OUTSOURCED PRODUCT DEVELOPMENT SERVICES

AR research recently showed that 80% of the final product quality and 70% of the product entire life-cycle cost are determined in the product design phase. A good product manager has to combine his or her expertise in marketing and project administration with design and psychology skills. These rare experts are the core of YouTeam as well as your link to the development team we set up for your project.

Outsourced product engineering: What do we mean?

First, let’s clarify the definitions. When we talk about outsourced product development or outsourced product engineering we usually mean a software development process which requires involving a third-party responsible for it (a.k.a. outsourcing software development companies, vendors, firms, agencies or IT suppliers as well as software development houses (in the UK) or development shops (in the US). When delegating your product development to external vendors, then its success is highly dependent on finely arranged planning, communication and management of all processes. Moreover, it is extremely important to know who exactly will work on your product – not just company’s name but software engineers dedicated to your project. Which is why we strongly recommend screening all candidates thoroughly in advance like we do with software companies applying our complex vetting process.

Before you decide to go for outsourced software product development, weigh all risks

Having discussed outsourcing issues and challenges with tech startup founders we found out that there are different attitudes towards it, namely, it is often mixed with the lack of trust to both software development agencies and freelancers. As result, we identified seven common problems associated with outsourced product development services:

  • 1. To select the most appropriate vendor with a decent expertise in the technical needs of your product.
  • 2. To undertake due-diligence on the outsourced product development companies independently and easily.
  • 3. To verify the technical level of expertise of an individual engineer.
  • 4. Because outsourcing companies provide a very brief information about their specialists who will be assigned to your project, there is a well-known information asymmetry.
  • 5. Before actual project will be started and the team will be assembled, it can take several months in not more.
  • 6. Clients expect more flexible engagement models when working with a platform solution.
  • 7. If you completed the whole list, you’ll realise that independent escrow services usually are not available at outsourcing software companies.

How to screen and pre-vet an offshore development company: a due-diligence checklist

Product Managers with significant experience are well placed to assist in digital product development services by helping judge whether the design of a particular product has matured enough before commencing outsourced software product development on an MVP.

A lean startup has certain characteristics that demand a specific approach to User Experience Engineering (UX):

  • Startups innovate in a context of uncertainty. There’s insufficient evidence to confidently answer any number of questions when inventing a new product: Will people want this kind of product? Will people buy it? What should it look like? What features should it have? And so on.
  • Because of this uncertainty, progress is measured by what you have learned through experiments. The goal is always to act on learning, thereby finding product success through repeated cycles of “build-measure-learn”.

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