Outsourcing VS. In-house

Introduction

When is outsourcing right for you?

 

Covid-19 has shaken the global economy, and more and more employers are reshaping their hiring processes to adapt to the pandemic. Companies are now exploring more flexible, less binding ways of getting their jobs done.

 

Maybe that’s your case, too. You’re looking at a new project, and wondering if you should hire for it or just outsource the work. The question is valid, and the answer is, unfortunately, not so straightforward.

How do you choose?

 

To begin with, outsourcing may be a great fit for you if you’re running a small organization, such as a start-up, and are constantly optimizing your budget. On the other hand, if you prefer continual communication by having everyone under one roof, outsourcing may not be your best bet.

But it’s not only about the time and cost. The right option can be an opportunity for business growth, while the wrong one way lose you time and credibility by delaying crucial projects.

We know you don’t want to make the wrong choice, and that’s why we’ve broken down the benefits and pitfalls of both outsourcing and in-house hiring – to help you make the best decision for your company.

Benefits of Hiring In-house Talent

Having an in-house developer/team offers better communication, control and time-management.
Here’s how:

Quality Assurance

You want to be in control of the workflow, not just receive the final copy. We get it! In-house hiring gives you the option of more handson direction. The developers are with you each day. You can ask for an update on your coffee break or peek over the monitor as you walk by.

 

Unfortunately, the pandemic has seriously limited our ability to work together in an office, let aside peeking over each other’s shoulders. We are often forced to work with our teams remotely, whether we wish it or not – it’s almost like you’re outsourcing work already – just with none of the benefits!

Communication

However tiny your query, you can expert an answer in a minute when your developer is seated twenty feet away. You won’t have to ponder on sending an email asking about that one line of syntax.

 

Similarly, whether it is a small update on client requirements or a major change in plan, your words won’t be lost over email or in translation.

Timezones

Have you asked for a deliverable by a certain time only to have it sent to your inbox the next day? Or maybe you forget to check-in and realize that you didn’t receive an update at all?

 

It can be tough to get a hold of an outsourced team if you run on different schedules or different timezones. “Was it 9 AM EST or IST?”

 

Having a team in-house means no confusion. Your 9-5 is their 9-5.

Flexibility

Have the expertise to guide the project but not the time? Maybe you already have an in-house professional and just need to fill in the gaps. 
 
Not outsourcing gives you the flexibility to create your own dream team, suited to your project needs. 

Pitfalls of Hiring In-house Talent

However appealing its benefits, hiring developers in-house brings its fair share of risks:

Expertise

You hired an in-house developer. They were great at solving one problem but didn’t know how to do it all. That’s normal.
 
Most developers don’t have the technical expertise for every piece of a project.
 
Now what? You’re back to square one. Do you hire another developer? Or maybe you outsource to a team that uses specific experts at each stage of the process.

Hiring

Every time you hire someone, you are, taking a risk. Every bad hire costs you thousands of dollars.

 

Even if you know how to evaluate a candidate thoroughly and take that risk,the right candidate will still need training and guidance along the way. 

Cost

Have any of your projects taken longer than expected because unexpected technical problems cropped up? 
 
Hiring and building a team is expensive. You have to keep paying your in-house team when a project takes longer, and even in between projects. 
 
As the pandemic slows down the market, you probably don’t want to hire people and not have enough work for them.
 
 

Time

Don’t waste time trying to run a development team if it’s not a key aspect of your business. The project will move slower and take up more of your time and effort, often ending in frustration.
Time is money, better utilize it on what your company does best, or possibly even for a vacation. 

Benefits of Outsourcing

Cost saving is the biggest highlight of
 outsourcing, but there’s more to it than just that: 

Expertise

The tech details are the team’s specialty. They don’t have to be yours.

A good outsourcing partner knows exactly where you need to go and how to get there. They make your project’s vision come to life.
 

No Hiring

Hiring is expensive. You have to pay for benefits, resources, and space, along with other, inevitable miscellaneous costs. 
 
With outsourcing, you pay only for the expertise of the developer or the team, nothing else!

Team

The tech details are the team’s specialty. They don’t have to be yours.

 

You’re prepping for game day but don’t know how to find or pick your starting line-up. 

 

With outsourcing, you’ll have the best players ready to go, and the best part is they’re already trained. 

Cost

Let’s say you’re low on resources and you only have the budget for one in-house developer – you can’t hire an entire team. How ever, you can still outsource a team! 
 
Outsourcing is often associated with saving money, and rightly so. You can allocate that money where you need it. Business overhead, anyone?
 

Pitfalls of Outsourcing

Easy might not always be best. You may save some money by outsourcing, but it brings its own set of challenges: 

Quality Assurance

Did you send 3 emails today  looking for an update? Did you get ignored on all 3 occasions?

 

Without being able to check- in, you won’t get to see the deliverable through the workflow. Outsourcing works great if you have a reliable team, otherwise, what you get might not be what you experted. 

 

Miscommunication

You have a team available around the clock but they don’t understand your comments. You’ve tried email, you’ve tried calling. They still don’t seem to understand what you’re looking for. 
 
Now you’re out of time and out of money. You’ll need to make the changes yourself.
 

Timezones

Your team is on a different continent.  While they’re working, you’re sleeping soundly, until they call you at 5 AM.

 

You’re in the office a few hours later and you don’t remember if you asked them to get back to you on Thursday or Friday, and now you can’t call them back because they’re asleep! 

 

 

Risk

It’s your first time outsourcing and you found a team online. You jumped at the opportunity, eager to get started. But now the team won’t answer your emails and sent the work half-completed. 
 

There are a lot of bad outsourcing partners. How do you find a good one?

 

 

Conclusion

If you’re looking to outsource but are worried about how to find the perfect team and get a hold of them during the project, why not outsource to Canada and find your ideal team through DevStaff?
 
At DevStaff, we bring you the best of both worlds – we match you with experienced professionals in Canada and help you find the right team, without any language or timezone barriers. Our 9-5 is your 9-5. You can reach us at a moment’s notice. Need us for a 10 am meeting? We offer remote access so you can see exactly what we’re doing, at any time. 
 
 
We’ve been in business for 18 years, working in Canada’s tech hub. We know the game and play it well. We can secure a win for your business, without any of the hassles that typically come with outsourcing. We know what you’re looking for, even when you may not. Let us bring your vision to life. 
 
 

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