Outsourcing Trends for 2014

Software Outsourcing is a huge industry. India is no doubt the hub for the same. We have giants like Infosys, Wipro, TCS that have been taking on million dollar software outsourcing projects for over two decades. This has led to the formation of our own silicon valley here in India. Bangalore as well as places like Noida and Gurgaon that have sprung up as the core software outsourcing service centers.

Customers have requirements for customized software development outsourcing. Customers also license and purchase software products developed internally by our software outsourcing companies. Over the years all needs from ERP to SAP to Web based to mobile based development are getting outsourced.

Below we list some of the latest trends and developments in software outsourcing which are shaping up the future prospects of this industry.

1. The Rise of Cloud Computing: Cloud computing is replacing self-owned data centers and corporate computer racks. It is leading to huge reduction in software maintenance and hosting costs. Customers now rely on cloud technology like amazon aws, Microsoft azure, google apps to ensure 99.9% reliability of their sites. The interesting trend is that most companies are outsourcing the process of setting up, configuring and managing cloud deployments. Earlier the companies had to set up an internal team to handle system updates and backs-ups, however, with cloud computing these tasks can be easily outsourced freeing up the internal resources.

2. Mobile Information Architecture Gaining popularity: Everybody today has a smart phone or a tablet with them. Ubiquity mobile technology is gaining attention from entrepreneurs as this can enable their employees to gain access to their corporate network remotely. With the enhanced mobile features today, business tend to look out for hybrid mobile application architecture that can combine the portability of HTML5 with the features of a native mobile application. The mobile market has become very competitive and in order to get an mobile app that can

span all major mobile architecture business tend to look out for mobile development outsourcing which can be a one stop solution for all their needs.

3. Big Data Analytics: The year 2014 is assumed to be the year for web 3.0 with smarter semantic algorithms, and very large volumes of data processing. The decision makers of different industries can turn these data mines into gold mines as a right decision for the business based on data analysis does not only bring profit to your specific business but to the industry as a whole. Outsourcing Big Data Analytics insures that your data is handled by a highly skilled team who can collect, analyze and drill down to the root to find out what the data really means. It requires skills in machine learning and artificial intelligence. There has recently been a steady rise in outsourcing firms that provide only big data number crunching and analytical services.

4. Make Outsourcing Turk-Key: Customers want seamless and hassle-free outsourcing. Customers want their software vendors India or elsewhere to handle all parts of SDLC from technical product conceptualization to final deployment. Software Outsourcing companies thus must become adept in giving not just php web development or software development services but also business analysis, scalable web architecture design, software quality assurance, code review, web performance optimization and cloud computing consulting.

5. Small Firms and Small Cities– Smaller cities like Jaipur and Pune are seeing a rise in outsourcing service providers. Companies with head count of less than 20 but which are at the same time full of young passionate engineers are starting to lead the curve in software development. This means that outsourcing no longer is ruled by only large size companies. According to a recent study at London School of Economics it was found that 63% of the mid-sized business owners reduced their cost up to 44% by outsourcing their projects to small and mid-sized IT web development firms.

It is estimated that the year 2014 will bring a change in the complete outsourcing era as entrepreneurs will outsource their project to small sized companies.

As per the IT experts, 2014 will be a great year in IT outsourcing industry where customers will demand cutting-edge technology and IT strategy consulting complete with big data, mobile architecture and cloud computing to be delivered to in a turn-key manner.