
Frequently Asked Questions
- Why Outsource?
- Why China?
Why Outsource?
-
Focus on your core business. This focus is essential in maintaining
your competitive advantage. In the early days of software firms often
needed to have large internal technology groups. These days
specialization in the industry renders this thinking obsolete.
-
Improve quality. Specialization in the software industry and a focus on
quality and process means that outsourcing to the right company will
improve quality. In a recent survey, ("Best Practices of Leaders in
Offshoring"), PWC reports that 68% of respondents report an increase in
quality from offshore outsourcing. Most customers judge quality of
potential outsourcers by their CMMI rating.
-
Reduce costs. The savings of doing software development work offshore
falls between 25-75% of the cost of onshore work. Shared risk pricing
models eliminate the possibility of total project failure and lost
investment.
-
Gain access to skilled professionals. Outsourcing allows you to access
specialists with experience in your industry domain. Offshore
outsourcing to countries with large, talented resource pools like China
or India provide a virtually limitless pool of highly skilled engineers
and project managers. This focus is necessary to maintain your
competitive advantage.
-
Reduce cycle time. Having a steady pool of experts available shortens
project ramp up and cycle time. In some engagements, development work
can happen around the clock.
Why China?
- Any multinational company with
operations and software requirements in Asia has less risk working with
the right China based firm than an India based firm. Cultural issues
prevent India from replicating their success in the West.
- SMEs
in the US cannot access the top Indian professionals at the leading
Indian firms because their 'A Teams’ are deployed with their top global
clients that have teams of several thousand. China’s industry is still
in the early stages which allows for world-class talent to be accessed
by smaller customers.
- China’s unstoppable economic
development creates opportunities for companies that have a working
presence here. Any company with international aspirations simply must
have a relationship with China in the future.
- With a
talent pool of over 300,000 thousand IT professionals, and with 60,000
more entering the workforce each year, China is quickly becoming a
world leader in software development.
- By spreading
offshore activities across different regions, companies can respond to
changes in political landscapes, staffing, regulatory environments, and
even natural disasters, with greater flexibility.
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