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It has become very common for start-ups to begin their entire product development by leveraging companies offshore. From being a long-haul possibility for large corporations with deep pockets, offshore development; outsourcing is accepted as a natural phenomenon of business strategy for even the smallest of companies. Industry reports assess the offshore outsourcing to touch $150 billion in 2010, of which at least 13% will be contributed by start-ups in product engineering and specialized outsourcing services.
Even as the venture funding explodes in new trend-driven development, the ground rules for commencing, nurturing, and expanding an offshore engagement are often forgotten.
The answers will define the foundations of your offshore outsourcing engagement.
To evaluate the reason for offshore, many list cost and convenience as valid reasons. An offshore outsourcing engagement is like running the Marathon—the run is arduous and long, the benefits are returned manifold times in the long term.
To cope up with these changes and still deliver the output, the offshore team needs to have the right experience. Flexibility is the key for successful product engineering.
If you treat the partner as a vendor, the team will just work to your orders, and not contribute valuable experience that it may have gained from other engagements. The chances of counting on that one extra stride are much more when the offshore team members feel the involvement.
At the beginning of the engagement the offshore team may not be fully aware of the product to run you a full functional testing plan. But if the engagement begins with some maintenance and enhancement tasks, it gives the partner firm time and scope to learn the product better, thereby able to engage better with time.
Delegate the project management: At least the people management should be in control of the outsourcer. Focus on the team’s ability to deliver rather than choosing a group of technology savvy individuals, who do not operate as a team: the right partner firm will know best about putting the right team for you—choosing talent, experience, team effort and so on. Ensure that the U.S. team begins following some engineering processes. It will ease your managing the engagement vastly in the course of time. Incorporate a certain resource slack in the overall project budget.