Software Development Technologies | Blog — Intellectsoft https://www.intellectsoft.net/blog/software-development/ Tue, 17 Sep 2024 13:51:28 +0000 en-US hourly 1 https://wordpress.org/?v=6.6.1 https://www.intellectsoft.net/blog/wp-content/uploads/cropped-favicon-1-32x32.png Software Development Technologies | Blog — Intellectsoft https://www.intellectsoft.net/blog/software-development/ 32 32 Mobile App Architecture & How To Start Building One https://www.intellectsoft.net/blog/mobile-app-architecture/ https://www.intellectsoft.net/blog/mobile-app-architecture/#respond Fri, 13 Sep 2024 07:00:32 +0000 https://www.intellectsoft.net/blog/?p=16546 Business enterprises worldwide are focusing on building the apps to reach their target audiences more easily, solve customer problems quickly, and confidently work together toward...

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Business enterprises worldwide are focusing on building the apps to reach their target audiences more easily, solve customer problems quickly, and confidently work together toward shared success.

However, the competition is fierce nowadays. According to Statista, as of August 2024, Android users could choose between 2.3 million apps, making Google Play the app store with the biggest number of available apps. Apple’s App Store is the second-largest app store for iOS, with almost 1.64 million available apps.

mobile app architecture

Applications generate revenue in several ways, such as charging users a small fee to use an app (an average of 1.02 U.S. dollars per app in the Apple Store), charging for access to premium features in an otherwise free app, or selling ad space.

It’s also worth noting that Statista estimates global mobile app revenue will increase over the next few years, reaching around $613 billion by 2025.

Revenue of mobile apps worldwide

Source: Statista

Choosing the right mobile app architecture is crucial to succeed in today’s competitive app market. Many apps fail simply because of poor architecture. That’s why we’ve put together an expert guide to walk you through the basics of mobile app architecture and development.

Importance of a Good Mobile App Architecture

When creating a mobile or web application, it’s important to ensure every component is well-constructed. Even the smallest issues during the mobile app architecture phase can affect the quality of the final product. As the saying goes, “If you’re going to do something, do it well.” That’s why all successful Android and iOS apps are built on a solid mobile app architecture, winning over their users with reliability.

So, what exactly is mobile app architecture? It’s the framework of structural elements and their interfaces that make up the system, guiding how these elements interact. In simpler terms, it’s the backbone of the app, and the entire functionality depends on the quality of this structure. Overlooking a crucial aspect of app architecture can jeopardize the entire project’s success. The complexity of building a solid architecture grows with the size of the app, but getting it right upfront can save significant time, energy, and costs down the road.

Skipping proper architecture can lead to costly consequences — longer development times, increased expenses, testing challenges, and a higher risk of errors.

What sets great mobile app architecture apart? A well-suited architecture enhances the development process, creates a smooth data flow, and simplifies scaling the app in the future. It also boosts flexibility and supports Agile methodologies, making testing more efficient and streamlining maintenance. Ultimately, investing in a strong app architecture saves businesses time and money.

What Is a Mobile App Architecture Diagram?

First of all, having the right architecture ensures that your mobile application remains independent of external resources. Successful iOS and Android projects are built through the skilled efforts of developers without being limited by frameworks or similar tools. Architecture should function independently of any specific library, allowing frameworks to be used as tools rather than constraints. A strong mobile application architecture won’t depend on other operating systems or databases, ensuring it functions smoothly regardless of other programs’ status.

Good architecture is, first and foremost, profitable architecture that simplifies and improves the process of developing and maintaining a program. A program with good architecture is also easier to expand, change, test, debug, and understand.

For example, Clean Architecture is a good fit for large-scale projects with big budgets.

This type of architecture is universal, supporting the installation of various plugins and enabling quick troubleshooting. However, it’s best developed without relying on frameworks, with the program code written from scratch.

Let’s take a look at an example of a successfully implemented mobile application architecture:

Clean Architecture

In this setup, each layer of the mobile application operates independently from other programs and components, containing the core logic and key objects of the app. The layers follow the Dependency Rule, which ensures that all dependencies are managed internally in the source code. This means that nothing from the outer layer can be referenced in the inner layer—whether it’s functions, classes, variables, or any other entity.

In the past, developers did not have any libraries to work with the network, and AsyncTask was still an important component in creating Android mobile app architecture.

Let’s look at the classic system of creating architecture for Android applications:

Android architecture

In today’s reality, the implementation of Clean Architecture is the best solution for reliable operation. This architecture will allow your application to be independent of frameworks, databases, and more. Transitions between layers in such Android mobile app architecture are carried out through Boundaries, that is, through two interfaces: one for the request and one for the answer. They are needed so that the inner layer does not depend on the outer layer (following the Dependency Rule), but at the same time, it can transmit data to it:

Mobile Architecture

In order for a dependency in such an Android mobile application architecture to be directed towards the reverse flow of data, the principle of dependency inversion is applied (the letter D from the abbreviation SOLID). That is, instead of Uses Cases being directly dependent on the Presenter (which would violate the Dependency Rule), they depend on the interface in its layer, and the Presenter must implement this interface.

iOS Mobile App Architecture

The standard iOS mobile app architecture can be divided into four blocks:

  • Kernel level (Core OS) — works with the file system, and controls the validity of various certificates belonging to the applications. Also responsible for the security of the entire system. Contains low-level access to the elements of the device.
  • Core Services (Core Service) — provides access to databases and file controls.
  • Media level (Media) — contains tools that allow for processing most media data formats.
  • Interface level (Cocoa Touch) — has many elements for creating mobile interfaces, and also provides the remaining layers with information coming from the user.

An MVC (Massive View Controller) and its prototypes are used to create a high-quality iOS mobile application architecture. Cocoa MVC encourages you to write a Massive View Controller because the controller is so involved in the View life cycle that it is difficult to say that it is a separate entity. Although you still have the opportunity to ship some of the business logic and data conversion in the Model, when it comes to shipping work in View, you have few options:

iOS Mobile App Architecture

In most cases, the entire responsibility of the View is to send actions to the controller. In the end, it all ends with the View Controller becoming a delegating part and a data source, as well as a place to start and cancel server requests.

Enterprise Mobile App Architecture

Hybrid Mobile App Architecture

Hybrid mobile apps architecture is pretty powerful as it can leverage native as well as web solutions. They are the fastest apps that it’s possible to create across different platforms. Although it’s really easy to update, it won’t be the best option to deliver complex and feature-rich applications.  Hybrid applications use native applications as the foundation for the backend whereas for the frontend they use neutral HTML/CSS and JavaScript. In addition, hybrid applications also use typical plugins like Ionic Capacitor or Apache Cordova in order to get full access to all the features of native platforms.

Hybrid Mobile Architecture

Hybrid mobile apps are among the fastest apps to create across a variety of platforms and are easy to update, but are not appropriate for complex, interactive, or feature-rich applications.

Cross-Platform Mobile App Architecture

Cross-platform architecture of mobile apps is very similar to the hybrid one. It also leverages the most-used codebases with specific platform abilities in every native shell. It’s worth noting that cross-platform application architecture relies not on web languages but more on frameworks like React Native and Xamarin. Cross-platform applications ensure a smooth user experience that is very similar to native and, therefore, more attractive. Here are some benefits of cross-platform architecture:

Cross Platform Architecture

Enterprise Mobile App Architecture

For the successful functioning of their businesses, many companies use corporate applications that make it easy for the client and employees to communicate with the company. Inside the application, functions of monitoring, purchases, communication, and filtering services and products from the company are used. For a modern business, one of the priorities is the strategic use of IT technologies and the implementation of business objectives in such a way as to gain a competitive advantage in the market.

At the same time, in the enterprise mobile app architecture, there is often a discrepancy between the IT infrastructure and business requirements, which is caused by rapid market changes. The problems of the information architecture of business solutions are most often associated with insufficient speed and low scalability, unreliability, as well as the complexity of updating and maintaining software.

Mobile Application Architecture Properties

Now we know that for high-quality, uninterrupted operation of your mobile application, it is recommended to use the Clean architecture of mobile applications. When creating a suitable platform for the convenience of your client and employees, you need to follow a few tips that will help ensure your mobile application architecture is of the highest quality. It is important to put together the right technical requirements for the development team so that the experts have a joint goal and working methods.

Mobile Application Architecture Best Practices

In the process of creating a high-quality architecture of a mobile application, it is necessary to keep the synchronization of all the processes and capabilities of the application. What features really will be in demand in the future application is still a big question. Therefore, including all ideas in the first version is not the best solution. This will increase the development time, overload the interface, and postpone the “combat” product launch.

Here we can see the standard model of the data system in the classical mobile enterprise application architecture:

mobile enterprise application architecture

Architecture for Mobile Application & Tips for Making It

A well-designed architecture is needed for all applications, both complex and simple. Using architecture for mobile applications saves time, effort, and costs. A program with a reliable architecture is easier to tweak, test, and debug.

How to understand if your application has a good architecture? Here is the checklist:

  • Efficiency: the application performs the tasks and performs the functions in any condition. The system is effective, reliable, and copes with all the loads.
  • Flexibility: the chosen solution is easy to change, and errors are few. You can change one element, and it will not be fatal, influencing the other one in a negative way.
  • Extensibility: you can add as many functions as you like to the application.
  • Scalability: time for development and updates decreases. The solid architecture allows you to direct development in several parallel threads.
  • Testability: The architecture for mobile applications is easily tested, which means that the number of errors decreases and its reliability increases.
  • Understandability: the code should be understandable to as many developers as possible. A lot of people are working on the application. Good architecture allows beginners to understand the project quickly.

Elements to Consider Before Developing Your Mobile App Architecture

For a solid background for a mobile app, some things should be considered first and foremost. Precisely, building a mobile app requires your foresight in four key dimensions:

  1. Choosing the mobile app dimensions that fit your preferred devices
  2. Prescribing scenarios for a different quality of Internet connection
  3. Polishing UI details for your target audience
  4. Picking the proper navigation between the elements on a screen

Here are the specifics for each of these elements.

Determining the Device Types

The parameters of smartphones determine the specifics of your mobile app. Think in advance of how it will run on each screen (meaning its size and DPI), how the app will be compatible with the processor (CPU), and how much memory it needs. The proper attention to these hardware and software details will make your mobile solution more stable and reliable.

Also, make sure your app will work great not only on a smartphone and tablet but also on different smartphone models.

Considering Bandwidth Scenarios

Another thing to consider is the compatibility of your mobile app with different types of Internet connections. Many developers don’t acknowledge this nuance while working on mobile app architecture. Be more prepared and get ready for the worst scenario.

This problem is worth your attention while meeting your remote target audience. All over the world, the availability of the Internet network will differ. Some countries already have 5G, while others still survive on 3G. Moreover, the speed and battery usage characteristics matter here. Thus, ensure your mobile solution has everything needed to guarantee a comfortable experience for your users anywhere.

Defining User Interface

An awesome UI is always a must for a mobile app. Built on the basic presentation layer, it becomes the point of interaction with users. The key to success is to give them a solution that is both simple and creative. Besides, your mobile app architecture design choice should always meet the demands of your target audience.

Picking the Right Navigation Method

Finally, proper navigation is about finding a fair compromise between user expectations and app restrictions. It’s the result of exquisite artistry in linking the frontend and backend in one solution.

Among the possible options, pay your attention to these top 5 methods that users like:

  • Stacked navigation bar — you design a fixed bar and put there links to all other elements within your mobile app
  • Tab controller — a container that allows switching between the groups of tabs with links
  • Modal controller — the screen menu that allows switching between tabs and links
  • Single view — a screen with one element and an option to go back
  • Gesture-based navigation — the intuitive tool that encourages to use finger combinations or efficiently interact with the Home button to cause an action on the screen

To pick the best navigation method, learn your customers! Some styles are intuitive for them, while others make them confused or bored.

How to Choose the Right Architecture for Your Mobile App?

When it comes to the specifics of building an app, everything starts from these fundamental layers:

  1. Data layer — the data-related platform within a mobile app
  2. Business logic layer — the place for all the domain processes and operations
  3. Presentation layer — all the technical details connected with the user interface

This multitier architecture dictates the rule for software development: your team should build each dimension separately and make them work together smoothly. At the same time, this initial complication ensures addressing complex issues fast and without changing the entire app.

Let’s see how each of these layers works.

Data Layer

This layer is all about the safety of data maintenance — including access, utilities, and service tools. It’s the background from which you can further develop business logic and presentation peculiarities. The patterns you choose for the core operations determine the way your app will work.

Make sure the design you’ve built here is flexible enough to meet the changes in your business needs or your customers’ expectations.

Business Logic Layer

This platform hides all the management work done to create a mobile app: you will have separate tasks for logging, caching, validating, and other technical operations. Also, this is the place for complex business procedures and corporate policies. In other words, here you have an application facade with underlying workflow, components, and entities.

In short, the business logic layer is the place for everything connected with logic and business.

Presentation Layer

The important step here is to define the customer profile so that the images on the screen and the arrangement of elements satisfy your users. Now, your customer is always right — even in the decision on the data format. This layer is not about the exact choice of your data, though — it’s about designing the format that prevents invalid data input.

By considering these specifics, how to choose the right architecture? The answer is simple: start with the end. Meet your customers.

5 Steps to Help You Choose the Right Architecture for a Mobile App

Meet Your Customers

To make a successful mobile app, think of your idea as a solution to particular customer pain. Find all the information about your future clients: who they are, what applications they use, and what they need. And then, think of how you can make a comfortable mobile app for them. For example, the older your clients are, the more simplistic design they like. Youngsters enjoy motion design while the elderly get confused about it.

To supplement your findings, investigate some industry-specific requirements. Here, your corporate peculiarities can give you some clues about the work of your mobile app. For example, fashion retailers get the most from a web app (where users can see all the product categories and photos in big dimensions). But taxi providers are more convenient for use through a mobile app.

Start Developing a Test App

From the very beginning, don’t save on this stage. Start building a native program — this solution is ideal for intuitive functionality and smooth operation. With the information about your users, make everything possible to create a solution that will deeply satisfy their needs and solve their sharp problem.

If your users need various platforms to perform their tasks other than Android and iOS, adopt cross-platform development. If these two most popular platforms are enough, be safe to work with native app development only.

After making this decision, develop the main functionality on its basis. Create the environment your customers dream about: whether they want to work offline, have a specific navigation method, reach interesting content in a feed, etc.

And of course, don’t forget to check with users whether they like it! The choice of the right architecture is always closely linked with your app’s ability to satisfy your target audience. In the end, customers don’t mind better convenience, which means the presence of the home menu, notifications, and widgets, along with high speed and stored content. Make sure your app will meet all these requirements — both audience-specific and general preferences.

Polish the Key Functionality

Once you’ve completed the main preparations and the reality check, you can start working closely with specific platforms and offline functions. This step means determining how you will perform the app technically and according to some industry-specific requirements.

First, reconsider all the advantages and disadvantages of different architecture models from the standpoint of technical details. For example, native apps have the best performance and leading user engagement but require installation and are very expensive for users to download. In their turn, web apps are SEO-friendly and don’t require installations but need an Internet connection and have low performance. As a great compromise, consider Progressive Web Apps (PWAs) — they enhance the experience of web apps with greater reliability, engagement, and speed.

Then, make sure your app includes offline functionality. Users hate depending on their Internet connection while interacting with an app, so you should consider this request. Design the basic functionality you can move offline. Involve the synchronization with the server once the user is connected to the Internet. For offline functionality, you need either native apps or PWAs (note that they still depend on a platform). That’s why we recommend relying on these two mobile app architecture options from the very beginning.

Check the Readiness of Your Development Team

Your business can possess some constraints for the project. Thus, identify them by checking your team’s capabilities.

Among all, determine the exact development timeframe. Of course, each entrepreneur wants his/her business idea to become real ASAP, but your team needs time to complete it. Thus, discuss with your team whether they possess the resources and knowledge necessary for the development before the project actually starts.

Pay special attention to their skills. If you want a native app, knowing Swift, Objective-C, C, C++, Kotlin, and Java is needed. For web apps, the arsenal of HTML, CSS, and Javascript is enough. Also, ensure your team is acquainted with PWAs, hybrid apps (especially the solutions like Cordova/PhoneGap and Ionic), and Web Native. If you identify some gaps in knowledge, hire new specialists to make the app, or initiate training for in-house team members.

Optimize Your Budget

Once you’ve collected all the data concerning customer preferences, basic functions, enhanced features, and team constraints, you can calculate the costs. The right architecture of a mobile app is always a balance between the key requirements and your ability to cover them with money.

Check all the maintenance and support expenses. Revise the decision on native apps or multiple platforms, if needed. And, of course, weigh the benefits in terms of return on investment before making the final decision on the mobile app architecture.

Final Tips for Your Mobile Architecture

The creation of mobile architecture is a sequential plan that must be completed before the development process begins. This plan provides a map of how the various components of the application should be organized and connected to each other. It presents guidelines that should be followed during the development process and some sacrifices (usually associated with a large number of classes and templates) that will ultimately help you create a well-written application that will be easier to test, expand, and maintain.

We, at Intellectsoft, empower companies and their workforce with cutting-edge transformative solutions and data-driven insights. Our team has more than 17 years of experience in mobile app development and other software development services.

Also, don’t hesitate to take a look at the full list of client cases to see how we solved business challenges through effective digitalization.

Are you and your organization ready to shift the mindsets and get the most out of innovations? Talk to our experts in enterprise app development and find out more about the topic and how your business or project can start benefiting from it today!

FAQ

What is the architecture of mobile apps? 

The architecture of mobile apps is a mere set of certain rules and techniques that are implemented while developing a mobile app. By following these patterns, developers can build a well-structured and feature-rich application that corresponds to all the industry standards and is less prone to bugs and failure. The success of the project depends on the quality of the mobile app architecture.

Why is this so important for businesses? 

The proper mobile application architecture can not only help make a decent application but also save a lot of time and money for a business too. In addition, the mobile architecture makes app testing and maintenance easier too.

What mobile app architecture should you choose when designing a top-notch application? 

There are different types of mobile app architecture such as cross-platform, hybrid, and enterprise mobile app architecture, as well as architecture for iOS and Android. In order to choose the matching one, it’s crucial to understand your mobile app development goals. Clearly define what kind of app you want to build and then picking the right mobile application architecture will be easy.

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What Are Beacons and Why They Matter for Your Company https://www.intellectsoft.net/blog/what-are-beacons-and-how-do-they-work/ https://www.intellectsoft.net/blog/what-are-beacons-and-how-do-they-work/#respond Wed, 28 Aug 2024 11:58:31 +0000 https://www.intellectsoft.net/blog/?p=3982 Cost-effective, easy to deploy, and straightforwardly effective, beacons have become one of the most popular ways to engage with customers. While decades ago the use...

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Cost-effective, easy to deploy, and straightforwardly effective, beacons have become one of the most popular ways to engage with customers.

While decades ago the use of this technology was primarily seen in marketing and retail, in 2024, industries like healthcare, transportation, logistics, and many others are actively adopting beacons. This smart solution not only streamline business operations and helps gain more clients by providing real-time insights but also make a meaningful difference in patient care. For example, in healthcare, providers can use beacons to remind patients to take their medications and track the locations of patients in emergency rooms and large medical facilities.

Let’s take a look at what the global market has to say about the rise of beacon technology.

beacons technology

 

Market statistics from 2016 to 2026 show that this wireless technology is set to usher in a new era of digitalization. In 2016, the beacon technology market was valued at 519.6 million U.S. dollars, and it’s projected to grow at a staggering CAGR of 59.8%, reaching approximately 56.6 billion U.S. dollars by 2026. That’s an incredibly promising outlook.

If you’re seeking a technology that can help you reach more clients, improve customer experiences, and deliver greater value — all in a cost-effective way — beacon technology is the way to go. To simplify your journey, we’ve compiled a guide that covers everything you need to know about beacons.

In this article, you’ll discover:

  • What is beacon technology
  • How does it work
  • The many types of beacons
  • How they benefit companies across industries
  • Pros and cons of the devices
  • How technology would evolve

Let’s get started!

What is Beacon Technology?

Beacon devices are at the heart of beacon technology.

Most beacons are small computers, roughly the size of a standard Wi-Fi router.

Part of indoor and outdoor positioning systems and Internet of Things (IoT) networks, beacons use proximity technology to detect human presence nearby and trigger preset actions to deliver informational, contextual, and personalized experiences.

Where Did Beacon Technology Begin?

The concept of beacons is as old as, for example, hand watches. Like lighthouses guide ships and show where the land is, beacon devices provide information and navigation to smartphone users. Beacon technology offers a new context for an old concept.

As we know it now, the beacon technology was introduced by Apple alongside a dedicated communication standard.

Called iBeacon, it was soon followed by Google’s Eddystone. The location beacon, which is rough twice the size of Apple’s Wi-Fi router Airport was a typical beacon device in the first years since 2013.

In a short time, beacon technology spawned many startups and new beacon types. Unlike other new technologies like Augmented and Virtual Reality, beacons were straightforwardly effective and had a low price tag. On top of that, they provided new, exciting ways to engage customers in a non-intrusive way. As a result, many established retail companies quickly adopted beacons and started reaping their benefits.

How Do Beacons Work?

When a user walks past an area where a positioning system or IoT network with beacons is set up, the nearest beacon sends a code with a message to their mobile device. Then, the beacon recognizes the message pops up as a notification on a user’s mobile device with a third-party or branded mobile app.

You need 3 things to make a beacon-based system work:

  • At least one more beacon device
  • Mobile app
  • User’s permission

Beacon technology offerings usually consist of a software development kit (SDK), back end management tools, and beacon devices. So, you will need software engineers to set up your positioning system, more so if beacons are part of a vast IoT network that includes other smart devices too.

As for the user permission, your users make the final decision on whether they will receive beacon-based notifications and use your positioning system. Beacon technology works only with a smartphone and mobile app, so users can simply opt for turning off Bluetooth. There are also people who use their smartphones without keeping Bluetooth on all the time.

To overcome this obstacle, you can ask your users to turn on Bluetooth for the full customer experience, or even excite your users by notifying them about the beacon-based positioning system, presenting it as an innovative solution, and explaining what benefits it holds for them.

As a result, beacon technology appears as less intrusive than the similar RFID (radio-frequency identification) and other engagement tools, enabling a user experience where a user has a choice to opt out.

BLE as Bluetooth Beacon Technology

BLE beacon technology relies on Bluetooth Low Energy (BLE) to transmit data and send out messages at regular intervals. BLE is a power-efficient Bluetooth technology developed for the Internet of Things applications and devices like beacons. With BLE, a beacon needs only one coin cell battery every three years, and the technology is 60 to 80 percent cheaper than the classic Bluetooth.

Types of Beacons

There is a wide array of beacons available for positioning systems of any type and scale. They differ in size, battery life, use cases, and level of resistance to exogenous factors. Here are the common types of beacons:

  • Standard beacon (devices the size of a Wi-Fi router or smaller) for proximity solutions and indoor tracking.
  • Portable/small beacon (the size of a credit card or big sticker) for asset tracking and proximity solutions.
  • USB beacon (small, portable, quick to deploy) — beacons the size of a flash drive for asset tracking and proximity solutions.
  • Video beacon — devices plugged into the back of a screen to deliver contextual visual information (for example, a user approaches a display in a food joint and shows personalized offers based on usage of the beacon-enabling app) as well as for digital signage.
  • AI beacon. A machine learning-driven device that can detect different movements and gestures.
  • Sticker beacon — the smallest of beacons, used for asset tracking.
  • Parent beacon (the size of big Wi-Fi routers) is used to track other beacons, gather data and store it in the cloud, and more.
  • Dedicated beacon — devices resistant to exogenous factors (dust, water, shattering, antistatic and UV) for indoor tracking and proximity solutions in harsh environments.

Most of the aforementioned beacon types emerged in the years since the inception of beacon technology to accommodate the business needs of different companies, so new ones may come into being in the future, giving companies new options to engage customers.

What Are Beacons Used For?

Beacon technology can improve the user experience both at the front and back end of almost any company, helping to streamline operations and gather data, drive sales, and deliver unique user experiences. Still, the retail and marketing industries benefit from beacons the most, as they are almost tailor-made for the two.

Front & Back End of Business

At the front end, for example, at a retail store, you can pair beacons with a custom app to notify shoppers about limited in-store offers, deliver personalized promotions, and provide navigation at vast retail locations.

At the back end, beacons are as effective. You can set up a beacon-based indoor positioning system at a warehouse to simplify and speed up the indoor navigation in its bigger areas for new employees and representatives of third parties. Paired with an enterprise software development solution, beacons also allow for indoor personnel tracking to improve on-premises security as well as asset tracking.

For instance, an employee of a large enterprise needs a new laptop. The system administrator chooses one from the list of available laptops as a sticker beacon on it shows its location.

Beacons Elevate Marketing

Today, companies and their marketing teams mostly rely on emerging wireless technologies to cater to and engage customers. Small and hidden beacons have a smaller appeal, but they can have a big impact.

In a standout example, RedBull used beacon stickers to monitor the movements of audience members at a music event. First, the devices collected different types of data. Then, scientists used it to create algorithms and deep neural networks to understand the movements and energy levels of audience members.

The results were visualized on the walls of a separate room at the venue. RedBull then went further, allowing the audience to take their individual information home as a souvenir, embroidered on a scarf. This is also an example of how beacon technology can be used successfully without a mobile phone app.

Other Uses in Marketing:

  • A new avenue for driving sales. You can pair beacons with mobile to deliver highly personalized location-based ads.
  • One more way to collect data. Beacons can gather customer data that will help you create better, more personalized experiences, as well as gain additional insights into customers’ behavior.
  • New meaningful experiences for customers. Like RedBull’s beacon stickers, some types of beacons give a lot of room to experiment and develop creative solutions that your customers will remember for a long time.

    Beacons are used in retail settings to send personalized promotions, discounts, and advertisements to customers’ smartphones when they are near a specific product or within a store. Retailers use beacons to guide customers through stores, helping them find products or providing information about sales and special offers.

Other industries that can leverage beacon technology:

  • Healthcare ((patient tracking and safety, and equipment management)
  • Hospitality (navigation, gamification, smart hotel rooms)
  • Sports (navigation on big arenas, proximity marketing)
  • Logistics & warehousing (asset tracking, security)
  • Transportation (navigation, passenger guidance, vehicle tracking, transit efficiency)
  • Smart home development (beacons can provide navigations to guests at vast properties; security)
  • Construction (geofencing perimeters for projects in the middle of nowhere)
  • Events (gamification, navigation, schedule notifications)
  • Education (interactive learning, navigation)

Video beacons are the go-to example when it comes to showcasing the high value of beacon technology. For example, you can use video beacons to deliver contextual information and provide navigation at a hotel or resort. Such experiences are fresh, save time, and imbue the customer journey with small but memorable moments.

Beacon Technology: Pros and Cons 

Beacon technology has a wide array of solid business benefits and only a few disadvantages.

Pros:

  • Low cost. Standard models are small and made of low-cost materials like plastic, making beacons more cost-effective than other state-of-the-art technologies.
  • Easy to adopt. Most beacon devices are quick to deploy. Some, like USB beacons, are as easy to install as a computer mouse. Deploying beacons at scale is also easy with parent beacons.
  • Tailored-made customer experiences. Beacon technology allows companies send personalized notifications and ads.
  • Reliability and scalability. Beacons are dependable devices: unlike GPS, they use Bluetooth, so thick walls or underground areas will not block their signals. More so, some beacon suppliers offer beacons that are reinforced against exogenous factors.
  • Vast outreach. All modern smartphones support beacon technology (your users need iOS 7 or Android 4 or higher installed on their devices), so you can reach out to virtually anyone, anywhere.
  • Easy implementation. The majority of beacon technology offerings come with a software development kit (SDK) and back end management tools, making it easy to integrate a beacon solution with existing applications.

Cons:

  • Users may opt-out. Most beacon-based solutions require user consent. Today, the flow of content from all sides seems endless, and even if you use only a few apps daily, you still get a lot of notifications. In the face of content overload, some users can simply turn off Bluetooth on their smartphones, preferring to miss out on your beacon-based experience, even if it is exciting and non-intrusive.
  • A mobile app is a must. In most cases, beacons work only when paired with a mobile app. There are workarounds like third-party applications, but if you want to deliver a smooth experience your customers will definitely enjoy, you will at least need to add a feature to your application.
  • Creating a beacon solution is not ubiquitously easy. The use cases of beacon technology are straightforward in the retail and marketing industries. Beacons can also be used effectively by hotels and companies that develop smart room solutions. In other cases, you should get creative or hire a software engineer with expertise in beacon-based or geofencing solutions, and this will take time, more so if your company is a medium-sized business or enterprise that needs a highly scalable solution.

Conclusion: The Future of Beacons

According to Global Market Insights, the beacon technology market is projected to surpass $25 billion in 2025.

Back in 2018, Google started sending out free beacons to small businesses across the U.S., helping them stand out to nearby customers. It was a game-changer, and since then, beacons have only gotten smarter. By 2019, Estimote introduced the AI beacon, pushing the boundaries with features like contextual awareness and real-time data processing.

Now, in 2024, beacons are everywhere. They’re guiding travelers through busy airports and train stations, optimizing public transit with real-time vehicle tracking, and providing a non-intrusive, spot-on way to engage with customers in a world overloaded with content.

Taking all this into account, it is safe to assume that more and more business locations will have beacons installed in them in the coming years. Although long-term projections might not reflect reality in the end, there are no visible hurdles on the way of large-scale beacon technology adoption. After all, beacons demand little to invest, are easy to set up and manage regardless of business scale, and bring clear, straightforward benefits to business across industries. Why not leverage them?

At Intellectsoft, we empower companies and their workforce with cutting-edge transformative solutions and data-driven insights. Are you and your organization ready to shift the mindsets and get the most out of innovations?
Talk to our experts and find out more about the custom solutions and how your business or project can start benefiting from them today!

With over 17 years of experience, Intellectsoft has been a trusted partner for businesses in industries like Fintech, Healthcare, Construction, Hospitality, Logistics, and eCommerce. Our global team of tech experts is dedicated to delivering solutions that fit your needs perfectly — whether you’re creating a new product, upgrading a system, or adopting the latest technologies.

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Web Application Architecture: The Basics https://www.intellectsoft.net/blog/web-application-architecture/ https://www.intellectsoft.net/blog/web-application-architecture/#respond Thu, 15 Aug 2024 11:06:01 +0000 https://www.intellectsoft.net/blog/?p=15873 A brief, general guide to web application architecture.

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Web apps have clearly taken their place in the digital landscape, leading businesses to evolve with cutting-edge technologies and rising safety expectations.

As the web app market stays competitive and the demand for secure solutions increases, considering web app architecture has become more important than ever. This “foundation” of web app development is the backbone of building an app for your business. A thoughtfully designed architecture ensures that your web apps remain responsive, secure, and scalable as your business grows. 

In this article, we’ll dive into the components, types, and models of web application architecture. With this knowledge, you’ll be well-equipped to confidently choose the right web app architecture for your needs. Keep reading to learn more!

Infographic of global web application market statistics

What is a web architecture? 

The definition of web app architecture is broad and depends on the focus of your web applications. At its core, a web application architecture is a model that defines how the components of a web app interact with each other. For instance, a client-server architecture, where the client is the user interface and the server is the back-end, is a common model. The choice of architecture is closely tied to how the application logic is distributed between the client and server sides.

Technically, it’s the intricate skeleton of a web app, encompassing its elements, databases, systems, servers, interfaces, and all the communication happening between them. More abstractly, it indicates the complex logic behind responses to client and server requests.

When it comes to business benefits, web application architecture plays a keyl role in building web applications and planning for their needs, ensuring they deliver on speed, scalability, security, and other key quality attributes.

Components of Web Application Architecture

As the applications differ in complexity and functionality, the number of layers and components changes accordingly. In some cases, an app is simple enough to work as a monolith, storing all the web application design architecture in one place.

However, most web apps consist of multiple components, or tiers, that interact with each other. Typically, web application architecture is divided into two major groups: user interface and structural web components. Structural web components, in turn, include both client-side and server-side components.

When numerous components are involved, descriptions alone might not clearly understand the entire system. This is where a web application architecture diagram comes in handy, offering a visual representation of the components and their interactions. Let’s take a closer look at the key elements shown in this diagram.

.

Illustration of a web application architecture diagram

DNS

The abbreviation DNS stands for the domain name system. It’s a key element that matches IP addresses to domain names. In this way, a particular server receives a request sent by an end user.

Load Balancer

It directs incoming requests from app users to one of the multiple servers, which distributes the load more evenly when too many users are active at the same time. Generally, web app services exist as various copies mirroring one another to enable all servers to process requests in the same manner. Also, the load balancer is an element that distributes tasks to prevent them from overcharging.

Web App Servers

This component is basically an app deployment descriptor. It processes the user’s requests and sends responses back to an initial browser. To make this happen, it refers to the back-end infrastructure, including the database, job queue, cache server, etc.

Database

The meaning of this component is pretty much straightforward. It offers various instruments to perform, delete, organize, and update data entries. Mainly, web app servers interact with job servers without any intermediary.

Caching Service

The component grants easy and quick data storage and search. When the user receives the info from the server, search results can be cached. As a result, future requests will be returned much faster.

These are the scenarios when caching is efficient:

  • Slow or repeated computation
  • When a user receives similar results for a specific request

Job Queue (Optional)

This one has two components: a job queue and servers that process those jobs. Many web servers operate a large number of jobs of minor importance. A job that has to be fulfilled goes in the queue and will be operated according to the schedule.

Full-Text Search Service (Optional)

There are plenty of web apps that support search by text feature. After this, an application sends the relevant results to an end user. The whole process is called a full-text search, and it can find the requested data by a keyword among all the documents available in a system.

CDN

The abbreviation CDN stands for the content delivery system. This system sends static content, including images and other files. Basically, it includes multiple servers that are closer to the geographical locations of end users than an app’s database. As a result, CDN delivers content more effectively to users around the globe, drastically reducing load times.

What is a 3-tier Architecture?

The majority of web apps are created through the separation of their principal function into layers/tiers. Respectively, this enables you to quickly and effortlessly replace or upgrade those layers independently. It is called a multi- or a 3-tier architecture.

In a 3-tier web architecture, there are three layers/tiers:

  • Presentation (client) layer
  • Application (business) layer
  • Data access layer

It’s possible to say that this modern web app architecture is the safest and most secure one. It can be explained by the fact that the client doesn’t access the data directly. Application servers can be deployed on multiple machine providers, which enables higher scalability, increased performance, and better efficiency.

Each tier can be scaled independently; therefore, this architecture can be scaled horizontally. In addition, it also significantly improves the overall data integrity as data will go through the app server, which is the one that decides exactly how and by whom data will be accessed. This fantastic perk is an easy and cost-effective solution in case of new company management.

Modern Web Application Architecture Layers

Now, let’s take a closer look at each of the three web application architecture layers.

Presentation/Client Layer

When we talk about the presentation layer, we refer to the front end of an app. This layer includes such elements as static content and dynamic interface that are visible to end users. The environment of this layer is any browser. Among the technologies that are used in this case, we can name HTML, CSS, or JavaScript. The potential frameworks to choose from include Angular, React, and Vue.

Business/Application Layer

Speaking of the business layer, which is also referred to as the application layer, is a part of the app back-end. The web app’s back-end determines business logic and responses to browser requests that are sent to the presentation layer. It consists of the core application logic and outlines all internal flow for data and requests. In this case, servers, serverless cloud platforms, or PaaS are the most convenient environments. Among the programming languages that are used in this case, we can name C#, JavaScript, Java, Python, and PHP. The potential back-end frameworks to choose from include ASP.NET, express.js, nest.js, Spring, Flask, Django, and Symfony.

Data Access Layer

The final layer in this architecture is the data access layer, which plays a crucial role by closely interfacing with the business layer, retrieving essential information from the servers. Simultaneously, the data service layer acts as an intermediary, effectively segregating the business logic from the client side during request processing.

It is an app back-end part that contains databases and DBMS (database management systems) that collect, manage, and store data. The environment can be the same as the application layer. Among the Database management systems, we can name PostgreSQL, Microsoft SQL Server, MySQL, MongoDB, Cloud Offerings, and so on.

All the layers work independently and communicate with each other through the relevant components.

Types of Web Application Architecture

A web application architecture type is a particular pattern under which the components interact with each other. The overarching layers might be divided into client-side architecture, server-side architecture, and a hosting approach.

Client Side

Single-Page Application Architecture

This web application architecture is designed to show relevant content only. To make this happen, it first loads the relevant web page and then dynamically updates the representation of its content with the requested information only.

In other words, it doesn’t refer to the server for loading new pages but sends requests for the needed parts of the webpage only.

Single-page applications contribute to smoother performance and a more intuitive user experience.

Pros of single-page app architecture:

  • Faster performance
  • Improved flexibility of UX

Cons of single-page app architecture:

  • Increased testing time
  • Possible loss of unsaved progress
  • Slower first-load speed

Progressive Web Apps

Thanks to their unique format, progressive web apps are still among the most promising web app trends. They offer a convenient and effective user experience that is available from any browser and device through a shared URL.

Progressive web apps are widely used in entertainment, finance, and eCommerce industries. Their key benefits include lightweight, cost-effectiveness, cross-device nature, ability to attract web traffic, and a fully functioning app experience.

Pros of progressive web app architecture:

  • Browser availability
  • Mobile-first approach
  • Increased traffic
  • Effective offline performance

Cons of progressive web app architecture:

  • Restricted browser support
  • Narrow utilization of native APIs.

Server Side

Microservice Architecture

Microservices are the frequent alternative to an unreliable monolithic web application architecture. They disperse the functionality to deliver small and lightweight services separately.

In particular, they are loosely coupled and use APIs for communication if a sophisticated business problem arises. This peculiarity eases the developer’s life since it’s possible for individual service components to be built in different programming languages.

Thanks to its flexibility and stability, microservice architecture has gained popularity these days, with businesses like Amazon, eBay, and Netflix adopting it for their complex needs.

Pros of microservice architecture:

  • Easier scaling up
  • Better fault tolerance
  • Simple-to-understand code base
  • Independent module deployment

Cons of microservice architecture:

  • Difficulties with testing and debugging
  • Complex deployment

Hosting Approach

Serverless Architecture

In web application development, this type of architecture allows you to outsource both server and infrastructure management to a third-party cloud service provider. This way, a web app logic execution won’t intervene in the infrastructure running.

Choosing a serverless architecture is good for companies that want to delegate server and hardware management to a reliable tech partner and concentrate on front-end development tasks instead.

Also, this web application architecture type allows working on small functions in apps. The service providers that assist in server management are Amazon and Microsoft, among others.

Pros of serverless architecture:

  • Absence of server management
  • Highly scalable
  • Minimized latency
  • Speed and flexibility

Cons of serverless architecture:

  • Security concerns
  • High complexity

Advanced & Scalable Web Application Architecture

Digital technologies constantly evolve, creating new possibilities for web applications. As a result, their architecture also evolves to accommodate software to new demands and conditions in business. These days, the challenges in various industries require appropriate actions and implemented measures from software developers. Let’s see what business requirements impact software development most and how specialists can ensure the necessary characteristics of web applications using new trends and a properly designed architecture. 

Nowadays, three of the most demanded characteristics of web applications are improved scalability, reliability, and security. Business needs to be sure that custom software is reliable and won’t fail under load or malicious actions. To satisfy these requirements, developers continually enhance software architecture by implementing more advanced technologies and higher standards.

Today, most requirements regarding the scalability and safety of web applications are met with the help of cloud technologies. Web developers extensively use them for two main purposes: advanced storage and delivery of content and smart balancing of traffic load.

Cloud solutions are the most obvious and optimal choice of technologies for the architecture of most business web applications. That’s why a lot of web developers effectively use a wide range of cloud services provided by such IT giants as Amazon, Microsoft, and Google. Today, Amazon Web Services, Microsoft Azure, and Google Cloud Platform are essential tools that can be customized for all types of web applications.

Here are a few examples of uses and benefits associated with cloud services implementation in web app architecture.

Data Storage Tools

  • Amazon S3
  • Azure Cloud Storage
  • Google Cloud Storage

Storing web app information in the cloud instead of an on-premise server makes data more accessible regardless of users’ location. Most cloud service providers offer several subscription plans with various volume and traffic load capacities. They ensure your information is kept safe and secure, which is an invaluable advantage for business.

Cloud storage also allows developers to optimize access time for users in target geographic areas. This way, customers or employees using a web application will experience fewer lags. After a web application is released, developers can add new cloud storage units, remove existing ones, and change the service subscription plan. This significantly improves scalability and optimizes app costs depending on the scale of the business.

Load Balancing Tools

  • AWS Elastic Load Balancing
  • Azure Load Balancer
  • Google Cloud Load Balancing

Load balancers ensure the smooth work of a web application even at times of high traffic loads. This type of technology is especially useful for B2C or retail businesses. Usually, such high load periods are predicted and happen on a regular basis, for example, during holiday seasons. However, sometimes, they occur as a result of malicious attacks intended to disrupt the online operations of a particular company. The most common type is DDoS attacks, which can have a devastating impact on any online business. Load balancing technologies help to distribute excess loads across multiple servers using hardware or software components and predefined policies.

Caching and Content Delivery Tools

  • Amazon CloudFront
  • Azure CDN
  • Google Cloud CDN and Media CDN
  • CloudFlare

Software developers may implement a caching system in application architecture to optimize data access and improve app performance. Usually, an app cache contains the most frequently or recently requested information. It delivers data to a user device much faster than requesting the same information from a database on an application server. 

Depending on the architecture, a web application may have a global cache, a distributed cache, or an in-memory cache. Another widely used technology to handle caching is a content delivery network (CDN). It allows developers to reduce load on an application server by rerouting queries to a CDN server instead.

Web Application Architecture Best Practices

Here, we’ve gathered the top 5 recommendations for business owners to consider while working on web app architecture for their projects and building cooperation with tech partners.

  • Think of a proper web application architecture at the earliest stages

Without a comprehensive structure, your application will turn into a labyrinth of messy elements and components that are too hard to handle.

  • Don’t copy somebody’s success

The top mistake is picking a web application architecture of a successful company and simply replicating it. In reality, a successful architecture is one that corresponds with your business goals and ideas, not theirs.

  • Pay attention to your technical limitations

It’s not always possible to get the best and most successful elements in your web application architecture. However, with the proper attention to quality attributes and realistic business expectations, you will get the maximum from all the components you have.

  • Eliminate the problems right away

Don’t wait for the web app release to fix the problems in its architecture. The earlier you address the issues, the more reliable core features it will have.

  • Create a checklist of successful web app features

To make sure your web app has achieved its goal, it’s good practice to note your expectations from the very beginning and discuss their possibility and measurable KPIs with your tech partner.

The possible checklist may include these features:

  • System flexibility
  • Reusable components
  • Well-written code
  • Scalability
  • System stability
  • Bug detection ease
  • Adherence to security standards
  • Fields for user feedback
  • Crash prevention
  • Ease of use
  • Fast response
  • Automatic deployment

Summing Up

A solid, fast-working, scalable, and safe web application architecture is necessary for every web platform-based digital product, especially for business. For this reason, it’s advisable that the architecture is developed and implemented by software engineering experts with experience in building similar solutions tailored to your specific industry.

Intellectsoft has been creating digital solutions for companies of all sizes in Fintech, Healthcare, construction, hospitality, logistics, eCommerce, and many other industries for over 17 years. We provide web development services to startups, SMBs, and enterprises worldwide and create solutions with the most efficient, safe, and flexible web app architecture.

So, if you’re looking for a development team that will ensure top-quality modern web application architecture, here are only a few reasons to choose our software engineering experts:

  • Our talent pool covers dozens of programming tools and technologies for building web, mobile, desktop, cloud, and other solutions.
  • We have successfully delivered over 600 digital solutions for businesses. Here, you can see our most prominent cases.
  • Our engineering workforce is located in 21 countries across the Atlantic.
  • The size of our clients varies from early-stage startups to Fortune 500 enterprises like Audi, Harley Davidson, Universal, Nestle, Melco, and others.

If you’re ready to explore the custom web application architecture we can create for your business, don’t hesitate to contact us. Our team will ensure your product has the perfect modern web app architecture.

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Why Outsource App Development https://www.intellectsoft.net/blog/why-outsource-app-development/ Wed, 14 Aug 2024 17:00:16 +0000 https://www.intellectsoft.net/blog/?p=27851 Stepping into outsourcing isn’t just a trend but a strategic decision for business leaders, teams, and stakeholders alike. Outsourcing app development has become a popular...

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Stepping into outsourcing isn’t just a trend but a strategic decision for business leaders, teams, and stakeholders alike.

Outsourcing app development has become a popular choice for businesses of all sizes, and there are many good reasons for this. By choosing to outsource, companies can save both time and money while still receiving high-quality mobile apps. This approach allows even small businesses to compete with larger companies, allowing them to access a highly skilled talent pool of specialized technical expertise and technologies, without heavy investment.

If you’re considering outsourcing your software development needs, keep reading! In this article, we explain the benefits and potential costs of outsourcing mobile app development and highlight how it can help your business grow faster. Let’s get started!

Here’s a brief overview of the mobile app development market in 2024:

mobile app downloads

Technology has come to be a synonym for progress. As a result, businesses are increasingly adopting mobile apps to remain modern and competitive.

With mobile apps accounting for 70% of all time spent on digital media, and global app downloads reaching 257 billion in 2023, app impact is undeniable. It goes without saying that apps drive substantial revenue – expected to reach $935 billion by 2024 – increasing competition in the market. About 90% of businesses see them as essential for market differentiation. 

Beyond revenue, apps improve customer experiences, simplify workflows, and offer valuable data insights, making them crucial tools for business success in today’s digital landscape. 

The promising yet challenging future of apps opens the door to a wealth of opportunities for various businesses. As companies integrate mobile apps into their strategic frameworks, a common question rears its head; “Should I outsource or hire in-house experts?”

We understand the challenges you may face in choosing the right path, and we’re here to guide those new to outsourcing.

Outsourcing vs. In-House: Choosing the Best Approach for Your Mobile App Development

Choosing between mobile application development outsourcing and in-house development is a tall order for many businesses. Outsourcing (whether you decide to outsource iOS app development or outsource Android app development) offers access to a broader talent pool and often lower costs. On the other hand, some companies may prioritize having control and alignment with their company culture, which often leads them to prefer in-house development.

These aspects largely depend on your tech partner and the chosen model. At Intellectsoft, we adopt an agile development methodology that ensures our tech talents integrate seamlessly with your team, whether you’re outsourcing Android or iPhone app development. 

Each approach has its unique benefits. The right choice depends on your company’s specific needs, budget, and long-term goals. By considering these factors, you can find the best fit for your mobile app development.

Pros of Mobile App Development Outsourcing

The decision to outsource mobile app development – be it for Android or iPhone –  yields various benefits for a company’s operations. Why outsourcing may be the best idea? 

We’ll dive into the details later in this article, but for now, it’s worth highlighting a few key points:

  • It reduces project costs.
  • No need to recruit new team members.
  • It shortens timeframes for project completion and product launch.
  • It enables you to meet market demands quickly.
  • It provides access to a global pool of highly skilled app developers and technology.
  • It allows for strategic resource allocation and delegation of development tasks.
  • It offers scalability and flexibility.

What’s more, outsourcing lightens the load by taking on many additional responsibilities, freeing businesses to focus on their core tasks.

Cons of Mobile Outsourcing 

Regardless of the benefits, outsourcing mobile application development may have some challenges. There may be miscommunications due to cultural differences, varying work ethics, and time zone shifts. The good news is that these issues are manageable. You can effectively address and overcome these setbacks by establishing clear communication channels and finding overlapping work hours.

Pros of In-House Mobile Application Development

Having a full-time, in-house team offers several advantages for some business leaders. This approach enables close management of team dynamics and direct, face-to-face communication. 

Cons of In-house Mobile Application Development

In-house mobile application development comes with its own set of challenges. It takes a good bit of investment in hiring skilled developers and in software, hardware, and infrastructure. These all can be financially burdensome. Finding and retaining top talent can be difficult, and new hires often need training, which can extend development timelines and impact product quality. 

Why Outsource App Development

Around 60% of companies find outsourcing more efficient than managing app development in-house. For many, outsourcing opens the door to a new level of productivity. It’s a smart, cost-effective choice that connects you with top-tier talent to develop high-quality apps.

Here’s why it’s beneficial to outsource app development:

Cost-Effective Solutions

Outsourcing slashes development costs. By partnering with a software development company, you save on salaries, benefits, and overhead while maintaining an in-house team. Accessing a broader talent pool in regions with lower labor costs makes high-quality development more affordable, freeing up resources for other critical areas.

Global Talent Access

Outsourcing provides access to a diverse talent pool with expertise across various seniority levels. At Intellectsoft, for example, we employ developers with over 17 years of experience, as well as creative middle developers bringing fresh perspectives. Collaborating with teams worldwide allows you to approach projects from different angles, building a thorough solution.

Scalable and Flexible Approach 

Outsourcing offers exceptional scalability. Adjust your development team’s size based on project needs without the hassles of hiring or layoffs. This flexibility lets you respond swiftly to changing market demands, ramping up or scaling down as necessary.

Refined Focus on Core Activities

Outsourcing allows you to concentrate on what truly matters – your core business functions. By entrusting app development to experts, you can channel more resources into activities that drive success. This strategic focus often leads to increased efficiency and productivity.

Accelerated Time-to-Market

An experienced outsourced team can deliver projects quickly through established workflows and extensive experience. At Intellectsoft, our agile methodologies ensure that we adapt swiftly to project needs, keeping everything on track and on schedule.

Ongoing Support and Maintenance 

Partnering with an outsourcing firm means ongoing support and maintenance. Your dedicated team will be ready to help with updates, feature additions, and any issues that arise, ensuring your software remains in top shape.

Proactive Risk Management

Established outsourcing firms have strong risk management processes in place, including quality assurance and project management, ensuring deadlines are met and quality standards are upheld.

Latest Technology Access

Outsourcing companies stay ahead of the curve with the latest technologies and trends, like AI and Cloud Computing. Our blend of seasoned professionals and innovative junior specialists ensures reliable applications with a forward-thinking approach.

Efficient Resource Management

Clearly, outsourcing simplifies resource management. You won’t have to worry about workspace, equipment, or technical infrastructure—your outsourcing partner handles it all.

Enhanced Security Measures

Outsourcing companies prioritize client protection with continuous monitoring, compliance with security standards, and well-defined incident response plans. Many also offer training programs to further reduce risks.

App Development Outsourcing Models

You might be wondering: How does app outsourcing actually work? Are there specific models that outsourcing partners offer? The answer is yes! There are three main engagement models: the dedicated team model, the team extension model, and the project-based model.

We recommend getting acquainted with each of them to find the perfect fit for your business needs. Let’s take a closer look:

Dedicated Team Model

A dedicated team of developers works exclusively on your project, integrating seamlessly with your in-house team. This model offers greater control, flexibility, and a deep understanding of your project, perfect for long-term collaboration. Keep in mind, though, it requires more hands-on management and coordination from your side.

Project-Based Outsourcing

In this setup, the outsourcing company takes care of the entire project from start to finish, following your specifications. It’s a great choice if you want a clear scope and budget with minimal management overhead. Like all models, project-based outsourcing benefits from detailed initial planning and clear requirements.

Extension Model

This model lets you bring in additional developers or specialists to fill gaps in your in-house team, often temporarily. It’s a flexible way to scale your team up or down as needed, while still keeping control. Just be prepared – it takes management effort to integrate these new team members smoothly.

Choosing the right outsourcing model isn’t a one-size-fits-all decision. It depends on factors like your project’s scope, budget, timeline, and the level of control and flexibility you need. Each model has its own benefits and challenges, so choose the one that best aligns with your goals.

If you’re unsure which path to take, don’t hesitate to reach out to your outsourcing partner. They can help you explore all the options and provide expert advice to guide you to the right decision.

Steps to Successful App Development Outsourcing

Step 1. Define project requirements

Start by clearly outlining what your app needs. Detail the features, functionalities, and objectives to ensure everyone is on the same page. Clear project requirements will guide each step of the process and help transform your vision into a successful app.

  • Budget: Decide on an initial budget for your app development project. A budget range will help set timeline expectations for your project.
  • Timelines: Think about when you want the project completed, including key milestones and the final delivery date.

Step 2. Choose an Outsourcing Types

Select the outsourcing types that best fit your goals. If budget constraints and continuous development are top priorities, offshoring could be the ideal solution. For example, if you are based in the USA, outsourcing app development to India will be considered offshoring. This approach offers access to a diverse pool of global talent and notable cost savings.

On the other hand, if you value cultural alignment or need to work within similar time zones, onshoring or nearshoring might be better suited for your needs. 

Step 3. Identify the Right App Development Companies 

With your outsourcing model in mind, create a shortlist of potential partners. Evaluate companies based on their skills, expertise, pricing, and reputation. Review case studies, client testimonials, and independent reviews to ensure they have the credentials to meet your project’s needs.

Step 4. Evaluate and select an outsourcing team

Based on your research, choose the most suitable partner to outsource mobile app development. Decide on a payment model that fits your project. If flexibility is needed, consider a time-and-materials model, where you’re billed for actual hours worked. 

While a fixed-price model offers cost certainty and well-defined deliverables, It may not provide the flexibility needed to meet unforeseen changes and challenges along the way.

Step 5. Establish project management

Once the contract is in place, outline how your collaboration with the outsourcing team will work. Define workflows, coordinate between your in-house and outsourced teams, and set up systems for tracking and reporting progress. A dedicated project manager can help keep everything aligned with your objectives and ensure smooth execution.

Step 6. Ensure support and maintenance post-launch

The launch is just the beginning. Set up support and maintenance services to ensure your app’s ongoing success. By having the same team handle post-launch support, you benefit from their deep understanding of the app to address issues quickly, implement updates, and improve the app based on user feedback.

Managing Risks in Outsourcing Mobile App Development

Opting to outsource mobile app development can offer numerous benefits, but it’s important to be aware of potential risks that can arise. Understanding these risks can help you prepare and manage them effectively, ensuring a smoother development process. Here are some common risks and what to watch out for:

  • Communication: Keep communication clear and consistent to avoid any misunderstandings.
  • Cultural Differences: Be aware of cultural differences that might impact collaboration and outcomes.
  • Scope Creep: Clearly define the project scope to prevent unnecessary changes and stay on track.
  • Security Policies: Ensure your outsourcing partner follows strong data protection standards to keep your information safe.
  • Payment Models: Understand that fixed-price models can be less flexible if project requirements shift, so make sure your needs are well-defined from the start.

Staying ahead in the process and choosing the right partner can turn potential risks into a smooth and successful outsourcing experience.

How to Choose an App Development Outsourcing Provider

Choosing a reliable partner opens the door to a world of talented professionals with diverse skills and experience. Simply define your needs and requirements, and your outsourcing partner will manage the rest. This way, you’ll get scalable applications that can drive your business forward.

When selecting an app development company or agency, keep these key points in mind:

  • Experience and Expertise: Find a company with a solid track record in mobile and web app development. Check out their portfolio and read client testimonials to see their proven success.
  • Customization: Make sure they can develop tailored solutions to meet your needs.
  • Technology Stack: Look for a company that uses the latest technologies and stays updated with current development trends.
  • Communication: Ensure they have a clear and effective communication process in place.
  • Research and Testing: Great companies thoroughly research and test to understand your needs and deliver the best possible solution.

Cost of Outsourcing App Development

One of the most common questions clients ask is, “What is the cost of mobile and web app development?” While it’s a valid question, there isn’t a one-size-fits-all answer. The cost can vary significantly depending on several factors.

The type of app you’re developing plays an important role in determining costs, with simple apps generally being less expensive than complex, feature-rich ones. The timeline also affects the cost; if you need to launch quickly, additional resources or expedited work may be required, which can drive up the price. Additionally, the size and expertise of the team required for your project can influence expenses – larger or more specialized teams typically come at a higher cost, and the level of expertise needed can further impact the overall price.

To help you better understand potential costs, here are some key questions to consider:

  1. What type of app are you developing? Define the core functionality and purpose of the application to assess complexity.
  2. How quickly do you need to launch? Determine your timeline to assess the speed and urgency required.
  3. What’s your budget? Based on your budget, your tech partner will select the best development approach for your project: native or cross-platform. Native development tends to be more costly. 
  4. Do you need a team with specialized skills? Identify if your project requires specific technical expertise or niche skills. For high-performance iOS or Android apps, consider hiring experts who specialize in native app development. Alternatively, if you need to develop mobile apps quickly while maintaining efficiency, cross-platform development might be the right choice.
  5. How much support will you need? Consider the level of support you’ll require during and after the development phase.
  6. What level of UX or UI design is required? Evaluate the design needs to ensure a user-friendly and engaging experience.
  7. Where is your chosen development company based? Decide if geographical location impacts your decision based on time zones and communication preferences.

Answering these questions will help you better understand your project’s scope and cost.

Bottom Line

In today’s competitive market, having the right technology in place is crucial to staying ahead. However, managing all your technical needs in-house can be challenging, costly, and time-consuming. That’s where outsourcing comes in as a smart and strategic move. By partnering with Intellectsoft, you gain access to top-tier technical expertise without the overhead of managing it all internally.

With over 17 years of experience, Intellectsoft has been the trusted partner for businesses across various industries, including Fintech, Healthcare, Construction, Hospitality, Logistics, and eCommerce. Our global team of tech experts is dedicated to delivering custom solutions that meet your specific needs—whether you’re looking to develop a new product, upgrade an existing system, or integrate cutting-edge technologies.

For a tailored estimate, get in touch with us! Our consultants will provide you with a free, no-obligation quote.

FAQ

What should I look for when choosing to outsource app development?

When choosing an outsourcing partner, prioritize experience and a strong portfolio. Look for partners who have successfully managed projects similar to yours and possess expertise in the required technologies. Additionally, customer testimonials can offer valuable insights into their performance and reliability.

How can I ensure high quality when working with outsourced developers?
To maintain high quality, establish clear communication and request regular updates. Clearly define your project requirements, including features and deadlines, from the outset. Request prototypes and conduct regular testing throughout the process. Choosing a reputable tech partner with a proven track record is also key to ensuring quality.

What potential risks come with outsourcing app development, and how can I address them?
Outsourcing can come with challenges like time zone differences, cultural barriers, and varying quality. Having a detailed contract and regular check-ins will help keep everything on track and make it easy to tackle any issues that come up.

How does the location of an outsourced app development team impact the project?

Location can affect communication, especially with time zone differences. If this might be a challenge, consider nearshore or onshore outsourcing. Also, keep in mind any legal and regulatory differences that could come into play.

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What Is Digital Transformation? https://www.intellectsoft.net/blog/what-is-digital-transformation/ https://www.intellectsoft.net/blog/what-is-digital-transformation/#respond Wed, 07 Aug 2024 07:31:55 +0000 https://www.intellectsoft.net/blog/?p=18543 In today’s fast-paced world, both small companies and large enterprises need to stay on their toes and quickly adapt to the latest changes to remain...

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In today’s fast-paced world, both small companies and large enterprises need to stay on their toes and quickly adapt to the latest changes to remain competitive with the latest developments in their industry. Embracing and weaving current trends into your workflow is a key to success in the digital age.

The quicker and smarter you respond to changes, the better your chances of future success. Staying up-to-date with trends can help you attract more customers and boost revenue. Many companies are currently undergoing digital transformations. But what does that mean, and how can it benefit your business?

Let’s dive into the details of this topic.

Digital transformation means blending digital technology into the company’s core. Though the term is mainly relevant to business, it also falls under government, mass media, culture, medicine, science, and many other industries. Simply put, it’s a big strategic change that affects company operations and how to elevate the customer experience. Digital transformation is also a synonym for “paperless,” meaning that all the data is digitalized and stored in the company’s system.

What Is Digital Transformation

Implementing these solutions in your business will affect every department, and all the operations carried out within the company. It will change the way your company functions internally and externally. Thus, successfully undergoing digital transformation will bring value to the overall business workflow and customer experience by rethinking existing business processes to meet evolving market and customer demands now.

Examples of Digital Transformation: You’ve Already Seen Them

Digital transformation is evident everywhere. While some companies adapt more slowly, the shift is inevitable. It’s a smart move and one of the more significant strategies for staying competitive. Various industries have successfully implemented digital technologies to enhance customer experiences and streamline operations, showcasing numerous digital transformation examples.

Have you seen Nike’s latest technology? Nike has embraced direct-to-consumer sales through its client-facing apps, leveraging its website and mobile app for personalized shopping experiences.

Nike uses data analytics and AI to predict trends and manage inventory, ensuring popular products are always available. With Nike Fit, the company employs machine learning to measure foot size accurately, helping customers find the perfect fit. They’re also optimizing their supply chain with IoT devices and predictive analytics.

You can find examples of digital transformation everywhere nowadays, impacting nearly every aspect of human activity.

What’s the Difference Between Digital Transformation and Business Transformation?

Speaking of business and digital transformations, the first term, “business transformation,” is broader. It encompasses various transformations.

All companies must undergo a business transformation at some point to stay current with rapidly evolving trends, improve services, streamline workflows, and enhance customer communication.

“Business transformation” mainly means changes at all stages in every department. These “transformations” consist of:

  • Digital transformation: Aimed at improving customer interactions and internal organization.
  • IT functional transformation: Focused on optimizing the work within the IT department.
  • Enterprise transformation: Concentrated on how work is done throughout the entire company.

In other words, business transformation calls for adopting new business models that align with modern market demands. Digital transformation, on the other hand, is about implementing the tools and solutions necessary to make these new strategies effective. It improves business-to-customer interactions, business-to-business cooperation, and internal company operations (business-to-employee).

For example, in the healthcare sector, digital transformation focuses on technological tools and solutions to address operational challenges, ultimately achieving the broader goals of business transformation.

The Digital Transformation Strategy Roadmap

Entering a digital transformation journey involves several key stages that require careful planning and execution. You can start building a roadmap when you set a digital transformation framework. Remember that three main stages should be outlined and divided into smaller steps in the roadmap to make it easier:

Stage 1: Defining value. This stage involves securing senior management. It’s the first step. Ensure that everyone in the company is engaged and actively participates. Gather board meetings with management and different departments of the company to define the goals of the transformation. Make them challenging and motivating. The last in this stage is the budget. Allocate funds for the resources and technologies.

Stage 2: Launching and maintaining. It requires a strategic approach. Start by identifying lighthouse projects to start the digital transformation projects. Once these projects are tested and optimized, you can proceed with related projects to continue the transformation. Assemble a team of high-profile professionals with the necessary skills. Consider implementing new agile methods for work organization.

Stage 3: Scaling up. From now on, continuously upgrade your technologies as they develop and offer new features and capabilities. In addition to technology, it’s important that your employees undergo training; it helps them acquire new skills faster and much more effectively. Adopting the new operating model is the last thing to include in the roadmap.

What Digital Technologies Can I Use?

Digital Transformation Technologies

Digital transformation is necessary for businesses in different industries because of all the emerging digital technologies. These technologies change the way companies function and organize their work. They help deliver a better user experience and generate more revenue for the business. Staying informed about the digital transformation technologies and trends like AI and robotic process automation can significantly improve digital transformation strategies and help meet the needs of both employees and customers.

We oversee certain tendencies in the technology used for the digital transformation of the enterprise; this list includes:

Cloud Computing

Many companies consider cloud computing the first to-go technology when entering a company’s path of digital transformation. There are many good reasons for this. Overall, it improves internal and external processes, operations, and services. With its infrastructure, platforms, and computing abilities, cloud computing helps you stay agile in your business field. Considering this, cloud computing is cost- and labor-effective, and what is important to mention is that it is secure (you can omit system shutdowns and create several backups). Two more important things come with cloud computing: scale and speed. These two are necessary to win the competition in the market.

Artificial Intelligence (AI)/Machine Learning (ML)

When properly used, AI and ML can help businesses earn additional income and reduce time spent executing day-to-day activities. With ML, you can analyze big and complex data and make accurate decisions based on available information. Minimize risks in production and create personalized experiences for your clients using AI. Thanks to these technologies, there is less room for errors and more for impeccable, high-quality service.

Blockchain

Blockchain is a powerful asset for companies heading toward digital transformation. This technology facilitates transactions, eliminating third parties and making it easier and more transparent for partner businesses and clients. It would be mistaken to think that only finance and banking companies can use this technology. Now, you can find blockchain integration in diverse industries such as retail, supply chain, healthcare, and telecommunications. And this list doesn’t end. We expect to see more usage of this technology in the coming future.

Augmented Reality (AR)

Augmented Reality is a real game-changer. It changes the departments’ operational activities and enhances the company’s competitiveness in the market. AR opens opportunities that once were hard to imagine, such as looking inside objects (machines, bodies) without opening them, examining and detecting them, and giving a full report with a description of the problem found inside. AR is applicable for product development, maintenance, and safety measures.

Internet of Things (IoT)

Over the last few years, we’ve seen another giant trend: IoT. This technology brings many benefits to the business. For instance, you can use the data collected with the help of IoT to understand your customers and their needs better and, as a result, offer them better services. Also, IoT can help you polish your segmentation strategy and expand your target audience. It can also improve employee productivity and reduce costs.

Robotic Process Automation (RPA)

Imagine having a digital assistant who takes care of all those repetitive and mundane tasks that consume your time, like data entry or invoice processing. That’s exactly what Robotic Process Automation (RPA) does! By automating these routine activities, RPA boosts operational efficiency and accuracy and frees up your human resources to focus on more strategic, value-added activities. It’s like having an extra set of hands that never gets tired, making your business runsmoother and smarter.

Mobile Technology

Those days when mobile phones were just for calls and texts are long gone! Today, mobile technology is everywhere, and it has changed the way we live and do business. From mobile tickets and wallets to entirely new business models like Uber, our dependence on mobile devices has greatly driven digital transformation. Mobile technologies and apps make everything possible, from ordering dinner from a favorite restaurant to managing banking and investments. Now, it’s all about convenience and staying connected all the time anywhere.

Digitization

Digitization is the process of converting paper-based information into digital formats. It revolutionizes industries like healthcare with electronic medical records (EMR) and government services by making public records accessible online. Digitization is the backbone of transformation and digital initiatives everywhere. It makes information more accessible, manageable, and secure, paving the way for a more efficient and connected world.

Digital Twins

With digital twins, you can now experiment with a replica of your physical products or environments to find the best ways to improve efficiency or effectiveness. For instance, a manufacturer can create a digital twin of their shop floor to imagine where to place machinery for better output or safety. Similarly, product manufacturers can design digital replicas to improve ergonomics or usability. This game-changing technology allows organizations to improve their processes without disrupting existing operations.

Digital Transformation Process: How Is It Done?

Digital Transformation Process

With all the ambition, digital transformation is impossible to complete in one day. Instead, it’s a continuous process that involves a ton of work and effort. Significant investments in digital transformation efforts are necessary to improve operations and customer interactions. It requires careful planning and execution to ensure successful business outcomes. Like all processes, digital transformation involves several stages. We encourage you to get back to your company’s strategy. Consider what you want to achieve, your objectives, where to play, and which technology to use and, importantly, not use.

Creating a plan is just one part of the process, but going digital without one is a lost cause.

Use these steps as a guide to the digital transformation process:

Step 1. Analyze the environment within and outside the company. It is important to understand where you stand and your strengths and weaknesses. Check how your competitors are dealing with similar problems.

Step 2. Set transformation objectives. What do you want to see as the final result? What is the company’s goal? Which operations, departments, or processes do you think are worth renovating? Answer these questions before proceeding to the next stages of the process. Involve your employees in the process. They can provide valuable insights and point out potential issues from their daily activities.

Step 3. Choose the right technology and outline the budget. When considering the technology, don’t underestimate thorough research. The future technology should suit the needs of your company, employees, and clients. Communicate with the vendor and set close relationships for further collaboration, as support of the system is as important as its development or implementation. Make sure the technology is scalable to continue growing even if some elements need maintenance or re-engineering.

Step 4. Create a clear roadmap for the process and prioritize the activities. Access the company’s capabilities, resources, and budget, identify changes, and do a cost-benefit analysis. Then, logically prioritize activities.

Step 5. Identify and train your team. Choose employees and create teams that can implement new technology. Show all the changes that you plan to make to the employees. It is important to educate your staff so they will be well-prepared once the new system is ready.

Step 6. Implement the changes. This step includes running tests, ongoing maintenance, and adding necessary changes.

Step 7. Continuously undergo support for the new technologies. Use new features to stay up to date and increase the system and services’ performance.

Benefits of Digital Transformation: How Is It Useful for Your Business?

Considering the information above, we can highlight several benefits of digital transformation. Although the process can be time-consuming and require many resources, the advantages it offers cover the expenses and greatly increase business value.

So, what are the benefits we get with the digital transformation of business?

  1. There will be less manual work as operations and processes are automized, making the overall work more efficient and almost flawless;
  2. Reduced time spent on day-to-day activities;
  3. The client’s satisfaction will grow. It follows from the benefits listed above. Flawless and quick service will win the hearts of your clients and more likely make them your regular customers;
  4. Another important advantage is increased revenue. Reduced time and errors save your funds; loyal clients will bring more revenue.

These are four significant benefits of digital transformation for small and large businesses. Of course, this list is not complete, as all businesses are different, and each will find something unique.

How to Measure ROI on Digital Transformation?

Digital transformation is an ongoing process of change that never stops. Measuring ROI is an important step in defining the effectiveness of your digital transformation initiatives. Make sure your company is well-equipped for the dynamic tech environment. From then on, your digital business always adapts, upgrades, and constantly responds to innovative tech trends. Assessing ROI is important to see if your business is moving along the right path.

At the start, each company may measure ROI in its own way, as objectives and metrics can differ. However, there are some common steps to ease the way and see if your digital metamorphosis is compelling.

Step 1. Establish Your Goals

There are many reasons why it’s essential to define your objectives.

First is because it will directly impact the metrics of your ROI. Consider your company’s specific challenges, requirements, and cultural values. Some businesses may need to increase operational agility, while others may chase it to boost customer experience. At this step, ensure that business leaders and all the senior management are headed in the same direction and share similar values. At this stage, ensure that all senior management is aligned and shares similar values. This alignment will prevent chaos and confusion from a lack of clear goals.

Step 2. Pick Metrics that Align Your Goals

Depending on what you aim to achieve, you will determine how to measure it. For instance, if your goal is to enhance customer experience, you might measure the number of return customers, monitor brand awareness, or assess net promoter scores. Suppose you plan to adopt a digital workplace. In that case, you may want to track the number of applications your employees switch between and evaluate whether this affects efficiency or causes distractions that lead to errors.

Step 3. Get Down to Measuring Business

With a clear set of objectives and an allocated budget to reach them, you can begin evaluating the results. This involves examining whether your current state aligns with your desired objectives. The chosen metrics will be tools for measuring progress, even if the goals initially seem abstract.

To illustrate this, let’s consider an example of measuring ROI within the HR department of a large organization, as presented by Forbes. Suppose they aim to automate the vacation request process to increase operational efficiency. Now, the manual process takes 75 hours of employee time each month. Appropriate digital tools can reduce this time to 15 hours per month. The goal is clear and measurable, making it easy to see if you’ve hit the mark. By estimating the ROI of this objective, you can get a better sense of the bigger picture and evaluate the overall efficiency of the digital changes.

Top KPIs to Measure Your Success

Key Performance Indicators (KPIs) are the compass that will guide your digital metamorphosis. Tracking these KPIs is essential for ensuring a successful digital transformation. KPIs are the lighthouse that helps you see if you’re navigating in the right direction or need to change course to achieve business growth.

There are no one-size-fits-all instructions for any successful digital transformation strategies. However, here are some key areas to anchor your focus.

  • Customer Acquisition Cost (CAC)

This indicator will show if your money to attract new customers aligns with your objectives and budget. It’s one of the essential gauges during the digital transformation process, as it shows the cost-effectiveness of your tech solutions.

  • Customer Satisfaction and Retention

76% of customers believe that companies should understand their customer expectations, and needs. Measuring customer satisfaction and retention is like checking the pulse of your business to see if you’re meeting client demands with your new digital mindset. You can track this through customer satisfaction scores or the percentage of repeat purchases.

  • Net Promoter Score (NPS)

Determining NPS is important for seeing long-term business growth influenced by transformation. Simply put, you want to know if your customers would recommend your company to a friend. Regular surveys can help you monitor whether this number is on the rise.

  • Percentage of Product Defects

One of the key goals of automation through digital transformation is to reduce errors from manual operations. It’s important to evaluate if the AI or ML solutions you’ve implemented are truly effective. Measure this KPI by taking the number of faulty products, the total number produced, and seeing if the defect rate decreases with new digital solutions.

  • Revenue Growth Rate

Likely, one of the most desired KPIs. This metric shows the speed at which your business income is growing. The goal is to boost revenue quickly, as it’s the lifeline of any venture. Achieving revenue growth requires attracting new customers and ensuring past customers return.

  • Process Downtime Level

This indicator is valuable for companies automating processes and operations. It reveals if the time lost due to tech problems or employee absences has decreased thanks to new tech solutions.

What Are the Challenges of Digital Transformation?

Challenges of Digital Transformation

While 85% of enterprise decision-makers believe they have a limited time frame of two years for successful in-depth digital transformation, many view this metamorphosis as daunting and quite challenging. Digital transformation leaders play a central role in guiding organizations through these challenges. So, what are the major issues a business may face during this transformation process?

  • Finding common grounds at every level of an organization

Undergoing transformation cannot be done in a silo. This process requires cross-functional effort. So, keep all the departments, both leaders and employees involved. One effective way to find common ground is to gather feedback from all departments and ensure that employees share the values of a new digital mindset.

  • Integrating legacy and digital assets

One of the main challenges is overcoming doubts about whether a business needs new tech tools when it has already invested heavily in its legacy programming. The transformation aims to link the many legacy systems with new digital tools and scale up the existing technology to improve the business.

  • Facing digital change fears

The overload of tech-savvy solutions may intimidate employees. That’s why it’s important to invest time in training them to work with new technology. Their fears will disappear once workers see that advanced technology helps them do their jobs and become more efficient.

  • Managing risks of digital infrastructure

With new opportunities come new risks. On the one hand, each employee-owned device is a portal into a corporate digital data store. On the other hand, digital tools allow a company to reinforce data security. Digitized security systems ensure that online assets are better protected, and cloud computing risks are more accessible to identify and handle.

  • Getting lost trying to keep up with all the current trends

The last but not least challenge is to avoid getting lost in a chaotic bouncing from one trend to another. That is why the only way to overcome this hurdle is to have a well-thought-out framework for your transformation. To avoid getting stuck in the mish-mash of solutions trying to keep up with the ever-changing digital environment, you’ll need to have a blueprint and always focus on the final goal.

Digital Transformation Framework: The Guidelines

Well-defined digital transformation strategies are essential for navigating the complexities. With no plan, a company is doomed to get trapped in the middle of digital metamorphosis, as it is only possible to adapt to new technology and trends appearing daily with a strict outline of actions.

For this reason, before getting down to business, any organization needs to set up a digital transformation framework that will both serve as a guideline and always keep the focus on the final goal.

There is no existing one-size-fits-all framework businesses can apply to, as every company outlines a plan specific to its needs, requirements, and values.

As the digital changing process is not indivisible, there are four basic frameworks that you can customize for your company:

  • Processes and Operations

Some companies want to boost customer experience, lower production costs, or increase quality. The objectives may be various, though the means to achieve them can be clearly defined. Incorporating new technology may significantly enhance a company’s processes and operations.

For instance, Airbus uses display glasses to improve the quality of employees inspecting the planes. Domino’s Pizza enables the order process from any device, thus overtaking Pizza Hut in sales.

While the goals are different—Airbus focuses on enhancing the quality and safety of its products, while Domino’s aims to improve customer experience and increase sales—the means are the same: transforming old processes and operations with new tech solutions.

  • Business Model Transformation

This area of transformation requires a fresh outlook on how value is delivered in the industry and within your company. Examples include Netflix reimagining its business model from an outdated DVD rental company to a leading media-services provider and production company.

Another example is Apple reinventing music delivery with iTunes.

As you’ve probably noticed, all the verbs have the prefix’ re,’ indicating that companies take their existing models andopen new opportunities for business growth by repeatedly launching fresh initiatives.

Changing how a company delivers value to users and customers requires strong leadership, active involvement, and well-thought-out strategic planning from the Strategy and Business departments. It also needs the courage to take risks on the path to something new.

  • Domain Transformation

The allure of digital transformation is that with its endless opportunities, the sky is the limit. A business can successfully create a new source of revenue by venturing into an entirely new industry. Take Amazon, for example. They boldly entered a new market by launching Amazon Web Services (AWS), offering cloud computing services. This was remarkable, as IT giants like Microsoft and IBM predominantly owned the domain. However, the unique opportunities of tech solutions, their strong digital capabilities, and exceptionally brave thinking have enabled AWS now to contribute 60% of Amazon’s annual profit.

It goes without saying that companies like Amazon are better able to leverage new technology and expand into new domains more quickly. Still, technologies like AI, ML, UX, IoT, and AR show that a business can unlock new growth cost-effectively and efficiently. Therefore, explore new domains and see whether your company can benefit from these unlocked opportunities for competitive advantage.

  • Cultural and Organization Transformation

Many companies focus on cultural change by adopting digital values without making real changes to business culture. To transform, change your company culture, and embrace new skills and technologies.

You need solid and clear initiatives to update workflows and bring in new value by changing old habits. Teaching employees about decentralized decision-making is only worthwhile if they feel heard. Similarly, manual tasks should only be replaced if the new automated processes are actually better.

In short, cultural change alone won’t drive business success. However, when combined with effective tech solutions, it can lead to continuous growth. So, when planning cultural changes, ensure they’re part of a bigger digital transformation strategy.

Digital transformation has quickly gone from an unknown term to a buzzword. Technologies like Cloud Computing, IoT, Blockchain, AI, and AR are now part of everyday business language and operations. Yet, figuring out the right path for your business can still be confusing.

That’s where we come in. Our IT consulting team can help you develop a clear strategy for digital transformation tailored to your business goals. We’ll audit your current software, identify issues, and create a custom roadmap to help you fully take advantage of the latest technologies.

For over 17 years, we’ve been helping businesses stay ahead in the fast-paced digital world. From identifying and fixing pain points to designing and implementing new tech solutions, we’re here to help you unlock future opportunities.

Future of Digital Transformation: What Is Next?

Each digital transformation initiative will need to adapt to emerging technologies, change management, and market demands. We already know the benefits of digital transformation and can only imagine how it will evolve as technologies continuously upgrade and acquire new features.

While digital transformation has predominantly affected the IT and financial sectors, its potential extends far beyond. It can revolutionize government operations, healthcare and insurance, banking, retail, hospitality, education, and many other industries. Companies should take a serious look at digital transformation and use it to stay competitive, retain clients, and boost revenue.

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Cloud Migration: Best Practices of Seamless Migration https://www.intellectsoft.net/blog/cloud-migration-best-practices/ Fri, 02 Aug 2024 19:39:47 +0000 https://www.intellectsoft.net/blog/?p=27799 The decision to migrate your existing on-prem systems to the cloud isn’t one to take lightly. With over 60% of corporate data now located in...

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The decision to migrate your existing on-prem systems to the cloud isn’t one to take lightly. With over 60% of corporate data now located in cloud-based systems, cloud migration is quickly becoming the norm and brings a unique set of challenges.

Legacy systems that refuse to budge, data that needs babysitting, and legal challenges such as data sovereignty are just a few of the speed bumps you’ll likely face—but seamless migration is possible with planning and foresight.

Whether you use AWS, Azure, or Google Cloud, this guide will walk you through the best practices for cloud migration that keep your costs low, headaches to a minimum, and your sanity intact.

Cloud Migration Planning and Preparation

Unfortunately, one in three attempts at cloud data migration fail. In fact, 75% of businesses end up blowing way past the intended budget, and 38% exceed the expected completion timeline.

budget-for-cloud-migration

Resource: McKinsey

These are scary numbers. Planning and preparing are the only ways to ensure your migration efforts don’t become part of these statistics.

Moving off-prem and into the cloud requires a lot of careful groundwork and strategy. The planning and preparation stage is your initial roadmap and is created specifically to prevent typical gotchas while keeping business objectives and uptime in mind.

Assessing Cloud Migration Readiness

Before you can start, you’ll need to take a moment to size up your current operation. 

Understanding the full extent of what cloud migration entails begins with a meticulous examination of your present infrastructure setup. 

Here’s what it will look like:

Evaluate Existing Infrastructure

Begin by cataloging your on-premise landscape. Which systems are operating, and how do they interact? 

Taking this step is essential as it allows for the identification of snags and informs decisions about necessary adjustments. Consistent adherence to cloud migration best practices can pave the way for a frictionless shift.

Prioritize Applications and Servers

Not every application holds the same value or complexity level. Sifting through them meticulously will show you which should head to the front line based on strategic significance, intricacy, as well as anticipated advantages of making such moves. 

Aim to complete early stages with straightforward yet impactful applications. These initial successes foster confidence and set the pace for future ventures.

Develop a Comprehensive Migration Plan

Your migration plan is more than just an itinerary. It outlines each part of your migration journey while being mindful of dependencies along with potential stumbling blocks en route. 

Embracing increments rather than immediately overhauling everything tends to yield better results—think precision over haste here.

Developing a Cloud Migration Strategy

Constructing a sound cloud migration strategy is the cornerstone of a seamless transition to the cloud. Here is an outline for forging such a plan with efficacy:

Define a Clear Strategy

Cloud migration techniques and formats aren’t set in stone. In fact, they’re quite fluid depending on the unique structure your on-prem systems already take. 

Depending on your setup, there are several pathways that form the basis of your overall migration strategy. These are:

  • Life and Shift: Quick and straightforward, this approach is ideal for migrating applications that require minimal intervention and changes. It’s cost-effective and reduces the time required to implement the change. However, larger and more complex infrastructure generally cannot be migrated this way.
  • Rearchitect: A more time-consuming process, this strategy is suited for more complex environments where existing on-prem applications and services are redesigned to fully take advantage of cloud capabilities. 
  • Hybrid Approach: Sometimes, on-prem systems just cannot be migrated. In the real world, legacy systems, security compliance, and low local latency requirements just won’t allow it. This strategy combines on-premises and cloud environments, providing a more flexible option.

It’s not the 2010s anymore, and a pure on-premises environment is pretty rare, save for mission-critical infrastructure or when data sovereignty compliance (keeping data contained within a geographic location) is crucial. 

Establish a Baseline

Retaining local latency can be one of the biggest cloud migration challenges. Users are used to a certain speed and processing time, and you’ll need to maintain (or improve) it. Establish a performance baseline that will allow you to compare the pre-migration and post-migration metrics. 

When you understand your current performance, you’ll help identify areas for improvement and address existing issues at the same time.

Identify and Address Risks

One of the best practices of cloud migration strategy is identifying all potential risks early on. Factors such as data loss, downtimes, security breaches, and just unhappy users should all form the framework of your initial strategy. 

Develop a migration strategy that addresses these risks head-on. As new issues arise—which they will—update the risk management plan as you move along.

Choosing the Right Cloud Provider

Choosing a provider to host your data and applications in the cloud is a decision that should align with your business goals and objectives. 

Selection of the provider is a core point in your migration strategy, so research what is available and how to manage migration to their services.

Cloud-infrastructure

Resource: Statista

Currently, there is a huge variety of providers, from Digital Ocean to Alibaba and Oracle. In 2024, the market share is dominated by Amazon, Microsoft, and Google, and for this section, we’re going to concentrate on these three main providers:

AWS Cloud Migration Best Practices

Amazon Web Services is well-known for its dependable cloud capabilities and extensive service offerings. If you decide to go with Amazon, here are some of the best practices of cloud migration to AWS.

Focus on Security and Compliance

With an array of security instruments at your disposal, including AWS Identity and Access Management (IAM), you can tightly regulate access within your digital domain. For defending against unwelcome traffic onslaughts, turn to AWS Shield for DDoS and VPN protection.

Keep an Eye on Your Spending

AWS Cost Explorer and AWS Budgets are strategic partners that provide valuable insight into where every penny goes. By embedding this financial intelligence into your broader strategy, informed decision-making becomes second nature.

Embrace Optimization

Engage with AWS Trusted Advisor not just as a tool but as a consultant offering tailored advice aimed at refining cost efficiency, enhancing performance metrics, securing system integrity, and ensuring resilience—all in real-time.

Azure Cloud Migration Best Practices

Microsoft Azure stands out, especially if your enterprise is already nestled in the Microsoft ecosystem. So when shifting gears towards Azure, consider these strategies:

Linking with Microsoft Tools

The synergy between Azure and fellow Microsoft products like Office 365 or Active Directory can simplify your workflow. Harness Azure Active Directory for managing user access and lean on Azure Security Center to keep a vigilant eye on security across all services.

Adhering to Standards

In the legal dance of compliance certifications, rest assured that Azure has its bases covered. Moreover, tools such as Azure Policy act as gatekeepers ensuring resources stay aligned with both corporate standards and regulatory demands.

Embracing Hybrid Possibilities

If you’re looking at a setup that combines both local servers and cloud services, then take note of what the hybrid capabilities via Azure Stack bring to your table—think flexibility paired with control right where you need it.

Google Cloud Migration Best Practices

The strengths of the Google Cloud Platform aren’t exactly secret, especially when it comes to pushing the envelope in data analytics and machine learning prowess. If you’re considering lifting your digital assets into GCP’s welcoming clouds, here’s how you can execute that move:

Data Analytics

Capitalize on the muscle of Google BigQuery for heavyweight data analysis or give your machine learning ambitions wings with Google Cloud Machine Learning Engine.

Security

Embrace peace of mind through GCP’s robust security framework. Think iron-clad encryption as standard issue, meticulous identity management systems, and a trust policy that keeps skepticism at its core.

Cost Optimization

Engage with Committed Use Contracts for sharp cost reductions on steady workloads and not forgetting to tap into the pricing calculator from Google for informed financial forecasting prior to liftoff.

Things to Consider When Selecting a Cloud Provider

Choosing the cloud provider depends on your specific system requirements and the applications you are currently using. 

For instance, Azure could be an option if you are operating Active Directory and Exchange on-premises. Many businesses opt for AWS to implement the best practices for secure cloud migration, while Google Cloud provides medium enterprises with advanced data analysis and machine learning capabilities. 

Consider these factors in relation to your business goals to kickstart your cloud migration strategy successfully.

The Cloud Migration Process

Following a structured process is your best bet to help streamline the transition. Typically, businesses and their development partners will follow a five-step approach to ensure a successful migration:

1. Assessment and Planning

Start by evaluating your existing applications and data. Recognize any dependencies, performance needs, and obstacles that may arise during migration. Develop a migration strategy that focuses on tasks according to their complexity and significance.

2. Proof of Concept

For data migration to cloud best practices, initiate a non-critical workload to establish a preliminary demonstration. This enables you to evaluate the transfer process, recognize any challenges, and fine-tune your strategy prior to expanding operations.

3. Phased Migration

Move applications and data in stages to reduce any disturbances. Start with less critical systems and gradually proceed to more crucial applications. This gradual method helps maintain business operations and allows for last-minute adjustments.

4. Use of Cloud-Native Services

Use cloud-based services and automation tools to simplify the migration process. These tools help automate tasks, maintain data accuracy, and minimize work. Employing services such as AWS Database Migration Service, Azure Migrate, or Google Cloud Migrate for Compute Engine can greatly facilitate the transition.

5. Testing and Validation

Following the completion of each migration stage, it is crucial to test and validate the transferred applications and data. Confirm that all components operate as expected, performance meets benchmarks, and data integrity is maintained. Address any issues promptly before moving on to the next phase.

Ensuring Security and Governance

Latency, performance, and cost are all things that demand attention in your strategy plan. But the most crucial facet of migration to cloud best practices is strong data and cyber security, and data privacy and sovereignty compliance.

When migrating to the cloud, here are the key steps to follow:

Implement and Emphasize Security Measures

The integrity of your cloud-based data is the bedrock of client and user trust. To ensure your cloud-based data remains just as safe as your on-prem data, implement (at a minimum) data at rest and transit encryption, multi-factor authentication, and routine security audits.

Your cloud provider likely has these tools built in, so ingrain them into your migration strategy.

Establish a Clear Cloud Governance Model

Migrating to the cloud is an ideal time to review and implement current data and access governance. When reviewing and renewing ACLs, include policies for data management, access control, and resource usage.

A clear governance policy prevents unauthorized access and ensures the cloud environment is consistently managed. Tools such as AWS Organizations, Azure Policy (AD Group Policy in the cloud), and Google Cloud Resource Manager all have different rules-based syntax. Be sure to understand them when renewing governance policy.

Ensure Compliance with Regulatory Requirements

Compliance with local and international industry standards is critical. Identify regulations regarding data privacy, security, and sovereignty, such as:

It’s likely your cloud provider is aware of the regulations and enforces compliance. However, you should still conduct regular audits with the tools and frameworks provided by your cloud service.

Testing and Validation

In cloud migration, testing and validation aren’t reserved for the finish line. Rather, they are ongoing processes and essential for a successful migration.

Here’s how to approach testing and validation:

1. Test, Retest, Test Again

Functional testing, performance testing, and security testing must be performed throughout the migration process to ensure everything works as expected. Targets will include applications (server and client), infrastructure, data ingress and egress, and user experience. 

2. Data Integrity and Security Validation

Testing of data migration and storage processes is important. Validate that data integrity has been maintained during and after the migration and that security measures are actively protecting data. Backup legacy data pre-migration in case everything goes sideways and recovery is required.

3. Retain Test, Dev, and Prod Environments

Like your on-prem environment, segment cloud infrastructure into test, development, and production. 

  • Test: Mirrors the production environment to simulate real-world updates, upgrades, and environment changes.
  • Dev: Developers can experiment and innovate without risking production stability and functionality.
  • Prod: Your main operating environment. Once tests are passed, deployment to production can be performed with confidence, knowing it has been validated in the test environment.

This segmentation functions exactly like your existing testing environments but is much more easily implemented in the cloud. 

Monitoring and Optimization

A successful data and applications migration is cause for celebration, but the work doesn’t stop there. Your new cloud-based system requires continuous monitoring and optimization of available resources to continue to function just as your on-prem infrastructure.

Here’s how to ensure your cloud setup remains efficient and is ready to be scaled:

Performance and Scalability

User demand fluctuates, meaning you must be ready to meet demand peaks. Ensure your cloud environment is up to the task by using the cloud-native tools available from your provider to track resource utilization, application performance, and overall system health.

Cost Efficiency

Overestimating resources is a common issue with newly migrated systems. Review your cloud spending regularly to identify and reduce inefficiencies. Optimize resource allocation and scaling policies to eliminate over-provisioning and claim back operational costs.

Cloud-Native Services and Automation

Your cloud provider has inbuilt tools that allow you to perform monitoring and optimization. Tools such as AWS Auto Scaling, Azure Automation, and Google Cloud Autoscaler automatically adjust resources based on load and demand. 

Factor the use of the tools into your migration planning to ensure optimal performance and cost management. 

Post-Migration Activities

After the completion of the cloud migration (and subsequent celebrations), it’s time to focus on post-migration activities, with a focus on managing change and fostering resilience and pushback.

Here are the key steps to manage this phase effectively and ensure the ongoing success and stability: 

Stakeholder Consideration

The needs and expectations of your users, customers, vendors, and partners require careful consideration. Change is harder for some people to cope with than others. Make sure you communicate clearly and frequently to ensure all stakeholders are informed and on board with the new cloud environment.

Strong Maintenance Plan

For teams managing a new environment, implement a comprehensive maintenance plan to keep your cloud environment running as smoothly as possible. 

As with on-prem, regular updates, patches, and performance tuning are still essential for maintaining your system’s efficiency and security.

Automate Runbooks

The key to efficient cloud operations is automation. Automate runbooks to empower your IT teams to respond fast to incidents without introducing the risks you faced with your on-prem environment. 

This level of automation will ultimately reduce the need for overtime and allow your team to concentrate on bringing further innovation to your business.

Conclusion

Successful migration to the cloud requires careful planning, strategic execution, and ongoing maintenance and optimization. We hope this guide has offered the knowledge you need to start formulating a detailed migration strategy, select the right provider, and empower you to join the millions of businesses worldwide that have successfully made the move.

You might have a great IT team, but are they experienced in cloud migration? Migrating on-premises systems to the cloud requires expertise and experience in the nuances, risks, and processes of moving an entire business to cloud providers. 

At Intellectsoft, we have over 10 years of experience doing just that. For a professional partnership and ongoing support for your migration project, consider partnering with Intellectsoft

Our expertise in cloud systems and digital transformation services ensures your migration is efficient, secure, and completely aligned with your business goals. Reach out today to take the next step in your cloud journey.

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Offshore Software Development: The Latest Guide for 2024 https://www.intellectsoft.net/blog/offshore-software-development/ https://www.intellectsoft.net/blog/offshore-software-development/#respond Wed, 31 Jul 2024 12:12:00 +0000 https://www.intellectsoft.net/blog/?p=17340 See a comprehensive basic guide on offshore software development outsourcing.

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Digitalization has turned from a fancy trend to an absolute necessity for businesses. As a result, the demand for IT services is constantly growing these days. That’s why customers often cannot find a suitable software development service provider in their local areas.

To mitigate this mismatch between supply and demand in the IT service market, more businesses turn to offshore software development. This method offers many benefits, most notably saving time, costs, and effort. For this reason, offshoring is very advantageous for startups and small businesses. However, it also appeals to enterprises that prefer hiring a dedicated software development team from a distant country rather than managing an in-house software development department. To minimize project risks and ensure high-quality software solutions, it is crucial to hire the best offshore software developers. These developers are identified through rigorous evaluation processes based on client feedback, expertise, and success stories, providing significant benefits to businesses.

This article will define offshore outsourcing of software development projects, show you its potential benefits for your business, and explain how to avoid mistakes while selecting the right company and cooperating with them.

Outsourcing Models for Your Business

When a customer, for example, a startup, an SMB, or an enterprise, hires a software development company from another part of the world, that company will perform offshore software development. In other words, this means outsourcing a task or a project that involves providing software development services to a team located in a different time zone.

The distance between the customer and the hired team is the defining factor that distinguishes offshore, onshore, and nearshore software development. When the time zone difference is large, and the parties are located at opposite sides of the globe, these circumstances imply offshore relations. This is the case, for example, when a business in the USA hires a team from India or Ukraine. Businesses choose an offshore software development model because it offers a lot of benefits, most notably much lower costs, but also involves certain challenges.

If the distance is significant but the time zones are approximately the same, this case is called the nearshore relationship. An example of this case is when a customer from Western Europe outsources a job to a company from Eastern Europe. Nearshore software development generally offers lesser cost reduction but also has fewer drawbacks.

In the case of onshore software development, the customer and the development team are located approximately in the same area and share the same time zone. For example, this is usually the case when a client and an offshore software development outsourcing company are in neighboring states. Due to the short distance and minimal time difference, there are almost no obstacles to cooperation between these two business parties. However, the costs of services are not as advantageous as those offered by offshore outsourcing software development companies. In general, the larger the distance between a customer and an IT service vendor, the larger price reduction can be achieved by a customer without impacting the quality of provided services and the final product.

What Types of Services Can Be Outsourced?

Successful offshore software development outsourcing is possible when an IT services vendor can ensure the high quality of its work and effective regular communication with its customers. The main factor of success during outsourcing is the ability of remotely located companies to collaborate and communicate with each other. This means that if the development team has enough experience, basically all software-related services can be outsourced. Let’s take a look at the most popular outsourced services.

When companies decide to hire offshore developers, they can benefit from cost savings and access to a global talent pool, but they must also be aware of potential challenges such as time zone differences and communication barriers.

Web Development Services

Though web development is a complex and challenging process, it can be effectively outsourced to offshore developers. A skilled team will be able to deliver a top-quality web application at a reasonable price despite possible inconveniences and challenges resulting from long distances.

According to a customer’s requirement, most offshore software development companies can perform either the whole development process or provide selected web development services. Usually, this is required when a customer has already hired a team but needs additional specialists.

Mobile Development Services

Mobile app development is another highly demanded type of services in offshore software development. Similar to the web development process, mobile software development also requires a lot of skills and experience and well-coordinated teamwork.

The immense popularity of mobile applications and their vital role in enhancing all kinds of businesses is an established modern trend. That is the reason why so many offshore software development outsourcing companies are focused solely on providing mobile development services. Again, like with web development, such companies can offer a full software development process or just particular services to create native or hybrid mobile applications.

UI/UX Design Services

One of the most useful advantageous features of offshore software development outsourcing is that customers can choose beforehand whether they want to delegate the whole development process to an offshore company or just some of its steps. This way, a customer can hire a team to provide only one particular service or even hire a single specialist for that purpose.

Talented UI/UX designers are hard to find, especially in the IT industry. Their role is especially important when an application must be adapted to various devices with different screen resolutions and aspect ratios. That’s why UI/UX services are in constant high demand among businesses that need software solutions with both functional and visually appealing user interfaces.

QA and Testing Services

Quality assurance is an essential part of any software development process. The creator of a software product must ensure that every part, module, and component works as intended in various scenarios. Comprehensive testing is a very exhaustive and time-consuming process, so it is often outsourced to a skilled team of specialists focused entirely on this task. This way, the main team of developers is able to concentrate on other tasks and finish the project earlier.

Alternatively, you may have two testing teams working simultaneously to cover more platforms and use scenarios of a future software product. This method requires more coordination and is commonly used, for example, to speed up cross-platform or hybrid mobile development. One team may ensure the quality and performance on Android devices, and the other team may perform the same tasks on iOS devices.

Customer Support Services

Customer support services are universally famous for being outsourced to offshore companies, even by the largest enterprises. The high demand causes some countries to focus their IT industries on such services and create numerous call centers and other required infrastructure. As a result, enterprises benefit from immense cost savings while customer support service providers from other countries enjoy profits.

It should be noted that many other software-related services, like IT consulting and product post-release maintenance, can also be outsourced. Offshore software outsourcing benefits both customers and IT service vendors and even drives economies in many countries.

Offshore Software Development Process

Truth be told, an offshore process is identical to its nearshore or onshore counterpart in the IT industry. It has the same stages and includes the same routines, such as requirement gathering and analysis, architecture design, coding and implementation, security and quality assurance, deployment, post-release maintenance, and others.

When hiring an offshore software development team, it is crucial to consider the cost implications and various elements involved. Understanding the geographical factors that influence pricing, as well as the benefits and potential pitfalls of partnering with such teams, can help in making an informed decision.

Just like in-house teams, offshore developers also work full-time, prepare project documentation, and communicate with clients on a regular basis. The main feature that distinguishes an offshore process is the remote cooperation and unique challenges resulting from it.

Considering this, there are several steps you should take to mitigate these challenges before you find a suitable offshore software development company.

Understand your needs. Since the main offshore-related challenge is communication, make sure you have a clear picture of your business needs and can formulate them clearly. Identify your business problems and how software can solve them. This way, your offshore developers will quickly understand your goals and requirements.

Define your goals and timelines. Analyze the market to find your target audience and the optimal time to release your software product. This information will be vital during your future communication with a potential development team, especially when discussing deadlines.

Stay informed. Try to keep yourself updated on what’s going on in the IT field, the most popular technologies, new advances, etc. The knowledge of terminology and trends will facilitate your future communication with the development team.

Browse offered services and investigate candidates in advance. Before settling with the team, you need to research the information about them. For instance, their expertise in your industry and technology, their portfolio (Case Studies), feedback from clients, company size, etc. Due to the remote nature of your cooperation, you will have to be 100% sure of your candidate.

Prepare documentation. Ideas are elusive, so you should write down your vision in as many details as you can. Then, add everything you have defined regarding your future software. This way, you will have a chance to revisit and alter your concept before you discuss it with an offshore company. After the development process starts, it will be more difficult and potentially expensive to change requirements.

Challenges in Offshore Software Development

The benefits of software development delegated to offshore companies come at the cost of certain drawbacks and risks. However, offshore software developers play a critical role in reducing project risks and enhancing flexibility for businesses. Here are some of the challenges you might face.

  • Time difference. An offshore company will operate according to its time zone, so its working hours may be widely different from yours. You need to define some compromise regarding calls and online meetups.
  • Cultural and language differences. Usually, IT specialists are required to be fluent in English in order to easily interact with colleagues and clients and write accurate documentation. Still, in some countries, this requirement is sometimes overlooked, and language barriers may slow down the development process or impair the product quality due to miscommunication. Luckily, such cases are not as common in business as they used to be. Cultural differences, such as different approaches to work or national and religious holidays, may also add certain unwanted complications to cooperation.
  • Lack of supervision and transparency. Though offshore development teams are self-managed, this can be both a benefit and a drawback. If you like to personally supervise the work of your hired staff, it will be difficult for you to cooperate with offshore companies. In the case of long-term projects, you may need to visit the location of the offshore company or arrange a visit of its project manager to your company’s headquarters. This involves additional costs for travel and accommodation.
  • Potential data leaks. Usually, software developers in in-house or offshore teams sign NDAs to ensure the protection of your business secrets or other sensitive information. However, some countries do not have strict legislation regarding data protection or fail to enforce it. This also means that the source code of your software may eventually leak, and its vulnerabilities may be exposed due to the negligence or the lack of work ethics in an offshore team.
  • Need for additional coordination. Even if you delegate the entire software development process to a remote team, you still need to assign one or several managers to stay in touch with it. This way, your managers will be able to handle minor issues immediately and inform you about matters that require your personal involvement. Your company has to double-check and guide the development process to ensure it is performed according to your requirements. This means working together with the managers of the offshore team without getting into each other’s way.

Offshore Software Development Cost

The cost of offshore software development differs depending on the geographical location of the service vendor. Offshore development companies play a crucial role in providing custom software solutions and enhancing development efficiency. The total price also depends on the complexity of your project, as it determines the number, type, and skill level of required specialists and the extent of provided services. The following services contribute to the overall cost: staff training, project management, design and planning, coding, quality assurance, post-release support, etc. This list is not exhaustive, so your project may require some other services and auxiliary costs.

Best 8 countries to outsource software development, with flags and names

Here are the top 8 countries for offshore software/IT project outsourcing:

  • Philippines
  • Ukraine
  • Poland
  • Romania
  • Argentina
  • Bulgaria
  • China
  • India

Software Development Billing Rates in Different Countries

Table of software development billing rates in different countries

These price ranges are based on information obtained from such online platforms as Clutch, GoodFirms, PayScale, Upwork, Indeed, and others. They are rather illustrative but may not be entirely accurate, so you always need to discuss offshore software development outsourcing costs directly with every IT company.

Benefits of Offshore Software Development

Choosing an offshore software development company for creating from scratch or upgrading software for your business has many benefits to offer that include but are not limited to the following points.

Partnering with an offshore development company is crucial for successful offshore software development. It is important to conduct thorough checks on communication, project management skills, and reliability before committing to a team. Additionally, addressing potential challenges such as time zone differences and security risks is essential for effective collaboration.

Cost-Effective Solutions

By choosing an offshore vendor of software development services, you can save up to 30% of your total expenses, including costs on recruitment processes, salaries, etc. Compared to hiring and training in-house specialists, you also won’t have to spend resources on licensed software and hardware because these expenses will also be handled by offshore developers.

Needless to say, you won’t have to deal financially with staff training, paid vacations, sick leaves, and things like that when collaborating with one of the offshore software development companies.

Attention to Core Activities

This may be the biggest benefit when hiring an offshore development team that includes a project manager. A company’s management can focus on things like planning, implementing a solid business strategy, finding additional investments, and so on because the technical side of the product creation will be fully handled by the development team.

In case you hire a team with a project manager, they will regularly update you on the progress, challenges, and other crucial things you need to know.

Task-Specific Experts

One of the best parts of working with an offshore development vendor is that you can hire a scalable team for your project. Thus, you can hire a large team to create your business product from scratch, and you don’t have to keep the entire team long-term. After the product design, development, and testing processes are finished, you can scale down the project team and leave only the tech specialists you need for product maintenance and support.

At the same time, when you need to upgrade or somehow change your product in the future, you can hire the required specialists back. Companies that specialize in offshore software development often propose different collaboration models like dedicated teams, fixed prices, time and material, etc.

Access to a Larger Talent Pool with Bigger Expertise

Seeking tech specialists on your own takes more time and resources when compared to working with an offshore software development company. This is because they know exactly how to distinguish an expert or promising specialist from a mediocre one and where to find them. Choosing a company that provides offshore software development services will grant you access to a massive talent pool with tech experts who work with both the latest and trusted technologies.

Having specialists with broad and solid expertise in your team is exactly what will make your product stand out on the market and leave your business competitors behind.

Faster Time-to-Market

In addition to being cost-efficient, offshore firms have everything required to create and launch your software product faster so that you can start gathering feedback from your first clients or show a fully-functioning MVP or complete product to investors.

Time is money. The more time you spend on creating and testing your product, the higher the chance that someone else will launch a similar product and “skim the cream” from the customers that could have been yours.

They Try Harder

Even though there is a common belief that in-house specialists are more motivated to provide top-quality results, offshore software development teams are equally motivated to give their clients the best possible result and collaboration experience because of the competition in the IT market.

Every software development company understands that even one unsatisfied client may affect their reputation and scare away dozens of leads.

Advantages of Offshore Software Development from Intellectsoft

Choosing Intellectsoft as your offshore software development company will bring you and your business multiple benefits. Being a company with 17+ years of experience in the IT market and the one that has delivered over 600 projects to businesses across the world, here’s what we offer our clients:

  • Engineering workforce in 21 countries across the Atlantic;
  • Expertise in multiple industries like fintech, healthcare, construction, logistics, and a lot more;
  • Tech specialists have advanced English;
  • Great communication skills;
  • No difficulties with time-zone difference;
  • Solutions that fit your budget;
  • Extensive technology expertise and talent pool;
  • Positive feedback from our clients (we have a 4.9 rating on Clutch and a 5 rating on Business of Apps);
  • Last but not least, 27% of our teammates are females.

Conclusion

In times of technological advancements, choosing offshore software development brings companies of all sizes multiple perks. While in-house teams, onshoring, and nearshoring software development have their own benefits and drawbacks, the advantages of offshore software development are undeniable and can save your company time, money, and other crucial resources.

Intellectsoft is a company that has been providing offshore software development services for over a decade. We don’t limit our expertise to one company size or a single industry. Instead, we offer top services to businesses ranging from startups and scaleups to Fortune 500 enterprises. The range of industries we cover is also enormous; however, our domain expertise lies within such industries as fintech, insurance, healthcare, dental, construction, logistics, eCommerce, and others. To learn more about our work, please read our most prominent Case Studies.

If you want to explore our expertise more and learn what custom solutions we can offer your business, don’t hesitate to get in touch with us and state your requirements. Let us help you achieve your business goals with our offshore development knowledge and expertise.

What are the benefits of offshore software development?

Here are the main advantages offered by offshore software development outsourcing:

  • Reduced prices compared to your region.
  • Faster solution delivery.
  • Great scalability and flexibility.
  • Large pools of certified specialists.

What is the average cost of offshore software development?

The hourly rates of offshore software development specialists vary greatly depending on the region, skillset, experience, and many other factors. Here are the approximate ranges:

  • Eastern Europe: $30-65.
  • Western Europe: $55-150.
  • Asia: $20-45.
  • South America: $35-70.
  • North America: $90-150.

To get more accurate information and avoid misunderstandings, you should always negotiate prices directly with offshore software development firms.

How do you cooperate with offshore software development companies?

Communicate effectively. You need to maintain regular communication with your development team to see whether the process is going in accordance with the project timeline. Even though you are the boss of the project, effective communication also means answering the team’s questions regarding the project without delay.

Arrange visits. In case you have a long-term project that lasts months or even years, it would be useful to visit your offshore development team for more efficient collaboration and team building. However, instead of going to the company’s offshore location, you can invite the team to your workplace.

Use professional collaboration tools. Jira is perfect for task management, tracking, and reporting. As for communication, you can use Slack for secure instant messaging and tools like Google Meets, Zoom, or Skype for video calls.

Provide feedback. When discussing the progress of your project with your offshore developers, always give them your feedback. Effective collaboration is always about communication and feedback.

What is the biggest challenge of offshore development?

The large distance between a customer and a hired offshore team is a key factor that results in several risks and restrictions. Among them, the time difference is perhaps the most inconvenient. Overall, most distance-related risks and drawbacks may be effectively mitigated with proper management and a responsible choice of an offshore company.

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How to Come Up with an Effective IT Outsourcing Strategy for Your Business https://www.intellectsoft.net/blog/effective-it-outsourcing-strategy-for-business/ Tue, 23 Jul 2024 08:55:33 +0000 https://www.intellectsoft.net/blog/?p=21103 A smart corporate strategy is essential for any business’s success. In today’s fast-paced world, companies are adapting to changes as new technologies emerge and trends...

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A smart corporate strategy is essential for any business’s success. In today’s fast-paced world, companies are adapting to changes as new technologies emerge and trends evolve rapidly. To stay competitive and thrive in the market, businesses across industries are turning to digital transformation with the support of outsourcing partners. This approach helps them minimize risks, reduce costs, improve performance, and deliver exceptional experiences to both clients and employees.

IT outsourcing strategies team

IT outsourcing strategies are powerful tools for driving sustainable competitiveness in technology-intensive businesses. With successful outsourcing, companies can unlock dynamic capabilities, foster market-driven innovation, boost strategic flexibility, increase agility, and enhance overall efficiency.

Partnering with an outsourcing company leads to the development of dynamic capabilities, especially in agile knowledge management routines like learning, sharing, integration, and reconfiguration.

In this article, we’ll explore strategic outsourcing services, weigh their pros and cons, and uncover potential cost savings. We’ll also share best practices for writing a scalable outsourcing strategy. Let’s dive in!

Facts About IT Outsourcing 

it-outsourcing-strategy

What Are the Outsourcing Strategies

Outsourcing means finding and hiring a third-party service provider to deal with certain tasks that are beyond the capabilities of the in-house team. Recently, the practice of working with external service providers has grown into a trend as it brings a number of benefits to the outsourcers.

Outsourcing strategy is a plan built on the analyses and assessment of the functions that should be better performed by an external service. It means that the company defines tasks that are hard or impossible to perform with its own resources and starts searching for companies that have all the necessary tools and qualified staff to deal with the task within the stated time frame.

The same goes for outsourcing strategies, as IT companies work in different directions within the field and might not have all the means to complete certain operations or implement new technologies on their own.

IT outsourcing strategies planning

Types of Outsourcing: What Is the Difference?

Over the years, outsourcing strategies have developed and grown into different types that have specific purposes.

Outsourcing can be divided into:

  • Onshore – you are looking for third-party services in your own country
  • Nearshore – hiring from the neighboring countries
  • Offshore – working with distant countries

In addition to this, outsourcing strategies are usually grouped into the following categories:

  • Professional Outsourcing: your company lacks mobile app developers, so you decide to outsource the professionals who can fill in the gap and provide their services.
  • IT Outsourcing: nowadays, small or large companies in any field have IT needs (infrastructure, software development, maintenance, support, etc.). It’s usually cheaper to contact a third-party IT service rather than build your own to deal with certain functions.
  • Multisourcing: this strategy means hiring IT services in combination with other business functions.
  • Manufacturer Outsourcing: if you want to produce products under your brand, you might look for a company (manufacturer) that already has all the necessary equipment and is capable of providing you services.
  • Process-Specific Outsourcing: means hiring an outsourcing team that specializes in a narrow or specific service.
  • Project Outsourcing: you have too many projects, and you cannot complete all of them, so you look for a company that will deal with one or a number.

What IT Services Are Usually Outsourced? 

Before you start building your outsourcing strategies, it’s important to also understand what IT services can be outsourced. It will enable you to request the relevant set of services that will help you achieve desired results within a shorter time frame. The most widely outsourced services it’s possible to name:

  • Web development
  • Application development
  • Custom software development
  • Mobile app development
  • Product development
  • Website or app testing
  • Application maintenance and support
  • Database management
  • Infrastructure management
  • Disaster recovery
  • Data Center management
  • Data cloud storage
  • Web security

Steps to Develop an Effective IT Outsourcing Strategy

Here are some hands-on tips that will help you to build a winning business strategy for IT outsourcing needs.

1. Define Your Outsourcing Goals

The first and most important step in developing an outsourcing strategy is clearly setting up your goals and expectations. You should clearly define what type of software you need, what challenges it has to solve for your business, and how fast you want it to be done. Gather all the information and requirements into one document that you will use as a guide.

2. Choose Reliable Outsourcing Partner

The market is overflowing with outsourcing companies so your main task is to choose the best-matching partner for loyal and long-lasting collaboration. Do some research and trim down your list to a couple of options. After that, check out carefully their websites, and don’t forget to take a look at their clients’ reviews on external sources. Also, you can contact them and describe your project to see which company offers you the best price and conditions.

IT outsourcing strategies developer

3. Pick Matching Engagement Model

There are 3 main engagement models — the dedicated team model, the team extension model, and the project-based model. We highly recommend you get familiar with all of them in order to understand which one fits your business needs, and is the perfect choice for you. However, if you don’t know what decision to make, you can also contact your outsourcing partner and discuss all possible solutions for you and rely on their expertise and advice.

4. Plan Your Budget

Now, once you are halfway to success, it’s important to calculate the project budget and understand how many financial resources will be needed to finalize the idea. It’s crucial to also take into account also all the potential hidden costs and risks that can happen during your collaboration and plan your budget accordingly. Software development processes can often be very unpredictable so in order to stay antifragile in the process, it’s better to be ready for different financial outcomes.

5. Actively Track Outsourcing Progress

Once the development process is started your core task is to closely manage all the software development steps and track all progress. Taking into account that the outsourcing team is usually located in the vendor’s premises, you will have to learn to manage developers remotely and track their productivity and effectiveness with no opportunity to see them in person. Use management tools, set clear tasks and expectations, and always stay open to communication to make sure that your team and outsourcing colleagues are on the same page.

6. Build Strong Communication with a Vendor

As we mentioned above, managing a remote outsourcing team is not always easy. Therefore, it’s your responsibility to establish robust and timely communication with a vendor and a remote team to avoid potential risks and miscommunication. Set up a schedule of video conference calls, and organize chats for all team members. We also recommend you schedule face-to-face meetings with each team member individually to communicate project details clearly and make all the processes smooth.

Primary Advantages of Strategic Outsourcing

External cooperation brings a number of advantages of outsourcing strategy as the company can build a wide network of competencies linked by outsourcing contracts, from which necessary functions such as raw materials, components, and systems can be outsourced.

The company can build strong relationships and partner with external services to work on certain small projects or tasks on a regular basis. It gives a chance to exchange knowledge and experience between the companies, build tight, professional relationships, and develop the managerial and communication skills of both teams.

In addition to this, strategies of outsourcing can offer such advantages as:

statistics

Reduced Expenses

It is one of the most prominent advantages of outsourcing. It is common practice to be based in the USA or Western Europe but hire teams or individual specialists from Asian countries, India happens to be the most popular one. There are companies that offer their services at a lower price in comparison with fixed cost of the US and EU companies, but they have proven to be of high quality.

Better Efficiency 

Outsourcing results in higher efficiency, as you hire experienced teams who can deal with complex tasks and can provide the most effective and suitable solutions for your company. As they have a good understanding of the field and years of experience, productivity, and efficiency increase.

Focus on Important Tasks 

Outsourcing services will take care of the issue you are facing at all stages of the process. The CEO and managers of the company would be kept in the loop but they will not be required to perform any of the tasks related to the project. Thus, it gives them an opportunity to work on the other important aspects of your company’s development.

No Need to Invest in New Tech Tools 

Outsourcing service takes all the responsibility for the infrastructure and technologies. In most cases, they already have all the necessary tools to work on your task.

Skilled and Experienced Resources 

Outsourcing saves your time spent on recruitment and training of the specialists for the in-house team. Companies that provide outsourcing services have highly-qualified, experienced, and educated experts who will be able to complete the project.

It follows that outsourcing is also time-effective, as you do not have to spend years searching for the candidates and growing the specialists you need to support your business growth and development.

Main Disadvantages of Strategic Outsourcing

Though advantages of strategic outsourcing are prevailing, it still has a few disadvantages that you need to keep in mind as well. Among the top challenges that companies encounter while outsourcing are data security risk concerns, disaster recovery issues, as well as potential problems with data ownership.

In addition, it’s not that easy to maintain communication while outsourcing as usually, you are going to be located in various time zones, different countries and even on different continents with the big time-zone difference. In its turn, it can create slower response time, potential misunderstandings, as well as a language barrier.

In case you collaborate with a reliable outsourcing partner you will manage to easily avoid these issues. Finding the cheapest vendor is not an option if you want to receive quality services.

Keep in mind that it’s paramount to check the outsourcing service before you have a contract with them. It should be a company with a good portfolio and customers’ reviews. It is recommended to contact previous customers in order to have a better picture of the company and make sure they have a good reputation and provide excellent services.

IT outsourcing strategies

Strategies for IT Outsourcing: Things to Know

IT outsourcing strategies require the cooperation of several departments (legal, HR, operations, etc.), and the outcome depends on unified work and a clear business plan. Usually, organizations have only one goal for this strategy: to get the best technologies at the lowest cost. But it can lead to failure, and it is essential to take into account the tips listed above.

First of all, it is essential to have clear objectives, and your team should understand them. Another critical issue in external outsourcing is communication. Companies should make it simple and clear for both parties to understand the requirements, terms, and conditions of the cooperation.

Best Practices for Implementing Successful IT Outsourcing Strategies

It cannot be said that there are bad or good outsourcing strategies. The success of outsourcing depends on a number of aspects that every company should think of before hiring external services. Although IT outsourcing strategies described above have different goals, they all have the same structure. Thus, there are certain steps to follow in order to make it successful.

  1. Outsource the right things for the right reasons: do not only fall for a cost-driven strategy but make sure that both outsourcing and your business strategies are aligned.
  2. Define what you expect: develop a sound business case that outlines the business value of outsourcing and how this initiative supports your company’s objectives. In addition, develop an achievable and realistic plan for the end product you and your outsourcing partner can rely on.
  3. Prepare the documentation: in order to make the collaboration between you and an outsourcing partner effective, you need to prepare all the relevant specifications and requirements to proceed with the development right away. At the end of the article, we have prepared a quick checklist that will help you make sure you have all the necessary documents ready.
  4. Choose the right vendor: the vendor should suit your needs and be capable of completing tasks of any complexity. Take your time and research the company’s reviews on the Internet as well to see what their previous clients say about them. Also, do not underestimate your in-house staff and make sure that senior management is involved in the process.
  5. Pick the best-matching outsourcing engagement model. There are three main different approaches to collaborating with an IT outsourcing company so research each option. Before you make your final decision, it’s crucial to know what financial resources you are ready to allocate for the development process. Once you know your budget, you will be able to choose the right engagement model that will help you get all the work done that will fit into the budget that is most suitable for your team.
  6. Create an effective contract: it should reflect strategic goals and clearly define expectations for the vendor and the company. It’s the legal basis of your partnership so pay close attention to this aspect.
  7. Track the process: make sure that you are getting what you have paid for. Reporting on the project’s progress and transparency are extremely important. It would be highly recommended to clearly define your KPIs so you can easily track your progress and make sure everything is done in a timely manner.

These are the aspects that companies should keep in mind in order to outsource external services successfully.

Bonus: Checklist for Outsourcing Efficiency

Before you even consider outsourcing your software development services, it’s important to go through the preparation stage. Make sure you can answer the questions below.

  1. Are you and your team clear about the main task or project that you are planning to outsource?
  2. Do you have all the documentation ready such as an outline or manual describing in detail your future project? Make sure it contains the following information:
  • Specific task/project description
  • Main technical requirements
  • Description of a customer problem that you want to solve as well as the possible solution
  • Expected results
  • Overall project budget
  • Deadlines
  • Technical skills that you are looking for
  • Who will be responsible for managing the whole development process and being a contact point with an outsourcing vendor?

Once you have all this information ready, you can establish your collaboration with a software outsourcing company. It will help your partner quickly and easily understand their primary task and start the development process as soon as possible to deliver the quality results you expect.

IT outsourcing strategies coding

IT outsourcing strategies: Bottom Line 

As you can see, outsourcing is a very cost- and time-effective option when it comes to software development and digitization initiatives. However, it should not be treated as an easy path to take.

In order to make your collaboration with a chosen IT outsourcing strategy partner, you should take your time for the preparation stage. Having a clear and effective outsourcing strategy will help you make your staff augmentation initiative successful and will bring you a number of business advantages.

If you are considering hiring a skilled and experienced development team you are in the right place. Intellectsoft is your #1 software development outsourcing partner with more than 15 years of experience on the market.

Our extensive expertise includes both, short- and long-term partnerships with Fortune 500 companies and other international organizations. We work across multiple industries including healthcare, construction, fintech, logistics, and others. We offer a wide range of services including IT consulting services, enterprise application development, mobile, and web app development, and so on. Check out the full list of our services here.

Intellectsoft has gathered the best industry professionals to help businesses maximize their growth through digitalization. Take a look at the top prominent client cases to evaluate the tech solutions we built.

Don’t hesitate to talk to our experts today to find out more about the topic and how your business or project can start benefiting from it! We have dozens of qualified professionals with relevant experience who can help you not just with defining your IT outsourcing strategies but also be instrumental in building an innovative solution that will ensure your ultimate growth.

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Guide to Healthcare CRM Development in 2024 https://www.intellectsoft.net/blog/healthcare-crm-development/ Tue, 16 Jul 2024 16:03:30 +0000 https://www.intellectsoft.net/blog/?p=27722 According to recent statistics, the global healthcare CRM market is currently valued at $17.9 billion but is expected to gain $30.7 billion by 2030. One...

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According to recent statistics, the global healthcare CRM market is currently valued at $17.9 billion but is expected to gain $30.7 billion by 2030. One of the reasons for this rapid growth rate is the increasing demand for easily accessible data, as well as the increasingly streamlined business processes across multiple sectors, including healthcare.

Healthcare customer relationship management (CRM) solutions allow medical organizations to improve their overall performance. They do this by creating quantifiable relationships between providers, patients, team members, and client referrals. This translates into healthcare businesses enjoying reduced costs, an improved client experience, as well as optimized medical services.

In this blog, we will delve into the basics of healthcare CRM development, including its features and key benefits. We’ll also take a closer look at the healthcare CRM development process at large.

Healthcare CRM Market Overview

The rising demand for structured data and automation in healthcare is expected to continue fueling market growth. It is currently slated at a compound annual growth rate  (CAGR) of 7.7%. You can see the effects of this in the increase in technological advancements in the sector. Features like AI integration in CRM solutions continue to be introduced in an effort to further improve software effectiveness and drive much wider adoption and digitalization. Another factor to take into account is the increasing awareness of the need to improve customer experience across all industries, including healthcare — further fueling the adoption of CRM in healthcare.

healthcare crm guide

Overall, the CRM market continues to see increased growth and innovation. Some notable milestones include Salesforce’s introduction of next-generation Einstein AI that incorporates conversational AI into CRM and customer experience.

Current CRM market growth is also fueled by merger and acquisition (M&A) activity, although only at a moderate level. Overall, the healthcare industry has also seen a significant increase in region-specific regulatory activities like the General Data Protection and Regulation (GDPR) in the European Union and HIPAA Rule in the United States. These regulations impose strict data storage, collection, and distribution policies, which all CRM solution providers need to comply with.

healthcare crm development

What is a CRM in Healthcare?

Healthcare CRM systems are designed to help you automate tedious and repetitive administrative tasks such as appointment scheduling and check-up reminders, giving your healthcare facility staff more time to focus on patient care and business-critical activities. CRM software is also instrumental in bettering coordination among healthcare teams and allowing for better collaboration and information sharing. This, in turn, leads to better outcomes and higher levels of patient satisfaction.

When it comes to development, designing healthcare CRM systems involves implementing software solutions that are tailored to the specific needs of certain medical institutions. This involves creating software that can track medical histories, manage appointments, streamline patient interactions, and enhance overall patient satisfaction, among others. If you are a medical service provider, CRM systems also offer a centralized platform to efficiently handle patient data, appointments, and communications.

Healthcare CRM software seeks to improve your patients’ experiences through a variety of features such as appointment push notifications, recording conversations, or even determining patients’ preferred locations and appointment times. CRMs can also automate and personalize ad campaigns to reach your patients and clients with personalized communications. These can be anything from birthday cards to customized emails about follow-up checkups or medication reminders. The software can also manage referrals. It does this by storing information about specialists, facilities, and the like — enabling easy patient referrals to the appropriate people.

Common Types of Healthcare CRM

There are several types of healthcare CRM software that play a crucial role in enhancing patient care, streamlining administrative processes, and improving overall healthcare management.

Patient Relationship Management CRM

This type of CRM solution is designed to improve interactions between healthcare providers and patients. It helps teams manage patient appointments, deliver prompt communications, and strengthen engagement in collaboration with physicians.

Analytics Healthcare CRM

These CRM solutions use patient data to enhance your decision-making and improve healthcare outcomes. By using information from multiple sources, like electronic health records (EHRs), analytical CRM systems enable you to gain valuable insights into patient populations, treatment effectiveness, and resource utilization.

Referral Management Type CRM

Referral Management CRM solutions are crafted to streamline the referral process within healthcare networks. These systems help you successfully manage operations, efficiently track and handle patient referrals, and ensure seamless communication between referring and receiving physicians.

Clinical Custom Healthcare CRM

Clinical healthcare CRM solutions are designed to help healthcare professionals in managing and organizing clinical workflows. These are often integrated with EHRs during healthcare CRM development and assist with tasks such as documentation, care coordination, and treatment planning.

Steps to Build a Successful Healthcare CRM Software

While every healthcare CRM development team’s process will vary, these are the general steps you can follow when building healthcare CRM software:

Hiring a Technical Partner

Before starting the development of healthcare CRM software, the first step is to partner with a reliable software development company. In order to find the right custom healthcare CRM development partner, you need to consider the potential provider’s expertise in the healthcare field. Ensure you review the potential technical provider’s portfolio. Look into past medical projects and the technology stacks they used, as well as read client feedback about them on professional platforms.

Project Requirements Analysis

During this phase, business analysts will examine your product concept, business objectives, target audience, as well as your intended market. They will then create a detailed project specification plan encompassing all the aspects of healthcare CRM development, including features, security requirements, third-party services, and the technological stack.

UI/UX Design and Prototyping

During this stage, the design team defines key user scenarios, such as patient segmentation and reporting, to visualize core functionalities. Since the focus is enhancing the user journey within the CRM system, it is always helpful to adhere to specific principles, such as visualizing the user journey from the end user’s perspective and assessing user preferences to create intuitive interfaces. It is also helpful to group related functions to enable single-click access in order to eliminate redundant elements and enhance interactions between the CRM and the user.

Development, Integrations, and Testing

This stage is where software engineers build the backend and front end of a CRM platform and integrate APIs in order to facilitate data sharing with third-party apps. Once the healthcare CRM software development process is complete, it should be seamlessly integrated with other business solutions to streamline operations and enhance profitability.

Next, the testing experts will conduct a series of manual and automated tests to ensure that the CRM meets functional requirements. This is also where any operational flaws are resolved before going live. Another crucial role of this stage is to assess the system’s readiness for deployment, as well as its compliance with key security and regulatory standards.

Testing is very important to ensure that there are no flaws in the system and that everything is debugged before release.

Before the final client review, the team will also thoroughly verify all functionalities—including integrations, usability, and security—to ensure that the healthcare CRM software performs as intended and meets your project’s specifications.

Launch and Maintenance

After completing all previous stages of healthcare CRM development, the CRM solution can now be delivered to you for testing and feedback. Based on the results of the testing and all the information collected, necessary modifications can then be made.

Given the complexity of CRM in the healthcare industry, multi-tier support is often required. This means you should continue to collaborate with a dedicated healthcare CRM development team for long-term value creation. Regular verification of system security and standards compliance is also an essential requirement.

 

Key Features of Healthcare CRM Systems

Some of the core features of healthcare CRM systems that you should integrate into healthcare CRM development are as follows:

Patient Management

This functionality includes healthcare CRM features that organize and store patient demographics, medical histories, and contact information in one centralized database. This functionality also streamlines administrative tasks such as patient registration and record retrieval, ensuring that you have seamless access to essential patient data during appointments and consultations.

Task Management

The task management feature helps your healthcare team by assigning, prioritizing, and tracking tasks related to patient care, administrative duties, and follow-up activities. With features like deadline reminders, task delegation, and progress tracking, critical tasks are never overlooked by your team— ensuring that patient care in your medical facility consistently remains the top priority.

Appointment Scheduling

Effective appointment scheduling capabilities allow you to efficiently manage patient appointments, allocate resources, and minimize scheduling conflicts. Advanced features could include automated appointment reminders, waitlist management, and synchronization with provider calendars.

Communication Tools

Healthcare CRM systems also offer functionalities that ensure secure and efficient communication among patients, healthcare providers, and staff. Think of secure messaging platforms, telehealth/telemedicine capabilities, and patient portals.

Such portals enable patients to access medical records and appointment requests and allows them to directly communicate with healthcare teams. By enabling such seamless interactions, you can enhance your patients’ engagement, improve care coordination, and strengthen patient-provider relationships.

Analytics and Reporting Tools

Analytical tools empower your healthcare organization to harness data insights for strategic decision-making, performance monitoring, and quality improvement initiatives. You can also create customizable reports, analyze key performance indicators (KPIs), and identify trends in patient outcomes, resource utilization, and operational efficiency.

These functionalities provide you with actionable insights and enable you to pinpoint areas for improvement, optimize workflows, and elevate the overall quality of care your facility provides.

Seamless Integration Capabilities

Seamless integration is incredibly crucial when connecting healthcare CRM systems with other software applications. We’re talking about vital tasks such as healthcare EMR integration, billing systems, and the incorporation of third-party tools. Such robust integration capabilities are crucial in ensuring interoperability, efficient data exchange, and consistency across diverse platforms. Seamless integration also fosters a unified healthcare management ecosystem.

 

Benefits of CRM in Healthcare Industry

As a healthcare organization, you can use CRM systems to better understand your clients and streamline daily operations. Here are some benefits of CRM software for healthcare industry:

Enhancing Patient Experience with CRM Software in Healthcare

CRM software development in the healthcare sector vastly improves patient experience by enabling personalized interactions, efficient communication, and seamless care delivery. With tools like patient portals, appointment scheduling systems, and secure messaging platforms — CRM empowers your patients to engage more actively in their healthcare journey, resulting in their higher satisfaction and better adherence to treatment plans.

Healthcare CRM tools will also help you facilitate proactive patient outreach, including appointment reminders and follow-up communications. This, in turn, makes your patients feel valued and supported throughout their healthcare interactions. This comprehensive approach ultimately boosts overall patient satisfaction and loyalty to your medical facility.

Reducing Medical Errors

Healthcare CRM systems play a vital role in reducing medical errors by granting healthcare providers access to accurate, up-to-date patient information. With centralized patient records and automated processes for documentation and medication management, these systems help you minimize errors resulting from illegible handwriting, miscommunication, or incomplete medical histories. It also speeds up the process of assessment, diagnosis, and treatment, as your doctors and staff no longer need to deal with physical records when reviewing patient information.

By enabling comprehensive patient assessments and treatment plans, hospital CRMs contribute to improved clinical decision-making and patient safety, ultimately reducing the incidence of adverse events and medical errors within your medical facility.

Securing Sensitive Data

Another key benefit of CRM systems for the healthcare sector is their ability to reliably secure sensitive patient data. These systems implement robust security measures, including encryption, access controls, and audit trails, to safeguard your patient’s information from unauthorized access, breaches, or cyberattacks.

By adhering to strict compliance standards, such as HIPAA regulations, healthcare CRM software ensures that your patient data remains confidential and protected, thereby instilling trust and confidence in both patients and healthcare providers.

Managing Patient Data Efficiently

Medical CRM systems enhance patient data management by organizing information from diverse sources—such as electronic health records (EHRs), diagnostic tests, and treatment plans—into a centralized platform. This integration allows you to swiftly access comprehensive patient profiles, facilitating informed decision-making and improved care coordination. By eliminating data silos and redundancies, CRM software also boosts the efficiency, accuracy, and accessibility of patient information, ultimately elevating the quality and continuity of care within your medical facility.

Optimizing Internal Hospital Tasks

Healthcare CRM software enhances internal hospital operations by automating administrative tasks, streamlining workflows, and optimizing resource allocation. By automating routine tasks and standardizing processes, CRM software allows your staff to devote more time to patient care, thereby improving overall workflow management and operational efficiency within your facility.

Enhancing Medical Service Feedback

Healthcare CRM systems facilitate the collection and analysis of medical service feedback from patients, enabling continuous monitoring and improvement of care quality. Through patient satisfaction surveys, feedback forms, and sentiment analysis tools, CRM software gathers valuable insights into patient experiences and areas for improvement.

This feedback loop empowers you to identify trends, address concerns, and implement strategic initiatives to enhance patient satisfaction, loyalty, and retention, ultimately driving continuous improvement and excellence in your healthcare delivery.

Why Do You Need CRM for Healthcare Projects?

Many of the functions of healthcare CRM systems can help administrators and physicians better understand their patients and enhance the effectiveness of the medical services they offer.

Better Understanding of Customers’ Needs

First, healthcare CRM software empowers your health organization to gain valuable insights into your customers. These tools analyze data to identify patterns related to patients, including:

  • Behavior trends
  • Appointment regularity
  • No-show rates
  • Physician referrals
  • Effectiveness of outreach channels

This information is instrumental for doctors to improve patient interactions and provide better care. Also, in the case of high-risk patients, timely scans or blood tests can significantly affect their health. To prevent such delays, you can implement healthcare CRM systems to schedule automatic reminders for appointments.

These reminders are sent via emails, phone calls, and text messages and help to ensure your patients receive the necessary care on time. Once patient details are entered by your hospital staff, the CRM software manages them efficiently.

Gathering Patient Feedback

A healthcare CRM platform also helps you gather patient feedback and understand their experiences. This feedback is important to help you further enhance patient services and improve the overall patient experience for both doctors and administrators. The healthcare CRM automates the process of sending and collecting feedback, streamlining the entire operation.

Help With Marketing Campaigns

From a marketing standpoint, healthcare CRM systems also help you acquire new patients by providing data for the creation of targeted marketing campaigns. This allows you to reach your ideal patients based on demographics and health requirements. Additionally, streamlined referral management can also help you convert leads into loyal patients, while an improved online presence can enhance patient outreach through CRM analytics.

Building Patient Loyalty

Healthcare CRM systems can also help build patient loyalty by providing personalized communication and engagement materials so that you can create and nurture strong relationships. CRMs in healthcare also help create a more proactive system for follow-ups when it comes to appointment reminders. Overall, CRMs help you to enhance the coordination of patient care and increase responsiveness to patients’ needs.

Enhanced Billing Process

Another key benefit is an enhanced billing process, especially with integrated billing systems that can make for faster and more accurate processing of claims. This creates an automatic reduction of administrative tasks and paperwork through automation. Additionally, a smoother billing process also paves the way for you to improve your facility’s revenue collection and financial management.

Better Resource Allocation

Resource allocation is another key area of benefit in healthcare CRMs, as data-driven insights help you to identify areas for improvement and improve resource allocation. Data science is becoming increasingly important and in demand in the healthcare industry, especially as more decision-makers learn the value it offers to medical service providers.

Healthcare CRM Development Partner: How to Choose?

When selecting a healthcare CRM development partner, there are several factors you need to consider in order to ensure successful software implementation and utilization.

Industry Experience and Expertise

First, the provider’s expertise in the healthcare industry is critical. They should have extensive experience in healthcare CRM development, must possess a deep understanding of healthcare workflows and regulations, and must understand the specific needs unique to medical environments. This knowledge ensures that the CRM system aligns seamlessly with existing operational processes and complies with GDPR, HIPAA, and other relevant regulations.

Technology Stack

Additionally, it is important to evaluate the technology stack used by the development partner. The technologies they plan to employ must be modern, scalable, and secure. Ensuring this is vital in order to be able to handle the sensitive nature of healthcare data and to accommodate future growth. The software development provider should also offer customizable solutions to tailor the CRM system to the unique requirements of your healthcare facility.

Track Record and Client Feedback

Another important consideration is the provider’s track record and client testimonials. Reviewing case studies, looking at tech blogs and reviews, or speaking to past clients can provide insights into their capability and reliability. A provider known for excellent post-implementation support and training can greatly enhance the adoption and effective use of the CRM system by your healthcare staff.

Integration Capabilities

Finally, you should consider the integration capabilities of the CRM software with your other existing healthcare systems, such as EHRs, billing systems, and appointment scheduling tools. Seamless integration ensures that patient data is unified, resulting in a comprehensive view of patient information and streamlined operations. By carefully assessing these factors, you can select a dependable development partner that will deliver a robust and efficient CRM solution.

Pioneering Healthcare IT Solutions by Intellectsoft

At Intellectsoft, we believe that technology can elevate the quality of care you deliver. Our healthcare IT solutions empower you to:

  • automate operations
  • streamline decision-making
  • foster innovation

As a seasoned healthcare IT provider, Intellectsoft is a pioneering force in technological advancements in the healthcare sector.

Our solutions are backed by years of experience, in-depth technical expertise, and are designed to offer comprehensive tools for your healthcare business. Our software development solutions are specifically crafted to streamline your operations while giving you a unified view of your target audience. Whether you need help with hospital information systems or patient care solutions, we are committed to helping you create a custom solution that fits your needs.

If you’re thinking of creating a healthcare CRM, partner with us to leverage cutting-edge technology and a patient-centric approach. Our domain specialists will be happy to provide you with a comprehensive consultation on creating a healthcare CRM solution that streamlines your patient management tasks.

Final Thoughts

Healthcare CRM systems help ensure that you provide high-quality and timely patient care. It does this by automating appointment reminders and managing patient details efficiently. The systems also send notifications through emails, phone calls, and text messages, which helps avoid delays in prescribed medical scans and tests.

Healthcare CRM platforms also streamline the collection and analysis of patient feedback and aid you in enhancing service quality and patient experiences. Intellectsoft offers robust healthcare IT solutions that are designed to help you automate operations, boost decision-making, and drive innovation.

If you’re considering developing a healthcare CRM, Intellectsoft provides comprehensive consultation services that can help you create a patient-centric management solution.

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