Many entrepreneurs praise the value of outsourcing development work overseas (particularly to India) until they’re sworn off by a horrible experience. 

 

While it’s true that the cost of labor is much cheaper, the work may actually become more of a hassle than you’d ever imagine. Below are just a few common examples as to what can go wrong with outsourced work.

 

1.     Work Quality: One of the most usual complaints from customers who have previously outsourced is that the quality of their written code was low. When it comes to websites and software, developed code should be clean, easy to work with and fairly simple to edit.

2.     Losing Financial Ground: Perhaps the overseas developer is charging you a rate of $20 per hour, while an in-house developer is charging $100. How are you deciphering the value received in that full hour? How proficient is your developer? Do you have strong people on the job, or are they mostly recent college grads that have questionable experience? One experienced in-house developer with a rate of $100 per hour may well produce more value for you than five or more junior $20 per hour persons in other countries.

3.     Code Collaboration: Collaboration is a colossal challenge when outsourcing to other countries. Depending on which country you choose to hire a developer in, there can be major cultural issues and language barriers that affect the quality of your work. Working with an American company will prevent you from worrying about constant communication problems.

4.     Project Failure: Finally, consider project failure. According to LessonsofFailure.com, “Nearly 50% of (overseas) outsourced projects fail outright or fail to meet expectations”. They are commonly abandoned completely or fall short in terms of functionality and business value. This, of course, brings people right back to in-house development teams, who get the job done right the first time (which in the long run, saves you money!).

 

Keep it local! And remember, your team at Business Edge will NEVER outsource your work to foreign countries.

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