September 2021

​​Imagine this! Your shipment is out for delivery but because of some reasons, it gets stuck at an international border. The border officials won’t allow the cargo to pass unless all the documents are sorted. The driver is in a fix, further putting tons of pressure on the company to sort out the issues. Unless the bill of lading, commercial invoice, quality certificate, and a few other documents aren’t presented to the border official, the entire process comes to a standstill. During such times, if the company has a centralized application that caters to dire needs like these, tense situations like such can surely be avoided. This is when the enterprise applications come into the picture.

These are applications that bind the organization’s ecosystem together. As per Statista, enterprise software is becoming more important than ever. They predict, by the end of this year, IT is expected to spend around $599 billion on enterprise applications. This shows a clear growth of 13.2 percent from the previous year. In this article, we will understand the premise of enterprise applications and how can App Scoop help you with your business needs!

What are enterprise applications?

To elevate the organization’s efficiency, channelize the operations, and provide a better service to the customers, the company needs to intensify their business strategies. This can be done by developing customized applications that streamline all the processes. Enterprise applications are built considering all the requirements.
 
A staggering 67 per cent of CIOs believe that implementing enterprise mobility will take their business to next level. And in today’s age, when everything is going digital, enterprise applications have become a priority more so than ever. Companies use enterprise applications for various reasons. A large number of companies use it just because it offers 35 per cent ROI, while others believe that 47 per cent of their internal communication is enhanced courtesy of such applications.

Top 7 reasons why companies should invest in enterprise application

1. In any organization, information comes from myriad divisions. Enterprise application channelizes this data and conveys the right information to the concerned person. It ensures a smooth transfer of the data.
2. Such applications increase employees’ sense of belonging towards the organization. As per a study, corporations that have implemented enterprise applications have seen a 21 percent increase in employee’s loyalty. This further benefits the company.
3. Implementation of enterprise applications unifies all its branches and divisions at the various location into one single entity. This increases the productivity of the organization whilst giving easy access of essential data to its employees.
4. One of the fastest-growing sectors, this segment has witnessed a growth of 10 per cent each year. This is possible owing to its virtue of simplifying the IT processes.
5. Employees seem to enjoy these applications because it smoothens the business processes. A study reveals that organizations have seen a 23 percent increase in employee satisfaction and the credit goes to the enterprise applications. It even adds to the overall efficiency of the employees, in turn, benefiting the organization at large.
6. Integrating enterprise applications provides better control to the companies, fastens their performance, improves functionality, and promotes transparency.
7. One of the crucial benefits of implementing these applications is that it increases and fastens the ROI.

 
Categories of enterprise application development
Here are some of the sub-types of enterprise applications:
 

• Customer Relationship Management (CRM)

CRM involves support, sales, marketing, and procurement. This strategy gives the company a complete view of the customer’s perspective, evaluates all the scenarios, and add to the efficiency. CRM software allows communication through email, social media, mobile app, and chats. By the end of 2025, the CRM sector is expected to be worth $80 billion.
 

• Supply Chain Management (SCM)

SCM connects the different branches of the organization, streamlines the flow of data, and helps in getting to the root of any given problem. In 2020, the sector valued at almost $16 billion. And owing to its importance, it is subjected to reach more than $ 30 billion by 2026.
 

• Business Intelligence (BI)

BI gives an advantage to a company during decision making. It offers a vantage view of all the available data which helps in the growth of the business. During COVID, more than 53 percent of the companies were of the view that cloud-based BI gave their business a much-needed relief.
 

• Human Resource Management (HRM)

Managing the lifecycle of employees is one of the crucial processes for any organization. HRM software handles this process right from scouting the perfect candidate to the hiring process till the exit interview stage. By 2025, the HRM sector is predicted to cross $ 30 billion. No wonder, over the years, HRM software has become an integral tool of any organization. 
 

• Salesforce

Within no time, Salesforce has become one of the leading cloud-based software providers. Since 2000, its revenue has grown at the CAGR of 51.22 percent. It guides the organization in the direction of the right opportunity, helps in analyzing the customer data, and acts as a catalyst for smooth communication. Today more than 150,000 businesses use Salesforce software
 
Modern practices of enterprise development
Digitization has been taking the world by storm for ages. To stay ahead of the times, companies ought to assimilate the latest trends to boost their business. Here are some of the latest practices:
 

1. Companies’ AI-first approach is helping them bring in unimaginable reforms. It is formulated that by 2025, almost 90 percent of the organizations will have integrated AI in their enterprise applications.
2. Cloud technology comes as a relief for companies who are looking to build cost-effective and flexible enterprise applications. This technology has seen a surge since the outbreak of COVID-19. It is used for storing, backing up the data, and a lot of other things.
3. Integrating distributed ledger technology while creating enterprise applications can save a great deal of money for organizations. Blockchain technology brings in transparency, trust, reduces cost, and speeds up communication.
4. The enterprise application segment is expected to reach $ 22.69 billion by end of 2026. And other latest technologies such as Big Data and IoT, help in making business processes a piece of cake.

 
In conclusion
Implementation of enterprise application simples business processes, connects the organization in one entity, smoothens communication, reduces overall cost, is time effective, opens doors to new opportunities, in short, the perks of such applications are endless. App Scoop understands the importance of this technology. Look no further if you wish to integrate enterprise applications in your organization. Being one of the finest solution-provides, App Scoop will be more than happy to be a part of your business development strategy.
 
To talk to our experts, kindly contact:
https://app-scoop.com/contact-us.html
 
References

• https://www.tristatetechnology.com/blog/20-essential-enterprise-mobile-apps-statistics-infographic/
• https://www.statista.com/topics/1823/business-software/
• https://www.dotcominfoway.com/blog/the-power-of-enterprise-app-development-that-adopts-a-mobile-first-strategy/#gref
• https://www.entrepreneur.com/article/307748
• https://www.webopedia.com/reference/enterprise-application-explained
• https://codete.com/blog/8-enterprise-software-development-trends-you-must-know-in-2021​

Times change, and as a matter of fact, change is the only constant thing be it in business development or our life. The world of technology changes each day, too. And to stay abreast with it is not impossible but surely is a task. The skills that your business needs today may become obsolete in a matter of days or maybe months. Adapting to this change is difficult for various reasons. You can certainly train your team to stay up to date with the latest trends or the skills required for your business. But this takes time and is a costly affair too. As for every problem, there is a solution. And there is an answer to this issue too.

To stay ahead in this game and to make the most of the changing trends, companies can undertake outsourcing strategies outside their business. This can leverage their development without hampering their existing process. As per Statista, there has been a considerable increase in the global outsourcing market. From 2000 to 2019, this market has amounted to $ 92.5 billion. About 300,000 developers are outsourced each year out of the US – further creating employment and giving a platform to developers to showcase their talent.

Outsourcing in literal terms means scouting and hiring the right third-party team or an individual that can add value to your ongoing project. Outsourcing strategies such as staff augmentation, multi-sourcing, IT outsourcing, project outsourcing, process-specific outsourcing, and others, come as a relief to tackle the tasks that are sometimes hard for the internal team to deal with.

In this article, we will talk about the pros and cons of staff augmentation and project outsourcing.
This will give you a clear idea of which process to choose in any given situation. 

What is staff augmentation? 

Staff augmentation is an outsourcing process that involves a temporary addition of talent from an outsourcing company provider to your existing team. To augment the capacity of an organization, first, analyze your existing team and determine the skills and talent required to elevate the current business objectives. According to a study conducted by Statista, post the outbreak of COVID, the staff augmentation market size grew from $92.5 billion to $132.9 billion. Outsourcing companies train their developers, and the addition of these consultants will boost the morale of the team and help you reach your business goals. 

7 reasons to choose staff augmentation 

1. It is cost-effective. As this is a temporary hiring process, the client team does not have to worry about covering the consultant’s insurance, tax, sicks leaves – basically all the responsibilities related to the employees on the payroll.
2. This process is time-efficient as it saves the client’s side from the challenges of permanent recruiting and long-term commitment. 
3. Staff augmentation allows companies to maintain their lean in-house staff whilst adding specialists to their team. It allows the company to be flexible and gives a chance to upscale their team within a matter of days. To add to it, it reduces the pressure that the existing team is going through. 
4. This process significantly reduces the business challenges and caters to meet sharp deadlines without any hassle. 
5. The third-party hire enhances the productivity of the team, quality of the outcome, and boosts data privacy efforts.
6. Although the consultant adds value to the team and project, the control still lies with the client. This helps in efficient staff management. 
7. The staff augmentation process allows you to focus on your core business goals whilst enhancing the service quality.

Cons of the staff augmentation process 

1. The client’s side can enjoy the perks of this process, provided they find the right talent at the right time. This search might take a long time.
2. Adding a new member to an existing team can lead to clashes if their vision doesn’t match. All must be on the same line for the benefit of the organization. 
3. The third-party hire will take time to understand the company’s institutional knowledge which the in-house staff are already aware of. The client must enlighten them about the company’s history as well.

What is Project outsourcing? 

Project outsourcing is a process when a company hands over the complete project to the IT outsourcing organization. Right from planning in the initial stage to the outcome of the project, the work is taken care of by the third-party company. They take complete responsibility for the business development. This model can be used when the assignment isn’t a high profile one or something that has a definite outcome.
As opposed to staff augmentation, project outsourcing does not allow direct control over the team. As per Statista, in 2021 the IT outsourcing market is expected to reach $ 359462.8 million. This exponential increase is the courtesy of the digital transformation and services provided by IT.

5 reasons to opt for project outsourcing

1. One of the crucial benefits of project outsourcing is the solution and result of the projects lies on the shoulders of the third-party team.
2. This model saves overall cost – be the office space chargers or any associated costs. The clients need not worry about any other process once they hand over the project to a third-party team.
3. When you outsource your IT development project, the in-house team can focus on other business values and important projects. This makes the process value-effective.
4. As the model hires specialists, the outcome of the project guarantees success. Overall, it reduces the business risks as the hired talents oversee the project to fruition with the best possible result.
5. Project outsourcing ensures that things get moving quickly further reducing the time required for the development of the project.

Cons of project outsourcing 

1. Once the client outsources the project, they have little or no control over the project. The project now depends on the outsourcing vendors, moreover, the communication gap between both the parties can lead to frustration for the client-side. If the project is handed over to a which team that lies in a different time zone, the lack of communication can lead to the mismanagement of the project. 
2. In today’s age, data privacy is of the utmost importance. As the complete project is handed over to the vendor, customer data could be at the risk. And at times, there could be some hidden cost, which might appear at the end of the project.

How to set foot in the world of outsourcing? 

• Ensure that you do thorough research of all the available outsourcing models. 
• Discuss with your in-house team so that everyone is on the same line. 
• Decide on a budget and stick to it. 
• Scout the market at length to hire the best team or individual for your project. 
• Ensure that they abide by your company’s vision. 
• Give them a strict project deadline and ensure that they adhere to it. Read the papers properly before signing the contract.

Looking to outsource? 
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If you wish to enter the water of outsourcing, you can completely rely on us. Our experienced and diligent array of developers will make certain that your business needs are met. Need a specialist to handle your project or want a temporary addition to your team to enhance the business needs? Worry no more, App Scoop will provide all the resources and will guarantee that the project sees its desired outcome. 
To talk to our experts, kindly contact: https://app-scoop.com/contact-us.html

References

• https://scand.com/company/blog/staff-augmentation-vs-outsourcing-which-one-is-right-for-you/
• https://bxgi.com/insights/staff-augmentation-vs-project-outsourcing-which-engagement-model-should-you-choose
• https://smallbiztrends.com/2017/02/advantages-and-disadvantages-of-outsourcing.html