company, you rely on its quality control process.
- Loss of control: When you outsource software development, you might lose some control over the project.
Hiring or outsourcing is still a smart move for your business despite the risks. Almost 64% of companies said outsourcing helped them save time and money. What is outsourcing?
When you hire an outsourcing company, they can quickly adjust the size of their team according to your needs.
Plus, they can help you scale your business quickly without putting too much strain on your in-house team.
Where to outsource developers?
The Philippines have shown competence over the years. Philippine-based developers, along with their skills, are excellent compared to other outsource providers like India, Vietnam, and China.
The country has a 97% literacy rate, with English as one of the official languages. The time difference between the Philippines and most Western countries is just +12 hours.
This makes communication more comfortable for project managers who want to avoid the language barrier and have real-time conversations with their team.
In Australia, Philippine-based developers are prioritized because of the following reasons:
- First, the quality of work is excellent;
- Second, the time difference is just 2 hours;
- Third, there is no language barrier;
- Fourth, the developers are hardworking and dedicated;
- And fifth, they are relatively cheaper compared to other outsourcing providers.
Although Philippine-based developers are paid cheaper, their quality of work can not be underrated.
Types of software development projects
Software development projects that are being outsourced are the following:
-Web development
-Mobile app development
-Custom software development
-Software testing and quality assurance
-Support and maintenance
Most Australian-based businesses want to cut their expenditures. By outsourcing their software development projects to the Philippines, they can hire developers at a fraction of the cost.
Aside from that, businesses also want to focus on their core competencies. Instead, they would outsource the non-core parts of their business, like software development. This way, they can focus more on generating revenue and expanding their market.
Moreover, businesses that outsource developers are exposed to the latest tech tools, trends, and methodologies. This is because developers in the Philippines are constantly updated with the latest in the industry.
Lastly, businesses that hire dedicated developers from the Philippines can get their projects done in less time.
Types of outsourcing
There are several types of outsourcing, and each has its advantages and disadvantages.
The most common type is offshore outsourcing when businesses hire developers from another country. The developers work in a different time zone to work on the project while the business is closed. This type of outsourcing is advantageous because it’s cheaper than hiring inshore.
The second type of outsourcing is nearshore outsourcing. Businesses hire developers from within their own country. This type of outsourcing is advantageous because developers are familiar with the business’s culture and can easily communicate with the business’s employees.
The third type of outsourcing is onshore outsourcing. Businesses hire developers from another country, but the developers work in the same time zone as the business.
The summary
To sum up, businesses with software development projects can hire dedicated developers from a software development company. There are three types of outsourcing: offshore, inshore, and onshore.
Offshore outsourcing is the most popular type because it is cheaper than hiring inshore or onshore developers.
Ultimately, you may want to work with Philippine-based developers when choosing an outsourced developer.