The importance of cultural fit, talent acquisition and scalability.
Clients and outsourcers must work together to agree on deals that work for both parties without compromising either one’s ability to deliver value. Back in the days when we started in 1999, outsourcing’s primary advantage was cost savings, but now this is no longer the case. There is way more “up for grabs” for clients to take advantage of, but only for those who know how to play it right.
Much is being said in the IT outsourcing sector about the imminent change in which clients and outsources are structuring deals nowadays. Clients are looking for shorter commitments, more flexibility and closer management over the way things happen abroad, leaving sometimes a huge added value going to waste while the relationship last.
It is a fact that outsourcing is not for everyone. One of the reasons you hear many different opinions is because a few key elements must be aligned between the parties, for the relationship to be successful.
The maturity level and cultural-fit of the organizations, are a must. The first serves the purpose of being in an agreement as to where you see value is being added and where you don’t, while the second one sets the working environment and dynamics for that value to be maximized and delivered towards a common goal.
In most cases, short-term relationships lead to little to no added value. If you are looking to plug in a few resources and push a project for a few weeks or months, chances are you are better off hiring a local freelancer than a more established IT outsourcing company.
If on the other hand your organization is seeking a strategic partner to share a meaningful more long-term and mutually beneficial relationship you are always going to be better off with a more serious and established company that can offer a more comprehensive service and talent to increase your chances of a successful delivery.
Another key aspect where clients get the most out of the outsourcer is when they don’t see them as just “developers” but let the outsourcer weigh in its opinion and take a risk just as they would with an internal employee. Sometimes letting the outsourcer take the driver’s seat can have big pay offs and lead to significant changes in the client’s strategy if managed properly, and materialize in better business results at the end. It all depends on the working environment and dynamics set by the client.