The Covid-19 pandemic has hit everyone and everything really hard and global business is no exception. A study published by the Centre for the Promotion of Imports, funded by the Ministry of Foreign Affairs of the Netherlands, showed that clients that were outsourcing before were canceling their non-essential activities and were moving their outsourced tasks back in-house. In a recent webinar, 60% of participants said that Covid-19 has impacted their business in a bad way while only 10% said that they experienced positive effects.
Considering the situation the world is in right now, there is no guarantee that we will go back to normal any time soon. Most countries have started vaccination however, there are countries, even as big and developed as Canada where only 2.13% of the population has been fully vaccinated. With an unpredictable future, it is time that we find long-term solutions that will solve business problems, help businesses stay alive, and keep people from losing their jobs.
Tech solutions and Covid-19
One of the few positive things that we have seen come out of this pandemic is the use of tech solutions. Due to social distancing, we have limited our contact with people to only virtual, teams have had to use communication platforms more than ever, and tech solutions that help with pandemic management have become quite popular. Many countries have developed their version of a tracking app that would help people know if they have been in contact with someone that has tested positive. Apple and Android have even launched their versions of this kind of tracking on their users’ phones as a feature.
Software development outsourcing is more relevant with Covid-19
Outsourcing your software development has never been easier, necessary, and relevant, and here’s why.
Minimizing cost is very important and outsourcing can help with that
Covid has sent a lot of companies out of business in the past year. With one quick Google search, you can find countless articles on how the pandemic has affected small, medium, and large businesses. Millions of people have had to say goodbye to their workplaces and have been left with no job and nowhere to go.
The pandemic has made cutting costs crucial for every business however, that does not mean your should compromise on quality. Although it is hard to get the best value for money in software development, it certainly is not impossible. When trying to minimize costs during the pandemic, outsourcing certain areas of your development work is a great idea. Outsourcing your software development will not only allow you to receive more for less but will also reduce the development time which will also cut your investment cost.
Hiring in-house very hard and costly
Recruitment is one of the most underrated costs of running a business. Although many business owners do not realize this, hiring is costing them a lot of money. Recruiting someone and then waiting for them to get familiarized with the way your business takes quite a long time. According to a study, the average cost per hire for companies is $4000.
When outsourcing, you remove the recruiting and onboarding costs from your responsibility altogether. Your vendor will handle the hiring and onboarding or recommend you the perfect people to work on certain projects. Outsourcing makes finding the right people for the job easier and stress-free. This technique is the core of outsourcing and is the perfect alternative to in-house recruitment.
Flexible resources equal sustainable operations
One of the best things about outsourcing is the option to increase/decrease your team in case requirements change. In times like these and with the great cost of hiring in-house, having this option makes a huge difference. Not only is that more affordable financially, it is also more time effective. Sometimes the need for a new team or additional members will be very time-sensitive.
Digital transformations are necessary
The pandemic has increased the need for digital transformation across all businesses. Digital transformations and innovations are one of the few reasons why many businesses have been able to survive the pandemic, some even thrive during it.
A great example is the brick-and-mortar stores that have moved online. Online shopping hit a high during 2020 and is expected to continue the same way. According to BigCommerce, by 2023, E-Commerce will make up 22% of global retail sales while it is only 11% currently.
While the demand for digital transformations is high and rising, most companies do not have the in-house talent and resources to develop these tools. The high demand for IT solutions can be filled perfectly by outsourcing vendors with their experience and knowledge.
How do I outsource my own software?
If you find yourself in need of a digital solution for your business, this might be perfect for you. Outsourcing can save you time, cost, and stress.
Appstellar can help you shape your ideas into products. From full-stack app development, cloud solutions, blockchain solutions, and DevOps services to Machine Learning — we provide end-to-end solutions and support for your business.
For more information please contact us!