Part II: What Management Risks Can Damage Software Development Outsourcing?

Jun 26, 2018

In a previous article: “What Management Risks Can Damage Software Development Outsourcing? “, we introduced readers to this concept of “Management Risks”, then the first 2 risks relating to the Expectation and the Leadership. In this article, let’s find out the rest of 5 most commonly seen risks! 

Management Risk #3 

In the glory days of pure waterfall methodology projects, “Go Live” was single “Big Bang” event.

In these days of iterative, continuous deployment, using methodologies like Agile, milestones need to be extremely clear.

Without clear and clearly communicated milestones, stakeholders can create unneeded confusion if they voice that a software release is “missing something” that was never intended for the current iteration release. Conversely, in software development outsourcing, unclear milestones also leave open an opportunity to miss a feature in the sequence of production releases. We regularly hear stories of “Oh – I just assumed that was part of the next release.”

Management Risk #4 

Good communication has always been important in software development projects. Iterative development and deployment, multi-geographical teams, multiple time zones, and a pace that can border on frenetic means good communication is an essential core competency of the project team. Processes and collaborative technologies must come together in elegant ways to ensure that the constant back-and-forth handoff between participants is seamless and low-risk.

Software development outsourcing is proven as an effective strategy, but for many companies, it introduces a new dynamic for effective collaboration. When “walking down the hall” simply is not an option, it’s critical that the project leaders create clear constructs for effective communication. Regular, effective status meetings are crucial. Consider the use of tools that enhance collaboration – and allow all team members to see “at a glance” what the progress of all work tasks are.

Management Risk #5 

Technology can never overcome bad process in a software development outsourcing project. In fact, the speed that technology brings will simply choke down a project steeped in bad execution methods – or cause the project to accelerate “into the ditch” at a high rate of speed. The roadmap and methods to be used by the project must be fully understood by the company and the outsourcing vendor – and each side must be fluent and diligent in the use of the methods over the life of the project.

Conclusion: Manage Your Management Risks

Developing a software is complicated and working with a software development outsourcing partner has numerous advantages, but also adds risks and complexity. Don’t allow the chance of failure by ignoring signs of “management risk”. Be critically self-aware of these 5 risk areas and take steps to mitigate, or avoid them completely.

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