Himani Agarwal
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4
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Should You Outsource Development Or Hire A Remote Engineering Team For Your Startup?

Nowadays, remote engineering teams or outsourced teams are becoming the norm. Companies must decide what works best for them.
Table of contentS

Introduction

Outsourcing software development or trusting in another company can be a daunting task. But, many companies are now outsourcing development to third-party vendors for great results. Companies can avoid tasks like hiring, recruiting, and training employees with their help. 

Remote engineering teams have become a popular choice among top companies globally. Due to the pandemic, organizations realized remote teams could be very productive. Nowadays, you can opt for an outsourced development team or a remote team of engineers. Dive in to learn more! 

What Is Software Development Outsourcing? 

Outsourcing development means tasking third-party vendors with software development and related tasks. Doing so can help companies decrease the pressure on in-house staff. It works if you wish to avoid the stress of interviewing, hiring, and training employees. 

Now, outsourcing development is a successful and sought-after industry. The global market of outsourced services is worth a whopping $92.8 billion. Doubts may arise while outsourcing to third-party teams, so you should decide. 

How To Outsource Software Development To A Third Party 

Here is how outsourcing software development to a third party works: 

Define Your Goals

Defining goals and what kind of services you need from a third party is pertinent. Companies must determine the goals to streamline the outsourcing and software development process.

Sketch Out The Scope Of Work 

A solid plan is important while collaborating with the services of third-party workers. The plan must cover crucial points like budget, requirements, project deadlines, etc. 

Define Your Technology Stack 

Most work occurs when you outsource software development to a third party. You must ensure the developer has a technical profile matching your company’s needs. As a result, it is crucial to create a resource list. 

Companies should be mindful of security and data protection. Nowadays, data loss threatens many companies. 

Ensure The Presence Of A Quality Engineering Leader 

A high-performing engineering leader in the outsourced development team can be beneficial. They can manage projects, avoid delays, tell clients, and prevent quality assurance challenges. 

Pros And Cons of Outsourcing Your Software Development

One must remember some key advantages and disadvantages of outsourcing development-related tasks. The following pros and cons can help you make the right decision: 

Pros: 

  • Outsourcing development to a third party can ensure cost-effectiveness. Companies can cut down on operational expenses like hiring and training new employees.
  • Most third parties boast years of experience in crafting products and software. They can be a time-effective solution for your worries.
  • Your company gets access to tech experts who can achieve the desired results.
  • Third-party developers are flexible. They can incorporate necessary changes to a project if required.
  • The third-party vendors carry full responsibility for their work. They prepare agreements about deadlines, payments, and penalties for both parties. In this manner, your company and the third-party vendor are secure and protected.

Cons:

  • Communication between your company and the third-party vendor may not be up to date. This is due to different time zones, linguistic differences, and other challenges. Significant differences in time zones can delay calls and result in their cancellation.
  • Generally, the risks associated with outsourcing are far and few. But, companies may have to take stringent steps at times to prevent data theft.
  • Generally, outsourcing appears cost-effective on the surface. But, there is always the risk of getting a high bill with hidden costs.

What Are Remote Engineering Teams? 

A remote engineering team does not work in an office. Generally, they work out of their own homes or other places. Unlike outsourced services, a remote engineering team is a part of the workforce. Companies must interview, hire, and train them like regular employees. 

During the Covid-19 pandemic, many organizations enabled remote working. This showed remote workers are as efficient and productive as their in-office counterparts. Under remote working, employees connect via video conferencing and other communication tools. 

Remote working has several positive benefits for the employees as well. It can ensure alleviating of stress, which helps them be more productive. 

What Are Some Challenges For Remote Engineering Teams? 

Companies running and managing remote engineers often face the following challenges.

Keeping Everyone In Loop

In remote or hybrid setups, inefficiency may seep into communication. As a result, employees need to be aware of project status, deadlines, priorities, etc. 

Poor Planning May Result In Project Failure

Project success is only guaranteed if the planning is good. Ineffective communication will result in employees not working in cohesion. They will come up with a below-par project. 

Companies Can Fail In Team Building 

For the success of any organization, team-building activities are paramount. A remote set of employees often prevents companies from carrying out team-building activities.

How To Build And Manage Remote Engineering Teams? 

Building a remote engineering team is one of the best ways to boost productivity. It enables employees to work without any added hassle. Here are specific proven ways to build and manage an efficient remote team of engineers.

 

Hire The Right Talents For Your Company

First, you must hire professionals who are well-versed in their job. It would also be a huge factor if the hired professional had some experience as a remote employee. You must check whether the remote engineers boast enough self-management skills. You need employees with critical skills who can resolve challenges with few prompts.

Share Your Project Vision During The Onboarding Process 

The onboarding process of an organization is essential. Once you have an excellent remote team, you must communicate the project vision to them. You can do so over virtual meetings or video calls. Ensuring that the engineering team gets all the details is essential. 

You must offer remote engineers clear roles and responsibilities before work begins. This way, you can ensure that the remote employees meet all your company’s expectations.

Assign An Efficient Team Lead 

A company must have an experienced on-site employee who connects with the remote team. This employee will serve as the team lead for the remote engineering team. 

They should be able to take over projects whenever necessary and provide updates. The team leaders should also celebrate small victories within the remote teams. This will further incentivize the engineers to give their best to the work.

Organize Stand-Up Meetings 

Stand-up meetings are essential for managing remote engineering teams in a company. The presence of all team members at the meeting is of paramount importance. Companies can use the help of video conferencing tools to establish efficient conversations. Some of these tools include Slack, Google Meet, Zoom, etc. 

Generally, a stand-up meeting should take at most ten to fifteen minutes. Organizations must decide upon a specific time for the stand-up meets. A ten or fifteen minutes window in the first half of the day or before work kicks off is the best time for stand-up meets. 

Teams can also take part in stand-up meetings at the end of the day. In these meetings, they can review the completed tasks or pending work. 

Schedule Regular Conversation 

Since remote teams work from home, you must contact them via video conferencing. You can then discuss project status, new challenges, etc. Quick calls that last around ten minutes can happen over Google Meet, Zoom, or MS Teams. 

 In these calls, you can also share information about what is happening in the workplace and other ideas. 

Employees Must Capture Everything In Writing 

Employees should write it all down when sharing project plans, roadmaps, and updates. This step will ensure remote workers get all the vital information. Additionally, they can refer to these notes whenever needed.

Over-Communication Is Crucial For Companies With Remote Engineering Teams 

When running engineering teams, employees must communicate all necessary work details. Hence, over-communication is crucial for running and managing remote engineering teams. Remote engineers may often feel disconnected if they receive no prompts. They may also feel like they are not a part of the company’s inner circle. 

Ensure The Availability Of Tools That Are Critical For Remote Workers 

Suitable software tools are a must for remote engineers. These tools ensure easy communication, file sharing, scheduling, etc. 

Slack is a tool that ticks all the right boxes for an efficient remote working environment. This tool works great with external team members and has a chat room feature. You can take part in video calls or standard calls over Slack.

Google Drive is another tool that has helped remote workers. It allows file syncing between devices so that you can access them from anywhere. With the help of Google Drive, engineers or employees can also collaborate on the same document. 

Zoom is another tool that is effective in managing remote engineering teams. Zoom’s easy-to-use interface makes it a top choice for organizations globally. It offers screen-sharing options, enabling workers to mull over essential ideas in cohesion. 

Team Feedback Is Very Crucial 

If you are wondering how to build and manage remote engineering teams without hassle, team feedback is crucial to remote team management. It can motivate employees to give their very best shot. 

Annual Get-Togethers For Better Communication With Remote Employees

The remote nature of work prevents employees from meeting up with their in-office counterparts and establishing excellent working camaraderie. In such a scenario, annual get-togethers or meetups can help. Even if all remote workers can’t make it to the get-together, such an event will enable in-house and remote employees to mingle and chat about important projects.

The Takeaway

While outsourcing development has its share of benefits, like cost-effectiveness and workers with technical expertise, it also has certain disadvantages. While outsourcing, companies often worry about data risk, hidden costs, etc. 

 Meanwhile, remote engineering teams have challenges like ineffective communication, inefficient team building, etc. Companies must adopt all necessary technologies and steps to ensure a good working culture, establish good relationships, and boost productivity to effectuate and manage an efficient team of remote engineers.

You can opt for third-party vendors or remote engineers based on your needs. If you lack the infrastructure to support new employees, you should go for outsourcing. If you wish for the engineers to be an integral part of the workforce, you should opt for remote engineering teams. 

FAQs

How Much Do Remote Engineers Earn? 

The average salary of a remote developer living in North America is $82,757. According to Glassdoor, the average salary of a remote engineer working in India is Rs. 20,54,688. Remote engineers are highly sought-after globally and earn lucrative salaries as a result. In a remote engineering job, an entry-level salary will witness regular increases as promotions take place. 

What Video Conferencing Tools Are Perfect To Communicate With Remote Engineers? 

Tools like Zoom, Google Meet, and Microsoft Teams are perfect for establishing communication with remote engineers. Besides having great video and sound features, these tools also have an easy-to-use interface, making collaboration among employees easy. Moreover, they also have screen-sharing features enabling employees to review key project-related details on call. 

Are Remote Engineering Teams More Productive?

Some studies have revealed that remote workers are more productive than their in-office counterparts. According to many studies, people working out of their homes' comforts are more laser-focused on their tasks. The availability of video conferencing tools and other remote work-friendly solutions ensures that companies don’t face any trouble collaborating with a remote workforce. Moreover, companies don’t have to worry about certain operational expenses when working with remote employees, helping them save money. 

Can Remote Engineers Help Companies?

Remote engineers can be of great help to companies. In-office workers can collaborate with remote engineers via video calls. First, project goals, deadlines, and other details must be decided. Then, the remote employees can carry out their tasks without any hassle.

Himani Agarwal

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