Companies have outsourced IT software projects to global development centers at an astounding rate in the past five years. While a minimal price is desirable in a tumultuous economy, the results yield higher costs in the long-run to obtain the desired solution due to increased involvement of internal staff, longer deployment times, and unaccounted expenses for additional resources to implement the quality solution. Companies now have an option to eliminate these unexpected costs and lengthy deployment times by engaging local expertise through domestic outsourcing firms.
Traditional outsourcing requires very specific details from the product vision phase through deployment that require every detail to be addressed before handoff. The risk of delivering a product that does not fulfill the business vision is higher when the outsourcing firm does not have consultants with corporate, business, and systems expertise to ask the right questions to properly gather requirements. Global outsourcing firms run a greater risk because they require a “middle man” to explain the requirements without any instructions being lost in translation.
Domestic outsourcing firms have expertise in developing systems and understanding leadership based on the knowledge of how businesses in America operate. Domestic outsourcing brings a major component to the table that global outsourcing does not – the use of business savvy, in addition to documented requirements, to develop what businesses really need. They don’t require a liaison to gather requirements and properly analyze because their consultants have a myriad of experience from different industries and business types.
There are valid reasons why American consumers buy foreign cars – reliability, durability, perks, and now, gas mileage. But when it comes to building systems right the first time without the frustration of repetitive explanations, unplanned expenses, hiring additional resources, and not getting the product desired, domestic is better.
Here are three reasons why domestic outsourcing gives better results than using global development centers.
1) Domestic outsourcing firms speak the language of business. Domestic outsourcing firms employ seasoned consultants with various experiences across many companies and industries. This gives them a better understanding of how businesses operate, the contributing factors of the bottom line, and what research is necessary to provide better systems. While a global outsourcing group reads instructions and develops towards them, a domestic firm comprehends the instructions and derives the underlying message of the business needs. (This can only happen with senior level employees because it takes two or three junior employees to match up to that skill set.) Domestic outsourcing firms understand the common language of American businesses – thereby, more prone to deliver user-friendly, usable, and efficient systems.
2) Domestic outsourcing firms streamline communication. Projects that are based upon the ability to give the customer exactly what has been documented, with little communication in between, has proven to be ineffective in creating products that can change the direction of the business. Many times these projects, because of their scope, can take over nine months to two years to complete. Domestic outsourcing firms remove the difficulty of not being able to communicate on a 7 to 15 hour delay which hinders timely deliverables and expectations. Domestic outsourcing firms also can handle emergencies that require the client to sit down with engineering leads to clarify and address issues promptly.
3) Domestic outsourcing firms guarantee enhanced security. Security continues to be a growing concern for most American companies. As politicians continue to push to keep work in the United States by reducing tax breaks for companies that outsource overseas, many companies are finding themselves with shorter options to allow their data, products, and services to be offered and delivered in foreign territory. Tony Carter, Managing Director of Carter Solutions, adds, “In our 13 years of providing domestic outsourcing, we have guaranteed our customers affordable rates with experts in respective industries that have extensive experience in International Trade and taking over work developed by off-shore resources because of potential security, trade, and homeland security issues.”
Quality performers with more than seven years practical business experience are more commonplace in domestic outsourcing firms. The more times you request the same thing to be done, the more costs are associated. When you paid for a system that does not perform as you thought, the more money you have to commit to revise it to your liking. Cheaper is not always better when there is a lack of quality. Hence, domestic firms are the luxury models of IT outsourcing.