Software development outsourcing is the process of conceiving, specifying, designing, and programming software applications, frameworks, or other components from a software development organization through a contract. 

Today, in this blog, CloudVandana will discuss the various stages of software development outsourcing and its benefits to organizations. 

Outsourcing is an effective way to avail of any professional services. Software development is the backbone of any technical organization, so expertise is needed to perform the tasks faster and deploy the products. But due to various challenges, in-house development becomes a complex task. Organizations need to hire outsourced developers on a contract basis as their extended team, or they can outsource software development from a development firm like CloudVandana to enhance their projects and organizations. 

Software Development Outsourcing And Its Various Stages

Please go through our other blog on Outsourcing and its various stages

An organization needs to deal with many tasks related to sales, marketing, and technology. Maintaining all the tasks by in-house developers becomes challenging. So, organizations go for software development outsourcing for enhancement. Let’s have a look at the various stages in detail-

Outsourcing can be segmented into three main sections depending on the location and functioning. 


When the organization and its outsourcing partner are located in the same time zone, then the collaboration is called onshoring development. It is an effective development process but needs a lot of economic resources. 


Outsourcing software development with a similar time zone or one with minimal differences is called nearshoring. The advantage of nearshoring is it offers a huge pool of IT professionals at a lower price than onshoring. But there are barriers to culture and language. 


An offshore team refers to a team located in a different country. It is the most cost-effective technique that offers a pool of IT professionals. Time zone differences can be avoided as offshore remote developers and development companies always work as per their client’s time zone. 

Software outsourcing can be again segmented into three models. 

  • Project-based model
  • Dedicated team model and
  • Out staff Model

The project-based model indicates the practice of implementing the part of work that is already defined. A dedicated team model is a practice of hiring a dedicated team to complete a project. When the ongoing development project requires additional resources to complete the projects faster, and the organization hires separate specialists, then the model is considered the out stuff model. 

Benefits Of Outsourced Software Development

Organizations across the globe are adopting this outsourcing model to reduce operational costs and improve efficiency. Let’s have a quick look at the key benefits-

1. Faster Development

Software development outsourcing accelerates the development process. Organizations do not need to hire professionals separately for the development procedure. They just need to create a contract with a reputed development firm like CloudVandana to hire the best team of skilled professionals who take all the responsibilities associated with the project. 

2. Reduced Costs

Companies can save a lot of costs by adopting this development model instead of going for in-house developers and development processes. This outsourced process saves costs on hiring, employee benefits, technical equipment, etc. Organizations can utilize those monetary benefits to other departments to expand the organization. 

3. Access The Worldwide Talents

The most important benefit of outsourcing is that it opens all the doors for organizations to choose talents across the globe for the best productivity. So, this is not just an advantage but the only effective way to create a successful software development process. 

4. Reduced Risks

Organizations can fully rely on their outsourcing partner for better collaboration. In case of handing over the crucial data, organizations can sign an NDA(non-disclosure agreement) with the outsourcing partner to eliminate any risk factor associated with the project. Outsourcing partners are always committed to serving their clients the best and delivering the projects within the assigned time. 

5. Bridge The Talent Gap

Outsourced software development is an effective tool to fill the gaps or skills that the organization lacks in-house. The experts can suggest the best model and best procedure by assigning skilled developers to overcome any technical gap. The team of skilled developers can easily convert the idea into reality through their expertise.

Are you looking for software development outsourcing for your ongoing and upcoming projects? Please reach out to CloudVandana and get the best solution to stay one step ahead of your competitors. Schedule a call now

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