Building strong collaborations when working with third-party software development providers is a journey that stretches far and comes with its challenges and lessons learned. From choosing a reliable partner to establishing transparent processes, companies relying on the expertise of external providers address several concerns in their decision-making path.
The long-term partnerships we have undertaken with our clients have shown us that communication, transparency, and visibility are just a few of the aspects to be thoroughly cultivated. But there is more. In this article, we would like to share with you the valuable insights we have gained over time.
1. Proactive communication and constant updates are essential
Daily communication is extremely important for every company working with an external team. Providing proactive updates on project’s progress and challenges and ensuring visibility on potential issues strengthen collaborations with clients and encourage them to place more trust in your expertise.
Clients prefer partners who offer transparency at all stages of the collaboration, even if sometimes, it means highlighting setbacks and pain points. Moreover, proactivity in asking questions is highly valued. It usually saves time, doesn’t leave issues in the dark, and makes it possible to address them in the shortest time possible.
From the very start of any collaboration, defining the stakeholders from both sides who will be in constant touch is essential for smooth communication. Additionally, scheduling regular meetings and consistently documenting the processes are proven methods in ensuring timely and responsive partnerships. The former is key for transparency and efficiency, while the latter provides the client, at every moment, with access to the solutions your team is developing.
2. Accurate estimations foster partnerships
When working with third-party providers, clients rely on accurate estimations from the very start, as they influence their own budgets, resource allocations, business goals and strategies. Realistic numbers in terms of time, as well as financial and human resources, are one of the first steps for a productive collaboration.
As a matter of fact, transparent communication is also important in the estimations stage of the project. Understanding the clients’ requirements, defining the project scope, outlooks, potential risks can lead to more accurate estimates and a greater alignment of expectations. Also, it allows the software development provider to analyze the project thoroughly and offer realistic estimates.
3. Notifications in case of over-spending enhance financial transparency
Financial concerns are vital in every third-party partnership. Clients do need to maintain control over their budget and cashflow, so they expect invoicing to be regular and transparent. It is one of the actions that supports them in managing and effectively allocating their resources.
Additionally, when the project is exceeding the budget initially agreed upon, clients always appreciate follow-ups and notifications. Timely addressing these kinds of situations gives them the time to find solutions and create further action plans.
Sending notifications, establishing the invoice process in the contract (from invoicing regularity to what happens if the project reaches the initially negotiated costs), and sending regular expenditure reports, can grow your customer’s confidence in the expertise and professionalism of your company.
Building partnerships that last in time demands effort, persistence, and resilience. But brick by brick, third-party software development providers can strengthen the pillars those collaborations are based on. Our journey has proved that investing in communication, providing updates, being transparent when it comes to finances and being honest in estimations are key elements for success.
If you are also looking to forge a strong partnership with a third-party software development provider, ISD has already gained the expertise to rely on through the many projects developed over time. Leave us a message and get access to the knowledge of our skilled professionals with seniority in the industry.
Here is a list of suggested articles that will assist you in making well-informed decisions before starting a third-party partnership:
- Why choose a company from a market with a flourishing IT industry?
- Why opt for teams with a culture similar to the one of your country?
- Is it important to sign an NDA from the very first meeting with the third-party company?