software development outsourcing models comparison
TRANSCRIPT
Software Development Outsourcing ModelsBy Outsourcing
•BY LEVELS•BY BUSINESS MODELS•BY SERVICE MODELS
SOFTWARE DEVELOPMENT OUTSOURCING MODELS ARE COME UNDER GROUPS
LEVELS OF SOFTWARE OUTSOURCING
• Low-Level Outsourcing
• Complete Technical Outsourcing
• High Level Outsourcing
LOW-LEVEL OUTSOURCING
Product Management Development QA
• Low-Level Solution Coding• Software Delivery
OUTSOURCED PROCESSES
• Manual Testing• Tests Development
HIGH LEVEL OUTSOURCING
Product Management
• Architect-Level Developers Approve Code-Design and Interpret PRD
• Architect-Level Testers Approve Test-Designs and Interpret PRD
• Outsourcing Team Design and Write Code under In House Supervision
Development QA
• Outsourcing Team Design and Perform Tests Under In House Supervision
OUTSOURCED PROCESSESIN HOUSE PROCESSES
COMPLETE TECHNICAL OUTSOURCING
Product Management Development QA
• Product Requirements Document Development
• PRD interpretation• Solution Design
OUTSOURCED PROCESSESIN HOUSE PROCESSES
• Solution Development• Solution Implementation
SOFTWARE OUTSOURCING LEVELS COMPARISON
Outsourcing
Provider
Project Management
Low-Level Codding
Manual Testing
Software Delivery
Manual Testing
Solution Design
Architecture Design
Tests Design Validation
Client
PRD Interpretation
PRD Development
Outsourcing
Provider
Project Management
Low-Level Codding
Manual Testing
Software Delivery
Manual Testing
Solution Design
Architecture Design
Tests Design Validation
Client
PRD Interpretation
PRD Development
Outsourcing
Provider
Project Management
Low-Level Codding
Manual Testing
Software Delivery
Manual Testing
Solution Design
Architecture Design
Tests Design Validation
Client
PRD Interpretation
PRD Development
Low-Level Outsourcing High Level Outsourcing Complete Outsourcing
OUTSOURCING BUSINESS MODELS
• Hourly/Time & Material Model
• Dedicated Resource Hiring Model
• Fixed Cost Model
FIXED COST MODEL
• Any Changes in the Scope of Work are Estimated Separately• Budged Changes Require Clients Upfront Approval
• Precisely Predefined Scope of the Project
• Straight Project Timeframes• Preliminary Payment• Predefined Technologies Stack
DEDICATED RESOURCE HIRING MODEL
• Long-Term Engagement• Open-ended Scope of Work Which Requires Iterative Development
• Scope of the Project is Not Exactly Predefined
• Scaling of the Development Team According to the Customer Needs in Particular Moment
• Fixed Payment for Resources on a Monthly Basis• Flexible Technologies Stack
HOURLY/TIME & MATERIAL MODEL
• Shifting Project Concept and Development Flow• Nature of the Project is Vague and Dedicated Developer cannot be Assigned
• Scope of Work cannot be Accurately Estimated
• Straight Project Timeframes• Small or Midsize Application That doesn't Require Allocated Resources• Client is Charged for the Actual Amount of Time and Efforts Spent by the
Development Team
OUTSOURCING BUSINESS MODELS COMPARISON
FIXED COST MODEL
DEDICATED RESOURCE HIRING
MODEL
HOURLY/TIME & MATERIAL MODEL
Work Scope Budget Technologies Stack
Time Frames
Dedicated Resources Payment Team Scalability
Predefined Predefined Pre-Planned Predefined Assigned Prepayment Low
Estimated Gradual Not Restricted Estimated Scalable
Fixed Price for Each
Resource per Month
Middle
Not Set Gradual SituationalIncremental
or Intermitten
tNot Assigned Fixed Price
per Hour High
OUTSOURCING SERVICE MODELS
• Staff Augmentation
• Project-Based
• Dedicated Team
STAFF AUGMENTATION
OUTSOURCING PROVIDER CLIENT
• Software Development Team Building• Inventory and Logistics Management
• Workflow Development• Work Process Supervision• Project management
• Deep Human Resources Management
• Initial Human Resources management
• Tasks and Responsibilities Distribution
DEDICATED TEAM
OUTSOURCING PROVIDER CLIENT
• Software Development Team Building• Inventory and Logistics Management
• Project/ Product Management Decisions
• Work Process Supervision
• Deep Human Resources Management
• Initial Human Resources management
• Low-Level Tasks Management• Process Quality Supervision• Project Management Assistance
• High Level Management• Product Roadmap Development
PROJECT-BASED
OUTSOURCING PROVIDER CLIENT
PROJECT-BASED
OUTSOURCING PROVIDER CLIENT
• Software Development Team Building• Project/ Product Management
• Deep Human Resources Management• Low-Level Tasks Management• Process Quality Supervision• Work Process Supervision
• High Level Management
• Overall Product Roadmap Development
• Set of Requirements for the Final Product
SOFTWARE SERVICES MODEL COMPARISON
Outsourcing
Provider
High Level Management
HR Management
Building Team
Inventory management
Workflow Development
Operations Supervision
Project Management
Task Management
Client
Product Management
Staff Augmentation
Product Roadmap
PRD Development
Outsourcing
Provider
High Level Management
HR Management
Building Team
Inventory management
Workflow Development
Operations Supervision
Project Management
Task Management
ClientProduct Management
Dedicated Team
Product Roadmap
PRD Development
Outsourcing
Provider
High Level Management
HR Management
Building Team
Inventory management
Workflow Development
Operations Supervision
Project Management
Task Management
Client
Product Management
Project-Based
Product Roadmap
PRD Development
Outsourcing
Provider
Oleg Feferman
CONTACT US
existek.com
+380 98 680-03-70
Existek, s.r.oPekná cesta, 19Bratislava, Slovakia