How far can outsourced development take a startup

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“Do what you do best and outsource the rest” – Peter Drucker

Starting a business requires exceptional ability to multi-task. There are a lot of many fronts to be conquered and too much to prove in very little time.

One of the biggest problems of some of the start-ups that failed to make a mark was the notion of being able to do it all. In this age of technological advancement, professional expertise is not limited to the geographical reach and therefore you should concentrate on doing what you’re best at and leave the rest in the hands of the experts.

The tasks that look simpler on the face can be the ones that pose a potential threat in delaying your final product release. The key is not to ignore them and decide their treatment right at the strategy level. Generally, a start-up would need outsourcing services in the areas of Developing, Graphic Design, UI/UX, Marketing, Sales, Support, Legal, Accounting, Copywriting etc.

Outsourcing business aides in not only getting the work done by experts in the field but it also controls the capital costs. Outsourcing primarily converts the fixed costs into variable costs and saves the business from large overhead expenditures especially in the early stages of the start-up. Outsourcing also allows you to engage professional labor for a short period of time thus reducing the labor cost and increasing efficiency, vital for the start-up success.

But when it comes to outsourcing, not everyone completely understands when to stop. Too much outsourcing is as bad as not outsourcing at all. Excessive outsourcing causes flat economy and leads to other business complications including layoffs and increased costs. Outsourcing is a strategic decision and needs to be done wisely to yield long-term beneficial results.

Outsourcing supportive functions are always advisable as against the core product development, especially if it is a software development as the software start-up business doesn’t really work around the cost play segment, which is the biggest advantage of outsourcing. The support functions, however, is a different ballgame altogether as they add to the cost savings and also offer high-level expertise in a reasonably short span of time.

When it comes to start-ups, it’s not possible to really predict the right mix of ingredients for sure shot success. Every start-up is on its own and has a story to share. Considering outsourcing as a support function, using it to complete the add-on tasks that contribute to the effective development of your core product will ensure better work, reduced risk premium and faster turnaround time.

With your investors expecting great results, and you being preoccupied with the debate of performance, usability, quality, deliverance, and a lot more; outsourcing to an intelligent extent is the answer to a lot of your worries, as long as you are lucky enough to find good talent who work for the right reason of excellence.

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