What Do You Do When Outsourcing Goes Bad?
Xphox wonders: "Recently we have been referred to an outsourcing company to finish customization on a script that the author had no time to complete. Everything was going fine until recently. At what point do you consider they may have just ripped you off, and how do you know when to file complaints and withhold payment?"
"I have been working with what I thought was a reputable outsourcing company, referred to me by the author of the software package. We agreed that payment would be made once everything was completed. After a few missed deadlines, the project finally seemed to be finished. The only thing left was a small bug fix, and an install script which needed to be completed. As agreed, he delivered the install script, and we made the final payment. Upon testing the new install script we noticed things did not work as intended, and all attempts to contact the outsourcing company has resulted in the following answer:
'My guys are still working on it.'My fear is that if I don't act now, I will not be able to recover any funds, and will be stuck with a product that is useless. It has been 9 days since I've received an email from them, and I'm starting to think I've just been taken advantage of. Since the script is protected with Source Guardian, I am unable to finish the modifications myself."
I can usually tell when outsourcing has gone bad. It's about the time my boss calls me into his office on a Friday afternoon and explains that the company needs to right-size their domestic staff and that, unfortunately, my position has become redundant.
Every year during my review, I just pray the words "slashdot.org" aren't mentioned.
The DoD has been doing it for many many years and they will withold payment if somoene messes up.
1: Stop payment on cheque.
2: Demand refund of deposit.
3: Get one return ticket to contractor's location via Expedia.
4: If 1 or 2 fail send return ticket to "IcePick" Vinnie.
5: Pick up Vinnie at airport in a couple of days.
6: Take money home and count it or enjoy photos of mangled corpse(s).
7: ???
8: Profit!!!
Trolling is a art,
Laughing. At you. With glee. Ha ha!
Mod down people who tell people how to mod in their sigs
Get the source code! You might have called it outsourcing, but what you really did was pay someone to have an code empire in your domain. Even if they do finially deliver the finished product, you stuck with them for further development.
The force that blew the Big Bang continues to accelerate.
I would assume that you established a contract before starting work with this agency. If they are now in violation of that contract, you have grounds to sue them, correct?
first i would let us know who the company is... i think the lack of commuication alone is enough to warn the rest of us!
Name them, especially here, and let them know you've done it. That will teach them a lesson.
I told you so.
"He's a real midnight golfer"
Serves you right. Next time, buy American.
If the contract specifies full ownership of source code, it shouldn't be encrypted or otherwise protected, and the outsource company is in violation. If it's just for working binaries...too bad.
Reject Fear - Embrace Hope
If it doesn't work, and you agreed that they'd get paid when the project was FINISHED (in my mind finished means the code is completed AND it does what you agreed upon it doing) then get your money back. They can have their funds when the project is done.
So you paid without testing the final product? I suspect all you can do now is sue. We've received "finished and tested" outsourced projects before that didn't even compile. You have to be very careful out these things.
Disconnect your television. Do your own research. Draw your own conclusions. They're probably lying. Don't be a sheep.
Did they violate the terms of their contract? If so, you might be able to sue.
tasks(723) drafts(105) languages(484) examples(29106)
If your company is anything like the mess of a corporation my last employer was, you just outsource other projects to take away focus from the ones going bad...
This is not a sig.
You know that feeling you get in the back of your head when you hear someone telling a lie? The "OMG...this person is lying to me, and I'm paying them to do it" feeling?
I usually let that happen twice before I call them out on it.
No battles to the death are recalled. Mumpsman can hit to attack and cause brainsmashing.
I hate to take this stance, but it has to be said. This thread is probably going to get a lot of cautionary posts that ring to the effect of "you get what you pay for" and so on. And seriously -- is it that hard to find someone with the skills to do a task like this ("scripting", as you say) locally, at a reasonable price?
-- Maciek
Next time you have a comprehensive acceptance test. YOU conduct the test, or you designate a third party. You do not allow the contractor to conduct the test. You test everything that matters - features, performance, capacity. Whatever. You spell this out in the contract and you don't pay until it passes.
We've outsourced a bit... but we never pay until the work is complete unless its a long project, in which case we pay as increments are completed and the code is sent back to us.
What time do you have to react? Like if you act now as opposed to two weeks you'll make back your money? Unless you sent the money through a very trusting (read, you do a lot of business with) bank that has some sort of angel stop-payment plan.. you are S O L.
Where is the contract? Whose laws govern it?
You went with a company outside of your country to do a deal..
Why didn't you test what you got first and then pay for it...
I smell FUD... no details here, is this just an anti outsourcing fable?
I consider it to have gone bad the first time they miss a promised deadline. These companies are in the buisness of delivering on time usually. As soon as they balk on that core buisness, I get worried.
Next on Ask Slashdot: "How do I tie my shoes?"
I start making racist slurs against people from India.
A better question might be if there's any sort of response apart from withholding payment and cutting ties. Is there a legal response that will make a difference to your bottom line? That'd be an interesting facet of outsourcing if you ask me.
If not now, when?
in what way is this different than any other situation involving bad work?
treat the firm that you outsourced as a single employee. if they consistently dont perform give them the boot. no not that boot... the kind made of leather that doesnt involve three fingers.
My friend works as a consultant, and he was consulting at a company where they decided to outsource some programming to Russia. They get the program shortly before the deadline, and it DOESN'T WORK!!!
So they take the program, rip out all the shit (a surprising percentage of it), and rewrite the whole thing pretty much from scratch in the course of a week. They finally get it working, and hand it into the boss, without telling him how badly they got fucked by the outsourcing. The boss is impressed by the quality of the code, and decides that the next project they do should be sent to the same firm. Luckily, my friend wasn't around the next time they went with the low-cost outsourcing.
disclaimer: i am a progressive democrat.
but, really. when it goes bad? i have yet to see an example when the cost savings to a multinational corporation justify the damage done by outsourcing work.
you'll have people point to the study that came out that says that outsourcing is good for the economy. but is it? what it really provides is a decline in the quality of jobs in america.
let's think about this. company x has $300,000 it spends on paying 100 engineers. then it discovers it can save $200,000 by sending those 100 jobs to india. so with that $200,000, it hires 200 more engineers in america! net gain of 100 jobs here, and 100 in india! everyone wins!
except, of course, that the jobs that remain here pay 1/3 of what they used to. and that doesn't even include benefits. the moral of the story is, as always: when the company and stockholders win, you better be a stockholder. because if you're an employee, you're screwed.
go get it
As punishment for your stupidity, bend over and take it. You deserve what you are getting. You could have hired a few consultants and brought it in house, but nooooooooooooooooo.....you had to try to get it cheap.
Karma sucks.
1) What contract do you have in place with the vendor? Surely all of this is spelled out in a statement of work someplace?
2) Why would you agree to have something developed for you if you don't get the source? Surely there are so many independent vendors with references and more willing to work with you that you didn't have to agree to such a silly restriction.
At a minimum, all of your communication with the vendor should be via certified mail. If you're going to stop paying them, you need a paper trail that document that they haven't abided by the terms of the contract.
You were mistaken. Which is odd, since memory shouldn't be a problem for you
What do I do? I usually point and laugh and say "I told you so".
Alito: A vote for Alito is a punch in the eye to put that bitch back in her place!
... next time actually TESTING the product before giving the final payment?! It's a thought.
If someone says he and his monkey have nothing to hide, they almost certainly do.
If all you have is a verbal contract, you could very easily be up the creek, unless you've got non-interested collaborating witnesses who will sign affadavits, attest to it in court, etc.
This is a time to bring in your lawyers, let them review the contract, assuming you have one, and then work from there.
In the meantime, stop payment on any checks and look to hire one or two developers, minimum, who can do this stuff in-house for you. That way, when it doesn't work, you can walk down the hall, put a hand on the developer's shoulder and say, "Get it done or else."
OCO is Loco
You've been ripped off.
My other first post is car post.
As agreed, he delivered the install script, and we made the final payment. Upon testing the new install script we noticed things did not work as intended,
You made payment BEFORE you ran formal acceptance testing of the application (yes, including the installer). That was your fatal error. Once you've ponied up the bucks, you've lost all leverage short of a lawsuit.
If I were you, I'd email then and request a specific timeline/deadline for completing the work. Make sure your email contains language stating that what they delivered does not meet their obligations. Assuming they respond similarly (i.e. "we're working on it"), then at least you have some level of proof that they acknowledge that they are potentially breaching the contract you have. Then take their asses to court.
Good luck. Next time remember
- formal requirements
- explicit deliverables (see requirements above)
- formal acceptance test to ensure that the software actually meets requirements
I work for an architecture firm, where in outsourcing is quite common. Unfortunatly it's a better question to ask how do you prevent it from going wrong. The answer for that is regular, frequent progress checks. Now if it does go bad this is where yo uhope that your contract is well written. Usually this comes in the form of liquidated damages. eg. If the progress does not meet the progression timeline set at check points a, b, and c. then liquidated damages will be assesed at $$$ per days behind schedule. In the case of consultants who are frequently used some times a point system works a bit better. this way they will work to keep a high performance point total which will help them with future contracts.
Why did you pay them before you tested the package? Sillyness.
"Who are in control, they are not in control of anything - they don't even control themselves!" - Glen Beck
Let me get this straight, you made final payment *without* getting the source code?
Wow.
U sure the contract covered ALL possible scenarios? What about the deliverables, etc? If everything seems to be OK, you MAY be dealing with a company that 'claims' to be legit. Your management may have been frugal in spending the extra money to outsource your project to a well known company.
Might be your best one, legal remedies overseas get sickening. Particularly in the India(is that jurisdiction?) judicial system. Something most outsourcing companies really don't understand, if the sh*t hits the fan on your contract the best case scenario is that it would take you a while to legally get compensation; worst case scenario is that the courts tend to favor the natives to their country more than the foreigners and you're out of luck.
...in bed
When you realize that the outsourced company thought you wanted Finnish customizations on your script. That would be a good time to ask for your money back.
The better workers in this are the ones getting jobs.
Doesn't that imply that outsourcing is good to begin with?
We set up clear and concise terms and requirements in advance. We demand ownership of source code. We have a schedule of meetings with the outsourcing company during which they are responsible for presenting scheduled deliverables. We demand complete documentation from the outsourcing company including their test specs and results. We run acceptance tests on the outsourcing company's products.
Treat the outsourcing company like you would a department or person in your own company. You need to have a strong two way rapport or things will not work. I guess you'll have to fight your way our of this scenario so use it as a lesson.
~Someday, I hope to be an aspiring author.
If it doesn't work, you shouldn't have paid. If you have, try to get the money back until it does work.
You should never hire consultants if you don't get the source --- that's just asking for trouble. They can charge arbitrary amounts for minor modifications.
Up, Up, Down, Down, Left, Right, Left, Right, B, A, START
All outsourcing means is hiring better workers even if they are "outside."
He NEVER stated that the work was outsourced outside this country. It's obvious that you are a liberal since you spoke and stated your opinion with a very narrow minded agenda ridden view without any regards for facts or reality.
Sorry, but it sounds to me like he's getting screwed by a good ole 'mericun company. I'm sure that will make him feel a lot better.
thats what you get for not outsourcing to india. cmon, you know you want to, everybody is doing it. dont be a chicken. whats the big deal? itll make you feel good. besides, girls dig that stuff.
Of course, hit men are probably his only option at this point. One of my old companies got screwed over by an outsource contract, too, and basically there was nothing we could do about it even though they were obviously at fault. Good luck coming into India as a foreign firm and having any sort of luck in the legal system -- in my experience, it's so blatently biased and corrupt it's pathetic.
But hey! They had three (fictitious) programmers working for what it would have cost to hire one (real) programmer in the US!
There is no mention that this work has been offshored (to a company in some exotic location such as India). It is entirely that the work was outsourced to a company in the USA.
Then proceed to work 80 hour weeks to meet the new deadline. This is what I have done every time a company I have worked for has tried "Outsourcing" err I mean every time outsourcing has failed (which is 100% of the time in my experience) 0 for 5 in three companies... way to go
Software Engineer, you get more than just a coder, you get IQ, you get somebody who understands the low and high level testing that needs to be done, you get somebody who can help you ask the right questions, you get somebody who can make sure the code compiles, that makes sure you get the code, that can rewrite or the crap code you already have, somebody that can save your ass, that is why we cost so much...
Onward to the Aether Sphere!
That's what you get for sending work outside of the local market ! Serves you Bastards right !
I consulted for an Atlanta firm which dealt in Sarbanes Oxley compliance software and my firm agreed to develop a rule based data adapter which sucks in raw data from external enterprise systems such as SAP and translate it. And my firm agreed to do so without having any one (else) with a bit of enterprise development experience hoping we would be able to outsource it to someone else in India (despite all my "muted" protesting).
Well, we picked a firm (which I believe was cheap enough to be picked), talked to a couple and they seemed knowledgeable and we were on. I wrote down the requirements myself and passed it on to them. There were two who where hands on and I provided any help they required plus the project management. It all went to shit in a couple of days. First, they wanted to bounce ideas off and around for a few days. Here, I am working from 8:00 AM in the morning through 2:00 at night, drilling requirements in to their thick heads, answering questions, go to bed late, only to wake up and realize that they had the same questions and were waiting all day for me to wake up!!
I got so pissed off after having to spend most of my waking day working on what they were supposed to, putting together answers to questions already answered, and chatting with them over IM, losing layers of patience bit by bit before calling them morons to their face. They were still billing us a full 8 hours for doing nothing, blaming it on unclear requirements.
After going to and fro for over a week, when nothing got built, I turned around and got my buddy who works for HP in Cupertino to pick it up. He coded it in his sparetime and pretty much finished it single handedly in the time that it was promised.
The biggest pains in outsourcing, from where I stand, is the disconnect between the teams, the clarity in requirements and the work ethics. I have seen the other end of the spectrum too, when I left for India for a short stint and worked with a team on a high risk project and had to deal with all sorts of management stupidity and workplace politics, putting my team through 14 hour work days, getting pissed drunk together on build nights and delivering on our promise with in the expected timeframe. The work ethics atleast on a developer level is not that different, if you get good young kids, they are smart and loyal. But if you step up to the level of management, you do find hundreds of incompetents who suck the living blood and exist solely to serve their own interests and to collect their paychecks.
I am not prejudiced. Infact, I am Indian and everyone mentioned above is, as well.
Rapid Nirvana
Getting your money back for bugs in the software? Well, did you "accept" that End User License Agreement presented to you on install? Heh.
If so, you're probably SOL. I've never managed to get my money back from Microsoft due to the bugs in their software either.
It probably said something about this EULA superceeding all previous EULAs and contracts too.
(Note to the humor-challenged: this is a joke. Sorta.)
Your contract with this contractor should outline 1) your warranty period, i.e.: how long you have to get deficiencies corrected at no cost (or at some predetermined labour rate); 2) ownership of IP; and 3) any acceptance criteria (or actions that are to be construed as acceptance of the work product as is)
If you own the IP, you should have the product delivered to you in a format that is maintainable (i.e.: editable) by your company. Sounds like you didn't have such rights assigned to you in the contract. I'll have to assume that, at any rate.
So once the warranty period has expired, and you've given acceptance, you're screwed. You have no legal basis for having the contractor do additional work for free. If you want to pay him, I'm sure he'd be glad to oblige.
But, if you have not met the terms of acceptance for the work product (again, I will assume there is some definition in the contract as to what actions construe acceptance) and the warranty period had not expired, the contractor is on the hook for fixes - not improvements or additional features, mind you, but that doesn't sound like your situation.
So if you're in this case, you should estimate the $$ required to complete the work. If it's under the limit for your regional small claims court, file a claim. If you win, great. If he doesn't pay and if it's an owner/operator (i.e.: solo guy), place a lien against his car or house for the amount owing. If it's larger than the small claims court limit, you'll have to decide if it's worth your while (time and legal fees).
Talk to a lawyer AND make sure your contracts are water-tight going forward.
"Content's a bitch."
If your usual channels aren't working your CEO (if this isn't you) needs to get on the phone with this outsourced company's CEO. He will politely explain the importance of this, and they will work on an "action plan" to make the appropriate things happen and make sure you are properly updated each day on the progress.
If this bears no fruit, or the plan isn't being followed, or no one calls you, the CEO needs to get on the phone and threaten legal action for failure to deliver on a promised contract.
All the while your company needs to do a cost/benefit analysis of legal action on this company, and do it quickly. Line up all the documentation and make sure everything is well recorded. Consult a lawyer on what needs to be done to make sure a case is solid.
Because if threatening legal action doesn't move them, the only step left is the logical one, make the threat real.
"All great wisdom is contained in .signature files"
only thing left was a small bug fix, and an install script which needed to be completed. As agreed, he delivered the install script, and we made the final payment. Upon testing the new install script we noticed things did not work as intended, Why would you pay without testing? Even if you have a contract in place it would seem you accepted the code as done and made payment. You might have a small chance of winning if you sue.
The better question is what do I not do. I never pay in advance, that's what I do. That way I never hear "My guys are still working on it" and I have no such problems, which--let's face it--you can only blame on your own frivolity. And quite frankly it has nothing to do with "outsourcing" and where are the people who are working for you. Personally I have found on many occasions that people in Central and Eastern Europe can work much better than others in the United States or Japan, and of course a healthier environment for developers is a great plus. The bottom line is that you can find great people everywhere, and you can also find con artists everywhere. If you cannot negotiate safe terms and manage risk while doing business, don't blame "those damn foreigners" and "outsourcing" for that. Blame your own naïvete. And yes, I have learned it the hard way.
Sincerely,
Pan Tarhei Hosé, PhD.
"Homo sum et cogito ergo odi profanum vulgus et libido."
or H1-Bs.
I know of a few small companies that outsource much of their IT because they can't offord to hire their own staff and/or they just don't have the expertise in that area. Also, it wouldn't benefit them at their current stage of business. Where's the outsourcing company you ask - in the same town - using American workers.
This is not a slashdot issue. Just because the people are writing software, doesn't mean it is a technological issue.
This is a business issue. Is my contractor delivering? What do they have done? Ask to see it. What milestones have been met, and what is being done to resolve the remaining issues? Perhaps your agreement with the outsourcee needs to be rethought, it sounds like it wasn't planned very well.
I have absolutely ZERO experience in outsourcing and writing scripts as a job, and ZERO experience in managing a business and relations. These are obvious answers to obvious questions that do not belong on Slashdot.
If you just tried to save a buck by outsourcing, then you deserve to get burned. You are just jumping on the outsourcing bandwagon without making sound business decisions. There is a level of control lost when you outsource something. You sound like you have no method of feedback and reassurance. Shame on you.
-- Having a Creationist Museum is like having an Atheist place of worship
Maybe anonymously, to avoid getting sued. Nothing quite as rewarding as turning all your hard earned capital over to someone who was incompetent, you whine publicly about and then lost a defamation suit to.
I knew we had a bad one when the guy came in and and had been given a week to do some conversion and had been given a simple task I could have knocked off in 5 minutes. They guy claimed to be profficient in C, but borroed my K&R book and a week later still hadn't got it done. Contract cancelled, no check issued, guy led out door, executive announcement we would no longer do business with that company (they directly called our AP dept and sexually harrassed a clerk, suggesting she pay them.)
A feeling of having made the same mistake before: Deja Foobar
That's our life, the big wheel of shit. - The Fat Man, Blue Tango Salvage
It sounds like you've been ripped off in more than one way.
First, you aparently don't own the code that was developed. Even if someone does give you the source code, you need to make sure that you are able to modify it as you please. Quite a few contractors have pulled this over the years. They will deliver a product cheaply, then charge much higher rates for upgrades and fixes. Beware of a bargain price on software you won't own.
Second, you issued payment without verifying the completeness of the deliverable. If there are problems with the install script itself, how many other problems will you find once it is installed correctly? Just because a product has been delivered, does not mean that the contract has been fulfilled. Once the money is out the door, it almost never comes back. When a contract goes bad, would you rather pay for the product as well as legal fees to get that money back? Or would you rather pay the legal fees instead?
300,000 $ = 100 engineers. 1 engineer = 3,000 $
100,000 $ = 100 india engs. 1 ie = 1,000 $
200,000 $ = 200 engineers. 1 eng = 1,000 $
each eng here will survive with the same salary as in India? I think not. The manager will get 50,000 $ in bonuses, and the VP the other 150,000 $. everyone wins, if by everyone you mean the PHB and the VP. ah, and the stockholders won't see a dime, too.
It's better to be the foot on the boot than the face on the pavement. ~~ tkx Kadin2048
Maybe you should think about using an Escrow service next time.
In your contracts, tie the vendor's payment to specific milestones and measurable quality criteria for each milestone. There should be several milestones over the course of your project, depending on the project's length. Withhold payment if they don't meet the contractual agreements. They will have a vested interest in getting the project back on track if their payment depends on it. Make sure your contracts are written carefully to ensure they are motivated to keep you on schedule and meet the quality levels that you define. Don't be shy to explain in detail exactly what work you need and how you will measure the quality of that work in the contract, because it will discourage any vendor from signing the contract that thinks they might not be able to meet the bar you set. Also, don't fall for "time and materials" contracts, because most of the time that shields the vendor from any responsiblity of failure. They get their money as long as they do some work and have no vested interest in ensuring the project succeeds or finishes. They can drag their feet and then ultimately fail and walk away, and they get their money, but you're stuck. Hope that helps you...
The good news about being out of country is that the price is inexpensive. The bad news is that, if things go sour, you have almost no recourse or leverage.
Finally, next time I can only recommend you take this guy's advice. I realize that may not inspire much comfort now.
Skip the lawyers and all that bullshit. Just fix the problem.
Get a good debugger (eg, Soft-Ice) and unpeal this Source Guardian thingamajig. If the script is trully a script, then it's in there somewhere. And most of those src code protection mechanism aren't very adept at hidding it from someone who knows how to use a debugger.
Then never do business with that company again. And make sure you don't pay for stuff that's not delivered to spec.
Put the pressure on right now, seriously. Then never, ever work with them or any other outsourcing company that "protects the source" by wrapping it up somehow.
I've worked with these "reputable" outsourcers before. Really, there is a crop of programming companies that have turned up in the last few years that make the 15 year old outsourcing companies sick. I've been in a position where I had an internally modified GPL source, needed a feature added, and when the CTO decided to push that work out of house, we wound up with a binary and that's it. And it didn't do what we needed it to do.
The company you're working with has probably been behaving this way as long as it's been around, but this shit needs to stop. Lay down the law and pull out, as much and as fast as you can. There are reputable companies who do this kind of work. However, it is almost always small companies, which also release real products that will get you the best result - like Omni, who makes OmniWeb for the Mac, also was well known for being outsourced to for game porting. Look for someone who also makes a product, then you'll have found someone potentially worth working with
> At what point do you consider they may have just ripped you off, and how do you > know when to file complaints and withhold payment?"
/. questions, there is missing info. For instance, we're only hearing one side of this. Maybe the poster didn't adequately state his requirements. One thing is for sure: Outsourcing is dicey for both parties, and arguably more so for the contractor than the customer.
Like many ask
Assuming the contract was straightforward, and the guy still owes you work, just threaten to sue, like you would with any other contractor who's trying to wash his hands of something without fulfilling his end of the bargain.
What I'm getting at is that there is a common trap here: requirements statement being vague. Contractor takes the job, occasionally unwittingly, and ends up needing more hours than expected. Buyer underestimates the effort needed to fulfill his expectations, and, maybe unwittingly, underestimates the actually required cost.
In either case, the contractor is screwed because he took the job. And often, you must, if you want to eat - because the way things are now, there are 1000 other jerks who will underbid it, because 1) they're better than you 2) they don't grasp the true scope 3) they are predatory bastards.
Why? If there is a much better worker in India, why prevent someone from hiring them?
except my friend was smart enough to whithold payement. There are tons of people out there who just scam you, ask for money and never actually do the work. Or they do it half assedly.
Outsourcers have no vested interest in the long-term success of your project. I've spent the last 4 years recreating a product from ground up because the original product that the outsourcers built sucked. It was so hard to use and error prone that it hurt the reputation of our company, and cost us a lot of money.
We almost missed the market window because of this failure, but the company put together a team of domestic programmers, on salary, who want to see the product succeed, because it is in our own best interest. We started from scratch and built it the right way, and it has entered the market successfully.
I'm sorry, but I really don't have any sympathy for you. Maybe next time you'll create jobs for domestic programmers and they'll give you a product you can actually sell.
easy enough
Reality is nothing but a collective hunch.
Our company went with this option. Vinnie has taken our check but has yet to extract vengance. Inquiries into the matter via his secretary get the reply "I'm working on it."
___
It's the end of my comment as I know it and I feel fine.
You deserve to loose your money. You outsourced you deserve to have your job sent over seas. I have one thing to say to you lol.
The best bet I'd say is talk to your lawyers and review the contract. But you made several mistakes.
1) Always test the application yourself from compiled code. Its too easy for people to code to pass tests.
2) Always have source code. Always.
3) The final version should be compiled from source code.
4) The code should be reguarly reviewed by your staff for errors and suspicious code. NEVER give someone else access to your network.
Outsourcing is a real Pandora's box.
"The Sage treasures Unity and measures all things by it" - Lao Tzu
Read the contract, read the deliverables, read the deadlines. If the company didn't deliver what they were supposed to in the time provided, then ask for your money back or give them a new deadline and tell them in no uncertain terms that they need to meet that deadline or they will provide a refund.
I don't think the offshoring outsourcing has much to do with it. Bad developers and businesspeople can be found everywhere.
JoAnn
Everyone else has talked up the legal options, so allow me to point this out: The author of the software package (that recommended the rip-off firm) probably has more of a reputation to protect. Ask him to make this situation right - either by fixing the bug, or applying pressure (loss of future referrals?) to the consulting company. Threaten to name the HIM here in Slashdot if he won't help you - he may respond better than a consulting company an abstract name.
- The Kessel run is for nerf herders. I can circumnavigate the entire Central Finite Curve in a lot less than 12 parse
Make a stink with the company that referred you to the outsource company. Don't assume malice on the part of the vendor, keep working with them politely and insistantly. Try to get a full source release from them if nothing else.
Bottom line is you screwed up by paying them before they were finished. Never pay any contractor off until you are sure the goods have been delivered, you have no better leverage than an unpaid bill. Might have been an expensive lesson learned.
Do ever go back to them for return business, or at least until they have a change in management, and openly tell people about your bad experience with them.
But for the next time you will need to determine the contract more carefully. The Outsourcing company wants to be paid hourly with no limit, this way they feel that they can afford to get the project done the right way without cutting corners.
Most accountants like buying outsourcing at fixed costs because it prevents the Outsources from turning a small project into a huge one and it makes it easier to budget. But it forces the outsourser to be cheaper in their design because they need to save money so they make a profit, and if the project is overdue the oursourcers are loosing money so they are trying to getaway with whatever they need to do to finish it.
I would ask for them a Quote first, contract them hourly at a rate to until they reach the quote price, then reduce the rate a lower price (Try to aim for "at cost" for the outsourcers) to around 20% over the deadline. Hold the cost of the price of the quote until the project is completed.
That way the Oursourced people are motivated to get the project done on schedule (Because management hates offering at cost work for someone who can have there time placed elsewhere) But at the same time the outsource people are not loosing money on the deal and will be less likely to sacrifice quality to get it done, because they can still cover their costs. And the Majority of the cost which is the quote you hold that money until you are happy with the work as the extra bargaining chip. Good nogeations is when both sides are equally unhappy.
If something is so important that you feel the need to post it on the internet... It probably isn't that important.
If someone can do the same thing, but cheaper, that is a lot better. When other considerations are held steady, cheaper is better when it comes to deals (where you need to pay for something).
outsource to another company to make a crack for source guardian. Its genius.
NJ Local Music Scene
The 3 letters that management are just now starting to understand are : TCO. Total Cost of Ownership isn't something that comes from a single ledger in the bean counter's office. It's often learned the hard way by unexpected costs like the cost to fix mistakes or the loss of important clients or businsess deals. When an out-sourced company/individual does a poor job because you spent the least amount of money possible, the return on the investment is low. ROI are 3 more letters. After a while, the executives in charge figure out that investments are tied to ownership.
I think the outsourcing epidemic is abating because of the backlash to the off-shoring. The two are different but have become synonymous. I think both are a trend in which companies experimented and won and lost. It works for smaller companies who can't afford their own IT department so they can hire a company to provide a level of service they cannot match themselves. Conversely, it might be considered a step down for a fortune 500 company to look to a start-up company to handle their enterprise level needs. I might be generalizing a bit, but it works for some things but not others. For example, Janitorial staff might work but IT desktop support probably might be a bit more difficult. I think the outsourcing option might not be on the table when/if the economy improves.
I might know what I'm talkin' about, but then again, this is Slashdot...
Sorry for posting this AC..... They fired all the techs, leaving 2 people to cover a hospital 24/7. (hint there are 168 hours/week).
The first manager they hired got fired. Seems when he left he took some computers with him, roumor has it, to finance his drug habit.
Investigation still in progress.
then you deserve what you get. seriously, next time put something in your contract that says things have to be delivered to work as proposed. then you need them to show you that they checked it out. otherwise the fault is yours.
On the other hand, Igo Kutchyakokov is reserved for over seas operations. He works with a marvelous Japanese Italian negotiator, Makya A. Soprano, related to the New York City and New Jersey Soprano families.
"It is a greater offense to steal men's labor, than their clothes"
It was obvious to them that you didn't care whether or not the product worked, so they had no incentive to produce anything. They already have your money.
Just yesterday I was talking about a similar situation with an ex-coworker. No publishing house would issue a manuscript without copyediting, fact-checking, and running it by the legal department. That would be a firing offense. But in software everything is expected to work the first time without error or even any communication with the contractor about specifying what the product is actually supposed to do. If those managing even bother to look at the product, it's exceptional.
If you still have your job after this debacle consider actually hiring someone in America that has experience developing software and will have the professional stature to tell you when things aren't working and when the specifications aren't clear. Yes, you may end up paying more. But if you're actually concerned about a working product you need to take the responsibility of what's necessary in personnel and resources to produce it.
... you paid before testing it.
There is. That is why there is outsourcing.
' I do not support slave wagesin other companies '
Slaves do not earn wages, as they are owned: your statment is contradictory. There is no outsourcing to Indian slaves.
Do you work for the FBI and is this about the SAIC outsourcing contract to build the virtual case file system?
So, you authored a script and then GAVE UP OWNERSHIP OF THE CODE TO THE CONTRACTOR ?
If this story is remotely true then you were very foolish indeed. As others have said, you need concrete acceptance criteria.
This story has nothing to do with outsourcing per se. The mistakes you made could just as easily have happened if you had been as lax with a US contractor working in house.
I strongly suspect this article is an attempt to discredit the practise of outsourcing. The biggest problem I see is with your common sense.
-S
I know it's all over this thread, but YOU PAID THEM BEFORE YOU TESTED IT??? AND WITHOUT ANY SOURCE???? So.... do you need another outsourcing partner?
Rule #2
Test the software they've given you before you pay them.
You might get lucky, they might come through, but at this point you've lost control and are unlikely to get it back.
Things you could do are imply possible more work as a carrot, or offer a premium for the source code, or pull out the stick of a lawsuit, publicizing your experience, etc.
But those are long shots.
Complicating this is the possibility of it all being international. I know lots of posters are assuming that but outsourcing doesn't require this, it could as well be to some shop down the hall, next building over, whatever. If they're outside your jurisdiction then trying to sue 'em won't be worth the distraction & costs, write it all off as a bad investment and get to work on replacing the code.
Clearly what does need to be done is your folks getting your outsourcing strategy in order. As everyone has pointed out you were fools not to require clear source, not to test the product before paying for it, for not for having an explicit resolution policy written into the contract.
My advice would be in the future to work through a reputable 3rd party who does know this stuff. There is no end of middlemen who have boilerplate contracts, service guarantees, and extensive rosters of coders. The overhead they'll add is far less then what it would cost you to do the same.
The caveat with the 3rd parties is again, getting locked in. Make sure that if you do find a good vendor(s) you can eventually form a direct relationship without paying the 3rd party in perpetuity. Make sure to read all of the fine print, for all parties, before selecting anyone.
Good luck, and learn this lesson well.
I don't read ACs: If a post isn't worth so much as a nom de plume to its author then I wont bother either.
He said "Software Engineer!"
;)
If you don't get it then ask a real engineer what they think about that
Ask for your job back?
I don't think so.
The Tlog - a technology blog
Laugh and charge them 2x the amount you were going to when you were fired! :)
say it brother. those Indians (along with other arabs) lack a "hard work" or "honesty" gene. not only that, they a dark brown, like they never take baths.
And I hate it when people accept the notion of free market and competition only when they are on the winning side.
So which nation is it that doesn't act in its own self interest? India has laws saying that if you're going to be a foreign company on Indian soil, you hire native workers. China counterfits everything from American brand names to American currency within its borders.
Boeing protects itself from competition by getting the standard for US runways set differently than Europe.
The Philippines has a growing call center business, but charges 50%-100% tax, plus fees for imports to the country.
Why do you think that any country should agree to be on the 'losing side' of a deal if they can avoid it?
___
It's the end of my comment as I know it and I feel fine.
OK I think that no matter how you feel, you should demand answers NOW. Demand the unfinished script, and next time you sign a contract, include a license that gives you full access to non-encrypted copies of all the scripts, and that these copies (not the original scripts themselves) remain your property and you can do whatever you want with them (with exceptions of publicly distributed scripts i.e. GPL or LGPL licenses and such).
Closed source is poison. An uncle of mine hired a company to do some website for him, but he doesn't have access to the files (not even the PUBLISHED files on the host).
Also, was there a time-limit specified on the contract? Can't you sue these guys for non-fulfillment of contract or something?
good grief, like 2/3's of the comments here are rants about paying people in another country to do your work or claiming that the poster is screwed because he did business with a company from another country. he never stated where the business he asked to do the work is located. it's possible that they are in the same city. (of course, they might be in india, but nobody here knows that, you're all jumping to conclusions.)
there are a lot of companies that need programming work done from time to time but don't see the need to pay dedicated programmers full time salaries. there are also companies that have dedicated programmers, but occasionally have more work at one time than their in house staff can handle. i've done work for both types of companies before- sometimes they were located only blocks away from me.
anyway, that being said, if you had a contract, and it specified that you wouldn't pay until the work was complete, you should first try and stop payment with your bank if it's not too late. if it is too late, i would get a lawyer on retainer, and notify the firm of that fact. sometimes just knowing that will be enough to get them to cooperate with you. if not, then you've already taken the first step towards either getting your working product or getting your money back.
and it may be too late now, but for future reference, never sign a contract that doesn't give you the source code. now, even if you resolve this issue with your provider, you are stuck going back to them for any future modifications....
If I don't put anything here, will anyone recognize me anymore?
I've been a dev on a project that had been outsourced to india and went terribly wrong.
You can stop paying as soon as possible, but i doubt you'll get any money you already transfered back.
Instead of listening to that "my guys are working on it" tell them that you won't pay them any more and other guys will fix it. If your project is any like ours you will end up trying to fix it first, rewrite it later. Maybe you'd better rewrite it in house from the beginning.
In short:
- Get it over to your country as soon as possible
- you are pretty much fucked for what you've paid already
- think twice before outsourcing again.
Disclaimer:
- I'm not usually a anti-outsource troll, just felt compelled by the post. I live in europe where i suppose it's not as much of a problem.
- I am sure there are decent indian software company's, I am confident that our customer just ran afoul of the wrong one.
Artists against online scams http://www.aa419.org/
I say we form a counter insurgency squad. We learn how to speak broken English Indian style. Then the plan is to offer our outsourcing services for say: totally upgrading an enterprise application for pennies on the dollar. We can take a 10K deposit or better. When they call to ask where their software is we simple inform them that the Great God Ganesha has decree that I cannot write code for another six months, sorry
Winning back America one job at a time!
You should check out http://www.sitepoint.com/ for contract and legal tips dealing with web programming. They even have a newsletter about it.
Let's face it many ASP's in this country are unreliable, incompetent or downright dishonest. The ones overseas are even worse, and there out of reach of both the US legal system and 'Icepick Vinnie'. Anyone who trust the offshore companies, even the big ones like WIPRO is just palin nuts I think. I've done tons of work on messed up outsourced coce, so this opinion is based on my experience. Wouldn't necessarily trust US companies like EDS or whatever either, but at least you could drag them into court, can't realistically do that to overseas comapnies.
The only fair market is a free market: a system in which the people making the deals decide what is fair or not.
' In the case of outsourcing to India, this is simply not true '
That is both free and fair: the employees and employers are free to decide whether or not the deal is fair, and they make it (or not).
Learn from it, and capture that knowledge somewhere for future procurements. Management 101 - plan what you will do, do it, check the results, take action to correct deficiencies. Your organization needs a Procurement Management Plan that outlines what types of contracts will be used (FFP, T&M, etc), how estimates will be done, and so on. As well, invest in training for your management team. You need capabilities in Contract Administration, knowledge of Contract Law and industry best practices. There are other reasonable ideas in other posts. I am both a contractor and I hire subs on occasion. It can be done well if you take care.
Please I haven't seen any Indians who can do my job better than I. In most cases it isn't as good, however they can work 5$ an hour I can't. So even If I can do the job of 3 indians, it's still cheaper to hire 4 or 5.
.... etc. etc.
..... band wagon.
Thing is with American middle class losing thier jobs who will buy Overpriced American products ( they stay overpriced because the CEO's must still make Multi-Multi million dollar pay checks)
I don't see Indian Programmers making $5K a year standing in line to buy $2000.00 MayTag fridges and $30,0000 ford/Chevy/dodge SUV's
We are already seeing the short sightedness of all this Look at the stock market it is contiually weak, in spite of the fact that we have been in a 'recovery' for 3 years. Why, because consumer demand isn't as strong. Well when you are destroying good jobs and replacing them with lowing paying jobs, people are not rushing out to buy non-essential crap. Add rising health insurance rates which no one in the US wants to do anything about.
If the Indians think they are so great now, just wait, there is No great love for them here in the States, As soon as the Chinese or Africans or whomever can do the job cheaper, the Indians will be left with a bunch of vacant Call Center/Tech Centers and rising unemployed middle class. What will they do then, Nothing they have nothing to sell anyone wants other than the fact they were cheaper, for a while. To boot they will have left behind some major bad will on the part of the American public....
All the 'Free Market' fans here (everyone is free market till they lose thier job, house etc....) will be on the Chinese/African
There is No such thing as a free lunch or a free market someone has to pay......
So Long and Thanks for all the Fish.
I would be surpised to find that contract boilerplate does not exist for these scenarios, but here is what I think my general (oversimplified) guidelines would be:
If the script was some sort of feature unique to my business or processes, I would contract to own the source.
If the script is for a general feature that the developer wishes to maintain as an offering to other customers, than the contract should be written as though you are sponsoring the development of the feature (1.e. lower price)
If the situation is somewhere in between I would negotiate source escrow for specific deliverables/metrics.
But in regards to your current situation, continue to request his attention to your concerns. If that fails, request the source. If all else fails flame him all across the web.
I don't think I've ever heard it discussed much, but distributed flaming/shaming (flashflames) could someday be an effective punishment. It sounds stupid, but I'm sure there are employers out there googling prospective recruits/contractors.
I like to think of us as one of the good guys. We try to do what's right for the client every time, not necessarily what's right for our bottom line.
At what point do you consider they may have just ripped you off, and how do you know when to file complaints and withhold payment
If you're asking yourself that, it's time to withhold payment and start addressing your concerns. I would recommend an e-mail to them, then a third party arbitrator, then court.
And some of these points have been mentioned here but this is my general advice when it comes to outsourcing:
1. You get what you pay for. We've been told by our clients that we charge nearly 3 times as much as some of our competitors. We've also been told that it's worth that to them to know the project is going to be done on time and to spec.
2. You own all project collateral, and payment is contingent on receiving it. This should be a contractual agreement before work is started.
3. Requirements should be clear and measurable. No requirements should be implicit.
4. Most outsourcers right shitty code. The Gartner Group estimates that 90% of the cost of an application comes after its initial release. Writing good code can greatly reduce that cost. But the economical reality is if I give you a project estimate that costs 4 times as much and will take 150% as long as the other guys, you are more likely to accept their contract. Even if, in the long run, you'd probably be better off going with us. How do you mitigate this risk? Meet the developers, talk to them, understand their viewpoints. And do code reviews. Unfortunately there's no objective way to say that a piece of code is good or not. However there's no reason you couldn't make it a contractual obligation that their code has to pass an internal code quality and standards audit before payment.
A good outsourcer will require you to sign an End User Acceptance Test Approval or some such document at the end of the project; if they don't, require that they do. And don't sign it (or pay them) until you're satisfied that all project collateral has been received, that all the requirements have been satisfied, and that the code passes your quality standards.
You would be surprised how many times we bid on a project, lose it to the lowest bidder, and then a few years later hear from that same company again because the relationship went south and the person's code is completely unmaintainable. Many times they end up paying us to rebuild the app at that point...
I am disrespectful to dirt! Can you see that I am serious?!
Does this mean that it is "unfair" to hire someone in Kansas, where the cost of living is much lower than New York City?
I just completed a contract for my ex-company.
We had an "acceptance" day, where I showed up, they had nothing ready and I fiddled around, made everything work and then showed them the bit I wrote.
It worked flawlessly, on their gear, on their machines at their location. They paid me days later.
It's my opinion that having the ability for the developer to show up and get it working in place is worth any saving you get by sending it to India.
Call me old fasioned, but I think having someones ass to kick in the same country is worth something.
First things first, do you even know anything about software project management ??? Who in his/her right mind will give money BEFORE accepting the delivery of goods/services ??? Why didnt you do the acceptance testing **BEFORE** making the payment? .
You say that they have taken advantage of you, no its like stealing a lolipop from a kid !
If I were your manager, you would have been fired for this serious lapse !
Get it straight - you make a project plan, you spell out the deliverables, you make clear (and accepted by the outsourcing company) the acceptance criteria. You satisfy yourself that the code is running as per acceptance criteria. You should have negotiated a guarentee of code for a few months (not all bugs get caught despite the best efforts) and last but not the least you dont deal directly with an offshore company, you deal with a US based company (who internally deals witha an offshore unit) so that you can catch them by their neck if anything goes wrong
Hope you learned your lesson.
I laugh.
If the quality of the work is the same, but it is much cheaper, it is a much better deal. There is no way around that. It is not an assumption: it is math.
the goatse guy that MAY be a clue that you've been f*cked...
"At what point do you consider they may have just ripped you off, and how do you know when to file complaints and withhold payment?"
When you first write the contract and define the milestones and deliverables.
I don't have an accent, either. Ask anyone, and they will honestly tell you that they do not either. It is always "the other guy" who "sounds funny."
You did not test the script before paying?
I, for starters, wouldn't even pay just for noticing the use of source guardian on MY script! geez!!!
Read this guys? NEVER trust ANY supplier before 50 satisfactory deliveries.
Overseas compensation? geez! give me a break! how much should THAT cost YOU?
Sorry dude, youv'e just learned the hard way.
c.c. mom (hi mom!)
Why? How can it have any thing to do with any thing?
If you want to outsource work, you cannot just count on people that the stuff that they send works. You should have witheld the payment until you checked the quality of the work. Now that you've sent the payment it's over. Next time, have a good quality verification process before payment is made. You should put this in your statement of work and make it clear that they won't get paid until this quality test has been completed.
Everyone here is talking about how you should stop payment immediatly and sue.
Both of those options are wrong without knowing all the information and without being a lawyer who may know a thing or two from going to school for so long. What is important here is what the contract says.
1. What country/state/municipality is given jurisdiction over the contract? This is otherwise known as the Governing clause and it should be in every contract. Then the laws of this location need to be explored in terms of what legal redress there are.
2. How does the contract stipulate payment occurs? If it stipulates that you pay on final delivery, you do not stop payment. If it says you pay when the software is in a state that is satisfactory to you, you may want to stop payment.
Why does number 2 matter so much? It may not be legal for you to stop payment on the contract. This depends on number 1. In addition, your stopping of the payment may make YOU in breach of the contract, and it may ultimatly mean the other side burns you.
3. What does the contract say about faulty workmanship? Usually the person who wants work done will stipulate what satisfactory code or work is. This means the person you are paying will be required to fix the code free of charge in a timely matter.
I saw someone suggest to email them and patiently ask them for a schedule and spit the contract back out at them. This is probably the best course of action, but then again it depends on what the contract actually says.
What you really need to do above all else is talk to a lawyer and have them read the contract you signed. That is your first step once there is a problem.
... you use leverage.
Your most likely source of leverage is contractual adherence. What does your contract say?
Use absence of language and ambiguity in the contract to your own advantage.
While you may not be able to threaten the company with a lawsuit, you can go back to the company that referred you to them and give them negative feedback, as well as to others who listen. That could affect their future business, in which case you may be able to attract their attention and fix your current situation.
I'd say that posting a question about it on slashdot is your first clue something is wrong.
Wait... maybe thinking to turn to SlashDot for answers is your first clue that something is wrong with your management strategy.
If the bug is not a show stopper, ask them to unlock the source in exchange for a final handoff. You get your final (which isn't) and they walk away with the money they took already.
If the bug is a show stopper, you have to see how much you spent so far and how much will cost you to fight it. The cost of fighting them over it may be higher than what you paid for the whole thing, so you may just have to take the hit.
I was in your spot at my previous job quite a few times. We tried it all but eventually in each incident we ended up pulling the plug, grabbed whatever we could recover from the project and walked away.
As for the outsourcers, don't worry about them. Eventually they will mess with someone big enough and they'll get bitchslapped for good. It is only a matter of time before they try to screw with a company big enough to have in-house counsel.
Pedro
----
The Insomniac Coder
You should have had a FQT (Formal Qualification Test) requirement in the contract. That means there is a document somewhere that very clearly qualifies what tests the software has to pass before the contractor meets their last milestone and gets paid for it.
Usually, representatives from the contractor and from our company get together, have a demo, and check off every requirement as it is demonstrated. Then everyone signs off on the document and we cut them a check.
It would be totally worth it to fly a rep from the Chinese company out to the States to follow this procedure. I've dealt with lots of Chinese people in my career and they tend to be strongly opportunistic and legalistic (but only if being legalistic can help them). It's just how their culture is. If you don't do anything to withhold payment until you get a working product, they'll think you deserve to get ripped off.
"The advanced societies of the future will be driven by competing systems of psychopathology." -JG Ballard
Contractor: "Well, you asked for code, you paid for code. OH, you mean you wanted *working* code! Well, you should have asked for working code... that'll cost ya extra."
To prevent getting ripped off, structure your payments in a written agreement, like this:
50% at delivery
40% at one month after delivery
10% at 90 days after delivery
Specify in the payment agreement that the 40% and 10% amounts can be withheld for longer periods, at buyer's sole discretion, if flaws are found and until those flaws are resolved to buyer's satisfaction.
Many companies are willing to accept graduated payments that cover their up-front costs upon delivery, overhead costs with net 30 days, and net profit within 60-90 days. They won't like it, but most will accept it if it means getting the work or losing the contract opportunity.
Best of all, if they screw up and won't fix it, at least you have a little money left over in the budget to pay someone else to perform first aid.
Final caveat: always put in a clause allowing for disputes to be settled by an arbitrage firm, with the costs to be divided by each party. Most firms would rather correct problems than pay for half of an arbitrator's expense, even if it means hiring a competitor to mend their own defective products or services.
"He who throws mud, loses ground." - proverb
A lot of these comments have whizzed by, but you need to take a page from OTHER engineering on construction fields when you pick a company to outsource to.
1) What is their experience (how many years they been around) and reputation (do you have references)?
2) What is your access to the work and resources?
3) Can you evaluate their work independantly?
4) What contingencies does the contract provide you if work isn't done or doesn't meet your needs?
5) What payment schedule is provided to you?
6) Who can you talk to when you have business as opposed to technical issues (accountability)?
7) What are the deliverables, and who owns them?
ANYONE that takes cash upfront to do work I'd be wary of. The cash is your ONLY bargaining chip unless you are willing to go to court.
If you pay someone to develop something for you, YOU own the code.
You should have secure and free access to anything developed for you, and that includes the right to walk into their offices (homes) and demand materials. You have, after all, paid for it.
In big outsource projects (fixed cost), companies often hold back payment 40-40-20. That means a cost is agreed to, 40 percent is paid up front for the resources, 40 percent during the estimated duration, and 20 percent for completion.
In smaller ones, that are usually time and materials, unless you know the developer/shop is reputable, it is best to work ok similar principles - that is give a retainer to start work (if they accept money to start they are legally bound), and after you figure out the hourly rate - you withhold some portion for completion. The alternative is NOT to pay biweekly or monthly (based on hours), but to pay by function points. That is, they can bill you when they provide you with a deliverable.
/\/\icro/\/\uncher
The problem with your gloom and doom scenario is that we are not using up anything. Once a resource becomes scarce, the price goes up and a substitute is found.
... you funded someone else's development. If you didn't conctract for full ownership of the result and all the source, you're just a funding source.
Success in outsourced development is strictly tied to the quality of the contract and to your oversight of it.
Good luck, but you're going to court and that's gonna suck.
This is just a simple contract dispute issue. The manager botched it, either through having a bad contract, or not properly following the terms of the contract, or not following up on remedies given in the contract.
If the contract doesn't have a section about what to do in resolving disputes, then the manager (or whoever hired them) only has themselves to blame. If it does, you simply follow the steps in the agreement.
It a shame there is all the knee-jerk reaction of "India and China are teh evil". Globalization is not the same as outsourcing. Pretty much every big project, from software to home building, involves outsourcing (contracting) of something. It's a fact of life: deal with it people.
frob
//TODO: Think of witty sig statement
Pay them only upon successful completion of a predefined stage of the project. Let them know that the next stage hasn't been awarded (i.e. they don't get compensation) until the previous stage has been approved. Be firm.
This allows you to verify that they are adhering to the timeline, you can evaluate the work-in-progress, and your risk is minimized. It should be immediately clear to them that they benefit by your adherence to a payment schedule, they can make sure you give reasonable evaluations (minimizing project creep), and their risk is minimized.
Of course, these are the ground rules you set at the beginning of the project.
I want to help you. I'm going home now, and tomorrow in the morning, I will check my e-mail again. I'm not from India, but I don't want people to be "bitten" by bad outsourcing experiences, as it hurts *my* business too.
It's better to be the foot on the boot than the face on the pavement. ~~ tkx Kadin2048
Outsourcing is the devil. Don't export jobs, a lot of the times, you get shitty work.Please keep the jobs within the borders.
Reminds me of the time I tried to order a pizza:
Me: I want a pepperoni pizza with thick crust.
....
Guy on phone: Xrefg? Xrefg zuzug xxf?
Me: Never mind. Just make it the daily special.
Guy on phone: Mubbud xuf.
Me: The address is 123 Mayfield Street
Guy on phone: Zuzug quug? Dsbypp? Foo!
Don't blame Durga. I voted for Centauri.
Not much to go on in your description.
Did your contract specify source code?
Did the contact specify this "source guardian" app?
Did you have a contract at all?
Why did you pay them if you hadn't tested the software?
Is this someone or a company?
Can you sue them?
Simple: They have your money.
Q: How does a buy-here-pay-here used car salesman tell when he's dealing with a sucker?
A: The person walked onto the lot.
Q: How do you tell when a lawyer is lying?
A: His lips are moving.
Q: How do you tell when email is spam?
A: It says it isn't.
I know this is kind of a matter of closing the gate after the horse has bolted...but next time, make sure you specify major and minor milestones, and not just the option of withholding payment, but write financial penalties into the milestones. If we're late on a delivery, our company has to deduct previously agreed amounts from our fees...If we continue to be late, we can completely erode the profit in the project. You'd be surprized how many software development contracts are structured this way.
You can pretty much kiss the money goodbye. Let this serve as a lesson that payment should NEVER be made until product received and tested per prior contractual agreement.
If this in fact was outsourced to a firm in another country it will be damnably difficult to get your funds.
Never be afraid to beat up a vendor contract. I found this out a few years back. You'll be surprised how much more flexible a contract comes the higher the total cost of the contract.
the author hasn't made it at all clear which country their firm is located in
Business schools train their bachelor's level students to know the legal requirements and options of their own country. Presumably, if the original poster was dealing with another business in his own country, then his manager would already know what to do to remedy the situation and we wouldn't be here writing about it on Slashdot.
From that alone, I think we can reasonably imply that he's using a firm based in another country.
"Recently we have been referred to an outsourcing company to finish customization on a script that the author had no time to complete..."
(a) the person(s) who did the referring should be notified, so that they don't try referring other projects into the same fate.
(b) if you paid the original author the money that you spent on outsourcing, he probably would have *found* the time to complete it. One likely scenario is that the original author got annoyed with you or your company management and just plain left.
(c) why on earth would you have allowed it to be shrouded/obfuscated? work for hire should be delivered in source form.
(d) you specifically called it a script not a program. this gives (me at least) the feeling that it wasn't a very ambitious or important project, more like a proof-of-concept that got blown out of proportion. if it was intended to serve a real business need, it should have been taken more seriously.
(e) it's sounds like you're less interested in getting the script to work than you are in getting your company's money back. the thing is, the lawyers will charge $250/hour, so it's probably best to just chalk it up to experience, let your manager chew you out for screwing it up, and accept the lessons life has taught you.
You stand back, and laugh like a monkey at the SUCKER who trusted his livelyhood to cheap, outside help.
The lesson to be learned from outsourcing:
If you want something done right, do it yourself.
If you want something done cheap, then ask yourself if you REALLY want it done right.
These are my friends, See how they glisten. See this one shine, how he smiles in the light.
With ANY type of work done by an outside party, you need to have a clearly defined contract that specifies when payment(s) will be made and under what conditions. This needs to include such "trivial" things such as specifications on exactly what the software is supposed to do and penalties when it doesn't do them. I have been under such contracts (writing the software) and wrote such things (when outsourcing to another company). They're reasonably complicated, long, boring documents. But without them, you get fucked more times than not.
Money is the only thing you can hold over contractor's heads. If you don't use this leverage from the beginning (with a well-worded contract/specification) you WILL be hosed.
And what the hell are you doing paying them before testing is complete? Stuck with a product that is useless? Sounds like you have no business doing any sort of development work. Period. Do you pay your car mechanic when he hands your car back to you in 200 pieces?
If you don't like hiring Indians, then do not hiring them. It's that simple. Make your choice. but do not force your choice on others. Let each person involved decide what is "fair."
has nothing to do with a country, or its borders.
The term you're looking for is offshoring.
I was a lawyer for years advising high tech clients. I must have said a million times: all work to be done must be specified as milestones in an appendix to the contract; all payments to be made on YOUR testing and acceptance of each milestone.
They never learned and always came back later whining about their problems not having followed any of my advice. I got sick of them so I quit. Some things just aren't worth the money no matter how much it is.
Some advice: lawyers aren't an outsourced magical fairy, ok? They give you advice. Use your own brain to make it happen. These techies piss on anyone who doesn't secure their SERVER but THEY dont bother securing their BUSINESS DEALINGS!
The problem with going public specifically to defame them could land you in court.
I had to do this about 2 months ago. My hosting provider had very bad support. I posted my feelings about them on some hosting websites and later that night had all my hosting accounts disabled and had threats of lawsuites for basically posting publicly my opinions of the company, which I guess if you don't have money to defend your self is illeagle.
TruePunk | Games
That's karma, baby. Feel the burn. Enjoy it. You earned it. Learn your lesson and hire people next time around.
Without getting caught up in titles, having local talent is a prerequisite for both doing in-house design and implementation, as well as for doing due diligence on outsourced product. If you're being put in a position of having to screen outsourcing vendors and their product, and you don't like it, then let your upper management know, and get out as fast as you can. Within the next couple of years, the real economics of outsourcing will become apparent to the upper management across North America, because the new-product release dates for everything the outsourcers make are going to lag behind the dates that in-house developement can achieve.
Spending less on development does not equate more money in sales or profit. You still get what you pay for, and that's never been more true than it is in today's workplace.
Less is more.
There is an international commercial code, similar to the US' Uniform Commercial Code. This code has been accepted by the UN, check to see if India has signed on.
It doesn't matter that you have received the product from them (in this case a service). You found it to be defective in a reasonable amount of time and have notified the company.
Basically you need to have your companies lawyer(s) check over your contract for the work you hired out. You do have remidies according to this internation code, but your lawyer should do the work.
Good luck.
My sig left me for a younger user id.
hahahahhahahahaha
Every big company currently doing outsourcing also has private squads of commandos who can be deployed to enforce contracts made with foreign outsoucing firms. They're usually expensed on the balance sheet as "Sund. Explns."
I'm trying to teach myself to set people on fire with my mind... Is it hot in here?
Yep. I'm on the outsource side and we live and die by contractual Service Level Agreements. If we missed a deadline this month, a monetary penalty must be deducted from our invoice at the end of the month.
When people come from the future....
Ok everyone, back in the pile..
Tibbon
tibbon.com
I'll admit that it's been a few years, but the last time I checked, Software Engineers really do not have professional exams the same way say civil or mechanical engineers and are not generally legally licensed. (At least in the US.) There is no software equivalent of the PE exam.
And that should not be all that surprising -- software is a relatively young field and the people who are good at it are often closer to craftsmen than engineers. Heck, even the nature of software is different: When does 'design' actually end in software? While you want the large majority of design to be done up front, it's not really finished until you're done with the code. Would a civil engineer similarly say they're done designing when the bridge is finished?
Even the legal responsibilities are different -- the methods that physical engineers use are fairly standardized and change relatively slowly, in an incremental fashion. How about software engineers? How long as OO development been around? How about rapid prototyping? Let's say somebody gets hurt by buggy software -- do we have enough knowledge for a court to say "the reasonable person would not have used extreme programming here?"
Every software engineer learns by him/herself. You need to interact with a new type of system -- do you pick up the manual and read it or do you wait for an ISO 9001 certified training class? Heck, all good engineers learn things by themselves -- that's why we have things like trade journals and conferences. In fact, I'd argue that engineers have an ethical responsibility to keep up.
All that said, I fully agree that as a rule, there's a huge difference between those who go to some 2-year programming school and those who actually get a 4(+) year Bachelor's degree from a quality CS school.
I've been on both sides of the fence, working as a consultant and as a engineer dealing with outsourced work. Outsourcing can really pay off but you have to follow some simple rules.
1. Generate a clear statement of work that lists everything you want accomplished in unambiguous terms.
2. Generate a comprehensive acceptance test document that exercises all aspects of the product. It should detail testing procedures that can be used by both parties to ensure compliance.
3. Get a good lawyer to draw up a contract that neither screws you or the consultant. The last place I worked, the big boss 'visionary' CTO blew 1.25 million on outsourcing because our contract never actually required them to deliver anything.
4. Maintain good communication and have weekly conference calls between your engineers and theirs.
5. Make damn sure your people know this isn't about replacing their jobs. The consultants may need a lot of advice from your guys unless they already have a good understanding of your industry. Poor attitudes and bitterness can screw up a project beyond repair.
With a clear idea of what needs to be done and what it means to be done, you'll have a much better chance of avoiding problems.
http://www.masturbateforpeace.com/
If nothing else you can learn some lessons from this experience, first of all don't pay anyone until all the work has been completed to your satisfaction and secondly to use contracts which cover these circumstances and which you are confident you can enforce if needs be.
Since you have already paid for this contractors work he has no real reason to do any further work fixing it for you except the benefit of a positive recommendation if you speak to any other of his potential clients. It depends on your relationship with him and the market he works in whether this will give you any leverage.
Since he has sold you a closed source program he may be hoping for some work in the future from you upgrading it or whatever which again can be used for leverage.
Perhaps offering to upgrade so you get the source code as well may induce him to offer you that at a reduced price and finish the outstanding work, he'd get some more cash and you could rescue your work and ensure you can go to someone you trust next time it needs work done to it.
Ultimately though depending on the exact contract you were using a positive resolution is either down to his goodwill or whatever you can force through the relevant courts.
These are spammers we are talking about. Going out of your way to harass millions of people thousands of times? Such punishment is too light. How about one stroke of the cane for every spam sent? Hmmm???
My experience is not quite on the same track, but it has been hellish. HP has been outsourcing it's field engineer force. Over the last six months service levels have been abhorrent. I work for a largish company that produces a complex network application, and we sell the hardware to run it as well as the app itself. We originally were a "Compaq" shop, but, thanks to the merger, are now in the grips of HP. Our contracts for support call for 24/7 4 hour call out. Well, thanks to their new, more efficient outsourcing model, it is often 48 hours before parts and engineer arrive to fix the hardware. And, more often than not, the FE screws it up. We have customers that now refuse to let specific engineers into their premises. yeah, outsourcing is great.
Vote Libertarian for every level of the government in every election. They have the perfect solution to get the Jobs to stay and to come back. That is elimnate all unconstitutional Gov Programs, minimum wage, and they definately balance the budget on Federal, state, and local levels. Remember, it's the Overtime pay, minimum wage, forced benefits laws that are having the jobs move overseas to begin with.
_ __
On top of that, the over taxation is causing them to pay more to their employees, at the same time, they are having to pay taxes to support the Worthless in this nation through double taxation.
Once the Libertarians take power, then there will be more jobs available in this country and people will have more money to spend, until then, this country will go down the shit hole b/c of shitty politicians similar to George W Bush and Bill Clinton that are busy fucking their intern or getting drunk. "You don't think Bush choked on that pretzle, do you, if you do, you're one very naive fucktard". The republicrats don't give a fuck about anyone but themselves
To be honest, I think the Republicans and Democrats are really the same party, their "bickering" is really nothing more than an illusion, so the clueless, naive sheep of this country can continue to be divided, listening to lies that fit their bias "whether it's Rush Limbaugh/Pat Robertson/Robert Novak or Howard Stern/Jessie Jackson/Peter Jennings"
_______________________________________________
For More Information, visit the Libertarian Party's Website at lp.org
anybody who outsources to foreign countries that pay way below the proper wage and gets burned by it deserves it. you were wanting to something for nothing but got nothing for nothing and deserve it.
Thats right - screw outsourcing.... hire local programmers. And if programmers (USA based) would realize that rosy pre-2000 wages they USED to be getting, and start competing with foreign outsource wages, and make it more attractive to hire locals, perhaps outsourcing can be a thing of the past.
It's always best to have less of something, then all of nothing, at least it pays the rent. So, drive a Toyota instead of a BMW...
"...we made the final payment. Upon testing the new install script... "
you reversed those.
The Kruger Dunning explains most post on
The other day a co-worker was reading an article and chuckled at one of the comments: "Outsourcing is like a bad habit, fun at first but it'll eventually kill ya."
I couldn't agree more.
Dead On. My only comment: for those free-traders frothing over how everyone wins with free trade, recognize that the American worker's standard of living suffers greatly in the averaging of equalization, then relies on the global growth rate, which means that in our lifetimes, barring life extension, things look gloomy for most working classes, blue or white collar.
Hey, I'm just your average shit and piss factory.
In a lot of states,when you do 'work for hire' the person paying owns that work.
The Kruger Dunning explains most post on
Dig a hole to China.
"At what point do you consider they may have just ripped you off, and how do you know when to file complaints and withhold payment?"
You been ripped off the moment you got involved with those dotheads. You should always withhold payment to any Indian company, and should not have gotten involved with them to begin with.
An outsourcing company I used to work for (completely US based) had a standard contract that all bugs found from testing would be fixed before each milestone was delivered. Development wasn't going well, so the project manager simply stopped testing. No bugs found, no bugs fixed! Instead of getting in trouble, the manager was praised for "sticking to the contract" and "increasing profits by not performing unnecessary testing."
I resigned shortly after this happened.
My opinion is that if you are going to hire an outsourcing group, you must have both a contract negotiator and a project manager who know the tricks of outsourcing groups. Otherwise, save yourself a lot of aggravation and just flush the money down the toilet.
never tests there own work.
The Kruger Dunning explains most post on
Note: IANAL.
Sometimes the "writing on the wall" is blood spatter...
On the contrary. "Computer Software Engineer" is described on the U.S. Dept of Labor website and makes a distinction between software engineering and programming, which is a subset:
"Software engineers first analyze users' needs. Then they design, construct, test, and maintain the needed software or systems. In programming, or coding, they tell a computer, line by line, how to function. They also solve any problems that arise. They must possess strong coding skills, but are more likely to develop algorithms and solve problems than write code."
See http://www.bls.gov/k12/computers04.htm
So there.
--Slashdot: News for Turds. Stuff that Splatters.
When it didn't work, he shuold have complained all the way up the chain.
Now he screwed the company and the workers.
well done.
Based on the information your manager had, he made a good decision.
The Kruger Dunning explains most post on
Here's my suggestion - choke on your problems and die you outsourcing fool. Oh, that or learn Hindi.
Si tacuisses philosophus mansisses. If you had kept quiet, you would have remained a philosopher.
Give yourselves bonuses, then lay off some US workers. Problem solved. What? You're not an executive?
Slightly off topic, but apropos to the whole idea of "you don't know what you're getting in Bangalore until it's too late." Last week I did my first code review for some code developed in Bangalore by my company's new team of whiz-bang offshored developers. During the pre-coding phase we were quite happy with them. The rumours that Indian developers are great process people are true. They produced the required process documentation in record time, specifications were complete, and there was enough UML to cause several PHBs to burst into spontaneous song.
But now I have actual product in my hand, and I am reviewing it. It's a minor component written for a complex system. A single developer wrote it. It's not horrible code, but not excellent. Slightly above mediocre. It's good enough for other companies, but it's not good enough for ours. So I log my findings and send them off. The next day I get my response.
Except for the suggestion to use more comments, the developer REFUSED to fix anything. Among the things the developer refused to do include: using the company standard API for error reporting; use try/catch blocks instead of those weird BEGIN, END, FAIL macros that were used instead; stop using hungarian notation per our coding standard; etc. The developer even refused to consider the use of constants in place of single-element enumerations. In every case (but the comments) the developer has some stupid excuse ("but that's how I learned it in school", or "but the other developers aren't doing that!")
Needless to say, we are not going to accept this developer's code. But this is only the first bit of code we've gotten back. It's all going to start coming in soon for this one project, and we're sitting here with clenched buttocks hoping beyond hope that this one particular developer is a fluke.
Don't blame me, I didn't vote for either of them!
Xphox, don't worry, the job will eventually get done and you'll love it. My guys are still working on it and it is our top priority.
what you sow : shitty products made by aiming
for profit before the well-being of your fellow
countrymen.
Social dumping does exist!
Coding isn't a linear thing. Sometimes it takes a lot longer to do one part than to do all the rest put together. Sometimes real life just comes up and you have to take a week off to do something else. Sometimes clients get so uptight with wanting to know every little thing that is going on that you spend more time answering email than coding. Also remember that unless you're paying your contractor fulltime that they may have other projects they're working on at the same time so yours may get pushed to the back burner for a few days. Try backing off a little and see if it helps. Nagging and threats should be left until you're pretty much sure the contractor has decided not to complete the job. Usually if they start the project they intend to finish it especially if they can't collect the total of the money until they've finished. Just don't pay more than half in advance.
At what price learning? At what cost wisdom? The price is a man's peace of mind, and the cost is his life.
Sometime between when you receive code obfuscated by Source Guardian and when you ask Slashdot about it.
Can I just ask what on earth you where doing outsourcing product development.
Outsourcing is for your restaurant, your rubbish disposal, office cleaning, any other non-essential work.
Anything that is NOT CORE BUSINESS!
Product development IS core business.
Outsourcing that is just paying to build a competitor.
He can use the material to "revise" the information presented in his most recent book. Follows the time-tested formula:
Someday a Slashdot ID of 177180 will mean something.
Better Business Bureau. I had a friend who went to DFI's tech support to get an RMA or whatever because his motherboard went bad. I swear the lady had some sort of script and didn't speak English. She said, "Just fax us the serial number." My friend replied, "I don't have a fax machine." She said again, "It's ok, just fax us the serial number." He sent the mobo back eventually, and it the same mobo came back not fixed. I told him to go BBB, but he never got around to it, and I can't exactly file for a friend.
Better hurry up with the fusion plants because
I'm pretty sure any process up to now for making energy spends way more than the amount produced.
Without mentioning radioactive crap to dispose of.
Laugh and say I told you so?
Despite the tone, I couldn't agree more. You're not building widgets, and jobs lost to the sick corporate malevolence that is offshore outsourcing don't come with a 6 week retraining courses available. So now it's you who's hurting, eh? Turning to /. folks for advice? Look elsewhere, pal. Oh, and you might want to update your McManagement skills soon too.
*** Sigs are a stupid waste of bandwidth.
too obvious?
Yeah, right.
Following through on lawsuits is expensive.
I'd guess they were doing the former; but I don't really know enough about your situation to be sure.
It probably was stated somewhere that they could shut down your account for overly vague reasons.
In general, defamation must be done very carefully and with documented factual backing. At which time they will start blustering and may even start legal proceedings, but the courts must hear your case and you have freedom of speach to back you.
It's only been 9 days right?
go see your corporate counsel (lawyer) Right Fscking Now!
utter rubbish
Laugh. Laugh an evil, bubbling laugh, softly at first rising until the shortsided manager realizes this was how it had to be...
At what point do you consider they may have just ripped you off?"
As soon as you decided to outsource it to Gooks'lvania.
and how do you know when to file complaints and withhold payment?"
Withhold payment? Hehe - you already paid that one and they have already cashed that check.
You not only got fucked, but you asked for it and even paid for it in full. And you agreed to give up control of the source, just handed it over. Maybe next time give them all your databases too, let them data-mine all your data for other ways to exploit all your customers and employees.
Let this be a lesson to you.
Outsourcing is bad, Bad, BAD.
I'm starting to think I've just been taken advantage of.
Ya THINK?
Glonoinha the MebiByte Slayer
Why outsource without meaningfully tracking or managing progress? Doing this management internationally is harder than people think, even when you are part of the same company. Its VERY hard when its another company.
Why didn't you get the source? Is the IP really the property of the outsourcer? That sounds more like a software purchase than an outsource.
Acceptance test? How was that left out of the payment schedule?
It sounds like you got burned because you aren't experienced in dealing with commercial development. The outsourcer got his money and presumably met the contract conditions (delivering working software is not a condition, its a wish because its not quantifiable). Quantifiable conditions describe what bugs are, how they are tested for and how many is an acceptable number. The payment schedule must follow the quantifiable criteria.
I concur with some of the other posters - once you've let the money go you have no leverage. This applies to any vendor and not just offshore ones. Offshore vendors are just harder to sue...
Once concept we've used with a level of success is a warranty milestone. As someone else has suggested we do a 40-40-20 split with 40% of payment coming after deliver, 40% after testing concludes and 20% is held in a bank guarantee for a warranty period of one month.
If we don't get any production issues after one month they get their money. If we do and it costs to fix it, it comes out of their money (theoretically - but actually we negotiate).
You've got to share the risk...
Don't look back the lemmings are gaining on you
As an adjunct to what you've stated...
If you want to outsource? Fine, then go outsource. But please don't come back whining and crying when things go horribly wrong. Perhaps one of the questions people will be asking more and more often: "is it worth the risk?"
I laugh and say "I told you so" then I get online looking for jobs in India.
Does it feel better to be ripped off by a fellow countryperson?
I killed da wabbit -Elmer Fudd
When you made contract with the outsourcing firm was it clear that "Finished package" = "Final Payment"? If so than it is clear, the package is not finished, the payment should not be forthcoming. In the future remember to test drive it before you dish out the big bucks and say thank you.
Eventually, the code is deobfuscated before being parsed by the php engine. You could hack around and dump this to disk yourself or it appears someone has hacked something up to make this quite easy:
e &i d=1097
http://www.astalavista.com/?section=dir&cmd=fil
--VR
Laugh your ass off as you send your new consulting rates to your former bosses.
I am from India and I work for a company which is in software services. I think you should name the company you are dealing with in public, so that people are more cautious in dealing with them in future. Lots of company here in India do pretty good job with outsourced projects. But I must admit there are a few who are not providing sufficient value to the customer. Name them and let the market decide. I am pretty sure if it happens repeatedly they are out of business.
LOOK LIKE HE DID: http://ask.slashdot.org/comments.pl?sid=136733&thr eshold=1&commentsort=0&tid=185&tid=98&tid=4&mode=t hread&pid=11422072#11423055
India, you'll always be the Haji to my Jonny Quest
...but I don't understand this question. The outsourcing deal has gone bad when the subcontractor has failed to deliver on any one of the specifications that should have been part of the contract. Any sort of work should be delivered around a solid set of specifications, a time of delivery, and an agreed cost. If the time of delivery has come, and it's either not meeting the specs or is over cost, then don't pay. They can take you to court, but your company has the contract, right?
Unless of course you don't have a signed contract, had either non-existant or ambiguous specifications or had an open-ended project schedule. In which case your options are either pay them for the work so far and split, or continue paying in the hopes that it is done at some point.
Fred
"A fool and his freedom are soon parted"
-RMS
I've worked as an outsourced programmer for years. I've also worked with outsourced programmers with reasonably good results.
I see lots of recommendations to "get it in writing" and "make sure they finish BEFORE you pay them..."
I've never, ever, not even ONCE seen things work that way! Trying to adhere to fiction will get you fictitious (and painful) results.
1) Write your contract so that venue is the location of the outsourcer, and all legal hassles happen there.
2) Demand ownership of all sources. It's OK to cross-license rights to use sources in other non-competetive ventures - nobody wants to think you own their thoughts!
3) Demand a reasonable NDA - don't try for everything under the sun and moon. If your NDA is too severe, you generate ill-will without much benefit, and that never helps.
4) Provide a development server, and require them to work on it remotely via SSH or VPN. That leaves you with all the cards, but still prevents the IRS from considering them as "employees" since they have to provide the keyboard and monitor. It also lets you see what they do and how often, and in real time. Perform backups of this work on a regular basis, and keep backups going back in time that they cannot access.
5) Pay promptly and frequently, maybe even weekly. It's easy to cancel a contract that's not going well when there's not $60,000 on the line. That also keeps both sides a little on edge as there's no big, fat lever to screw each other with.
6) It's a relationship. Be friendly! It never works well if somebody resents your contact. If it gets cold and uncomfortable, say so, and demand immediate correction or leave. You don't have to like each other personally to work well professionally. If you leave, do so quickly and without delay.
7) Forget extensive spec development before beginning. Scope creep always arrives at the party, and software is *NEVER* "done" - it's always a work in progress. Spec development, and change the spec as anticipated needs change. It's OK to pay by the hour since you have the source anyway - You can leave and go somewhere else if you don't like things.
In short, arrange the contract so that if your contractor decides to flake, you have options.
At this point, you've pretty well shot yourself in the foot, since you don't have sources. Big mistake! Your only options are:
1) Cajole them into doing the fix (which hasn't worked so far)
2) Have the work redeveloped, or
3) Sue for a fix in a guaranteed timeframe and or access to source code, and financial losses.
Sorry you're in this situation, but never EVER outsource software development without sources. Never. Just don't do it. Can you imagine a tractor company investing in huge, million-dollar tractors, and not ensuring that there's a backup copy of the key?
Neither can I.
I have no problem with your religion until you decide it's reason to deprive others of the truth.
@ YOU
:)
HAHAHAHAHAHA!!
Well done IDIOT!!
We did warn you - now pay the price!!
I can't stop laughing
One of the best books ever written on Software Engineering is the Mythical Man Month, by brooks. In it, he also discusses the causes of failure (and some approaches to their solution) of large-scale software projects. If I remember correctly, the basis for this was his work on the IBM Sytem 360/370 Operating System.
He also discussed how many software projects fail. Many project still fail. Many software people [and managers] don't or won't understand formal models, specification methods, and critical review mechanisms. It can be hard to develop good software with proper requirements, specifications, and controls - even in your own building. Moving development half-of-a-world-away doesn't get rid of the fundamentals of software engineering.
You can outsource software - but it's still your job to know and specify what you want built, to ensure that your 'partner' in the project is up to the task, and that milestones are developed and followed. Don't do this, and you won't be any better than if you threw out the money on the project right here at home.
"Everything was going fine until recently. At what point do you consider they may have just ripped you off, and how do you know when to file complaints and withhold payment?"
If you got this far into the outsourcing process without having asked yourself these questions first, you're an idiot, you deserve all the financial loss you incur as a result, and your company deserves to fold because of your incompetence.
Dumbass.
'Be always mindful, even when ditch-digging.' --D. T. Suzuki
When I was fired from gateway and my job given to a 1000 people somewhere is the eastern pacific ocean I pretty much lost all respect for any company that outsourced( yea a little biased)...majority of people I know and serve hate outsourced products...they are usually third grade pieces of crap. Take, for instance, the product gateway outsourced: Phone tech support. I was a knowledgeable English speaking level 2 technician for them. I could pretty much fix any problem a computer had over the phone within 15 minutes (minus hardware problems or reloads). I have had my own business for about 8 years now and I am "competing" with gateway. Frequently I will call gateway technical support for a customer (to get their warranty fulfilled)....5 out about every 8 calls is to someone that does not understand what I am saying....does not know anything about computers, and continually reads from a script. You outsource.... you get crap, but for a little bit while you ride your reputation, you will make a lot of money, but you will run your reputation into the ground. Gateway, gladly, has started doing this defaming of their brand name...the only thing that gateway had on me was the 24/7 monkey to answer their questions about their computer...now they realize that the monkey is still there, it just throws shit at you instead. Hence, since gateway has started outsourcing, dell as well, my business has had an increase of 16% over projected growth percentages the last two years...may just be a coincidence. Basically clientele don't like it when they hire a middle man...especially a middle man to hand the shit that the outsourced company gave to you. What is the moral of the story? Realize that you made a mistake...take your losses...and hire a real programming team to get your software done right...don't ride what rep you have into the ground, otherwise your customers will smell the shit and go elsewhere. Good luck to you
I get called by senior management when they suspect that their outsourced project is going off the rails. Sometimes its too late to fix things up, and the CEO wants me to help build a legal case for them, other times they need leverage in order to renegotiate the contract so that it has a chance of succeeding. Outsourced projects that go wrong have cost many senior managers their jobs, and caused many smaller companies to go out of business.
Most projects that I see are not good candidates for outsourcing in the first place.
Some contractors are better at selling than delivering. A favorite tactic is to 'bait and switch' - dazzle a prospective client with the contractor's best people, then put drones on the job.
By the time I get called in, the mistake(s) have already been made, and some hard choices need to be made:
BTW, a contractor that claims CMM Level 3+ certification carries a high overhead, and is unlikely to provide good ROI unless you are building a space vehicle or a nuclear submarine.
Once management realizes what the criteria are for a successfully outsourced project, I think we'll see development projects being done locally... for the same reasons that many managers don't want programmers to telecommute 100% of the time.
The obvious problem is that you made final payment before testing the script. With that payment you gave away all your leverage. The time to worry about getting ripped off is now. The sqeaky wheel gets the grease, so squeak loud and repeatedly. Do it in public if they ignore you for long. In the future, don't begin a project without a clear and detailed scope of work in writing that details payment terms. Ensure that the majority of the money is payable only when the scope of work is complete and code has been tested to your satisfaction. If a vendor won't agree to those terms don't do business with that vendor.
Oh, let me see.... 60 hours a week without overtime, 401K, medical, dental, prescription eyeware, PC and peripherals, cubical space next to a window, subscription to compiler updates and libraries, paid vacation, unemployment insurance... Sounds fair to me.
``Tension, apprehension & dissension have begun!'' - Duffy Wyg&, in Alfred Bester's _The Demolished Man_
To the original poster, yes things have gone bad by the looks. Where I work they outsource 100% of all their IT needs to other companies. It's a tricky business because it makes it much more difficult to just barge into the office/cubicle/hovel of the programmer or his boss to talk over why the script is taking so long to complete. With outsourcers you have to make sure you have a tight spec, agreed timelines, costs and develop some user acceptance testing plans which when passed will act as a payment milestone. I would also be asking for some kind of warranty from the outsourcer, even if it's something basic like free fixes for 2 weeks after delivery (and I mean fixes not changes).
I have to say that the the guy was a little naive in paying while the work was on and not on condition of meeting certain milestones (I'm guessing here - he didn't say specifically but it sounds like he just gave them a sum of money every month for x months). He was more naive by making the final payment before full acceptance tests (the format of which agreed in the contract and the tests agreed to during the project by a process agreed to in the contract). All I have to say is - lesson learned, he probably won't do it again. I hope he won't use the same company again and make sure that in future that if he doesn't have direct control over he is able to get regular interim deliveries (of code, executables, design and test docs), status reports and milestone revies. If things are going bad, there should be a provision to take the entire project off them including both and code documents and giving it to someone else. As someone who does the contracting, a client that has all this in place is less of a risk to your reputation and bank balance (it works both ways you know), we've had companies not pay for work we've done in good faith).
As for the guy's current situation, I wouldn't recommend 'IcePick' Vinnie, try the law first, if that doesn't work just pass the word around and hope for the best.
The same deal fur a much lower price is.. a lot better.
Politicians are supposed to be local. Programmers are not: C++ knows no boundaries. Libraries? Another very bad analogy.
A tax break is not a subsidy. It is not a gift or subsidy when you get to keep your own money.
Good god - you outsourced something and then didn't maintain rights to the source code? Or did this just slip by?
If not, well, that was kinda stupid.
Cost savings on outsourcing is mostly a myth anyway.
You forgot one little thing: the word "market". If you have just one vendor, that is not a market anymore. Your analogy basically describes socialism, where it has happened that the one food vendor kept food from the "buyers", who starved in the tens of millions in the USSR and China.
1. Make sure that the contract specify that all disputes would be resolved in YOUR state/location? 2. Withold final payment till final testing or 30/60/90 days after final delivery. 3. Sign a contract where you don't get unobfuscated source code? 4. Not do source code escrow? BTW, if they _are_ foreign and you can't get to them, presumably you are in a country with free speech (ha!), just publicize their name, address etc anyway.
Um, I think you forgot dentists.
There's a reason that the English have what they call a socialized smile =).
But dude, I'm with you on the cooking. It's all bad.
i would never ever in my entire life here
:/
go to a dentist
there is always Brazil for that
superb dentists and brilliant doctors
crap webdesigners and MS programmers tho
The quality and speed of American techs is impressive. I work at a factory in the Mexican side of the border with the US, and after being burned with local companies doing PBX work, we went to an American Company in Tucson for our next project. The hourly rate was four times as expensive, but they would finish a job successfully over a weekend instead of the several weeks it would take the local company, and the workmanship and professionalism was excellent. It helped these guys had an excellent attitude, were willing to cross into Mexico, cope with lack of suppliers, and were very patient with our bureaucratic procedures. It's a matter of economics. The American company was far more cost-effective.
So what if they do not have health insurance? This means nothing. It has nothing to do with whether or not they have health care. Or, do you think that it is a crisis that 100% of Americans lack the basic protection of "food insurance"?
If the have Indian accents then, yes, you've been ripped off.
You know when it has gone bad? When you have to cough up more money and you still have to do it on your own. One golden rule when outsourcing is to take into account those people really don't care about any of your business and the result you are trying to accomplish. If you find a company that also takes that into account you might consider working with them else it is just lost time.
'it happens.
I'm a software contractor, done this type of stuff for over 20 years. Its not the Universe's vengence upon you. It just poor planning; On everyones part.
If you really need help, respond to this Post;
We'll go to step 2. And just to let you feel better, there are about 600 senior programmers out of work that can help you; Now. So don't worry about a lack of expertise.
Outsourcing != Offshoring.
Since Microsoft has no monopoly at all, we have a free market, right? (If you have to even think about this while you are reading this on Firefox on Linux, you have no idea what monopoly means).
Doubt it? Yes, Americans suck at making TVs. If we didn't we'd all have Philco's and Magnetboxes in our living rooms still.
' It's more that the price is cheaper if you use southeast asian slave labor to build it. '
That is why I prefer my imports from countries like Taiwan and Thailand (where there is no slavery). China is run under marxism and is indeed a slave-labor country.
' Anybody who would make that "choice" willingly is an idiot who doesn't know where his job comes from ' (to get a car from Mexico)
I make that choice willingly because I appreciate good work. Jobs? It has everything to do with who can do the job better.
' We invented the car- should be easy to do, right, since you claim we have the "choice"? '
What kind of ugly American are you? A few European countries had cars before America did.
' I choose to drive a Ford, don't I have the right to drive one where the car parts are made by people I trust? '
You have the right to hold out for such a racially-pure Aryan automobile, but as there are few such bigots in the country, the market will be small and Ford will likely not serve you. It is the democracy of the free market. I'm sorry, you will have to put up with cars made by people you can't "trust" like sneaky japs and spics, right?
That's what happens when you build better.
' Ah, another stupid idjit who doesn't realize that just because a country outlaws slavery doesn't mean that there is no slavery in that country" '
There are documented instances of slavery in the United States, did you know that? Never buy from Americans again! I ignored the link you gave because it contained the contradictory term "wage slave". Slaves do not earn wages. The term is used, typically, by those who think that someone who earns below an arbitrary wage level is a "slave".
' it's a matter of cheap, not better '
A deal that costs less is a better deal.
' If you truly appreciated good work, you'd still be buying American, not Mexican, where they skimp on everything they can.'
Because they are all shifty spics, right?
' No, it has to do with who can do the job CHEAPER, which is usually WORSE '
It is usually better, since you get a much better deal.
' The kind that appreciates the idea that if I buy to give my neighbor a job, then he won't rob me '
You give people jobs? As gifts? They don't earn them by doing them well? That is one nasty neighbor you have: he will steal you unless you give him a gift. He should go out an earn a job.
' Which is why you have to buy a new car every few years because the last piece of crap fell apart. '
If I was concerned about that, I'd never buy American. Even the Koreans make better cars now than Americans.
' A few European countries had cars before America did. Yeah- but what pieces of shit they were indeed '
Do you know nothing of the elegant and groundbreaking early Benz?
' Nope, I mean by people who do not have the best economic interests of my country at heart '
You certainly do not have their best interests at heart if you want to deny them economic choices, and force them to get inferior overpriced goods. Unlike you, I trust Americans to make these decisions themselves.
' You mean the oligarchy of the manufacturers '
No, I am talking about decisions made by individuals.
' Nothing to do with racism, EVERYTHING to do with knowing who your enemies are. '
'Dja know WW2 is over?
have two people in the family working (i.e. you are a Wage Slave unless the woman is barefoot and pregnant in the kitchen)
send your kids to public school.
spend a lot of time volunteering for charities
do not run their own small business (i.e. if you partner with another, you are a Wage Slave.
live in an apartment
are a child
Missing from any of it is being s slave.
The web link goes on to say "Freedom-wise, you are placed BELOW the average 13-century peasant, who possessed all the above!", forgetting that this is the glory time of serfdom, in which the answer to 1,2,3,5,7 is NO.
After looking at this, the term "Wage Slave" makes even less sense.
Want an example of outsourcing gone bad? Call Dell's tech support and say your RAM has gone bad.
Your ad here.
It is true that not all companies are successful because of free market competition, but it is true for the overwhelming majority of companies.
According to US census reports from 2002, less than 20% lack health insurance. This is less than 1/3 of the 75% you named. What is the reason for this gross error?
Let's go back to a quant mediaval town somewhere in the middle of Europe....
There's a tinker who makes and repairs tin cups, lanterns, and the like. He likes to make them, and has poor personal skills and would be bad at selling his own wares.... Along comes the peddler. He pays two crowns for each cup from the tinker, and walks to the next village and sells these cups for 3 crowns. Considering the small cost of shoe wear, he's making nearly a crowns profit on those tin cups. Do you argue that this profit is stolen from the tinker?.
Now, in the same village, we have a mill. It would not be much of a mill if not for the nice big millstone that is rented from the quarrier. The quarrier gets a rental payment for making the mill possible with this nice large mill-stone. Do you think that the quarrier's rental payment is stolen from the miller?.
Up the stream from the mill is a large house. The builder has scraped and scrivened and has built from nothing what many nobles would accept as a decent manor house. However, he is getting on in years. He has decided to give this house he built to his son. Do you think this gift is not fair?"
This one requires some elaboration. Are you saying that peddling was illegal in medieval Europe? That a tinker would be forced to traipse all over the place to sell his wares?
You mean being produced by the "enemy" in Japan and Mexico?
' Ah, but it's not their own money, it's the government's money.'
A technicality. Let them convert it into diamonds and invest that if it makes you happy. Regardless, it is something they created.
' Billy Gates' face is not on the $1 bill. Also- I would say that any company that needs investment has been badly run from the begining. '
That is your decision. Most small businesspeople disagree with it.
' And since they did no actual work- that return is stolen from the workers. '
Ask the workers if it is stolen. Ask the law. No-one will agree with you. But back to the main point: investment is very valuable to a company.
' And since investment adds only negative value- by giving up control over the company and removing that control from the workers- there should be no profit.'
Control should only lie with those qualified to make decisions.
' At which point we release the laws restricting the diamond market, and the bottom falls out (the only reason diamonds are valueable AT ALL is because the market is restricted). '
Good point. Replace it with real estate or another scarce valuable item.
' I did- and from my own experience, the only small businesses that need management are those being run by idiots.'
So, a small software company with a "project manager" to help organize tasks is foolish?
' Ah, but NO value is added to the product '
A lot of value is added to the product
' You cannot make a "personal decision" that affects other people - at that point it becomes a government decision. '
Spoken like a true fascist. According to this, all decisions that involve another person should be the government's business. Want to break up with your girlfriend? All Uncle Sam before you call Sue: this is a decision that affect someone else. This is not far from how things are done in North Korea, which is one of the most strongly Marxist countries around.
' Non-sequitor; a business decision is never a personal decision because it affects other people. '
The sock story is simply changed to: "Do I give Sue one rose or two?". Then, according to you, it is the government's business. Or, as you said regarding the mediaval house example, Sue should get her own rose.
No- that's a cooperative.
A corporation is completely cooperative.
The big question is, two people are interacting. Do we trust them? Or since it is not "personal" anymore, should the government control all interaction between them?
I sell baseball cards from my old collection on eBay. It is time consuming and tedious, Now there opens up in town one of these "drop box" stores that sell stuff on eBay for you, give you a cut, and make a profit. I go ahead and do this. I am quite happy with my cut, and the drop box guy is happy with the profit.
Are you going to let us be? Or will you swoop in, whining about the "means of production" and "profit theft" while you jail us for making a mutually satisfactory deal?
Another example where you know nothing about matters. I know from experience how tedious it is. The claim of "theft" is a lie. I have not used such a service, but I have considered it. Anything he earns is something he earns through his effort, it is not "theft". I have no problem at all with him doing so. He earns every penny by doing something I am too lazy to do.
' E-bay shouldn't exist to begin with '
Why not?
' Jail isn't necessary- a fair system would correct this by taxing the drop box guy and giving the profit to you '
This system you want of stealing unearned profits and giving them to me would not be fair to me and the drop box guy, so it would really not be fair at all. No wonder the black market proliferates in situations like this.
No, "we" never are. This is propaganda by those who want an all powerful oppressive State. It might work a few times once you vote with the majority, but once you disagree, you will find out that government is "them" and always is "them".
' Ah, but morally- only the worker and the end consumer has the moral right to be involved in the trade to begin with. NOT the salesman '
Why not let them decide for themselves?
' WRONG. Capitalism is a system of laws for the establishment of corporations that allow people to invest in the means of production '
WRONG. Capitalism exists just fine without corporations.
' Then he is directly stealing, not from the tinkerer, but from the customer '
Hint 2: If there is no theft, there is no stealing.
' who could simply walk to the tinkerer and get a better price '
Your irrational opposition to the traveling salesman has now forced the poor anti-social tinker in this example to turn his shop into a factory outlet. After realizing that he is poor at sales, but must be a store clerk in order to sell his tin cups, he gives up his lifelong passion to work with tin. You have deprived him of the means of selling his cups. Now he is at the quarry smashing millstones for the quarryman (the same stones you have forbidden him to take to the miller).
' There is simply NO room for middle men in a guild economy at all '
What a nasty place where the craftsman is forbidden to have someone help him out with sales.
What is the matter with you? Did some Fuller Brush man beat you with a camel-hair comb when you were a child?
Marxist Hacker: MacHeath, is this you???
Totalitarian economic systems such as the one proposed here do not work at providing for the needs of the populace. The black market is necessary in such situations in order to make life bearable.
Excuse me that I don't think it is very Godly to force an lame old lady to traipse all over town to fill one grocery bag because you have killed the retailer "in the name of God". Nor is it very godly to force a craftsman like the tinker to waste his time all day being a salesman because you have killed someone who actually WANTS to be in sales, also in the "name of God".
' It's a God-given right '
You are forcing your religion on people to the extent that you justify denial of basic rights by this "God" of yours. Denying your evil god is not the same as denying God.
Welcome to Slashdot, Mr Torquamada! I trust your good friend the Ayatollah will be joining us soon. I trust that you will have a solution to the Pagan problem as well? We're waiting, Waiting to cut out the deadwood, waiting to clean up the city, waiting to put on a black shirt, waiting to weed out the weaklings, waiting to smash in their windows and kick in their doors. Waiting for the final solution.