9 Misconceptions ISVs have about outsourcing

Home / Blog / 9 Misconceptions ISVs have about outsourcing

Misconceptions ISVs have about outsourcing

Misconception 1 »Outsourcing is a complex to control and manage!
This is the most common misconception prevailing among ISVs. In outsourcing, it is never about handing over the control. ISVs are the true owners of their product. Outsourcing must be seen as integral component of ISVs which gives them greater business flexibility.  As a result, strong SLAs are enforced to ensure that the interests are taken care of by both the service providers and outsourcing partners.

Myth 2 »Will my productivity go down if i outsource?
With repeat customers and next-gen projects in the pipeline, the answer is a definite “No”. Outsourcing arises, when there is a need: niche resources, versatile skills, and greater expertise. With service providers, one can push the pedal to drive greater operational efficiencies and higher productivity.

Misconception 3 » They won’t be ‘experienced’ enough!
Customers come in all sizes with manifold challenges. Outsource partners come with an abundance of experience in growing helping identify and understanding challenges. This kind of experience can be valuable at a critical juncture, when ISVs face a lack of direction in taking the right decision.

Myth 4»Heard service providers use “Mixed Bag” of employees
With shared resources model, most of the outsourcing partners offer a talent pool that has interfaced with multiple business scenarios, that helps bring expertise to the project. The team is groomed and trained to keep the customer interests in mind, and deliver solutions exclusively for the ISV.

Misconception 5 » Are service providers subject to liable to IP?
Outsourcing partners handle company’s proprietary information in compliance with all policies and regulations. Which explains why service providers who handle confidential information are termed as “Business Partners”. The service providers are contractually and legally obligated to adhere to all laws and regulations.

Myth 6 »Outsourcing partners cannot be trusted as much as in-house employees
Service providers have a transparent resource utilization model offering complete control to their customers. Most outsourcing partners also encourage direct mode of communication between its customers and employees. To cement relationships, strong service level agreements, liability clauses in line with local and corporate laws and regulations are also established that create a smoother work flow between ISVs and outsourcing partners

Misconception 7 »Job cuts! A service provider takes away in-house jobs
Service providers in reality work with in-house teams to make partnerships more fruitful. With a reliable partner, organizations can concentrate on core competencies, build resources and enhance productivity.

Myth 8 »Time Zone compatibility issues
Service providers have resources that work round the clock. Based on the partnership model, 24 hour support that ensures business continuity irrespective of geography and time zones are offered to ISVs.

Misconception 9 »Will Service providers deliver “what we want”?
In reality, managed service organizations offer niche, specialized services as a result of which, they hire and develop highly skilled team to match up to the requirements of their clients. However, the onus of providing accurate insights into what the organization wants lies with ISVs. Both outsourcer and service provider need to work in tandem, and interact cohesively to deliver win-win services. Outsourcing is not a ‘quick-fix’ for service providers it is a strategic decision that impacts business goals. Great working partnerships with unified efforts make organizations realize true benefits of outsourcing.)

Leave a Reply

Your email address will not be published. Required fields are marked *