“Small-Scale Offshoring,” by InformationWeek’s Paul McDougall in the July 25, 2005 issue, shares some advice from start-ups and smallish (read: less than $100 million in revenue, which I don’t exactly consider “small scale”…) companies about their offshoring experiences. As you’d guess, some succeeded and some failed.
One company, which operates an online bridal registry and publishes a bridal magazine, had difficulty hiring the Java programmers it needed domestically. So it turned to Cognizant Technology Solutions to augment the internal development staff. The service provider tapped offshore talent. The challenge for the client is that, rather than “turn around and ask someone a question,” they’re going to need “a lot more formal documentation.” On the other hand, they see it as an opportunity to strengthen their practices.
That’s a point that Mr. McDougall emphasizes. Small operators tend to work in an ad hoc fashion. That doesn’t sit well in offshoring situations, where different forms of communication and diligent, consistent project management are essential to success.
So how do small companies locate the right provider? Elance, which provides online access to talent worldwide on a project basis, gets a big plug. (Sourcingmag.com covered it here.) Another way to find vendors: “informal networking,” at business meetings, association gatherings and among your colleagues at other companies.
For another take on the topic of small companies offshoring development work, read Sourcingmag.com’s “When Small Companies Try Offshoring (Includes Mutual Non-Disclosure Form for Your Use).”
