Risks Involved in
Offshore Software Development Outsourcing

• Misunderstanding can arise between the vendor and the client if the discussion regarding the software application is not based on the final document.
• Misunderstandings may also arise, if the vendor representative and the client are not close to each other, as it is virtually impossible to explain all the finer details during the course of the conversation/discussion.
• The possibility of cultural clashes cannot be overlooked.
• The difference in the time zones between that of the vendor and that of the client could be yet another barrier. Mutual adjustments have to be made in such situations.

Elimination of risks in software development outsourcing

Good Communicazion makes the difference. This starts with clear and complete initial documents (RfP, proposal, contract) and continues during the whole project.

Before offshore software outsourcing, the client and vendor should meet for an intensive discussion, stating:

• The original objectives and proposed solutions
• Organization and method of the project
• Comparison of estimates and actual results
• Successful aspects of the software application
• Problems involved and suggestions to avoid them in future
• The guidelines for software development outsourcing, documents required, risks involved, etc.