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10 Tips to Select the Right Software Outsourcing Vendor

Software outsourcing has been a part of companies since the dawn of the 21st century, and day by, it has become more popular and useful for small and large organizations alike. As companies like to cut their budget as low as possible but want to gain the best outcome finding the perfect software outsourcing company or vendor is crucial, to say the least.

That being said, there are a lot of factors that one needs to look out for before selecting the best software outsourcing vendors for themselves. Because if you and your vendor aren’t compatible with each other, then your project will definitely fall, and you will just end up losing a lot of investments and time.

But don’t worry, because we have got you covered. In this article, we will break down 10 tips that will help you to select the right software outsourcing vendor for yourself.

What is Software Outsourcing?

At first, let’s take a look at software outsourcing in a little more in-depth. As the name suggests, software outsourcing stands for generating or creating software through outsourcing, meaning if a company hires a third party to build software for them, that is regarded as software outsourcing.

As tech companies look to save money and get the best-suited results on the process, many companies tend to stop investing in building software on their own, and instead, they go for dedicated third-party software creators or companies who do the job more perfectly & with relatively less pricing. And for that reason, many companies opt for software outsourcing.

10 Useful Tips to Find the Right Vendor for Software Outsourcing

Now that we know how software outsourcing works, let’s take a look at what you need to look out for in order to pick the right vendor for your software outsourcing project. Here are the top 10 tips that will help you to find the best-suited software outsourcing vendor for yourself.

1. Getting Referrals from Other Companies and Professionals on the Same Field

The first thing that comes with picking a software outsourcing vendor is trust, and trust can’t be gained just by looking at a vendor’s portfolio and previous achievements. But getting a vendor who worked for someone you trust is always a good tip to build trust.

So, getting referrals from other companies and professionals on the field is something that you should definitely consider. Many take this lightly and end up with a software outsourcing vendor who can’t satisfy their needs accordingly.

Most of the time, if a software outsourcing vendor is referred from a company that works in the same field as yours, then it is highly likely that the vendor and your preference will be compatible.

And if someone is referred from a person or organization you trust, then it automatically creates a sense of trust, and you will also be able to get an honest review of that vendor, which is always preferred.      

2. Proper Investigation of the Vendor’s Portfolio

Next is to do a broad investigation of the vendor’s or the company’s portfolio because it is easy to put information on someone’s portfolio but what matters is how did that project pan out and what were the user’s reviews.

Ask how was the communication of the vendor? How timely was the project delivered? How much cooperation did the owner get from the vendor? You should definitely find these answers through your investigations.

Because, you must have to be in the clear when it comes to questions regarding the vendor. If a small question that is not even necessarily a part of the project bugs, you find out its answer before handling the duty of creating software for you to the vendor.

Therefore, make a thorough investigation of the vendor’s portfolio before planning to work with them. Because being cautious can save you in the long run.

3. Find Out the Software and Coding Process and Verify It with a Professional

After selecting the vendor, you should ask them regarding the software they use as there is a lot of software and application that comes into play when you are building software.

Because you can learn a lot about the outcome of the final project if you get an idea of the software in use, maybe the vendor uses software that you know can’t actually deliver the options you are looking for.

So, make sure to ask about the software in use for your project. And if you don’t have any idea regarding the software, then consult with a professional about it.

And it is also the same for the coding process. A vendor is obliged to share the coding process with you no matter what type of software you have wanted. And finding out the coding of your software and reviewing with a professional on programming will shed more light on the future of the project, and if you want to make certain modifications, then it can easily be done without much problem.

Fixing some small issues for a large coding after initial software testing can be bothersome and time-consuming for both you and the vendor at the same time.

4. Find Out What More Can the Vendor Offer

After your initial instruction, ask the vendor if they can think of any more features that will make the software more useful. Because you never know when a good idea comes up. So, it’s good to give the creator their freedom.

But that doesn’t mean you will allow the vendor to do what he pleases regarding following the instructions set out by yourself. Because if that happens, it is highly likely that the software won’t be to your liking, and you will end up investing a lot of money for nothing.

So, be thorough with your instruction and make sure that the vendor understands what you want from the project but give an option to explore more ideas after your basic requirement is met. 

5. Ensure that the Company Uses the Latest Technology

Many vendors don’t allow themselves to explore the latest tech and stick to software and technologies that can’t really keep up with the latest technologies. And if a vendor is following this path, then there is a high chance of you not getting the desired outcome.

Because not only does the latest technologies ensure faster delivery, it is highly likely that the people at your disposal who will maintain the software in the future will use the latest technology. And if that happens, then you won’t be able to do maintenance on the software. Because, if they technologies aren’t compatible, you can’t access the coding or the database of the software.

And also, if a vendor isn’t versed with the latest technology, are they really the ones you want to work with?

6. Consider Reviewing Reviews from Previous Clients

You should always review the reviews of a vendor from their previous clients in order to get an idea regarding the vendor’s workflow, communication, after services, and many more. This will also give you an idea of how the vendor will manage your project and how successful they were with similar projects like yours.

Because a vendor will always post over their reviews, but they might skip the bad ones. But if you are hiring them, then doing a little digging won’t hurt.

You can contact the clients they previously worked with; if they are working through any freelancing platform, then you easily visit the reviews of their previous works as there is no option to hide any sort of reviews.

And this is very necessary because a software outsourcing vendor won’t come in cheap, and you want software that will serve your company well; therefore, there is no room for compromisation.

7. Be Clear Regarding Copyright and Other Claims

Another issue that always comes up when you are working with software outsourcing vendors is the copyright issue. Most of the time, it is implied that the vendors will not get any sort of claim of the software they have created, and you or your company will be hailed as the sole owner, creator of the program.

But it is safe to be clear about that fact from the beginning as there can be issues if these copyright issues aren’t solved earlier. As there are times when vendors don’t want to work unless they get a copyright claim, and although it is very rare, it does happen at times.

Also, another reason that you should be clear about the copyright claims is that vendors will charge a good amount to take off their copyright claim from the table, but if you don’t have any problems regarding that matter, then you can avoid it by giving them copyright and save some money (although we don’t suggest you do that).

8. Focus on Good Communication and After-sales Service 

Communication is the key to any successful project and business, and you must be communicating with your software outsourcing vendor all the time, and so should be the vendors.

The software company must notify you about the progress of the project in a daily manner and at the same time, should send you live demonstrations too. Because in this time of internet revolution, it is quite easy to hold a meeting, sending videos and screenshots, and many more.

And you shouldn’t be unresponsive either, as you or someone from your tech team will need to understand what is going on with the coding and architecture of the software if you want to maintain it properly.

And on the topic of maintenance, you should also be on the same terms with your software outsourcing vendors about aftersales services and how much they will be able to help you. You also need to consider alternative options if they don’t offer any aftersales services because most of the freelance software outsourcing vendors don’t do.

But if they do provide aftersales services, it won’t come in cheap, that’s for sure. So, clear that topic out before even starting your project with any software outsourcing vendors.

9. Review the Security and Safety Measures

This is one of the most important factors that you need to review with your software outsourcing vendor, as security & safety are something that you shouldn’t be taken lightly.

Therefore, you should talk about the security and the safety measures that the application will have even before finalizing the contract with your software outsourcing vendor. You should also have their consent regarding not creating any backdoor on the software from themselves. As even though it doesn’t happen often, there have been cases where vendors tried to sabotage the software that they have created.

Also, for that reason and just to be safe, you or one of your employees should monitor the progress and the work of the vendors so that there isn’t any risk of a security breach.  

10. Clarify the Delivery Date

Last but probably the most important tip regarding selecting the right software outsourcing vendor is that the vendor should be punctual all the time and should be able to provide timely deliveries. Be sure to contact their previous clients and get the information regarding how timely their services were and if they are able to deliver the projects in time.

Because time is always at the essence, and if you are planning to run a successful business and company and need software to back it up, then the sooner it comes, the better. And therefore, ensuring the fact that you have hired a software outsourcing vendor who can do it in time is crucial.

But if you find that the vendor had had issues with delivering the goods in time, then it’s safe to disregard hiring that vendor and going for another punctual one.

Final Thoughts

Finding the perfect software outsourcing vendor for your projects can be a tough challenge, to say the least, because there are a lot of factors and ground that you have to cover. Hopefully, these 10 tips to select the right software company will help to ease the pressure of the challenge, and best of luck!