In-House vs. Outsource: What to Choose In 2022

I know what you think — this topic has been superheated for years. And you’re right! But the pandemic crisis does its dirty work — the life around us is changing.

Now when we say “in-house” we don’t necessarily mean “in the office” — the line between in-house hiring and outsourcing is blurred. That’s why I’m here today. What’s changing on the market, and how does it impact your business? Let’s try to figure it out.

New Workforce Market: How the Rules Changed

To get a better handle on the situation, I’ve checked this report by Dr. Adam Ozimek. How does the market look in numbers? This statistics clearly demonstrates the change we all have felt recently. No, these are not rumors or speculations — we need to take the new reality into account.

• 68% of managers state that remote hiring goes smoother with time — things are easier than they were at the start.
• Even though many people are getting back to the offices, still, 26.7% of employees are expected to work remotely by the end of 2021.
• And finally, the number of remote workforce in the next five years might double compared to the pre-COVID era.

Working in the office is an ethical problem in some regions, and it can impact business reputation. Companies have to adapt, and you might’ve learned it the hard way.

In-House Work: Cons in the New Reality

Let’s look at in-house teams from a new angle. What do we see now?

1. Culture fit

Indeed, in-house employees still share similar mentality, traditions, and working habits. You’re always on the same page regarding schedules and processes.

2. A deeper understanding of your business

For sure, people who work only with your project in mind will always know and understand it better. But here comes the first stumbling block. Now, managers have to use tech tools to discuss even the tiniest details with others. The discussion part becomes longer and potentially can lead to misunderstandings.

3. Personal communication

This is the first and foremost struggle for any business. The lack of communication in unusual circumstances has demotivated hundreds of teams. In-house employees have to adapt to new means of cooperation, which may affect overall productivity.

What does it all mean? An additional layer between you and your team has emerged — a layer of messengers and video conferencing tools.

Outsource: Cons in the New Reality

What do you get collaborating with remote teams?

1. Lower rates

American and Western European businesses (especially startups) often prefer offshore outsourcing to cut their costs. For instance, even though rates on the Ukrainian market have started to grow, they are still lower than in developed countries.

2. Easy scaling

The scaling process on outsourced projects is very dynamic. If there are any changes in the scope, you can quickly hire a new developer — in most cases, your technical vendor has everyone you need.

3. Wide expertise

To stay competitive, outsourced teams have to upgrade their skills. It’s a never-ending educational process. Eventually, these specialists know the market better and have more solid expertise in their niche.

What’s changed? The same communication tools make you closer to the outsource team and allow for daily updates and live chats.

So What to Choose?

Yes, I’m another person saying that there is no perfect recipe for every business. But why do you have to choose one of the two options? Pick both!

Only you know your internal business processes. Weigh the strongest sides of your team and those gaps where you need some enforcement.?

While you’re considering, feel free to contact me to brainstorm together. At CHI Software, you’ll find consulting services and top-notch outsource teams.?

How do you feel in the new reality? Share your thoughts with me!