Software Outsourcing Issues and Blunders

Over a short span of time, software outsourcing offshore has become an inseparable part of the modern IT business. Perhaps this is the time to look back on the usual blunders committed during offshore outsourcing.

While approaching order fulfillment companies, always keep in mind initially, not entering into long-term contracts. One must have an IT strategy, which has a patrollable boundary between the outsourcing firm and your responsibilities. Also, on the basis of an established objective, get a contract which spells out performance measurements. And, it will be the corner stone of the process.

Once a service or work is outsourced, leave the service provider to do his work. Never try to mess up his work by implementing unnecessary control. Always outsource your work to a firm who has an established track record or else your whole software outsourcing could end up in a disaster. Also, stay clear of offshore software outsourcing blunders as this will save you against whole lot of problems. There are several issues with respect to software services outsourcing.

Starting the Contract: While considering the umpteen number of problems that may come across when an IT service provision is handed over, it will be wise to have a well-defined transition period in terms of the contract and decide the commencement date as soon as possible.

Ownership: Ownership is another significant matter about software services outsourcing. In order to avoid disputes, the ownership of information and data should be cleared.

Licensing and Third Party Suppliers: While involving a 3rd party software supplier, care must be taken to get appropriate license. Licenses currently held by the purchaser must be extended to include the activities of the outsourcer. It must be agreed upon as to which party will administer the terms of any agreement going on between the purchaser and 3rd party supplier. Maintenance contracts also must be transferred to the outsourcer.

SLA and Management: SLA’s (service level agreements) is the minimum level of service that must be provided; is the basis to measure the outsourcer’s performance. It may also be noted that both the parties must be aware about the flexibility of SLA’s and review period in the SLA to cover changing purchaser requirements and new technology.

System Requirement Specification: The defining of the system as well as service specifications must be done well when it comes to software services outsourcing.

Insurance: The outsourcer should have public liability insurance, in case of loss or liability through injury or damage.

Warranties: The warranty must contain service quality and compliance with specification.

Moreover, effective management includes reporting and review of the performance of the outsourcer, through consultation between both the outsourcer and the purchaser. So, those seeking opportunities offshore ought to be aware of the many aspects of software services outsourcing.