Outsource It!: A No-Holds-Barred Look at the Good, the Bad, and the Ugly of Offshoring Tech Projects

If you need to expand your business but not your budget, if your group has an intense but short-term project, if you don't have the skill set to get a job done-it's time to think about outsourcing. Starting from the first step (should you outsource part of your tech work?) to the last (how can you protect your intellectual property?), you'll learn everything about setting up projects overseas. Sending your prized assets halfway around the world-or halfway around the country-takes a lot of courage for technical leads accustomed to doing things themselves. This book is full of real-life examples that show you how outsourcing really works. Learn how to choose your outsourcing destination by defining selection criteria tables and applying weights to them. You'll see how to pick the right vendor and understand why recommendations aren't the right way to do it. Then calculate the quality of the code your offshore developers turn in. You'll find out how to adjust your waterfall or agile project for an overseas team, and you'll see why outsourcing QA is not always the prudent approach. Your offshore team will never be as productive as your local team-you'll learn why that doesn't always matter. Finally, you'll discover how much money you'll spend to outsource and how much you can save-which is sometimes more than you'd think and less than you'd like. Written by an expert who's seen it all, Outsource It! will help you avoid mistakes and give you the confidence and the skills to take your project wherever it needs to go. Table of Contents Cover Table of Contents Acknowledgments Introduction Why Outsourcing? Who Is This Book For? What Is in This Book? How to Read This Book Online Resources Part I--Decide If, What, and How to Outsource 1. Make an Educated Decision Get SMART: Defining Outsourcing Objectives The Risks of Outsourcing The Rewards of Outsourcing Understanding the Fine Print Cost Savings: Expectations Versus Reality Ability to Scale Quality of Deliverables 2. Define and Refine Your Action Plan What--and How Much--Should You Outsource? Working Together: Finding the Right Outsourcing Model A Sample Outsourcing Action Plan 3. Select the Right Sourcing Model Multisourcing: Tame the Risks by Diversifying Microsourcing: Outsourcing to Freelancers Out-Tasking and Crowd-Sourcing Outsourcing Your Life Best-of-Breed Sourcing Strategies Part II--Find the Right Vendors 4. Start with a Broad Search The Golden Rules of Vendor Selection Selecting the Destination High-Level Vendor Selection Criteria Generating a List of Prospective Vendors Detailed Vendor Selection Criteria 5. Move from a Long List to the Chosen Few The RFI Process The RFP Process Evaluating Proposals It's PowerPoint Time Watching Out for Warning Signs 6. Choose the Right-Size Vendor The Large-Vendor Selection Process The Small-Vendor Selection Process The Individual Provider Selection Process 7. Find the Personality Magic The Impact of Personality Understanding Vendor Personality Types Matching the Engagement to a Vendor's Personality Identifying the Personality of the Vendor Managing Personality Differences 8. Finalize the Selection On-Site Visits Technical Due Diligence The X-Factor The Final Decision Part III--Negotiate Solid Contracts 9. Negotiate for Long-Term Success The Basics of Negotiations The Forces That Influence the Outcome of Negotiation Navigating the Negotiations Process Negotiations Walkthrough Getting What You Need with Win-Win Negotiations 10. Learn Contract and Rate Essentials Offshore Contract Basics Controlling the Total Cost of Outsourcing with Your Contract The MSA Invisibility Cloak Rates and Total Cost of Outsourcing The Enigma of Rates Researching Offshore Rates Negotiating a Fair Rate Part IV--Lead Distributed Engagements 11. Control Your Engagement Communicating with Your Offshore Team: Practical Matters Communicating with Your Offshore Team: The Squishy Stuff Managing Project Execution Accepting Deliverables Setting Up Metrics The Outsourcer's Toolbox 12. Build and Lead Distributed Teams Laying the Groundwork Staffing Offshore Engagements Choosing Candidates: The Personality Factor Maintaining Your Team Team Morale: Motivation and Rewards 13. Adjust Your Development Model to Fit Your Situation Offshore Waterfalls Agile Offshore Outsourcing Quality Assurance Outsourcing Code Development "Black Box" Outsourcing Part V--Keep Risks under Control 14. Mitigate the Risks of Your Engagements Using Contracts to Mitigate Offshore Risks Protecting Data and IP Joint Responsibilities Dealing with Internal Risks Minimizing Team Impact Risks 15. Minimize the Cost of Failures You Are More Dependent Than You Think The Benefits of Disposable Outsourcing The Path Toward Disposable Outsourcing Intermediaries in Disposable Outsourcing Moving Toward Disposable Outsourcing in QA The Complacency Trap 16. Maintain the Spirit of Partnership Watching the Pulse of the Engagement Investing in the Relationship Fixing What's Broken Terminating an Engagement Closing Remarks A1. Destination: Asia India China Southeast Asia A2. Destination: Europe Russia Central and Eastern Europe Ireland and Israel A3. Destination: The Americas Brazil Mexico Latin America Canada The Rural United States A4. Outsourcing Readiness Assessment Checklist A5. Vendor Search Criteria Macro Factors Critical Factors Subjective Considerations Tie Breakers Personal Factors A6. Outsourcing Checklist Deciding If, What, and How to Outsource Defining Your Outsourcing Strategy Finding Partners for Your Outsourcing Initiative Negotiating the Contract with Selected Vendors Building and Leading Your Offshore Team Mitigating Risks and Minimizing the Cost of Failures Terminating the Outsourcing Engagement A7. Offshore Vendor Technical Assessment Processes Competence System Architecture Technical Support and System Monitoring Security and Privacy Disaster Recovery and Business Continuity Other Bibliography Index