hSenid's blog on Outsourcing

We have established what the different device platforms are, and so the next question is which version of the .NET Compact Framework should you choose to target? “The latest version” would seem to be the obvious answer, but, as with many things concerning devices, it’s not quite that simple! As the developer, you choose a version of the .NET Compact Framework on which to build your application. If you choose version 1.0, you can be reasonably confident that your application will run on all devices because versions 2.0 and later of the .NET Compact Framework runtime run applications that were built to run on an earlier version. However, if you write code that uses features only available in .NET Compact Framework 2.0, that version of the .NET Compact Framework runtime must be installed on your target device for your application to operate.

The versions of the .NET Compact Framework runtime that are supported by the different mobile platforms are illustrated in Figure 1-5. Note that the figure does not represent an accurate timeline for the release of the different mobile platforms (for example, Windows CE 5.0 was released earlier than the Windows Mobile 5 operating systems) but is purely intended to illustrate run-time support.

Figure 1-5: Supported platforms for different .NET Compact Framework versions

Microsoft does not manufacture mobile devices, but it does supply the software for such devices. As part of the license agreement, device manufacturers that manufacture devices that use Windows Mobile software must agree to preinstall the .NET Compact Framework runtime on all Windows Mobile-based smartphones and Pocket PCs. However, because it takes quite a long time to design and release a new device, the availability of the newest version of the runtime on devices in the marketplace lags behind the release of the software by Microsoft.

For businesses in every scale, whether a large corporation, a medium-sized or a small business, outsourcing is recognized as an effective way to lighten a company’s workload and save its resources. The process must be executed correctly so that the buyer achieves its strategic objective and gains the greatest value through a healthy relationship with its supplier. The highest order issue for a buyer to consider is the binding nature of the relationship between parties. The parties to the arrangements must be able to conduct their business within a durable relationship of mutual dependence. This special type of commercial relationship is sometimes described as a highly structured joint venture. Naturally, a decision to venture with an external party is not one to be taken lightly. There are many issues for a buyer to consider and, because every buyer is different (and indeed every supplier is different), an outsourcing decision must be carefully planned, executed and controlled.

Offshore outsourcing has recently emerged as a topical innovation wave in this global industry. Generally, offshore outsourcing will involve entering either into an arrangement for work to be performed in another country at “offshore” rates; or for the work to be performed in a mixed delivery model using both offsite resources (within country) and offshore resources, at a blended rate.

Low personnel costs are a given for the typical offshore outsourcing value proposition, but there are associated, important buyer considerations such as location attractiveness. This requires informed comparison of potential offshore locations on cost and maturity dimensions to identify the correct location for the work to be performed to an acceptable standard.

Above all, identify which of your internal tasks need to be outsourced. Making a list of all your in-house activities will help give you a better insight over which task will benefit the most from outsourcing. Group together the tasks which are interrelated since it will not be a good idea to separate them. Whether you choose to outsource these tasks or leave it in-house, it would be better if related activities are performed side-by-side. When you’ve completed your list of functions, prioritize which ones need your individual attention, and which ones can be entrusted to an outsourcer.

What drives SMBs to IT outsourcing?

The SMB market is eager to find affordable IT solutions that are easy to use. SMBs want IT solutions that are easy to install and configure, and require minimal customization and integration. More importantly, they demand responsive and reliable after-sales service and support. SMBs don’t take customer service and technical support for granted. For many small companies, a solution provider’s technical support isn’t merely a convenience; it’s a business-critical IT service, because of their resource constrained IT staffs.

Most outsourcing providers are specialized on the early adopters of outsourced software services – large companies multinationals. Therefore there are few specialized providers for SMBs and able to adapt to their business model and needs. Yet small-sized, SMBs are still technology-intensive businesses that require great attention from outsourcing providers. Small businesses should choose outsourcing their IT to those providers with experience in managing SMB projects.

Benefits of IT Outsourcing for SMBs

Cost Savings

Lower cost is one of the primary reasons for outsourcing. The cost savings are commonly based on the wage difference between the Western world and offshore destinations. Other factors such as economies of scale and specialization could also have a considerable impact.

Knowledge & Expertise

Outsourcing gives you access to knowledge pools that you might not have inside your own company. Outsourcing also enables you to focus on your company’s core business and competences.

Capacity Management

Outsourcing gives you a tool to manage your output or production capacity in a flexible way.

Staffing

By using external resources, you can overcome possible shortages on the job market. This is especially the case for highly specialized roles in, such as the information technology industry.

Conclusion

Offshore outsourcing has been discovered for quite some time by large corporations but has barely attracted the attention of SMBs. Still, there are many proven benefits that should encourage SMBs to outsource their IT function. And, more important, there are providers of outsourcing services that accommodate on a small business’ model and already have experience in dealing with this kind of projects.