Quality assurance is crucial with IT development.  Even the most knowledgeable, experienced developers can create code that has errors or “bugs.”   If a defect is not detected until the point of construction or maintenance, it can cost the company significantly more to fix it than it would have cost during the initial creation process.  Companies involved in IT development generally have a system for quality assurance. When IT managers decide to global source part of the development, they need to ensure that the vendor has similar quality assurance testing in place. 

Quality assurance testing will confirm that all functionality, security and scalability issues have been addressed based upon the system requirements.  This testing should be done for every process that is developed through global sourcing or in house.

The most common causes of code errors have to do with the IT vendor.  The vendor may have lacked its own quality assurance team or assumed the outsourcing company would handle quality assurance testing in house.  The project could have had a tight deadline and the vendor rushed through a quality assurance check or may have skipped it all together.  Vendors also may misunderstand the system requirements, which would lead to inadequate testing.  Whatever the reason, poor quality assurance can greatly impact a project.

Before signing a contract with a global sourcing provider, it is important to find out what type of quality assurance system has been established.  Is there a quality assurance team?  What processes are set up to correct code errors?  How is the software being tested and does it include the end-user experience?  Another key fact to uncover is whether the quality assurance testing done by the vendor is comparable to that of the outsourcing company.  Many vendors have quality assurance teams that work with the developers to test the software. 

It would be ideal for the global sourcing provider to conduct regular inspections of the software as it is developed.  Inspections can be done at every stage of the development process and can include technical peer reviews of software designs and implementations.  By conducting these inspections, schedule delays can be avoided and costs can be better controlled because problems would be detected early.

When choosing a global sourcing provider, take the time to review its quality assurance system.  By carefully evaluating a vendor’s quality assurance processes, outsourcing companies can avoid waiting until software is released to discover it has code errors.  A&E Consulting can help you choose a global sourcing provider and will oversee your first outsourced project.

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Most global sourcing experts will agree that communication is one of the key factors in the success of IT development.  Even though so many people know that communication is important, it still creates problems for outsourcing companies. Communication with a global sourcing provider has its own set of unique challenges.  When referring to communication, it is more than just language.  The outsourcing company must find a way to handle the different time zones, distance and multiple locations. 

It is common for an outsourcing company to not place a high priority on communication.  When communication goes wrong in global sourcing, cultural differences are often blamed.  However, usually there is more to it than just cultural differences.  If information cannot be communicated to the correct people, at the right time, there is a strong potential of the project being delayed or not properly developed.  Before a project is sent to a global sourcing provider, a communication plan must be created that will address how and when communication will take place.

Establish a communication infrastructure.  Will correspondence take place via email or telephone?  Who is the point of contact?  When communicating with the vendor, it may be wise to invest in high quality digital communication lines, to ensure a clear connection.  Some outsourcing companies have also found it helpful to create a toll free number that can be used for team members.  Direct telephone numbers and extensions, plus email addresses should be exchanged among those involved in the project.  By having an established communication infrastructure, team members will know how to contact each other and there should be minimal to no delay in relaying information.

Determine the frequency of communication.  How often should virtual meetings take place?  Who should be included in each meeting?  As the global sourcing provider and outsourcing company work together, it is important to determine if regular conversations will occur, which will go over the project status and address any issues that may have arisen.  The frequency of such meetings should be determined in advance to avoid any complications or schedule conflicts.  This interactive communication will effectively relay pertinent information to those involved in the project.  After a team meeting, there should be some type of follow up report, outlining what was discussed in the meeting.  This information should be dispersed to the meeting participants.

Create methods for communication.  In addition to telephone and email, what other methods will be used in communication?  Status reports, newsletters and Intranets are all helpful tools for communication.  A dedicated Intranet can be used to communicate project goals and expectations to ensure the success of the project.  However, whatever method of communication is used, it is vital that all team members and project managers read the information.  Even though a lot of effort may be put into creating great information, if it is not read, it is useless.

There are many additional ways to overcome communication barriers.  A&E Consulting can help you create a communication plan and choose the right global sourcing provider.  We will also assist you with your first outsourced project.

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Companies have a lot to gain through global sourcing, such as the ability to get products to market faster, lower costs, increase productivity and create a better focus on core competencies.  All of these benefits can be lost if the wrong global sourcing provider is chosen.  Failing to choose the right vendor can leave the outsourcing company in a worse condition than before. 

By thoroughly analyzing a global IT provider, organizations can avoid repeating the same mistakes that many others have made in the industry.  It is vital that the vendor chosen is able to deliver solutions that will meet the outsourcing company’s needs.  There are key criteria that must be considered when deciding the appropriate global sourcing provider.  Even though a vendor may be a good fit for one company, doesn’t mean the same vendor will align properly with another.

Vendor Size – Deciding to go with a large vendor versus a smaller one is tricky.  Larger vendors tend to have several outsourcing services in order to provide multiple offerings to clients.   The problem with going with a large IT vendor is that there is a lack of individualized attention.  On the other hand, vendors that are too small may not have the services needed.  The solution is finding the right balance - a global sourcing provider that is big enough to handle the IT work, but small enough to give personalized and prompt attention to the outsourcing company.

Industry Expertise – Vendor expertise is crucial to the success of IT projects.  It is ideal to outsource to a global sourcing provider that has knowledge in various software technologies.  If a vendor has limited expertise, there is no way of knowing if there is a better method for software and process development.  Vendors should also have knowledge in the outsourcing company’s market.

Employee Qualifications – The quality of development is only as good as the developer’s knowledge and experience.  When interviewing vendors, it is important to inquire about the background and experience of the employees.  How many years have they been in this line of work?  What type of degrees have they earned?  Finding out the language skills of the employees is also crucial as language barriers can harm an IT project.

Communication Capabilities – Vendors should have some type of communication infrastructure in place.  There should be a system for knowledge transfer and a well defined method for communicating project requirements.  Also, the vendor will need to have either email, phone or other type of communication capability that would allow the outsourcing company to discuss the project with the vendor. Some global sourcing providers have project managers located in the United States to coordinate projects and schedules.

Security Measures – The protection of intellectual property is essential in the IT industry.   If the vendor is located in another country, the laws of that region should be reviewed to find out the level of intellectual property protection.  Employees of global sourcing providers are often culprits of trade secret theft.  Before signing a contract with a vendor, find out what kind of background checks are done on employees.  Vendors should have firewalls and other types of security protection methods established to protect proprietary information.

This list is just a sample of criteria that should be reviewed.  A&E Consulting can help you choose the right global sourcing provider in order to ensure the success of your IT projects.

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