Despite how tempting benefits of lower costs may be, it's important to make a sober decision before outsourcing. Outsourcing projects don't fail at the "ones and zeros" level; they fail when there is a lack of communication, trust and commitment. Here are 6 Things that you need to know if you’re looking to outsource.

No. 1: THINK LONG TERM

Look for a firm focused on a relationship and longevity. The operative word here is "chemistry." Make sure that both you and your potential vendor are looking for a long relationship. A solid offshore team is an indispensable part of building a sustainable company. Good offshore vendors know that, and they introduce new ideas, propose alternative solutions, and foreshadow problems so you can focus on building your enterprise. Eventually, your offshore team will become an extension of your local team.

When looking to outsource, a vendor that is focused on building a relationship and becoming a valuable partner is critical. Vendors focused on finite tasks rather than on the health of the relationship will never understand your business challenges and won't fully adopt your interests as their own.

No. 2: COMMUNICATION IS KEY

The sad truth is, many offshore engagements result in failure. This is a result of unrealistic expectations and mismanaged communication. The most important thing in an offshore relationship is to dedicate people at both ends to keep track of project progress.

The biggest risk to offshore projects is the gap that often develops due to poor communication between the client and offshore team over changing requirements. The best way to prevent this gap is to have an agile methodology in place.

As in any relationship, a little investment and communication from both sides will lead to long-term success.

No. 3: HIGH VALUE NOT LOW COST

If you’re looking to outsource, don't look for the cheapest provider. Since you're saving money anyway, you might as well look for the most sophisticated partner you can find. In addition to technical skill, you should evaluate their responsiveness, the types of questions they ask, and their ability to manage complex projects.

Mature offshore vendors understand that their value is to help you "see around corners" and build a sustainable business, not to act as cheap labor. Today's outsourcing buyers have to be more aware of offshore development trends and have realistic expectations.

Although the cost savings can be tremendous when looking to oursource projects offshore, it's important to understand that it requires an investment at your end. In most cases, offshore failure is a result of both sides not being clear about what the other wants, but assuming expectations are aligned. It's wise to start with an attitude of caution until the vendors prove themselves by meeting incremental milestones. This will allow you to objectively evaluate their process and absorb the consequences of unexpected issues as you nurture the relationship. By approaching the offshore engagement with a realistic attitude, you're seeking progress, not perfection.

No. 4: KNOW WHAT YOU WANT

There are two kinds of offshore outsourcing shops. The first are low cost " sweatshops" who take your specs and run the project. This is fine if you have solid specs and are looking for a team to simply execute. The second kind are companies that have experience with highly complex projects in specific industries. They'll have the expertise to add value to your project by asking "what if" questions and challenge your assumptions. They will act as a partner and a peer rather than a vendor. These companies are few and far between. The way to find them is to ask what role they've played in the projects they've worked on.

Make sure that the firm's growth strategy falls in line with your own. Look for a company that matches your corporate culture and is looking to grow with you. Its staffers don't have to be experts, but they have to be willing to help you flush out assumptions.

No. 5: A SIGN OF MATURITY IS THE ABILITY TO SAY ‘NO’

You'll find very good technical people all over the world, but finding people who are reliable is next to impossible. A sign of maturity is the ability to say 'no'. It's extremely rare to find a vendor that will tell you like it is. There are countless stories of offshore firms over-promising and under-delivering. You need to be looking to outsource with a partner that can be honest with you from day one, even if it means they might lose your business. A company that sets up realistic expectations is a company you can rely on, even if it's not the answer you wanted to hear.

No. 6: ASK HOW THEY HIRE AND RETAIN

Employee attrition is a big problem, so make sure you don't get bitten. Experienced developers are constantly looking for the next best offer. Rather then asking about the company, ask about their criteria for hiring people. This will indirectly tell you about the character of the company.

SUMMARY

Outsourcing is unavoidable, so finding a firm that can set proper expectations is the only real guarantee of success. An agile development methodology, reasonable expectations, transparency and communication are critical.

It's not hard to find an expert team, what's hard is finding a solid, reliable team. Technology changes so fast that the term "expert" is overrated. A team that you can rely on is worth its weight in gold. You don't need rocket scientists ‐‐ you need a team that can get the job done. Experience has shown that you can work around technical limitations, but commitment and reliability are priceless.

The real value in outsourcing lies in nurturing team players that can work with you long term and who understand your goals and can bring valuable suggestions to the table. Employee attrition, delays, and unclear requirements arise in every project, but how well your vendor handles them is what makes the difference between a mere vendor and a trusted partner.

About the Author:

Eli Loper is the CEO of TrafficSupport Inc. Traffic Support is an offshore outsourcing provider with offices located in both the United States and Cebu City, Philippines. To find out more about TrafficSupport, please visit http://trafficsupport.net/about-traffic-support

This article may be used on other relevant websites as long as a reference to the author and a link to Traffic Support is included.