Outsourcing Versus Hiring
Monday, September 12, 2016
Eternal debates tend to rage on for eons: did the chicken or the egg come first, should we have more government or less, and should we hire or outsource top programming talent? Opinions on the latter subject have shifted back and forth for decades. But the latest set of studies and statistics tend to favour outsourcing as the smartest choice in the IT field.
IT Job Watch figures show that the salaries of Microsoft trained specialists in the UK have risen 4% in the past year. The more trained the resources, the higher the increase: C# and .NET programming pay has risen 6% in the last few months. Other surveys show a similar trend. Bureau of Labor statistics indicate that pay for software development positions is likely to grow at twice the average through 2020. And the 2017 Salary Guides from Robert Half predict that average starting salaries for IT professional occupations will increase by 3.8% next year.
Of course, those are only averages. The better the resource and the more sophisticated the project, the percentage increases tend to be much steeper. Those planning to hire a new team for software development, therefore, should be ready to invest more heavily than expected.
“With skilled professionals in high demand and short supply, more employers are willing to negotiate compensation with potential hires," said Paul McDonald, senior executive director at Robert Half. "To remain competitive, especially in the technology and finance fields, it's crucial to have a solid understanding of salary trends for specific roles in your area. Top candidates are receiving multiple job offers."
Like trying to lure top players to Premier League football teams, businesses better get ready to pay well over the odds for the talent they need. That’s why outsourcing of software development is becoming a more attractive option.
Too often, those entering the cutthroat world of hiring find themselves in a bidding war for the best programmers. The lucky few who emerge as employers of the very best developers may get to enjoy them for a few weeks, or even a few months. But the likelihood is that those with the most sought after skillsets will be headhunted remorselessly by desperate competitors.
Just imagine being in the midst of a mission-critical software development project only for half the team to jump ship due to the lure of higher wages? It happens time and time again. Further delays can be occasioned by the time it takes new team members to get up to speed on ongoing development actions and, just as important, to comprehend the culture and objectives of the business. When you add up the days wasted sifting through CVs, interviewing candidates, waiting for the chosen one to arrive, and then having him or her integrate smoothly into the project, many months can be added to the timeline – and by then a potential competitive advantage could have been squandered.
Those taking advantage of outsourcing for custom software development, on the other hand, can look forward to a smooth project of short duration with stable pricing. Instead of headhunters disrupting operations, they can have a highly trained team on hand, pushing the project through to completion.
At Ballard Chalmers, we back up our clients’ IT teams with Consultants and Engineers. From a few months to several years, our staff members and associates are based at client sites across the UK helping to deliver enterprise projects, particularly in custom software development, SharePoint Server and BizTalk Server systems implementation and development, and SQL Server database development and administration.
For more information contact us using the form below or call 01342 410223.
By Drew Robb, Contributor
Drew Robb is a freelance editor and writer, specialising in the Information Technology sector.