IT Outsourcing Services Explained: All Brass Tacks One May Need to Know

Types of IT Outsourcing Services

IT outsourcing can be categorized on the geo-location of an IT service provider and customer. This type of categorization has its subtypes. Let's review them.

Nearshore Type

Nearshore outsourcing is a collaboration where the development team and the customer are located in different countries, but the countries border each other. For example, if a customer from Germany hires IT specialists from Poland, this type of collaboration would be considered Nearshore outsourcing.

Offshore Type

Offshore outsourcing involves trusting a development team from another country that does not border the customer's country. This method is most often practiced in Celadonsoft - we provide IT offshore outsourcing services for customers from different countries in Europe and the USA.

Onshore Type

As you may logically guess, onshore outsourcing is when the IT service renderer and a client are based in the same country.

What are the IT Outsourcing Models?

Whatever the case may be, IT outsourcing is not always a winning strategy. How effective it will be for you is a matter of the IT outsourcing business model you pick. A model should be decided before the contract is signed and given your occurrences. Review the various IT outsourcing models before opting to hire third-party employees.

In-House Team Enlargement

In contexts where it seems that the current staff resource is not enough, this model of team strengthening by outsourced professionals in the development field can be advantageous.

Dedicated Team

While the previous model was relevant for companies with their own IT team, the dedicated app development team model will work well for cases with no in-house developers but requires professionals for long-run or complex software development projects. In addition, hiring a dedicated team instead of an in-house one will free a company up from staff recruitment, administrative procedures, and expenses necessary for having such a team. In contrast, contracting a third-party team obliges paying a service fee as the service provider has already employed and taken all employee responsibilities.

Full-Process

Full-process outsourcing model means trusting the whole project to be developed by a third party. When you delegate a project to outsource, you transfer complete control and responsibility for the project to the service provider. In other words, the development team takes care of all the development process steps, appoints a project manager to manage the team, and monitors the results, the final product, and risks.

Why You Should Use IT Outsourcing

It is all one needs to know about how the IT outsourcing Industry works. So, It's time to touch on the most exciting yet crucial topic- when to turn to IT outsourcing.

Required Quicker Market for an Idea

 If you need to get to the market as quickly as possible, then an excellent solution is to turn to outsource. As mentioned in the previous sections, speed is one of the IT outsourcing advantages. Typically, outsourcing teams have extensive experience implementing various ideas. Therefore, you can expect them to help you validate the idea and trust them to develop the MVP, scale, and update the product to meet market needs. 

A Business is a Young Startup

According to Failory's report, financial problems are the 4th reason young startups fail. As the in-house team requires considerable expenses regularly, IT outsourcing is a point to consider. In contexts where every penny counts, it may be more reasonable to outsource and trust a development team with a full-ranging development cycle. Leveraging the benefits of IT outsourcing services will result in quicker product development, lower expenses, quicker market access, etc. 

Project Rescue

There are situations where the finished product needs to be updated and refurbished, sometimes a complete rebuild. In such cases, it is prudent to entrust the work to third parties due to the possibility of requesting a specific service such as various integrations, legacy code rewriting, design creation, etc. Ordering a separate service from the development cycle is a strong advantage of IT outsourcing services apart from speed and financial costs.

Choosing the Right IT Outsourcing Partner

The most evident one out of all disadvantages of IT outsourcing services is to find a provider that will take care of your product as their own. However, this guide has glad tidings for you! You don't have to worry about a tricky search for IT outsourcing companies, as Celadonsoft is the one that will take your idea in hand and lead it through the full-range development cycle right onto the devices. Contact us to make the first step to success. Our team will reach back to you in no time to discuss all the nuts and bolts.