as non-IT companies all over the world are engaged in outsourcing their software development needs to offshore software development centers due to the various benefits provided by the outsourcing process. One of the leading drivers of this trend has been the reduced cost factor associated with the outsourcing process in general. During the credit crunch caused by the global financial crisis, companies were focused on reducing costs and the offshoring process helped reduce overheads and improve the outsourcing company’s bottom line. In other cases, non-IT firms with no or minimalist IT departments also outsource their software development requirements as developing such software in-house often tends to be cost prohibitive. The lack of expertise of a company with regard to use of a specific set of software tools/platforms necessary for developing one or more applications is another driver commonly associated with such outsourcing. Such non-IT firms include industries from a wide range of sectors including but not limited to transport and logistics; education; healthcare as well as banking and financial services. Each of these sectors and even companies within the same sector, however, require unique solutions suited to their own needs. Many organizations also follow a blended approach by mixing outsourcing with in-house expertise to develop the necessary solutions.
Leading Offshore Software Development Priorities
Many companies across the world are currently engaged in developing new software products/applications according to the requirements of clients. New software development is expected to account for a major portion of the software revenue in 2012 and beyond. A close second is the requirement for companies to upgrade their existing software application by integrating new technologies/modules into their already deployed solutions. In 2012, the integration aspect is expected to gain more ground as new technologies/applications increase the benefits provided to organizations by the c