5 points to remember while outsourcing an IT project

The IT industry has transformed tremendously in the last few years. IT Industry has a footprint in each industry and today’s world no industry can survive without going digital. In order to sustain and being relevant in the business, every industry needs to digitally transform. We have also witnessed recently that due to Covid19 there are many industries that have been impacted seriously and the only way out for survival is digital transformation so that they can reach out to the customers through digital media and not physical interaction.

Though it is clear that every industry needs digital transformation but it is also seen that not every business is self-sufficient to take up the digital transformation projects in-house. They have to look for suitable IT partners to help them on their journey. The success of their project depends upon the choice of the right IT partner. Often the projects fail due to the selection of wrong IT partners.

In order to avoid the mistake of selecting the wrong partners, please see below some of the points which should be kept in mind while finalizing the partner.

1. Experience

While selecting a vendor it is important to check the experience of the company in the industry and the experience in developing a similar project. If they have experience in developing similar project then they will know the challenges and will also bring the learnings from their experiences. They can also bring the re-usable components from the earlier project to speed up the development. Experience in developing a similar project in a similar industry can help them learn domain knowledge about the industry which the team can use in any new project like web development company Singapore.

2. Availability of resources

It is often seen that the IT Partners over-commit to grab the project even if they do not have resources. Some of the IT Partners also outsource projects to other smaller companies once they win the project. These kinds of situations become very risky for end customers. In the event of any dispute, these smaller companies stop the project and the end customers are the ones who suffer.

To avoid these situations, it is important for the customers to check out at the beginning about the team who will be part of the project and who will do the development. There is no harm in interviewing them to make sure that these resources are competent enough to deliver the project.

3. Price

Price is an important factor while selecting a suitable vendor. Though every company wants to outsource the project to the vendor who quotes the lowest price this should not be the final criteria for the selection of a vendor for web and mobile app development. Some vendors do quote lower prices to win the deal even if they are not competent. The customers should do their due diligence on the rest of the parameters and select a vendor who is quoting a decent price and is competent to deliver. It is also important to note that if the vendor is not making money in the project then the chances of the success of the project will be low.

4. Project Development Methodology

Every IT company has its own way of doing the development of projects. Some companies fall agile, some companies follow the waterfall development method and some do not follow any method. It is important to understand the method the vendor is comfortable with. The customer also should understand that whether the vendor is fine with some changes in the scope during the development or they would like additional payment for even small changes in scope. The customer should agree with the vendor for Milestone based deliverables so that they can check the progress of the project. Some customers also request the code to be pushed through the Github after completion of milestones so that the customers can have access to updated source code till the last milestones, which is also a good practice to agree with the vendors.

5. Customer Reference

It is important for the customer to check out whether the credentials shared by the vendor are correct or not. There are many IT companies who claim to have done many projects like what the customer wants to develop just to win the project but actually these projects were not done by them or they would have done part of the project. The customers should ask the contact details of the customers of vendors so that they can talk to them and check the authenticity of the claims made by the vendor.

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