Outsourcing, in broad terms, is the purchase of goods or services that were previously provided internally. Outsourcing is a generic term used for a broad range of information technology functions that are selectively contracted to an external service provider.
Software development Outsourcing: Contracting (or subcontracting) with an external organization for:
› The development of complete or partial software products / projects.
› The purchase of packaged or customized package software products.
› Activities to aid in the software development life cycle
Types of Outsourcing
» In-House Building (No outsourcing)
Many organizations have their own Information Technology departments catering to their needs of software. These organizations develop the required software and information systems within their own capacity and limits.