IT Sourcing Europe highlights the major reasons keeping the Swiss companies away from the outsourced development.
IT Sourcing Europe, a UK-based research and nearshore IT sourcing consultancy company, announced the completion of its Swiss In-House Software Development Best Practices Survey 2010, conducted in the frames of its All-European IT Outsourcing Research. The research is aimed to explore the major reasons keeping the Swiss companies away from the outsourced software/web development as well as key trends and challenges of the in-house development. The survey was completed by the 136 companies. The survey sample was comprised of innovative companies, IT start-ups and representatives of all major verticals from telecommunications to retail to entertainment to travel etc.
The survey findings suggest that most of Swiss companies do not outsource because of the following main reasons:
- they want to have 100% managerial control of their software/web development function and project team;
- they think that outsourcing will eventually cost more money and “headaches” than in-house development;
- they don’t believe that low-cost countries are able to deliver high quality software products;
- they are afraid of putting their intellectual property at risk and creating shared environments;
- they think they are too small and/or immature for outsourcing.
On the other hand, Swiss companies point out that in-house software development and implementation are a way too expensive and the Swiss IT resources are quite scarce. Other frequently cited challenges are: slow time to market, lack of sustainability, staff turnover and extra costs and time associated with software bugs/errors fixing.
More thought-provoking findings are available in the Swiss Software Development Intelligence Report 2010 .