How to overcome Cultural Differences in Software Development Outsourcing?

Home  >>  Blog

Software Development Outsourcing has become a popular practice among software companies and various other industries worldwide due to its cost-effective nature and the ability to access a larger talent pool of remote software developers. However, software development outsourcing comes with its own set of challenges, which primarily includes cultural differences between the client and the IT outsourcing company. Cultural differences can have a significant impact on the success of all software development outsourcing projects.

Culture encompasses the attitudes, behaviours, values and beliefs that define a group or society. In software development outsourcing, cultural differences can manifest in various ways, including work ethic, communication style, project management practices and decision-making processes. 

Here are some of the most common cultural differences that companies encounter when outsourcing their projects to all custom software development companies.

Most Common Cultural Differences during Outsourcing Software Development.

Communication Style

One of the most crucial aspect of software development outsourcing industry is the Communication. Depending on the cultural background of the parties involved, for e.g. remote software developers, project manager, client, etc. the communication style varies. For instance, communication is usually direct and straightforward in the Western world, while in Eastern cultures, it tends to be indirect and polite. The differences in communication styles can result in misinterpretations and misunderstandings, which may possibly lead to delays and errors in the software project.

Work Ethics

Work ethic refers to the values and attitudes of remote software developers towards work. For example, in the Western world, work is highly valued, and software developers are expected to work long hours to meet the set deadlines. However, in the Eastern side, there is a greater emphasis on work-life balance. These differences in work ethics can lead to clashes in project deliverables and software development timelines.

Decision-Making Processes

Decision-making processes vary across geographies, cultures, company-to-company. In some cases, decisions are made hierarchically which means the most senior person (typically the owner or the CEO or CXO or the board members) usually makes the final decision. In other cases, decisions are made through consensus, with input from all the stakeholders involved. Such different styles can sometimes lead to conflicts and delays in decision-making, and ultimately affecting the overall software development project timeline.

Project Management Practices

Project management practices also differ across cultures and companies. In some cultures, companies expect their project managers to be authoritative and make decisions for the team. While in others, project managers are often more collaborative and facilitate team discussions. These differences in project management practices can lead to conflicts and misunderstandings between the client and software outsourcing company.

Looking to create exceptional software products? 

Get in touch with us today to hire software developers who can work remotely.

To overcome such cultural differences in software development outsourcing, IT companies should adopt various strategies such as,

Cultural Training

Providing cultural training to both the software outsourcing team and the client can help to bridge the communication gap and improve understanding of the cultural differences. Cultural training can cover various topics such as work ethics, communication styles, project management practices and decision-making processes.

Effective Communication

Effective communication is the key to successful software development outsourcing projects. Custom software development companies should establish clear communication channels, set expectations, and encourage open communication between the client and the remote software development team.

Cultural Liaison

Assigning a cultural liaison to any software development project can help to mitigate various cultural differences. The cultural liaison should have a deep understanding of the cultures of both sides and act as a mediator between the client and the remote team of software developers.

In conclusion, 

Cultural differences can have a significant impact on software development projects in the IT outsourcing industry. To overcome these differences, software development companies should adopt various strategies such as effective communication, cultural training, and assigning a cultural liaison. By doing so, software companies can ensure successful IT outsourcing projects and reap the benefits of accessing a larger talent pool of remote software developers at a lower cost.