How to Successfully Outsource Software Development in New Zealand

Outsourcing has its risks, and let us faces it, every person who has ever thought of outsourcing even a minuscule part of their business has had to spend sleepless nights reviewing their decision. To top it off, stories of outsourcing gone bad pop up every once in a while, haunting even the bravest of us!

But what causes these catastrophic failures?

In most cases, the culprit is the lack of communication between the client and the outsourcing team. This might sound harmless at first, but miscommunication can lead to failed deadlines, lack of commitment and motivation, and develop hidden costs within the project.

The second most common reason behind a failed project is outsourcing the wrong type of work to the wrong team. Before outsourcing a project, it is important that you review your goals and consider the business and financial benefits that you expect from this collaboration.

source: Giphy

Make a list of the projects that you can outsource without the risk of a massive setback in case of failure and figure out which projects are too valuable to be outsourced. Do not trust a contractor with tasks that are best completed in-house.

However, there is a way out of this mess and it is quite simple. Every successful software developer follows these three very important steps or some variations of the same.

  1. Plan Before Action

This might sound elementary, but you will be surprised by the number of software developers that go about a project without an actual plan. Outsourcing software development only amplifies the problem.


A design document sorts out the planning portion by laying out what needs to be done. It helps define the role of each team and answer questions that have not yet been asked. It is an article that a total stranger can use to understand what is being built and how it is being built, without consulting with the author.

  1. Setting up Realistic Milestones

Every successful software development team focuses on setting and reaching milestones, since it offers a clear insight into the progress being made. Milestones also help split up tasks between a team and measure their individual performance.

Progress monitoring is the heart of every successful project management. When every portion of a project comes together according to schedule, it allows the management to focus on future milestones.

  1. Testing

Before handing over the final product to the client for its intended use, every software needs to be put through its paces. A high-quality testing framework plays a critical role in every software development ecosystem.


Most developers, in a bid to save time and money rush through the testing phase, often ignoring critical errors in the code that have far-reaching consequences once the software goes live. Not to mention the considerable time and money wasted searching for the problems and fixing them. Companies that take their time to smooth out the edges on their design, end up saving a lot of valuable resources in the long run.

Software developers that follow these basic guidelines have a higher success rate than the ones who are haphazard in their ways.

If you believe that outsourcing is overrated, you might be surprised by the results achieved with smart outsourcing. It all starts with finding the right software developers for the job! Once you get that out of the way it is a two-way street involving a lot of planning, guidance and monitoring in tandem with regular communication.

As a client, you have a prominent role in the entire outsourcing framework.

We have taken the liberty to break down your role into THREE major parts, to help you understand the concept of smart outsourcing.

  1. Define Your Reasons for Outsourcing

Before delving into the depths any further, you need to analyze the benefits and shortcomings of outsourcing in your business. Make a list of objectives that you plan on meeting and its impact on your business. Ask yourself these two questions and revise your answers multiple times before deciding on what to do next.


  • Am I better off with in-house software development?
  • Is it the right time for me to outsource?

If your answers convince you to go ahead with outsourcing, you know what to do. However, if you are not convinced yet, you should rethink your strategy.

  1. Work Together with Your Extended Team

Most people think that a key benefit of working with a third-party is autonomy. This usually means that the vendor is self-sufficient to handle projects without supervision. While this may sound like an exciting prospect, it is the primary reason behind most people failing at their outsourcing endeavors – often spending a lot of time and money without proper results at the end.

If you want results, you need to do things that most people do not. Maintaining regular communication with the remote team is crucial. Regular contact allows you to stay updated with the team’s progress, manage development and motivate the people involved. This not only prevents mistakes but also helps build a strong rapport with the team, earning their trust and respect along the way!

  1. Track Regular Progress

While setting up milestones and realistic goals are important, you need to be able to measure the parameters. We know that it is easier said than done, but you must remember that in the end, it is YOUR PROJECT that the team is working on and you need to be responsible for it every step of the way.

However, enforcing strict time frames can result in a poorly-designed product in the end. Do not negotiate the time frame with your outsourcing partner, but monitor their progress regularly. Evaluating the completed tasks and sending your feedback regularly will also help the developers stay in-tune with the minor changes that you might suggest while they are at it!

So, how do you successfully outsource software development?

The answer is simple, you need to do a lot of work on your own! Plan ahead and recheck everything, maintain steady lines of communication with your extended team at all times and track and evaluate their performance.


Outsourcing is a lot like a romantic relationship where both parties need to be responsible in order to sustain said relationship. And just like a relationship, you need to choose the right partner!

OutSmartHub can be the partner that you need to sustain your software development endeavors. If you are looking for a reliable software development company in New Zealand to help you bring your vision to life, get in touch today!

Leave a Reply

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