Top 10 Mistakes When Outsourcing Product Design – and How You Can Avoid Them

Outsourced Product Development

Outsourcing development is perhaps one of the best things that can lead your business to further growth.  Through business product outsourcing or outsourcing product design, businesses can see advancement through expanding their borders, ranking higher in the competition of the market, and gaining experience with third-party production.

However, outsourcing comes with a lot of problems that have been ignored by many before, causing several to lose sight of why outsourcing is important.  These problems can lead to falling behind in the market, losing money, a hot mess of unorganized and chaotic business, and failure in expanding your company’s growth. 

Nonetheless, it is definitely achievable and has been done before.  There are many advantages of outsourcing, and with the right knowledge, right team, and right goals, there are many product development solutions to these problems.

Whether it be through mechanical engineering outsource or outsourced full IoT development, here are ten common mistakes to be aware of when entering the world of product design outsourcing, along with ten different ways to avoid them.

1. Failing to Establish Clear Communication

This is perhaps one of the biggest downfalls of business in any niche, regardless of the project at hand.  However, when outsourcing, communication is definitely key.

To be successful in your project, it is vital for businesses to establish clear instructions and set the standard for precise communication between the company and the engineering consultant. 

To prevent failure because of the lack of communicating, it would be smart to consider looking to a product development company for help.  The more help, the better the results.  By looking for and recruiting specialists in the art of outsourcing and development for advice, your business is more likely to succeed because of the diverse array of talents put into practice.

Additionally, to ensure that your teams are communicating regularly and precisely from points A to Z of the task, consider establishing distinct expectations and standards before the project even begins.

2. Not Knowing the Limits of Your Partnering Company’s Expertise

When searching for a company to outsource with, diversity is key.  Diversity in the understanding of product development makes companies more able to incorporate their knowledge with your business and local team.

Being stuck with a company whose knowledge and abilities in the field are limited to the minimum, your project is in the hands of a company that can’t give you everything others have to offer.  To sum it up, the more knowledge, the more powerful.

The solution to this problem then is, of course, make sure that diversity and expert knowledge is a priority when searching for a company.

3. Going with the Cheapest Bargain

“The lower the price, the more money we save” is not always the case when it comes to investing in outsourcing a product design.  In fact, if a company is cheaper than the rest you have seen, it is probably for a reason.

Many businesses make the mistake of going with a company who offers what seem to be the same benefits but for a lower price.  However, this sets your business up for the risk of working with a company of limited expertise, ending up unsatisfied with the outcome of your project, and with the loss of money after trying to fix problems that arise.

Instead, consider quality over cost.  You don’t want to end up in a position where your business is spending more money to fix the problem than it did when the problem was formed.

4. Overlooking the Importance of Location Difference

Outsourcing is all about receiving goods or services from outside sources for the advancement of your company. 

However, international relations can be extremely dangerous and pose a threat to your business if the language and cultural differences are not being taken into consideration.

These cultural differences can be very costly as if there is a misunderstanding in communication due to language barriers, there runs a risk for the project to be ruined or messed up.  Additionally, one should look at the time differences between the two areas.  If what is believed to be culturally relevant and modern in one country is considered out of date in yours, there runs the risk of your overall product being outdated as well and not meeting the demand of the market today.

So, before hiring someone internationally, consider the culture the employee is coming out of.  It is never safe to assume that everyone is on the same page.

An additional solution is to hire a foreign language and culture consultant who will oversee translation, make sure everything is communicated properly, and that there is a clear understanding between the two teams.

5. Underestimating Security

According to Inc., there is a 31% chance of security hacks when businesses are outsourcing.  Never assume the safety and security of all your data when going abroad, doing business internationally, outsourcing, or anything of the like.

For this reason, it is safe to seek a technical expert to ensure that all of your information and data is secured.

6. Not Investing in Technical Experts to Oversee

As mentioned above, security is never a given.  When outsourcing, out of the best interest in the development of your product, consider investing in the counsel of a technical expert to oversee any internet or app used during the process of the task.

While everything online and through developed apps might appear to go smooth and safe the first time around, the codes behind it might not be of best configuration.

Therefore, it is never safe to assume the quality of a technical application through inexperienced eyes.  Find someone with a specialty in the field to guarantee that what you are investing in is worth your money and your security.

7. Developing a Pattern of Running Late

While this is a sign that your outsourcing project isn’t turning out the best, it is also a habit that can be developed due to poor precautions. 

If you notice that your team has a tendency of running behind on deadlines or goals, it might be best to make sure you aren’t biting off more than you can chew.

8. Not Enough Strategy

It is never good for a business or team in any field to have more tasks or goals than strategies.  Planning and organization are key when it comes to achieving missions, and without a structured strategy, your project is set up for failure.

Make sure that your team knows the strategy for going about the project as well as how to strategize before it begins.  This will also allow more room for communication and be on the same page.

Additionally, don’t let tasks outnumber strategies.  This is a simple formula that all businesses should use.  If you find that you have more projects going on than you have plans to make them happen, it is highly likely that you have taken on more than your business is capable of handling at the time.

9. Coding Before Designing

Before handing off a design project to an engineer, make sure you have the design fully displayed first.  Therefore, it will be much easier for the engineer to know what you want and you will be more satisfied with the outcome.

10. Not Organizing the Project into Individual Parts

Just as you have short-term goals and long-term goals, projects should have short term and long term goals, too.  This includes different deadlines, milestones, steps to strategies, and anything of the like.

By cutting the project down into more bite-sized pieces for your team and partners, it provides a more clear view of what to do and when to do it, as well as allows you to see your progress.  Additionally, it can lead to faster achievement and a more efficient development system.

Learning from Other Businesses' Mistake for Your Success

To be successful, it is vital to learn from previous failures and mistakes.  It is important for your business to grow, therefore, it is important to put in the time investing in the assurance that you’re on the right track and headed for productivity.

It’s time to take action, come up with a strategy, and invest in the best outsourcing resources for your business because it’s worth it.  Nothing is worth less than one hundred percent, and if you put in any less effort, the outcome is bound to be less as well.

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