Should you take your next IT project in-house, or should you hand it off to an outside contractor? While it might be tempting to take control of every phase of the process by doing it all under your own roof, there are very real cost advantages to hiring an outside vendor instead.
Cost advantage? What kind of cost advantages? Well, that depends – every company is different, so the extent to which yours will benefit from outsourcing depends on your company and the specific nature of your project.
Companies often choose to outsource these projects for payroll and accounting reasons. For example, when you hire a contractor to handle your project, you aren’t obligated to pay for any employee benefits. Instead, those are the responsibility of the contractor.
Similarly, outsourced work can be considered a capital expense, with each outsourced employee being reduced to a cost item. In some cases, this can have accounting advantages – but you should really speak to your accountant instead of just taking my word for it.
More commonly, our clients tell us that the reason they sought us out in the first place was because they had no IT department to speak of, and weren’t interested in or capable of building one from the ground up. Think about it: if you’re going to accurately evaluate IT talent, you’ve got to know IT yourself, inside and out. Many of our customers aren’t in the tech sector – their knowledge and skills lie elsewhere, and pivoting to staff a professional in-house IT department would take resources that could be better used strengthening their core businesses instead.
For those companies, the biggest cost savings from working with Oyova come in the form of our team’s many years of IT and development experience. We ramp up quickly, because we know what we’re doing. And we avoid costly and time-consuming mistakes, because hard experience has taught us how to spot trouble coming and step out of the way.
One word of warning: if you do decide to outsource any of your company’s IT projects, make sure the contractor you select is both stable and capable of handling the project. Many of our current customers have come to us after working with smaller, independent contractors, usually because they were able to get a good rate from them. However, independents are notorious for quitting projects midway through – maybe they finally found a full-time job, maybe they got bored with your project and decided to devote all their time to someone else’s instead. Or maybe they realized they were in over their heads and decided the best way to handle that would be to stop returning your phone calls.
When you think about it, there are few things more expensive than a half-finished project – especially if you have to hire someone else to clean up the mess. Hiring the wrong contractor could completely blow your budget and leave you with nothing to show for it.
This is why you should stick with larger development and IT contractors like Oyova. We’re established, tested and proven in the marketplace. We won’t flake out on you, which means your project will finish on time and on budget.
And ultimately, that’s really the point of it all, isn’t it?