software outsourcing

A blog related to software development company and offshore software outsourcing

Friday, June 09, 2006

Offshore Software Development

The importance of building Offshore Software Development plans with some long-term strategy in mind demonstrate the corporate executives such as Bill French, Business Process Outsourcing Service Line Leader and Vice President had discussed the future and present scenario of BPO and Offshore Software Outsourcing with other company’s executives who attended the Offshoring Summit.
In a panel discussion on offshore software development he told that the Offshore Outsourcing can reduce some cost of operation that might be more than twenty to thirty per cent. It continued to tell that many organizations had already viewed Offshore Software Development as a key factor for their strategy in business due to the economies of scale which are so compelling. However, factors likes of hidden costs and cultural issues are making Offshore Software Development organizations to consider view with long-term when contemplating moving for the operations to overseas nation.
The decision for outsourcing by organizations that are involved in non core business functions for 3rd party providers have various reasons to cut expenses, to reduce head count, and for improving service. In the case of GMAC's the organization believed that it could not only other cost and trim personnel during a tough economic time but also it might better to fulfill the core purpose like ensuring clients to have a positive experience of home ownership. This simply tells that there more focus on selling mortgages & properties. To become ideal candidate for outsourcing, the real estate and facilities-management arm of the business became so important. In the core competencies the talent pool was much greater than during other function.

Offshore Software Development

With Offshore Software Development, it’s important to choose the service vendor who could provide some flexibility with delivery operations as labor markets change and other business requirements evolve. These organizations are more and more able to invest the cost savings from Offshore Software Outsourcing into the areas of strategic growth that reacts to some changes of business dynamics smarter and faster by being able to scale up as business requirements.
When Offshore Software development is in the process the encouraged things is too corporate and consider some factors that are beyond cost at the time of outsourcing strategy. Let’s see one example, it’s important to understand the issues of infrastructure, continuity of business and cultural issues when evaluating these strategies. There Offshore Software Development model is customized blend of near-shore, onshore and offshore capabilities, that are tailored, coordinated to meet specific business goals of organization. To achieve optimal client satisfaction the time of leveraging right Shore capacity, capabilities, cost reduction, and competencies way across geographies is important. He also highlighted the case studies, which has proven the significant value of the offshore outsourcing strategies that are working since past decade.