Real vs. Imagined Risks of Outsourcing to Bolivia: The Imagined

There are a few reasons why you may be reluctant to outsource. You may have read sensational stories in the media, heard of a failed venture from another business, or perhaps had a poor experience of your own. Regardless, many fears about outsourcing are also a risk when working in-house and many of the perceived risks are imagined and don’t reflect the today’s outsourcing software development.

Communication Standards

Communication is usually the first concern organizations have. The belief is that a gap will exist between the two teams because they won’t be able to communicate effectively with each other. That’s not the case with a good outsourcing provider. A good outsourcing company has a strong infrastructure in place and many (if not all) company members speak and write in fluent English. With the technological advances that are pervasive worldwide, communication between countries is rarely an issue anymore. In the particular case of Bolivia you should be aware that it has well known universities recognized internationally creating integral professionals and also the English is taught since school. In addition to that TRUEXTEND has an internship and training program that prepares the engineers for the global market.

Location-based concerns

People often have suspicions regarding the country where the outsourced team is based. The media often relay negative views of the political status, dangerous living conditions and the lack of intellectual property laws. More often than not, this news is sensationalized. Countries that outsourcing companies reside in, such as Bolivia, enforce the intellectual property protection equal to that of the U.S. What is reported in the news is usually representative of a very small reality and doesn’t apply to the majority. It is more important to view the resources of the company rather than stories about the location. TRUEXTEND’s facilities located in Bolivia have all the required conditions in terms of infrastructure and security to be a Nearshore provider. And in addition to this has talented and experienced professionals.

Losing Control

Another common concern is the fear of losing control of your project. When you outsource, it’s usually because your project requires various forms of expertise. Losing control is a possibility, but not if you know how to manage the outsourced teams. Start with a carefully selected team and build from there. A critical, and often overlooked, part of your outsourcing team is someone onsite to manage the remote resources. Management provides a mechanism of interaction between the two companies that will keep the teams coordinated (outsourced and onsite) on a daily basis. This can be someone from your own company if the project is large enough, but a well-prepared outsourcing vendor will have a member of their team ready to fill this role as well. Since TRUEXTEND is located in Bolivia, the similar time zone with the US allows the clients to interact with the remote team during the regular working hours. In this way it’s possible to constantly keep track of the progress and solve any blocker or problem quickly, which increases the productivity of the entire team.

Successful outsourcing requires many business and management practices that you would probably implement in-house anyway. There are a few risks, but they can often be mitigated if you take time to form the right partnership with the right outsourcing vendor.