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SOFTWARE OUTSOURCING AND BENEFITS
from: John Parker From Tatvasoft According to Tatvasoft, In a recent survey by
diamondcluster international, there is a high increase in the
premature termination of the offshore outsourcing software
development contracts. Number of satisfied buyers have decreased
from 79% to 62%. According to Tom Weakland, it is not right to
blame only offshore software development service provider.
Although, many buyers are outsourcing their software development
work, they still lack quality to get maximum benefits of
outsourcing. This was the third annual study by DiamondCluster
and first of its kind where buyers mentioned they are planning
to reduce their software outsourcing.
Software outsourcing benefits To consider the biggest benefit of
software outsourcing, companies mentioned reallocation of
internal resources to more critical functions. Also, cost saving
was another primary reason but it was second in consideration.
Report also mentioned that, companies are learning that, there
is no tremendous cost savings. As attrition rate is high in
countries like India, companies are also learning cost of losing
good people and cost of losing people with specific knowledge.
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