Wednesday, October 29, 2014

Setting up a software testing organization from scratch


Thinking of possibility of building a team with Software testing professionals then think about following objectives.

1. Provide efficient testing solutions at a reasonable rate.
2. Create job opportunities for the community.
3. Build a team with member’s different countries.
4. What are the challenges to be faced as this is started?
5. What are the things to be done first?
6. How to get the first business?
7. How to find investors/partners?
8. How to partner with already existing testing companies?

Suggestions:

1. Create Business policies.
2. Cover the types of testing as services your organization is offering (consultancy, test execution, test solution, testing manpower, etc)
3. Be sure to set up service level agreements so that your customer know what level of work and commitment and services an organization can provide.
4. Cover your policies with Infrastructure detail and infrastructure Insurance details.
5. Taskforce strengths

Challenges:

1. The biggest challenge is to win business, and there's no point starting to try and find clients till you know the following aspects:
· Why they should use your firm.
· What is your specialism?
· What's your business and testing model?
· What are you giving clients that they can't get better or cheaper elsewhere?
So think about answering above queries.
2. What is the pain point you are trying to solve or cover as a part of software testing solution/service provider?
3. Define the specific area of testing that you think you OR your team can build and could execute better i.e. the type of testing not offered at all currently in the software testing industry -- i.e., Define your innovation to the organization and how it could help the testing industry
4. Define fundamental reason why your organization thinking of entering this space and competing with already established players.

Philosophical perspective of Challenge’s:

It's going to be a challenge, you are entering a market that is quite mature and has a number of big players so you need to make sure that what you offer is sufficiently different or an improvement to what is currently on offer.

There are lots of companies out there offering "efficient testing solutions at a reasonable rate" so think about why people should choose your company rather than another.
Finding business is always going to be difficult since the market is so competitive and without a track-record of successfully delivering projects, companies will look at your organization with following risk
1. Will they deliver?
2. How good are they?
3. How trustworthy are they?
Try to use your existing Linkedin or business network and speak to them to see if they have any testing projects in hand.

Think hard about your target clients, everyone is not an option! It is better to be focused on a few sectors (at least initially) than trying to satisfy all markets. So, work towards below area
1. Focus on your business message,
2. Build authority
3. Maintain contact with prospective clients.


Try to partner with existing testing companies in hand(if any), try giving them a call and pitch your idea; however consider that most will receive a number of such calls/emails each month. Partnerships are about trust and before welcoming you with open arms and giving you work they will ask the same questions as potential clients (e.g.
1. Will they deliver?
2. How good are they?
3. How trustworthy are they?
4. Are they better than our current software testing services OR Solution provider.

As you know that you are planning to enter a mature market, you must design and define business plan with detailed financials to get an idea of the costs of running such a business.
Think about your sales while planing up your financials; one of the key failings in most business plans is they are too optimistic about their sales and so don’t correctly calculate the working capital needed to support the business until they break-even and then end up in failing.

Also think, if it’s something that you can work on alongside your existing career to minimize the risks; if you currently work for a testing company then your contract may prohibit this.

Other Areas to cover

One of the stiffest challenges you could face is:
· Hiring the right people
· Attracting and retaining testing talent in small organization?
· Before projecting your organization to potential businesses/clients define what is the vision of your idea that sets it apart from the millions of software testing consultancies.

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