The importance of insourcing

Many companies do not see software development as their core business, so they tend to outsource it. Outsourcing means one company hiring another company or freelancer to perform a specific function. Outsourcing is usually not a bad idea: you have another company that is specialized in one thing do the work for you so that you can put your people and investments in your core products. The specialized company normally does things cheaper and better – and building up these skills yourself can take a lot of time and money.

But now, software is the key differentiator for basically all products. Not only the digital customer experience but also smart manufacturing or supply chain management can give you a competitive advantage. Custom software is becoming part of your core business. Due to this, many companies already have an insourcing strategy for software development – that is, recruiting and employing software developers and DevOps engineers...