With more and more businesses taking advantages of information technology, software outsourcing will continue high in demand in 2019 too. There are certain trends that will keep it in this state this year again.
The gig economy is growing by leaps and bounds. Businesses are looking at software solutions to advance themselves and stay unaffected in the heat of competition. But not all of them have been tech-savvy. Many businesses, in fact, have never been exposed to the technology and, thus they have no previous experience in how software development happens.
So, the question is—should a non-tech-savvy business hire its own development team to actualize its software idea? The recommendation is—there is no need to do this. There are professional third-party development firms out there which have established them in the market with the sole motto: to work on outsourcing software solutions.
But should you hire any outsourcing software development firm falling in your way? The answer to this question is that no, you shouldn’t do this. You first learn the following trends and then go ahead:
- Shifting focus from cost to quality
In most of the outsourcing software development cases, the cost has been the key deciding factor. Because businesses have to implement software at a reasonable cost, they hire third-party developers to get the work done. But this alone will no longer be the only criteria in the future. The current trend will shift from solely being price-oriented to technology and rich skill oriented.
In fact, many clients have already experienced how their focus on reducing the cost has delivered them nothing but below-to-the-market solutions. Now they have learned that hiring a technology partner on the basis of the cost will alone work. They should hire one that has been successfully delivering quality products, instead.
By shifting focus from cost to quality, a business can automatically avoid several unwanted issues.
Software development projects are turning out to be larger than the past, but businesses still require implementing things on time. This will lead them to hire more than one outsourcing software development service providers.
Also, businesses will hire only those partners who have a similar experience. The approach will be more focused on narrower specializations. But this does not also mean that companies will services around limited technologies only. They will have more specialized teams focusing on wide ranges of expertise, instead.
- Alternative IT outsourcing options to emerge
For so long, India and China have been well-recognized outsourcing software development destinations. But soon they will experience stiff competitions from European countries like Ukraine, Poland, Romania, and Belarus, which have already begun to be a fresh base for outsourcing software development.
- New contract models implementation
In 2019 and the time head, both a service provider and a client will want to partner through new contracting changes. The change will add more value to outsourcing services. The contract will more be focused on outcomes of the work, which means that clients will pay to service providers only when the services are delivered with the same standards as cited in the contract.
It will minimize risks and stand both parties responsible for actualizing a solution the way it is designated in the contract. Responsibility and risk will be shared mutually. The procurement will be core the part of a contract.
- Outsourcing to emerging as one of the core IT areas
The global BPO market will be worth $220 billion by 2020. It was around $24.6 billion in 2017. The manifold growth will be resulted because of the strong and trustworthy customer-supplier relationships. We will also see a shift in outsourcing projects from non-core services to the core business operations. Outsourcing service providers will start acting as genuine partners bearing the responsibility of niche-based knowledge.
- Automation of manual processes
Automation will become the key trend in the IT industry in the next couple of years. Bots and virtual agents will have increased demand in the outsourcing market. AI and robotic process automation (RPA) will also receive considerable investments and the solution around these technologies will be developed via the outsourcing approach.
- Cloud to get outsourcing
With cloud computing capturing the attention of enterprises around the world, the demand for cloud outsourcing services is also increasing. Businesses and organizations will also look for the cloud platforms from public sources to store date. Service providers will have to offer online data centers and the right sets of equipment.
Also, businesses concerned about cloud security will look for outsourcing security options to stay away from any possible threat.
- Progressive web apps
Businesses from the industries, like banking, healthcare, and e-commerce would be first to introduce software-based progressive web apps (PWA). They will be designed economically. Many businesses have already started to lean on PWA and, thus they are looking for outsourcing firms to get their things done.
- Smart software and advanced technology
We will see a growth in smart software development projects being outsourced to third-party developers. With the growing demands of connected devices, IoT applications will be outsourced for their rapid implementations.
- Outsourcing to regain its trust.
The outsourcing market will regain its trustworthiness by implementing transparent conditions which are more based on fulfillment of the standards of a solution, not just a solution.
Sofia Coppol is the technical writer of Rapidsoft technologies, a prominent mobile app development company which provides Android and iPhone app development services across the globe. She loves to write on latest mobile trends, mobile technologies, startups, and enterprises.