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An Examination of Outsourcing Part 2: The Contractor Angle
 
 
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Features
  An Examination of Outsourcing Part 2: The Contractor Angle
by Paul Hyman
16 comments
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September 8, 2008 Article Start Previous Page 3 of 3
 

Naturally, outsource companies feel the same pressures as do developers who outsource -- especially to employ company resources in the most efficient manner possible. But if developers turn to outsource companies to keep their teams trim, who do outsource companies turn to?

At Fort Lauderdale, Florida-based Shadows in Darkness, the six-year-old art outsource company has a unique solution.

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Last year, the company -- which is relatively small, with just 20 staffers -- created a separate sister corporation called Darkside Game Studios that is taking on outside programming work, most recently assisting with Civilization Revolution for the PS3. Its goal is to eventually take on full game development.

"It's really a quite clever plan if you think about it," says Hugh Falk, who is president of both companies. "Just as developers are concerned about what to do with their people when they are in between projects, we -- as an outsource company -- have the same concerns. Our solution is to let our people with downtime work on projects for Darkside and vice versa, which is essentially outsourcing to ourselves. It eliminates downtime altogether and allows us to keep quality control in-house. What could be better?"


2K Games/Firaxis Games' Civilization Revolution

Not that Shadows in Darkness has much downtime these days; the frail economy seems to be taking care of that. When the U.S. dollar was stronger, most of the industry's outsourcing work went to India, China, and Eastern Europe where rates were relatively inexpensive.

But, says Falk, in an unusual twist, some offshore game developers are now outsourcing to the U.S. "I would say that a good 70% of our clients are now based in countries -- particularly in England, Canada, and Australia -- where outsourcing to the United States makes good economical sense for them," he says.

Also working in favor of Shadows in Darkness, Virtuos, Production Road, and similar companies is that outsourcing is increasingly becoming just good common sense.

"Three or four years ago, finding clients took a lot of cajoling mainly because developers just weren't ready for companies like ours," recalls Falk. "They'd tell us, 'Yeah, we're looking into outsourcing but we haven't really done any.' It was tough to get business. Now it seems like everyone is doing it. There's usually someone in charge of outsourcing at every developer, someone who you can speak to directly, who understands the jargon. They know what they're looking for and it has become a much more streamlined process all around. So our biggest issue is keeping up with the demand as opposed to trying to create demand."

 
Article Start Previous Page 3 of 3
 
Comments

Anonymous
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Gilles comments about virtuos working with most the major developers is false. His comments about working on fifty percent of the rts, fps and other titles is false. In three years in business they have worked with a handful of publishers and a handful of developers. That is not MOST.

The outsourcing industry has far too much hyperbole and used car sales tactics happening at the business level.





Beware of hyperbole. Contributing to a handful of games is not most. There are outsourcing studios out there with 10 times as many clients and projects contributed to.

Anonymous
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I am an outsourcing producer and agree with much of what was said. However, I don't know who any of these companies are, except for Virtuos. The biggest lesson I learned was to properly vet studios. If you are working on something like Diablo 3, and they only have bad wii art or code, you can find someone more appropriate. If you are working on cel phone games, use a company that does that. Get their references. Ask for their client list and call those clients. Do your due dilligence. The previous poster is right about the issues that come up when dealing with outsourcing studios who claim to do much more than they actually do.

Anonymous
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Quality varies at the larger outsourcing studios in my experience. One month things are good, another month when resources are shifted, I saw a considerable quality loss and had to invest in additional internal resources to handle it. I prefer to use the boutique shops in China and India now. I am getting what I ask for because I made that decision.

Anonymous
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im curious to know if there is a listing of companies out there that handle outsourcing. i find it difficult myself to find a company that isn't overpriced or under qualified..

Anonymous
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I'd say there are a bunch of decent companies in China and Shanghai specifically where it seems the concentration of outsourcing companies are globally. Virtuos is perhaps a top company in staff numbers but certainly not top in quality and consistency. If you can't get it right every time in one location, how on earth can you do it in two locations? There are other really good companies such as www.minliusoft.com, www.pearldigital.com, www.art-coding.com, www.is-games.com, www.vykarian.com. You should take a look at all the links if you are looking for a list. Another point when discussing 'overpriced'. Many vendors suggest inflation is adding to pricing pressure therefore must increase prices to clients even though slightly. It's all BS and a well managed vendor is likely not passing on any price increases to their clients at least for a few more years. Hope this is helpful.

Anonymous
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When it comes to art outsourcing I would recommand to give www.xpec.com, www.pearldigital, and www.vykarian.com a try. I heard too many stories that virtuos weren't performing to what they have promised.

Anonymous
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www.massiveblack.com was very good. Their 3d pricing is the same as the others in Shanghai but the work is far better than any of the work we got from any of the other companies we tested. They did a ton of work with me on my project. Great stuff. Great process. Great people.

Tim Carter
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In old, robotic, clenched industry-think you can't try out an outsourcer until you do full due diligence and so forth. How about this? Remember it's just an outsourcing contract, not a full game publishing agreement. If you want to test an outsourcer, just give them a little gig and see how well they do. No need to get your knickers in a knot.

Tim Carter
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Also, if you really want to focus on quality, start looking at the *people* you're outsourcing with, not the companies. If a company loses it's best people, what good it is any more? It's the people who make the games and have the talent. The only possible exception to this is a company that is indivisible from one of its principles and owns some solid tech IP - but even then, you're talking about an engine and some lead coding talent.

Anonymous
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Outsourcing =! offshoring

(They're different animals.)

Anonymous
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I personally would never work with an outsourcing company that was difficult to visit and which I wasn't in the position of working directly with the creators doing the actual work. Too much risk. If I always have to go through top-tier management to get basic stuff done, there's too much of a disconnect.

Anonymous
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Agreed, outsourcing is not limited to working with companies in different timezones.

While lower intitial prices might be available in China, I've found the best results are usually had working with companies in N-America or Europe, definitely if you're new to outsourcing.

In most of those studios you will find game development veterans who have a better understanding of the work.

That said, there's definitely a place for both models, often on the same project. You learn to use each studio for what they're capable of.

Anonymous
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We use a US based studio that has operations in China for the art for both our games. We did not want to have to pay US rates for the grunt work and were able to get the more complicated stuff done nearby. So far the experience has been very good.

Anonymous
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I second the vote on Massive Black. Those guys rock! Best in the business, by far.

Anonymous
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Love the first comment 'Beware of hyperbole'.

Seems like there is a member of Massive Black posting on these forums... The hints are hilarious.

Suggestion: Do your own due-diligence, contact the firms who you will find are very approachable and generally proactive. See what they say.

Anonymous
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Ask for references


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