Long-Term Outsourcing Cooperation

According to a recent study by IT industry trade association CompTIA, organizations are increasingly turning to managed service providers to handle their IT needs as part of a collaborative arrangement with the internal IT department.

If we look at the reasons companies turn to software development outsourcing, we mostly see two categories: a strategic direction or a more tactical decision. Strategically a company may aim to focus on their core competencies and outsource parts of their development needs, freeing up their own resources for other critical initiatives and at the same time increasing their capacity to handle more projects.  A more tactical reason could include the need to staff or finish an important software or systems development project that requires the kind of skills the company does not have in-house.

In this post, we will talk about a typical scenario where a specific need for software development evolved into a long-term partnership.  

One of our clients is a well-known self-storage and storage solutions provider with hundreds of storage locations across the U.S. They decided to implement a new customer service center system and after researching the available package solutions for the industry, came to the conclusion that a customized software product would be the best fit for their needs.

The client turned to Shinetech to help them bring this new system to life. After the initial business discussions with the client regarding their requirements and the features needed in the new system, our team started a more detailed requirement scoping, began the analysis phase, and built a three-member development team for the project.

The development project was completed within a year and included key functionality such as a reservation system, account management, and a payment platform. These apps established a complete set of systems for our customer’s business process. We implemented a cloud-based Azure solution using virtual machines for the database service. This greatly improved the maintainability and scalability of the data and services.

After a custom software development project is finished and handed over to our client, they usually consider two options: handle the upcoming maintenance work themselves or continue with the service provider. In this case, our client anticipated more enhancement work and maintenance for the system over the years, as changes to current features would come up as well as updated functionality to support new business needs. The most efficient model was to continue using the offshore development center at Shinetech and have them function as the IT department. After all, they’d be collaborating directly with the team that originally built the system. The value comes from knowing the client business and systems and thus being able to suggest new ideas.

We now have a six-member team that handles all the development and system upgrade work for the client and we have formed a very collaborative operation with them. Our client stated that, “Over the years we’ve eliminated our work with all other development companies because of Shinetech’s proven high quality work. They have made the tenuous balance of running a hybrid onshore/offshore solution easy to achieve.”

To learn more about Shinetech’s services and expertise visit www.shinetechsoftware.com

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