Wednesday, April 23, 2008

Offshore Software Outsourcing

Offshore software development outsourcing has led to vegetative industry development around the world. Software requires undergoing a step-by-step process before it is accessible for general use to influence best industry practices at minimum cost, meeting international standards and industry standards. These days, everyone of us, an individual or an enterprise wants to be at the top, but just gaining the top positioning won’t do; holding and maintaining that position is of extreme contemplation. Outsourcing software applications to offshore companies has tough urge to monetize spending of business players.

Software outsourcing meets strength with increasing number of sources accessible in present IT-edge, necessities delivery in possible least time, less skilled personnel available, disconnected communication and incompetent management of various modules within a large enterprise. These business players started looking and relying on third party for improved management at minor cost and remain aggressive in the global marketplace. These are the few issues that led big businesses to outsource their software application development to offshore companies where they find time zone difference from eastern countries most attractive, cheaper human capital, rich assets, and skilled professional and little processes cost. Market analysis shows gradual penetration of investors in Indian market and other developing countries. We find bigger productive, managed simple solutions where full power remains in the hand of outsourcing companies.

40% of the Fortune 500 companies are leveraging the outsourcing model. The graph is growing depending upon the onsite and the outsource resources available. Offshore Software Outsourcing is the mainly leading area of outsourcing. Cost saving by implementing this model can diverge from 40% to 70%.

Keep in mind offshore software outsourcing is not all the time solution, so before moving to it, the best way is to find the niche requirement and then locate solution to the root trouble. Proper management between onshore and offshore team members, enhance processes, and better time management and growth prospects for both developed and developing countries are among few benefits that offshore software outsourcing companies are enjoying.