7 Key Factors to Consider: In-House or Outsource Your App Development?

Are you grappling with the decision between in-house app development and outsourcing? You’re not alone. Working on more than 37+ products, I’ve seen countless businesses face this crucial crossroads. Today, I’ll walk you through the seven essential considerations that’ll help you make the right choice for your project.

The Big Question: Build or Buy?

Before we dive in, let’s address the elephant in the room: should you build your app in-house or outsource it to an agency? It’s a question that keeps many a CEO and project managers up at night. But fear not, we’re here to shed some light on this complex decision.

1. Knowledge of Your Business: The Inside Track

First things first, let’s talk about business knowledge. There’s no denying that your in-house team has an intimate understanding of your company’s ins and outs. They live and breathe your brand values, understand your target audience, and are well-versed in your industry’s nuances.

An in-house team can:

• Align the app seamlessly with your brand identity
• Understand complex business processes without extensive explanation
• Make quick decisions based on company knowledge

However, don’t write off external app development agency teams just yet. Many app development agencies like Galekt specialise in rapid onboarding and can quickly get up to speed with your business model. Plus, we often bring fresh perspectives that can lead to innovative solutions.

2. Personal Involvement: Hands-on or Hands-off?

How much do you want to be involved in the nitty-gritty of app development? With an in-house team, you have the luxury of popping by their desks for quick chats or impromptu brainstorming sessions. You’re right there in the thick of it, able to guide the project at every turn.

On the flip side, outsourcing can free up your time to focus on other aspects of your business. A good external team will provide regular updates and seek your input at key stages, without requiring your constant attention.

Consider these,

• Do you have the time and expertise to manage an app development project closely?
• Would you prefer to delegate the technical details to experts like Galekt?

3. Cost: Pounds and Pence, and Dollars and Cents

Let’s talk money. It’s often the deciding factor in the in-house vs outsourcing debate. At first glance, outsourcing might seem more expensive, with rates ranging from £50 to £250 ($65 to $325) per hour for top-tier developers. However, the picture isn’t always so clear-cut.

In-house development comes with its own set of costs:

• Salaries and benefits for full-time developers
• Recruiting the right people and their training expenses
• Office space and equipment
• Ongoing costs even when development slows down

Outsourcing, on the other hand, offers:

• Flexibility to scale resources up or down as needed
• No long-term financial commitments
• Access to a wide range of expertise without the need to hire specialists full-time

It’s worth noting that while the hourly rate for outsourced developers might be higher, the overall project cost could be lower due to increased efficiency and shorter development times.

4. Availability and Accessibility: Round-the-Clock Support

In our increasingly global marketplace, the ability to work across time zones can be a significant advantage. Outsourcing to teams in different parts of the world can effectively give you 24/7 development cycles, potentially speeding up your project timeline.

This comes with its own challenges though,

• Communication can be more difficult across time zones
• Cultural differences may lead to misunderstandings
• Response times for urgent issues may be longer

In-house teams, while generally limited to your local business hours, offer:

• Immediate face-to-face communication
• Easier collaboration and problem-solving
• Quicker response times for urgent issues

The choice here often depends on your project’s specific needs and your comfort level with remote collaboration tools.

5. Expertise: Jack of All Trades or Master of One?

When it comes to app development, the breadth and depth of expertise required can be staggering. From UI/UX design to backend infrastructure, from iOS to Android development, the list goes on. This is where outsourcing often shines.

Outsourcing companies typically offer:

• A diverse team of specialists covering all aspects of app development
• Experience with a wide range of projects and industries
• Up-to-date knowledge of the latest technologies and best practices

Building an in-house team with comparable expertise can be challenging and expensive. However, if your app is central to your business and requires ongoing development, investing in an in-house team might pay off in the long run.

Consider these aspects:

• The complexity of your app and the range of skills required
• Whether you need ongoing development or a one-off project
• Your long-term business strategy and the role of technology in it

6. Project Management: Keeping the Ship on Course

Effective project management can make or break your app development process. Both in-house and outsourced options have their strengths in this area.

In-house project management offers:

• Direct control over the development process
• Easier alignment with company-wide objectives and timelines
• Quicker decision-making and pivoting when necessary

Outsourced project management brings:

• Tried-and-tested methodologies honed across multiple projects
• Dedicated project managers focused solely on your app’s success
• Tools and processes for efficient remote collaboration

The key is to choose a solution that matches your management style and project requirements.

7. Established Process: Reinventing the Wheel vs Proven Methods

Last but not least, let’s talk about the development process itself. Established outsourcing companies like us at Galekt often have well-defined, efficient processes that have been refined over numerous projects.

We bring:

• Standardised quality assurance procedures
• Established coding practices and documentation standards
• Efficient workflows for design, development, and testing

Building these processes from scratch with an in-house team can be time-consuming and may lead to inefficiencies in the early stages. However, it also allows you to create a process that’s perfectly tailored to your company’s needs and culture.

Making the Right Choice for Your App

As we’ve seen, both in-house app development and outsourcing have their pros and cons. The right choice depends on your specific circumstances, including your budget, timeline, available resources, and long-term business strategy.

Here at Galekt, we’ve worked with clients who’ve chosen both paths successfully. Some have built robust in-house teams that continue to innovate and drive their businesses forward. Others have found that outsourcing allows them to access top-tier talent and accelerate their development timelines and some have even worked out the hybrid model to make their business-centric development in-house while outsourcing requirements which require immediate expertise and faster outputs.

Tips: Choosing an Outsourced Team

If you do decide to go down the outsourcing route, here are a few tips to help you choose the right team:

1. Look for a team with experience in your industry
2. Check their portfolio and client testimonials
3. Ensure they have a clear communication plan
4. Discuss intellectual property rights upfront
5. Consider cultural fit and shared values

Remember, whether you choose to build in-house or outsource, the goal remains the same: to create exceptional apps that meet your business objectives and delight your users.

There’s No One-Size-Fits-All Solution

In the end, the choice between in-house app development and outsourcing isn’t black and white. Many successful businesses use a hybrid approach, maintaining a core in-house team while outsourcing specific projects or specialized skills.

The key is to carefully consider each of the seven factors we’ve discussed:

1. Knowledge of your business
2. Personal involvement
3. Cost
4. Availability and accessibility
5. Expertise
6. Project management
7. Established process

By weighing these factors against your specific needs and resources, you’ll be well-equipped to make the right decision for your app development project.

FAQ

Remember, whether you choose to keep your app development in-house or outsource it, the most important thing is to stay focused on your end goal: creating an app that adds value to your business and delights your users.

Have more questions? Schedule a free consultation and we’ll help you figure your next development steps towards in-house, outsourced or the best of both worlds.