How can an ISV retain customers in the fast changing SaaS environment? Only by demonstrating innovation in its applications and service can it hope to keep existing customers happy and attract new customers.
Roadblocks exist that make innovation difficult to achieve. Considering that large software projects run 66 percent over budget and 33 percent delayed, even getting a product launched can be difficult. The inability to find developer talent is attributed to nearly half of all cost overruns, according to a 2012 McKinsey study.
Scarcity of Skilled Talent Reduces Ability to Innovate
Fifty percent of ISVs said a scarcity of skill specific talent resources was the second highest pressure in software development in a 2009 Aberdeen study, just slightly below the biggest pressure, which was cutting development costs (57 percent).
Those pressures make it more difficult for the 30 percent of ISVs to achieve the innovation and business-critical development that are their priorities.
Finding talent likely will continue to be difficult, as the demand is projected to remain high for years. Employment of software developers is projected to grow 17 percent from 2014 to 2024 according to the U.S. Department of Labor, which is must faster than the average for all occupations. Jobs for application developers are projected to grow 19 percent.
TechTarget reported that software developers job postings in the U.S. jumped nearly 90% in the last year. Universities are expected to meet only 30% of projected demand for developers by 2020 with graduates, making the shortfall even worse.
ISVs may find that talent through outsourcing some development to third party vendors. Benefits can include a significant reduction in costs and timelines.
By freeing developers to work on the core of the application, the ISV’s experts can innovate within their specialties.
Third-Party Vendors Create Opportunity for Innovation
Choosing third-party vendors for outsourcing can bring innovation into the software project. Picking a business intelligence specialist should add modern BI and analytics to the application with enhancements sought by the ISV’s customers. The vendor provides expertise in an area where the ISV team has little knowledge or experience. The ISV’s developers can spend more time expanding their knowledge of the software tools and methodology for innovation in the application. The BI vendor adds innovation through its years of experience building and enhancing an analytics solution.
Innovate by Embedding Izenda’s BI Solution into Your Application
Consider embedding Izenda’s self-service business intelligence and analytics solution in your application. This can shorten your product launch and upgrades timelines, speed ROI and help keep your customers happy.
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