How To Choose The Best IT Outsourcing Engagement Model in 2018?
Best IT Outsourcing Engagement Model in 2018
How can you choose the best IT outsourcing engagement model in 2018?When it comes to businesses which like to outsource their projects to other companies, they have many challenges before them. The most important step is to choose the right business engagement model. Next up, they have to be really careful about the way the budget is allocated. As we have stated before, businesses have to deal with many issues when they outsource projects to 3rd party software companies. Communication gap is one of the most common challenges. Missing the deadlines can be another big challenge you have to put up with. Also, it is indeed a challenge to develop the project the way they have envisioned it. A lot could get lost in translation. Fake commitments have killed a lot of projects in the past and it continues to do so.
Dealing with these challenges
Here in this article, we will take a closer look at resolving the challenges we have mentioned. However, we will be particularly focussing on the challenges associated with the business engagement model. There are few things which you need to do before you pick a business engagement model. Before you start worrying about the right business engagement model, you need to have a solid plan for the project. Every activity should be decided in advance.
This way, you will be able to complete the milestones in a better manner. So, make sure that you have a perfect plan in place before you make further moves. Next up, you need to make sure that you have clear expectations from the project. This is extremely important to avoid confusion later on. It will be helpful in getting rid of many parameters. It is important to make sure that you don’t have unrealistic expectations.
Transparency of the vendor
When it comes to outsourcing the project to a 3rd party company, one must verify the transparency of the vendor. It is important to establish a good understanding of the outsourcing vendor. Another important aspect you need to keep in mind is to be futuristic about the projects. This will ensure that you have better results at the end of the day. When you consider the future challenges in advance, you will be well prepared to deal with them when they finally show up.
Service level agreement (SLA)
Another thing that you need to ensure is a proper Service Level Agreement (SLA). This will ensure that the project is carried out according to the requirements of the business. SLA defines the scope of the relationship between the client and the outsourcing partner. And the scope within which this particular relationship exists is referred to as business engagement model.
Business engagement models
Let’s take a look at some of the models below.
Retainer model: You will be doing billing periodically in this model. A fixed rate is applicable for each period. Perfect for long-term projects.
Hourly model: You will be doing the billing on the basis of the number of hours the team spent on the project. Perfect for short-term and small projects.
Fixed cost model: You can go for this model if you have absolute clarity about the requirements and scope of the project.
Now that we have seen the various business engagement models, you have to choose one depending on your requirements. At Xmedo Softwares we offer best custom web development services with 100% money back guarantee. Our expert development team is fully capable of high-quality web application development services to our clients. Request a quote today.