LAB NOTES

Why Outsourcing Is No Longer a Four-Letter Word

Worry Free LabsWhy Outsourcing Is No Longer a Four-Letter Word
Why Outsourcing Is No Longer a Four-Letter Word
Worry Free LabsWhy Outsourcing Is No Longer a Four-Letter Word
“Him that makes shoes go barefoot himself,” said Richard Burton in 1621. An acknowledgement that despite its history and prevalence, achieving proverb status, is still a dilemma that plagues many us in business today. Whether focused on cost or quality, as business leaders we have a tendency to reject hiring experts to provide us with products and/or services we can provide ourselves. Should your organization find yourself in this situation, trying to decide whether to leverage an internal team to build your mobile application or outsource your mobile app project to an experienced firm, we have some insight that might help. As we have learned from our own struggles with this topic, there are 3 key reasons to hire the experts:
  1. Faster Speed to Market. Your organization may have the internal resources to build a mobile application but will you be able build it as quickly and efficiently as you would by partnering with the right firm? The answer is often times no for many reasons such as not having the right experience, not having dedicated resources, or too busy to project manage the effort properly. We recently redesigned our website and decided to do this internally vs. hiring an outside agency. We did not take this decision lightly but ultimately chose this route because we had the internal expertise and wanted to be prudent from a cost perspective. The result of this decision was that we launched the website over a month later than planned. The team allocated to the project became very busy with client work which was prioritized over the internal project. The downstream impact was having to delay planned marketing initiatives, potentially lost customer opportunities and unhappy stakeholders. We would have been able to launch much more quickly with partnering with another expert firm.
  2. Expertise. Many companies have internal design and software development capabilities but do not have the internal competencies needed to build an effective mobile app. Delivering an effective mobile app requires a specialized skillset, from UX design, technical architecture, iOS and Android development capabilities and most likely web services. We have seen many companies make the mistake of trying to build their own apps without the proper expertise. If the app is not well-designed or built properly and is not driving the usage, profitability and impact that was expected, the app may need to completely redesigned our rebuilt. Working with the right mobile app partner will allow your project to benefit from their knowledge and expertise and will make you look good.
  3. Total Cost. By partnering with the right mobile app partner, your company may be able to reduce the cost and realize a higher return on investment from the project. To build an optimal mobile app for your organization for both iOS and Android, it will require a sizeable team of experts to execute it.
The proof is in the numbers…. Below is a table that summarizes what a typical app project may require from both a resource and cost perspective. Note this is not an apples-to-apples comparison and excludes recruiting costs, taxes and benefits for internal hires. It also assumes the project will be executed in approximately six months. Outsource Your Mobile App Project Even if you have a team like the one noted above, it is important to remember that they are often being pulled in many directions instead of being dedicated to your specific project. If you want your project to deliver on-time and on-budget with minimal disruption to your normal flow of business, fight to outsource is worth the fight.
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