5 Tips for Deciding Between Build and Outsource

The question of build versus outsource is a common point of consternation amongst many companies. This is because we often help customers replace a long-used B2B system or consolidate multiple B2B integration solutions that have been developed and used internally by these companies. Usually, the costs of management, ongoing infrastructure, and other inherent complexities of the B2B business system causes companies to seek out a service provider like Hubspan.
By using a cloud-based platform, Hubspan significantly lowers the cost, complexity, and hardware/software issues in B2B implementation, with minimal disruption in the existing work flow and infrastructure of companies.
Many CIO's have established certain guidelines for assesing whether they should build internally or outsource. The conditions are very similar to deciding whether to shift a company to cloud computing solutions. Here are the top 5 points of emphasis that will help companies make a decision in regards to B2B integration:
5 Keys to Deciding on Building Vs. Outsourcing

1. Competence: Does your existing IT team have the capacity to develop, implement, and oversee B2B integration? While there certainly are employees of your company that are very accustomed to dealing with some of these issues, integration can be an extremely complex process. Make sure you understand the cost to train your staff if you plan to do this internally.
2. Timing: How quickly do you need the implementation process to be completed? And how many partners or customers will you need to integrate with during that process? In house implementation can take about 6 months if there are only a couple outside companies to integrate. If there are dozens of companies or integration needs to happen much quicker due to market demand, an integration services firm will most likely be the best solution.
3. Business Impact: How much revenue could potentially be compromised due to integration? If you need to integrate multiple costumers and the process drags on, could you potentially lose these customers? If there's a problem aligning with a supplier, could a product be delayed? Make sure everyone making this decision knows the full potential impact to your business.
4. Security and Compliance: Asses you company's current compliance and security requirements and your ability to maintain those standards if you outsource. Determine exactly what data would be exchanged through external avenues, and would this compromise your compliance to important regulations. Will it be possible for the vendor to offer the same level of data encryption that your company requires? While performing the integration process yourself will allow you to ensure all security measures are met, many vendors provide top-notch security that already satisfies most companies' requirements.
5. Budget: Have you allocated the proper amount of resources in your budget for integration? Also, will your partners be willing to pay some of the costs? If your company has already spent all of its capital expenditure budget, hiring an outside vendor that allows you to leverage an operational expenditure could be the only solution. Outside vendors also often give you the option of only paying for the services you need, allowing for a very cost-effective integration process.