In-House or an External Agency? Pros and Cons

Finding the best way to bring an idea or a project to life can be a stressful process. The same applies to software development. There are two main ways to find a developer, each with its advantages and disadvantages. Would you prefer an in-house programmer or to look at an external agency to find a developer? Here, we analyze the pros and cons of both to help you make the right decision for your project.

In-House Developer

An in-house developer refers to an entire department or a person within an organization that helps with software creation. In most cases, an in-house development department is found within organizations that are IT-related or create software products. The process of hiring and training an in-house team is expensive, but it comes with several advantages.

Pros of In-House Developers

Here's why you should consider an in-house team:

• Full Engagement
  
  
  

An in-house development team understands the main objectives of a project in the context of a company's goals. Additionally, the team can help in the customization of a product or the engineering process for every minor need. Adjustments to a project become easier and more accessible.

• Minimal Cultural or Language Barriers
  
  
  

In most cases, companies source in-house developers or employees from their geographical locations. Language barriers and cultural differences are, therefore, less likely to occur.

• Narrowed Expertise
  
  
  

In-house developers master their skills working on specific projects for the company, which improves the quality of their work.

Cons of In-House Developers

Keep these points in mind when deciding to employ a team of developers:

• Expense
  
  
  

As earlier mentioned, it is more expensive to employ in-house developers. Moreover, there are higher chances of dismissals for such teams, and more expense would be needed to hire and train new crews.

• Narrowed Expertise
  
  
  

Although hiring an in-house team creates a customizable experience for a company, an internal pool of developers might be unreliable. The company might have no choice but to hire more than one person to perform all the tasks that a single agent can easily handle.

External Agencies

On the other hand, external agencies of software developers might be more beneficial to a company than hiring in-house developers. Although this option might be the most helpful, it also comes with disadvantages.

Pros of External Agencies

There are many reasons you should consider external agencies, such as:

• Better Prices
  
  
  

Agencies offer a wide range of knowledge and expertise at more affordable rates. Engaging an external agency costs a fraction of hiring in-house developers. Moreover, the vast pool of professionals means you'll definitely find someone suitable. To find a selection of affordable developers, click here.

• Shorter Wait
  
  
  

Outsourcing programmers helps shorten the time it takes to launch projects. In-house developers require a lengthy hiring process and training time compared to those hired by agencies.

• Easier Scaling
  
  
  

The company can easily choose to cut down on staff or increase the development headcount without spending more than necessary compared to the in-house developer route.

• Streamlined Processes
  
  
  

Finding a specialized agency can help with the organization of a project, making the development smooth and fast.

Cons of External Agencies

External agencies do come with issues, such as:

• Security Risks
  
  
  

Working with agencies might pose trust issues as one is not in direct control of the development process. You can mitigate this risk by choosing the right partner. To do that, click here.

• Mutual Understanding
  
  
  

Although language barriers are slowly becoming a thing of the past, communication can be challenging with developers from agencies. One should therefore be very careful with the instructions given to agent developers.

Keep Objectives Clear and Concise

Software development requires a specific set of skills. No matter the route a company takes toward product development, it is essential that the goal is kept clear and that the developers understand the project's objective.