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Outsourcing software development services is becoming a new trend and not to mention increasingly popular around the world. Why? Because outsourcing provides cost-efficiency to the global companies who are running on a tight budget. Additionally, outsourcing dedicated development team are not only facilitating companies in software development but also reduces the administrative, infrastructure, and staffing costs.

Moreover, these outsourced companies enable businesses to fill in the technical gaps to meet the rising demands of customers. In this blog, I will discuss the benefits of outsourcing in terms of hiring dedicated teams for software development and the challenges that come with outsourcing. So let’s jump right into it: 

Benefits of Outsourcing Dedicated Software Development Teams


As mentioned earlier, recruiting, selecting, hiring, and training employees is a very daunting task and not to forget costly. The entire hiring process can be quite stressful as well. The human resources department has to spend a lot of time just going through the CVs and handpicking the best ones in the end, based on the set criteria. Then comes the long interviews just to know that you couldn’t find a suitable candidate and have to go through the entire process again.

Companies who do not have the budget nor the time compromise candidates who don’t meet the criteria but in order to keep the project going, they hire as soon as possible. But when you are outsourcing dedicated teams, companies don’t need to go through such lengthy and time consuming processes. Also, when your hired staff leaves in the middle of the project, you have to start from scratch all over again which is very stressful on the budget.

In addition to that, when you are outsourcing you do not need to set up technical infrastructure to execute, implement and conclude your project successfully because your outsourced companies have everything covered for you. Having said that, outsourced teams have all the potential candidates and the technical structure in place to start working on your project. Building a dedicated team is therefore cost effective and easier than hiring in-house teams. This way you can save and spend your budget on market and business analysis, effectively. 

Higher Flexibility and Productivity

In todays’ highly digitized and competitive world, productivity, scalability, and flexibility are of utmost importance. Speed of development is as important if you are to beat your competition. Therefore, an outsourced company brings in a highly efficient and productive team to get you started.

They are not only well established but have all the skills to deliver maximum prodigy. They check all the boxes such as in terms of commitment and dedication. Plus, they have the knowledge and expertise since they are known to work with clients all over the world on varying types of digital projects. They have well established processes, technology, and a team that can evolve and scale according to the changing market trends. Plus they are readily available to jump start work. 

Higher Level of Expertise 

In in-house settings, skills can be limited mainly because of the market competition. Companies with in-house teams are mostly using the same team for every development project which may not be as advantageous because the core team may be good with AI development but are they with AR/VR?

Also, you are unable to get a variety of ideas and opinions – speaking of which creative thoughts are always important if you are to succeed and bring something new to the market. Where hiring dedicated teams opens endless doors of possibilities both in terms of creativity and expertise. They are the masters in their domain. They will provide the exact same skill set or specialties as required. The best part is – dedicated teams are not limited by the location of time. 

Agile Working Approach 

Plus, if your outsourced company works around an agile approach then your journey just got a whole lot better. Because this means that they can provide agility to your work processes, unlike in-house development teams. In an agile work approach, everyone is clear about their roles, the scope of the project is clearly defined, there is no ambiguity in the hierarchy and reporting structures and most importantly the milestones along with dates are transparent and available to everyone. All the major key stakeholders stay in the loop with the team on development processes, and progress. Plus constant feedback at every step saves valuable time meaning you can have clear control over your project. 

Continuous Collaboration 

The project runs with continuous collaboration. You should have a clear and proper channel of communication to make sure that everyone stays on the same page. Additionally, daily stand up meetings are just a cherry on top, in which all the major team members come together to share and discuss their project progress. Apart from that, brainstorming sessions ensure equal participation from everyone. 

The Dedicated Development Team Hiring Process

  • The first step is to present your requirements and business idea along with some important and basic details about your company to your shortlisted vendors.
  • Interview with the outsourced companies to understand and check their grasp on the project and tech stack. 
  • Learn about their working mechanisms.
  • Check their portfolios and test them if you feel the need. 
  • Once decided, make sure to sign an NDA to maintain confidentiality and security. 
  • Now it’s finally time for you and them to start working on the project. 

Challenges of Outsourcing Dedicated Development Team

Good and bad go hand in hand. In this section I will discuss some of the challenges of hiring dedicated software development team:

  • You may have very high expectations from the company you have outsourced. Having higher expectations is fine but having unrealistic expectations is not which can give rise to a number of issues including low levels of trust if the company fails to meet your expectations. 
  • Organizational and cultural differences may be one of the challenges. It is important to know about the country and the company before initiating your business with them. You need to know how you can cope up with cultural differences. 
  • Language may be an issue too. What if you have hired a german company for their expertise but you don’t know how to speak the language yourself. Therefore make sure your direct point of contact knows English to eliminate the language barrier, if any, and enhance the communication. 
  • You are sharing your confidential data with the company but not sure about their security protocols? Try not to hesitate in asking because it’s your project after all. Know about their security standards and back up plans in case of breaches whatsoever. Also, sign a non disclosure agreement before starting out. 

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