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Ask VenturePact: How Do I Outsource To Eastern Europe

Randy RayessRandy Rayess

As technology has advanced over recent years, the ability to work with teams all over the world has become common place. Today many firms choose to outsource their development teams to Eastern Europe. This poses the question: “How Do I Outsource to Eastern Europe?” Outsourcing begins by determining your project needs and requirements. Once this has been established, you can then begin your quest for a great firm.

FreeVector-Man-With-Question-Mark3-300x224 When selecting a firm, it is important to choose a team that is reliable, efficient, and easy to work with. It is recommended to review the developers and their portfolio to get a sense of caliber and skill-set. Also a great way to vet development firms is to speak with their past clients inquiring about the development process, their experience and about any road blocks that came up. When choosing a remote team, it is important to note whether or not the firm has past experience in maintaining a remote relationship.

Accountability

After a firm has been selected, establishing accountability is critical. This can be done through proper use of task management tools and strong project management and will ensure adherence to deadlines and timeliness of deliverables.

Communication

A successful remote working relationship is made possible by communication. Scheduling daily standup video calls and a minimum of two hours per day where each side is available for live chatting will keep things clear for both parties.

Standardizing the workflow can ensure tasks are completed effectively. Creating a template or agenda for each standup call will help your team stay on track. If possible, having a developer on site for three to four months for initial on-boarding will reduce communication overhead.

Culture & Motivation

Orienting the remote team to the company’s culture and vision during initial on-boarding provides a sense of purpose and keeps them motivated. The remote team should believe in the company’s mission, and feel like part of your core team.

Testing

There should be a clear and agreed upon testing process for all code that is written. Functional testing and continuous unit/integration testing – all automated through a continuous integration platform limits bugs and crashes.

Aligning Expectation

Proper training of new hires will create a team dynamic where everyone is on the same page. Development should not start until after an initial on-boarding where expectations are clearly communicated.

Pricing

For development, there are two types of pricing structures. When sourcing a project you can choose to pay based on time and materials (hourly, weekly, monthly) or fixed price by milestone. For each of these methods, it is important to establish a clear pricing structure up front.

Lean Development

It is recommended to be as agile as possible and use open source frameworks, API’s and data analytics when available.

Legal

Far too often, companies fail to protect their intellectual property. When working with an outsourced firm it’s important to have a well written IP ownership clause.

No matter what country you’re looking to outsource development to, we recommend keeping all of the above facets in mind.

CoFounder at VenturePact Passionate about software, marketplace startups & remote work. Previously at SilverLake Partners, Ampush and Wharton.