Software development outsourcing during a recession

What I will go to discuss below is not a sales pitch forIt is very vital to control whatever budgets are
my company – it is pertinent and factual for anyavailable during difficult economic period. A benefit that
outsourcing company. Furthermore, it is applicable toan outsourcing is able to offer is that of carrying out a
the outsourcing of roughly anything, not just software.specific project for a guaranteed fixed cost.
An economic recession, the one that the majority of3: Jump at the forefront of the Competition
the world is at present passing through, is a time ofA recession gives a forward thinking company a
great anxiety and cataclysm for the many companies.chance to jump ahead while its competitors are licking
Products are consolidated, employees are laid off, andits wounds, or at least made a pause. Outsourcing
budgets are cut down. In spite of all this, companiesnew projects enables you to make this jump ahead,
have to move on in order to survive. The smarterwithout distracting current staff and/or assuming extra
companies work to not only survive, but to in factlong term commitments as depicted earlier.
prosper whilst their competitors are suffering.4: Build up Relationships, Processes, and Partnerships
The following is a list of what I believe is the top fiveBuilding up relationships, processes, and partnerships is
reasons you are supposed to consider outsourcinghard work. Trying to this whilst under tremendous
some of your software development even during atarget pressure is extremely hard work, and
recession:increasingly inclined to failure. Take benefit of the
1: Budget vs. Man Powerslower economic period to explore and develop new
An attention grabbing happening is that there is often arelationship with vendors and partners on smaller
sizable budget on hand for outsourcing even if there isprojects so that all of the folds are established before
an employee hiring freeze in place. On many occasionyou take on larger and more complicated projects.
it is due to company politics and games, but there is5: Make changes in Technology
also a very rightful reason for this to happen –Try to utilize the slower economic times to devote in
Having employees in-house is a long term commitmentnew technologies so that you are in an enhanced and
with recurring costs, while outsourcing or usingmore advanced position when the economy starts
contractors is a pay as you go method that can bepicking up and clients start checking out your offerings.
fine-tuned as situations develop.Do any of these predominantly true to you?
2: Fixed Price ProjectsDo any of these make sense to you?