New research explains why some UK companies try to stay away from the outsourced development

Posted: June 24, 2010 in Market Research

IT Sourcing Europe highlights the major software development trends and challenges facing the UK non-outsourcing companies in 2010.

IT Sourcing Europe, a UK-based research company and nearshore IT sourcing advisor, announced today the completion of its UK Software Development Best Practices Survey 2010. The Survey was conducted in the frames of the its All-European IT Sourcing Research and aimed to explore the major reasons why some UK companies refuse to adopt the outsourced development as well as the current trends, challenges and problem solving techniques related to the in-house software/web development. The Survey was completed by the 222 UK IT decision makers.

The Survey finds that the major reason still keeping the UK businesses away from IT outsourcing is their desire to have 100% managerial control of their IT projects and teams. Most surveyed UK companies also admitted the fact that they are ready to consider outsourcing their software/web development if they need faster time to market and/or if they get pressure to cut costs from their top-tier investors or executive management.

Among the most frequently cited challenges of the in-house software/web development are: high costs of development, implementation and maintenance; time it takes to complete a software development project; staff turnover etc. In order to respond to these and other challenges identified by IT Sourcing Europe’s research, the UK companies encourage staff to work overtime, improve their software development methodology etc.

The majority of the surveyed UK non-outsourcing companies pointed to Nearshoring (maximum 2 time zones away from home country) as their most preferable destination where they would outsource their software/web development if they decide to adopt such a strategy in the future.

The Report arrives at more thought-provoking conclusions that generally shape the best practices and common errors of the in-house software development among the UK non-outsourcers.

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