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What will be trending in 2021? What are the expected trends in software outsourcing?

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olivia cuthbert
What will be trending in 2021? What are the expected trends in software outsourcing?

 

COVID-19 has made us rethink how we work, how we entertain ourselves, and even our social norms. It made us reflect on modern civilization's fragility, which has suffered the onslaught of such a microscopic enemy by keeping people in their neighborhoods.

 

This scourge has become the main factor defining all significant trends in the world economy. One of these trends is the fundamental shift towards remote working and outsourcing. This trend, which started gaining momentum some time ago, has grown exponentially in the virus-infested world of 2020 and has become crucial to many sectors' survival.

 

The outsourcing trend is particularly evident in the IT sector, where the movement has quickly gone from an initial novelty to standard practice. Consumers and vendors of digital products and services benefit enormously from this business approach, which is sure to exceed far the $3.9 trillion spent last year by global IT market players. 

 

Overview of outsourced software development trends in 2021

We want to give you an overview of the ten outsourcing trends that will shape the IT industry next year.

 

| 1.The changing role of outsourcers

 

The importance of outsourcers in software development is gradually increasing. Subcontractors have long since lost their function as very hands (or instead heads) to outsource work. Given the complexity of projects and their importance for the company's overall success, outsourcers are increasingly seen as decision-makers at the same level as management. The outsourcer becomes a visionary responsible for making strategic decisions for the organization, including strategic planning, risk prevention, and system architecture design.

 

| 2. Emphasis on a long-term cooperative relationship

 As subcontractors have become the decision-making body of many companies, their managing directors are increasingly seeking stable cooperation with a company. Finding a reliable subcontractor is not an easy task, but companies that have found such a deal will seek to establish a lasting partnership with that subcontractor. Thus, by establishing a trusting relationship with the software service provider that benefits both parties, the software service provider becomes indispensable for many companies.

 

| 3. A new approach to contracting

 

As the role of subcontractors evolves, we will review contracting methods. The relationship between the parties involved will enter a more interpersonal phase, with suppliers becoming more involved in the decision-making process and mutual trust. The process becomes less regulated and more delivery-oriented in terms of contracts, with specific notice periods and project duration. As a result, the center will be on expected results and performance levels as the touchstone for project success; by 2021, customers will gradually understand that the end product's quality must take precedence over price.

 

| 4. Growing demand for expertise

 

Today, the pace of scientific progress is so fast and the scope of digitization so vast that it is difficult for an internal IT department (if the company has one) to keep up with everything in the high-tech domain. Innovations and new applications of existing technologies are emerging almost every week, so attempts to touch all the hot buttons are doomed to defeat, no matter how tech-savvy a group of experts may be. 

 

Of course, there will always be people who will outdo the Jacks of all trades by specializing in some limited sphere. The coming year will witness increasing demand for high-quality specialists in some narrow fields who can bring maximum value to their assigned project. However, suppose an outsourcer has a full roster of experts who can provide full-cycle product development. In that case, it will gain a serious advantage over competitors and will eagerly seek after.

 

| 5. Involvement of different outsourcers

 

The digitization sphere's growth puts additional pressure on large companies as they struggle to fill all the gaps and reach as many potential customers as possible. With an eye on multiple projects to be implemented quickly, these companies will be juggling numerous outsourcers on these tasks. Thus, 2021 will see an intensification of cooperation between outsourcers, which will place a strong emphasis on monitoring and coordinating the activities of different teams that may be located in far corners of the world and have a different work ethic. 

 

| 6. Adaptability is the cornerstone

 

Last year showed that the general environment and consequently the needs of businesses could change in a fraction of a second. 2021 is likely to continue this trend, so it will become essential for outsourcers to exhibit maximum flexibility. They must be prepared to scale up or down if the client demands it, speed up the development process's speed, make instant changes to pre-established plans, react promptly to the emergence of new technologies, and update their staff accordingly. 

 

| 7. Focus on Eastern Europe

 

A few years ago, there was a contraction in hiring software outsourcers based in the US and Asia. Simultaneously, the employment of vendors from Eastern Europe showed a growth pattern four to five times faster than anywhere else. Customers in North America and Western Europe have come to appreciate the high-quality performance, commitment, and affordable prices offered by vendors in Ukraine, Belarus, Romania, Poland, etc.

 

| 8. Head in the clouds

 

According to Statista, around 80% of organizations globally used cloud-based services (particularly SaaS) last year, and this number will grow exponentially by 2021. Companies will not only look to private cloud-based service providers such as Azure or AWS. Still, they will actively employ vendors that offer software cloud-based solutions or help move their existing infrastructure to the cloud.

 

| 9. A more excellent drive for security awareness 

Data is the most valuable commodity of our time. Those who have access to it come to possess enormous power - both political and economic. Many cyber criminals try to hack into companies and governments' software to make a quick quid pro quo. A UN report stated that the number of malicious emails increased six-fold during the COVID-19 outbreak, with one cyber attack recorded every 40 seconds worldwide. Naturally, organizations are looking to strengthen their software security measures, and more than half of them employ external parties to provide them with security services. By 2021, more and more companies will be looking to become compliant with the General Data Protection Regulation, and outsourcers will help.

 

| 10. Understanding the power of PWAs

 

While the other IT outsourcing trends mentioned above have been around for some time, the emergence of Progressive Web Applications is relatively new: PWAs are essentially websites, but they offer flexibility, cross-platform use, SEO visibility, size, development cost, and out-of-network performance than native applications. The benefits of PWAs in the corporate world, and by 2 outsourcers who can provide services to build this type of application will be mainstream.

 

Overview

The realm of IT outsourcing is in a constant state of change in response to the ever-changing external environment. It is these challenges that give digital service providers an edge over their competitors. top software outsourcing companies in India have a diverse team of skilled professionals working on software projects that will undoubtedly add value to your business.

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