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How to Choose the Right Outsourcing Partner: Lessons from Failed Projects

Outsourcing has become a standard practice in the tech industry, yet 50% of outsourced projects either fail outright or fall short of client expectations. As the CEO of Brocoders, an outsourcing agency with extensive experience in rescuing failed projects, I’ve seen firsthand how often companies change teams due to delays, technical debt, poor communication, or unmet expectations. In fact, every third project we take on is a takeover from a previous team that failed to deliver.

Why Projects Fail

The primary reason clients switch teams is project delivery. Even the most skilled developers can disappoint if they fail to deliver a product that meets the client’s needs. So, how can you ensure that your chosen partner will do more than just write code? Before diving into the seven key aspects that define a reliable agency, let’s look at a real-world example that provided valuable insights.

Rescuing a Failed Product: The HeyPractice Case

HeyPractice, a European edtech company, approached Brocoders to revamp their interactive learning platform. Their initial team had started developing the backend of their MVP, but the project required a complete overhaul to become a fully functional AI-based learning platform.

We began with a code audit and uncovered several issues: untested backend, lack of documentation, poor code quality, and non-compliance with REST API principles. We recommended rebuilding the app from scratch while retaining the existing database structure. The result? A robust learning platform that exceeded the client’s expectations.

This case is significant because it highlights a common problem: many companies can produce code, but few have a product-oriented mindset. The result is often a functional yet incomplete tool that requires further development to serve its intended purpose.

Avoiding Unreliable Partners: 7 Warning Signs

Having worked with numerous clients who previously partnered with unreliable agencies, I’ve identified seven major red flags to watch out for:

  1. Lack of Understanding of Your Business Needs: A great development team is useless if they don’t grasp your business goals. Ensure your potential partner demonstrates a deep understanding of your industry and challenges, not just technical skills.
  2. Limited Industry Expertise: Industry-specific knowledge is critical. A lack of experience in your sector can lead to misunderstandings and missed opportunities. Review the company’s portfolio to ensure they can deliver what you need.
  3. Rigid Pipeline: Flexibility is crucial in outsourcing. Your partner should be agile enough to adapt their services to your unique project requirements. Beware of agencies that stick to rigid processes without room for adjustment.
  4. Hidden Costs: Transparency is non-negotiable. If an agency isn’t upfront about their pricing or estimations, it can lead to trust issues and unexpected costs. Ensure all terms are clear before starting the project.
  5. Over-Promising: Beware of lofty promises. Reliable partners set realistic expectations and consistently deliver on them. Over-promising often leads to unfinished or faulty products.
  6. Poor Communication and Responsiveness: Effective communication is key to a successful partnership. If a company is slow to respond or uncooperative, it will only add to your frustrations. Ensure your points of contact are always available and proactive.
  7. Lack of Scalability and Resource Planning: Projects can grow in scope and complexity. Your partner should be able to scale resources as needed. Make sure they have the capacity to accommodate changing project requirements.

The Main Criteria of a Tech Partner

To summarize, here’s a comparison table to help you distinguish between a “red flag” partner and a reliable one:

Red Flag PartnerReliable Partner
Little to no understanding of your business needs, no long-term vision.In-depth understanding of your needs, industry, and goals. Offers innovative solutions.
Limited or outdated industry knowledge.Up-to-date industry expertise, quick adaptation to trends.
Resistant to changes, rigid processes.Agile and adaptive, willing to renegotiate for mutual benefit.
Hidden costs and unclear pricing.Transparent about costs, with cost management strategies.
Unrealistic promises.Sets realistic expectations and delivers consistently.
Poor communication and slow responsiveness.Clear, prompt communication with proactive issue resolution.
Struggles to scale resources.Smooth project flow with available skills and expertise as needed.

The Client’s Role

Even the perfect partner won’t guarantee success without active client involvement. As a client, you play a crucial role in the project’s outcome:

  1. Clear Communication: Provide a detailed project brief that outlines your objectives, requirements, and expectations. Regular communication and feedback are essential to keeping the project on track.
  2. Resource Provision: Ensure timely access to necessary systems, data, and materials. This includes everything from existing infrastructure to specific content required for development.
  3. Budget and Timeline Management: Be clear about your budget constraints and project timelines. This helps your partner plan effectively and avoid cost overruns and delays.

Bottom Line

Software development is more than just coding; it’s about delivering a complete product that meets your business needs. Choose your technology partner wisely, focusing on those who offer expertise, flexibility, transparency, and strong communication. And remember, success is a two-way street—be the client who knows what they need and communicates it clearly.

In the end, the right partnership can turn your vision into reality, while the wrong one could cost you even more in the long run.


If you’re seeking a reliable tech partner who understands your business and can deliver beyond expectations, XPECTED DIGITAL is here to help. Contact us to learn how we can ensure your project’s success from start to finish.

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