Outsourcing code development – is it a risk worth taking?

In a new report released by European information technology analysis group, Quocirca, organisations that admitted to being frequently hacked, all outsource at least some of their coding practice, with 90 percent outsourcing more than 40 percent. The report, which was based on a survey which was carried out amongst 250 C level executives and IT directors from mainly 1000+ employee sized corporations from the UK, US and Germany, also states that over 60 percent of companies that outsource the coding of their critical applications do not mandate that security must be built into the applications. In fact, 20 percent of UK companies do not even consider security when building their applications.

Of the organisations stating that software code development is business critical or important, 50 percent outsource more than 40 percent of their code development needs.

Statistics already show that the software application layer is where most hackers are accessing critical data. According to NIST (National Institute of Standards and Technology), 92 percent of vulnerabilities affecting computer networks are contained in software applications. As organisations increasingly look to outsource application development, more components of software applications are being developed outside of their direct control.

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