10+ outsourcing myths you need to debunk in 2021

We’ve identified more than 10 myths that, in our opinion, are worth debunking once and for all.

Myth #1: Outsourcing makes you lose control over your project/company (project management)
Myth #2: Outsourcing is far too complicated
Myth #3: Outsourcing is dedicated to big fish only
Myth #4: Outsourcing means low quality
Myth #5: Outsourcing is not a long-term solution
Myth #6: Outsourcing is more expensive than in-house work
Myth #7: Outsourcing causes too many problems (cultural, time zone, language, understanding)
Myth #8: Outsourcing is only being invested in because of potential savings
Myth #9: Outsourcing can cause significant delays
Myth #10: Outsourcing can disturb the bigger picture
Myth #11: Outsourcing is dead

Fasten your seatbelts - we’re going to start debunking them right now.

Myth #1: Outsourcing makes you lose control over your project and company

One of the most common myths about outsourcing is that, if you decide to go this way with your software development project, you will lose all control over project management and the shape of your ventures.

And that’s pretty far from the truth.

Outsourcing can help you get back on track with your project management since you’ll offload some of your work externally. If you make a good choice when selecting the right software development partner, you can be sure that they will either adapt to your existing project management rules or implement a system that suits you best.

You’re not losing control then but rather gaining it, along with the time that you can spend on other operational or strategic tasks while your outsourcing partner takes care of the rest. It’s called optimization, not a loss.

Myth #2: Outsourcing is far too complicated

Software development is rather complicated, so of course, outsourcing as a vital part of it also comes across as an advanced process. However, it doesn’t have to be a pain in the neck if both sides are prepared for it.

As a client, you should make sure that you have a Request For Proposal in place and redistribute it to your shortlist of software development companies. Identify your goals, requirements, and resources to make a potential collaboration easier from day one.

As a software development company, you should constantly work on your processes and optimize the workflow. Companies decide to outsource their projects to make things easier, not more tangled than they already are. They don’t use the supposed helping hand of software development firms to get themselves into more hassle and trouble.

Myth #3: Outsourcing is dedicated to big fish only

This is another myth to debunk right here and right now. You don’t need to run a massive corporation to benefit from outsourcing. It’s no longer seen as a practice dedicated to big companies, as you may want to outsource even small projects. For many companies, outsourcing actually works as an extension of their in-house software development team and helps with scaling their growth. There’s no universal definition that would describe what kind of companies could benefit from outsourcing.

What’s more, outsourcing is increasingly more often used by small companies to streamline their workflows, as well as help them scale and grow. The urgency of outsourcing per se doesn’t only apply to big brands nowadays.

Myth #4: Outsourcing means low quality

For some, outsourcing goes hand-in-hand with low quality, but this couldn’t be farther from the truth. Of course, there are outsourcing partners who will deliver low-quality projects regardless. However, labelling them all the same is not the right approach, as the quality of outsourced projects can exceed expectations.

Some companies stay away from outsourcing because they are scared of potential costs, cultural clashes, and quality that can’t be improved. In fact, outsourcing can turn out to be more beneficial, cheaper, and better than keeping work in-house, but it has to be based upon well-thought-out research and evaluation of potential software development partners.

Before choosing them, make sure you’ve checked their testimonials, references, completed projects, and onboard skillset. Spending some time carrying out solid research helps to save time and money later, and ensures the choice of the best possible software development partner for a particular project.

Myth #5: Outsourcing is not a long-term solution

For many, outsourcing is considered to be a form of giving away some small projects that they can’t or don’t want to complete. However, this approach to outsourcing has changed on the basis of its proven success.

Companies have started to notice that outsourcing one or two projects really works wonders for them, so they will decide to outsource even more projects to their trusted partners and build long-term bonds. This often leads to the situation when an outsourcing software development partner becomes an extension of an in-house department, or works in synergy with other agencies and developers.

Myth #6: Outsourcing is more expensive than in-house work

In the majority of cases, it quite simply is not. Obviously, if you outsource from CEE to the US then the costs are to be dreaded since the average salary of a Scala developer in the US is around $150k a year!

If you do it the other way round though, outsourcing projects from the US to CEE may save you quite a few bucks. It could be as much as ten times cheaper than developing your projects in-house or recruiting new people to your team.

In many countries, there are extra costs you need to take into consideration when it comes to hiring extra developers. On top of a rather whopping salary, you need to cover insurance, perks, days off, and occasional bonuses. Plus, if an employee leaves their role, you may be left with a huge problem and no one to take over.

Myth #7: Outsourcing causes too many problems (cultural, time zone, language, understanding)

Let’s come back to some research to debunk this myth. If the leading factor in your analysis is the price, then indeed you might be surprised by the number of problems caused by outsourcing. While you could pay very little for your project, you may hit the wall of a time zone difference, language barrier, lack of understanding of your project, or cultural clashes that are damaging to the project.

There are some regions where the aforementioned problems are no longer problems. If you go for outsourcing your software development project in CEE, you can expect high English language proficiency, a very convenient time zone, a roll-your-sleeves-up approach to work, and very advanced skill sets.

We’re not saying here that outsourcing is always rainbows and butterflies. It can obviously bring problems, but these can often be eliminated in the first phase of collaboration by solid research and choosing a partner that understands your needs, requirements, and style of work.

Myth #8: Outsourcing is only being invested in because of potential savings

Another misunderstanding about outsourcing is that the only reason for any company to go with it is because they want to save a lot of money.

The truth nowadays is that software development outsourcing is a cure to many problems that companies stumble upon. Saving on the budget is one of the most common reasons, yet it is not the only one!

Outsourcing facilitates processes, unclogs potential bottlenecks in the workflow, and is an answer to limited time or resources. In many cases, outsourcing turns out to be more profitable than hiring and onboarding extra people to the team.

Myth #9: Outsourcing can cause significant delays

Of course, it can, if you opt for an untrusted company that doesn’t have experience with outsourcing or can’t present a proven track record for projects like yours. If the project is led in the wrong way from day one (which solely depends on its management), delays are almost inevitable.

With the right software development partner, however, outsourcing is a pleasure and a well-organized process that minimizes the risks of delays or at least makes them less likely than when working in-house.

Myth #10: Outsourcing can disturb the bigger picture

Another myth that may be harmful to its reputation is that outsourcing too many processes can blur the company's vision and cloud focus on business development.

Outsourcing shouldn’t be regarded as a “cuckoo’s nest” - handing a problematic project to someone and hoping you’ll never have to deal with it again. Outsourcing is rather about prolonging your resources and unblocking processes that have been stuck in your company than a magic wand for all of your structural or organizational problems.

Outsourcing may actually help to clarify your business vision so that you can finally start focusing on it.

Myth #11: Outsourcing is dead

Sure it is, except for it’s not.

Outsourcing has become one of the most common methods of software development. Having been swamped by many internal processes and projects yet being unable to fill the gaps in-house, many companies started seeking external help. This is a well-known approach, even though the term “outsourcing” is relatively new.

We hope that our shortlist of myths clarifies some misunderstandings enough for you to change your opinion of software development outsourcing. It’s a mystery to us that so many people still believe some misconceptions that are worth nothing but debunking!

You may be also interested in:

➤ Outsourcing / Nearshoring / Offshoring / Remote team - what are the differences?
➤ Why you should consider outsourcing software development to Poland
➤ How (and where) to find a nearshoring software development partner