Key Criteria for Hiring the Right Outsourced Development Agency

Creating a new software product requires a cost-effective, skilled team of experts. That’s why an outsourced development agency can help you mitigate cost-associated risks. However, it is important to have a game plan in place that helps you to build-out your outsourced development team. This involves determining your strategy for evaluating and selecting an outsourced development agency. You also need to know the key features that you should always check before hiring a development agency. Here is what you need to know.

Benefits of an Outsourced Development Agency

When you hire an outsourced development agency, there are several benefits you can leverage. Here are a few best benefits to consider:

  • Experience: An outsourced development agency frequently has an expert team with years of experience in the phase or task you need them to handle. Leverage this benefit to save time on getting tasks completed.
  • Support: Leverage support from the team, including marketing support or help for fixing bugs. You can also take advantage of any specialized equipment they may be able to offer to help you to operate efficiently.
  • Savings: Hiring a development team that is outsourced can be cost-effective. You can reduce recruitment costs from hiring an in-house team, enhance communication via coordinated collaboration, and optimize specialized skills to reduce costly errors. This saves you time to focus on executing vital or specific tasks.
  • Specialization Outsourced development agencies have teams that specialize in a specific phase of product development, such as testing or design. This strategy saves you time and money in the long run because your team is not wasting valuable time trying to test and design the product.
  • Scalability When you leverage the specialized skills of an outsourced team, you can scale your team and business while simultaneously working on multiple projects. For example, if your team only has a general knowledge of developing iOS mobile apps, it can be more cost-effective to hire an outsourced team that specializes in this field.

Evaluation Criteria

While there is no right or wrong way to hire a development team, you still want to have a selection process that is based on criteria that are vital to achieving your project goals. Finding the perfect development team requires clearly mapping out what you are looking for in the capabilities of the team. Here are a few to consider:

1. The Management Team

Always consider who is leading the project. Check out the management team’s experience and look at the portfolio of the developers used to see the type of projects they can produce. Consider reviews and testimonials. You want a leader that can fulfill the needs of the project and has experience doing it.

2. Skilled Resources

When considering your development team, make sure they have the skills and capabilities that you need. This can include specialized skills and technologies that your in-house developers or business lacks. The developer’s portfolio will also reveal the team’s skill set, so look for projects within your industry. Also, consider if they have technologies you need to get the project done, such as responsive web design and high-performance frameworks.

3. The SLA (IP and Confidentiality)

Consider your service level agreement (SLA), intellectual property (IP) and confidentiality agreements. The SLA will map out the precise services that will be delivered. Verify these services before signing the contract and ensure these are the terms you are agreeing to. The SLA can contain IP and confidentiality agreements or you can create them separately. These documents will help clarify what can or cannot be disclosed and who owns data from the project, including the coding created. It will also help reduce the risk of having your trade secrets exposed.

4. Pricing

One of the largest constraints of a software product development project is your budget. That is why it is key that you consider the pricing of an outsourced product development team.

5. The Level of Flexibility

You want to make sure your team that you hire has the flexibility to meet your needs. For example, if you need to make changes to a project step or you need more time to get a process correct, make sure your development team has the flexibility to do so.

6. Communication & Reliability

It is important to discuss what your expectations are when it comes to reliability and communication of service. Keep the communication open and clear. You can also consider reviews to determine reliability.

Hire Your Team

There are essential features to consider with your evaluation criteria that you should consider, such as what you should outsource and when you should do it. For example, outsourcing your software design, development and testing is ideal because they are functions that are based on execution and offer the largest benefits. Also, you can better leverage an outsourced team of developers once you have figured out what your product-fit is and know what you need to build. Here is how you can hire the right team:

  • Clearly Communicate Project Goals: Define your project needs. Provide a sample of the user documentation to outline the development or design process and the services you are looking for.
  • Assess the Outsource Agency: Check reviews, case studies and evaluate the firm’s capabilities and prices. Make sure it aligns with your project goals and budget.
  • Create Contracts: Determine the SLA. Get all contractual agreements in writing.
  • Schedule Reviews: Have frequent meetings to review the contracts and negotiation terms.
  • Hire the Right Team: After reviewing contracts and agreeing on the price, sign and hire the team. Have an introductory meeting, assign leads and tasks, and get started.

Final Thoughts

Hiring the right outsourced team doesn’t have to be difficult. By taking the time to evaluate and review the firm’s capabilities, pricing, and terms, you can choose the best outsource development agency to meet your needs.