The online market has expanded tremendously in the recent past and it is expected to expand further in the coming days be it through websites or apps. This expansion means that companies will need experts for their software development needs. The question that arises then is whether or not to outsource the tasks or use an in-house team.

Big Data Technology: In-House vs. Outsourcing Software Development

When it comes to software development needs, especially when dealing with big data issues, it does not matter if your business is a startup or a well-established firm, you will try to get the best quality product at the lowest cost possible within the shortest time. Achieving these three things together may seem impossible, but it can be achieved. The key to achieving them is choosing the appropriate team—either an outsourcing company or an in-house team of developers.

Below are some pros and cons of each approach and some guidance on which to choose when:

In-house team

You are said to be using an in-house team if you build a team from your company’s staff and allocate the project to them. Some CEOs favor this approach and that is based on bringing together reliable people who have the same views as you and are dedicated to your company. Using an in-house team is good option if whatever is being worked on is your main project or if you perform the task daily. The secret here is to choose the best people since they are the core of the business. For example, if your company is an IT firm, you must put together a top-notch team to guarantee your success.

Pros of in-house team

Cultural and communication barriers are not a problem

In-house teams are mostly comprised of people from the same country or area, most often have the same cultural or language background, and they work in the same firm. This allows one-on-one communication and almost no boundaries, which gives them a good comprehension of the task at hand.

Total attention to your project

The team is fully dedicated to your project because there are no other clients.

Deep involvement

Every technical requirement of your company can have its solution process highly customized. You can alter things as needed during the development process to make sure that the project fits your business.

Cons of an in-house team

Lack of experts in various areas

To utilize certain skills, you need to hire the people with them, thus increasing hiring costs

High costs

There is a need to hire for different skills, and besides salaries, other costs are incurred, for example insurance, recruitment costs, training costs, and so on.

Staff turnover

Leaving of staff due to human factor necessitates hiring again and incurring additional costs. Also, these people leaving may disrupt the project.

Outsourcing software development

This involves hiring reliable outsourcing companies to develop the software. It is a common practice nowadays despite the notion that was there several years back that it is risky. There are many trusted outsourcing companies, for example the great team that you can find at the Active Wizards website, who can work on your project and deliver quality products. You can consider outsourcing if your company does not concentrate on software development and if the project is just a supplementary one.



The business does not have to incur recruitment costs or the cost of training new hires, so it is cheaper.

Scalability of the team

You can easily expand the outsourced development team to meet new needs or reduce it if need be and not suffer losses since everyone is replaceable.

Pool of talents

You hire the people who match your project requirements, so you can easily get an outsourcing development firm with the relevant skills and experience as per your project needs.

Cons of outsourcing software development

Communication issues

Sometimes, it can be difficult to communicate properly due to language and cultural barriers, different time zones, and so on.

Unscrupulous outsourcing firms

There is a potential risk of outsourcing companies having fictitious profiles that only aim to win clients by claiming expertise that they do not have.

Risks of unsupported codes

Those who engage outsourced developers must ensure that they do not receive unsupported code which they cannot maintain alone, thus creating a dependence on the outsourced agency.


There is no black and white answer to whether a business should outsource its big data software projects or have an in-house team work on them. The nature of the project and the company that is in need, as well as other factors, will always dictate whether to outsource or not.

Originally posted 2019-08-12 11:38:41.