Security in Offshore IT Projects: How Not to Fall Victim to Risks

For the past few years, offshoring software development has been, and remains, one of the most innovative trends worldwide. With the advancement of technologies, software development performed by dedicated offshore teams has transformed global IT strategies. In recent years, organizations have taken advantage of the many benefits of offshore software development, a trend that’s expected to increase in the future.

Offshoring has become an inevitable route that enterprises take to scale their businesses. According to Deloitte, 57% of organizations believe offshoring allows them to focus on their core business activities. It’s an effective way of leveraging highly skilled developers from overseas that act as a strategic asset for your company. But, it’s also important to keep an eye on the potential risks involved and place emphasis on security in offshore IT projects.

Defining project development risks

Identifying the risks in an offshore IT project allows you to decide the strengths, weaknesses, threats, and opportunities of that project. Firstly, businesses need to define the nature of risks they are facing. Normally, we can define four categories:

  • Organizational
  • Schedule
  • Operational
  • Technology

What are some prevailing risks you need to consider?

Associating with offshore companies located in other countries, and relying on them with all your business data, processes, and operations can never be risk-free. So, when considering outsourcing or offshoring IT projects, it’s recommended to look at all angles. In general, offshoring is considered the safer option, but we’ll cover it below.

1. Shrinking transparency and visibility disturbing business

In offshore IT development, transparency gives your company an edge over others. Shrinking visibility over an outsourced project is a major concern that disturbs businesses. Lack of transparency of the projects and communication gaps increases the overall cost and delays final product delivery. That’s why offshoring is preferred by many businesses as opposed to traditional outsourcing. Following two-way communication throughout the project can help reduce this risk.

2. Lack of appropriate development guidelines brings hassle

The foremost pitfall people often encounter when offshoring software development is the lack of appropriate project planning. Without an experienced offshore software partner, businesses might see project hassles and failures. In collaboration, team members must be on the same page in the development process. An efficient project management process will have well-planned strategies that ensure the risks associated with the project are reduced.

3. Inadequate security measures causing unforeseen issues

Data security, information privacy, and compliance are areas where businesses will fall into unforeseen problems. Data security is a major concern for 68% of enterprises that are considering growing their businesses offshore. Also, data regulations can vary a great deal in different countries, while working across the globe. When you decide to offshore software development, a third-party vendor gets access to the critical data you deal with.

If your partner is negligent about cybersecurity, your data can be subject to cyberattacks which can seriously undermine the business. So, it is essential to know how to guard your enterprise’s sensitive data and other digital assets. The Scalers is ISO 27001 certified, getting this official stamp of approval from a leading authority represents our ensuring commitment to information security.

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