How to Choose a Reliable IT Offshore Outsourcing Vendor?
#1 Choose the Right Location
Opting for offshore outsourcing services why should one consider location? Despite the fact that any country you choose is located far away from your home country, IT outsourcing destinations significantly differ in rates and salary, technical expertise, and have different levels of cultural compatibility. The most popular destinations for outsourcing IT services for companies from the USA and UK, for instance, are Asia, Eastern Europe, and Latin America. These regions have vast talent pools of software engineers with different expertise and lower rates compared to other regions. Though while choosing one of them as an outsourcing destination, it’s vital to check security policies a country follows, price-to-quality ratio, and mentality peculiarities.
#2 Select a Cooperation Model
IT outsourcing vendors offer different cooperation models with different pricing. Usually, you can choose one of three main pricing models that fits your business requirements the most:
- A dedicated development team is the most frequently chosen model of cooperation due to its cost-effectiveness. You hire a team of experts that work exclusively for your project for a set period of time and regularly update you about project progress. This cooperation model is significantly cheaper compared to the two others, as you get a wider range of services for a longer period of time.
- Fixed Price is suitable for smaller and shorter-term projects. As you sign a contract with your vendor, you define a scope of work to be done, a fixed price, and a period of time for project delivery. When the time is up, the development team no longer makes any changes to the product.
- Time and Material is a good option if it's hard to estimate the amount of work to be done, services you need, and the amount of time required to complete the task. You just discuss quota for different types of services and pay for the amount of work that is done.
#3 List a Number of Companies that Fit Your Criteria As soon as you’ve chosen the location and cooperation model, you have to make a list of top companies in the region. Such independent platforms as Clutch, GoodFirms, etc., are reliable resources to start searching. There you can find verified reviews from companies' customers and learn more about their expertise and story. No need to mention a website and social media that will tell you more about the company’s employer brand.
