Software Outsourcing Trends in 2015
Software Outsourcing is not about cutting costs any more. Of course, it all started as a way to reduce costs due to lower development spending. Even now customers seek for more cost-efficient solutions. However, the main reasons to have things outsourced are value-add opportunities provided by outsourcers. Now companies outsource in a desperate strive for talent and innovation.
It might be difficult to have all the necessary software development specialists on board. Thus it is convenient to find a reliable partner among outsourcing companies and entrust the required development processes to them.
Still Not in the Cloud?
Companies have been moving their IT infrastructure to the cloud for several years already, but the trend is still worth mentioning. It does not matter whether it is Amazon or some other less popular branded cloud, a private or a hybrid one. The core is that the service allows scaling the application infrastructure significantly, getting rid of additional maintenance costs.
Cloud Trends according to Gartner in 2015:
• a hybrid cloud computing model is an absolute must have due to its data security management and resources scalability;
• cloud services brokerages which will feast on those who need a qualified piece of advice on implementing smart cloud computing solutions;
• making cloud compatible or cloud-optimized applications instead of porting the existing ones to the cloud.
Mobile Application for an Oven?
Mobile outsourcing has got a new impulse given a number of wearable devices available and mobile device variety in general. It is not only about smartphones or tablets any more but relates to a significant range of more unusual devices (consumer electronics and connected screens including) and the needs of a mobile user should be served. It is improbable that an oven or a freezer will need a separate app, though a mobile application that runs smoothly and performs flawlessly on the both plus a regular smartphone and a really big TV-set is another challenge for mobile software engineers.
Any Application Should be Analytical
Analytics should be an inseparable part of any application. A smart integrated solution gathers plenty of data on who, when and how uses the application, which of its features are most used and which turned to be a bitter disappointment. It allows the application owner to understand consumer behavior and tweak the marketing effort as well as a further application development strategy.
By the way, piles of data stored in data centers are in need of a smart approach as well. So, big data solutions will be extremely popular next year in e-commerce, retailing, Natural Language processing, etc.
CAD Software? Really?
Gartner has made 3-d printing a trend of the coming year. Despite a significant demand for the devices and shipment growth the sore place remains the same: do you want to use cumbersome CAD software? The industry painfully needs user-friendly software for 3-d printers. We are sure that it is a fabulous new challenge and boost advantage for software development outsourcing. Imagine downloading an app for a new kid toy or a coffee set!
It’s All about a Customer
At last an end-user has officially (Gartner agrees to that as well) got the centric position in the industry and is now the key figure which impacts absolutely everything. Lean UX to watch for end-user reactions and tweak a product correspondingly, user-friendly controls, design, support and maintenance… Choose whatever seems applicable. Definitely a customer-oriented approach is among top ten priorities of the coming year.
Outcome Based Pricing
The ongoing downturn of the world economy makes software outsourcing customers want to get more for the money they spent. Outsourcing customers continue to shift from the time and material based pricing model to outcome based pricing. Fixed price contracts will remain most popular in 2015. It is a reasonable approach that ensures the best results for the customer. When joined with agile development and lean UX they create a framework which contributes to greater business agility and early product delivery to the market. Outsourcing companies have to pay more attention to employee performance, efficiency and productivity, though.
Choosing a Software Outsourcing Company
There are lots of things to look for when choosing a software development company. However, according to the latest survey customers are more interested in the domain expertise of their future supplier rather than technology experience of its employees. Not that the latter does not count at all. In customers’ opinion, with which we fully agree, deep knowledge of a certain vertical will contribute to efficiency and alignment of their business processes and compliance with the industry standards.
A Mature Market: Good or Bad
Software outsourcing market is getting mature and a difference between applications outsourcing and infrastructure outsourcing markets is becoming more evident. The former keeps a bit of room for maneuver. Developers can experiment with new outsourcing models and go deeper into industry specific needs which can still be digitized. Providers of infrastructure outsourcing have no advantages of the kind. They are just becoming mature and well-established market players and tend to lose the innovation spirit they used to have at the very beginning of their existence.
At the same time most software engineering companies which were founded 5-10 years ago, have already turned into well-known market players with established reputation, a long list of delivered projects in the portfolio and compliments from happy clients. Maybe it is high time for a challenge, a huge impulse which will bring another wave of growth and speedy development to the market segment?