Changing Software Development Partners: 7 Success Steps

Software development agencies play a crucial role in the success of any project, shaping the tools and system that drive business and operational success forward. However, as priorities shift, sometimes it becomes necessary to switch them. In this blog post, we share common reasons why your company might need to look for a new software agency in 2025. Furthermore, we reveal insights from our experience with transitioning, and key steps in minimizing the disruption to your business. 

Why businesses switch software development agencies 

Companies rarely change software partners due to one single reason. Very often, it is a combination of factors that cannot be resolved between the parties and the decision to find a new one is the only possible. Below are the most common causes clients have shared when deciding to make a transition.

Diverging goals between a client and a software partner 

One such example is when the client decides that they want to expand exponentially, and the supplier cannot address their development needs. Or when the supplier decides they would like to focus only on clients from a particular sector. All businesses evolve and it is okay if one of you decides to change direction. You just need to address it properly and consider a firm that aligns better with your evolving strategy. 

Skill gaps in the current software development agency 

Your current software agency may not have the skills or expertise needed to complete your project, which can lead to delays and increased costs. As technology evolves, staying competitive often requires companies to enrich the services they offer. For example, Garner reports that 59% of CEOs believe that AI will be the technology that will have the biggest impact over their industry over the next three years. This makes integrating AI into your IT strategy for 2025 a top priority. However, your current partner may lack expertise in this domain. In this case, it might be time to choose a provider that covers all aspects of the development cycle. 

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Poor communication and delayed responses 

Slow responses and lack of clear communication can lead to unnecessary setbacks in your project. Time zone differences are often a contributing factor, making companies switch to an agency closer to their location. However, time zones aren’t the only challenge. Many businesses prefer to work with software consultants located within the European Union as they are both easier to visit and closer in cultural similarities. The right development team will understand the importance of timely and effective communication, ensuring that your project stays on track. 

Failing to meet deadlines can cause your project to fall behind schedule and negatively impact your business. This can be due to a lack of planning, poor resource allocation, or a lack of accountability on the part of the company you are working with. To address these risks, consider collaborating with a firm emphasizing accountability and using strong project management practices. This will ensure timelines are met, keeping your project on track and helping to restore trust in the collaboration. 

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Lack of crisis management 

When crisis management falls short, companies turn to partners that offer hierarchical transparency, dedicated managers, and team to guide projects effectively. For example, at Accedia our Engineering Managers take the lead in responding to any queries and managing communication and progress of the different tasks. This level of organization and accountability is a hallmark of a top software development firm, ensuring that your projects are handled with professionalism and care. 

Challenges in achieving excellence

In many cases, the development team cannot communicate properly obstacles which can significantly slow down the progress. As a result, clients might decide to switch to a software development agency that offers a team of consultants whose job is to study the whole business organization inside-out to be able to bring a fresh perspective that will change the business in a positive direction.  

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Unjustified costs 

Budget is an important factor to consider avoiding situations in which high costs are not matched with high value. Often, companies face issues with software development agencies that only meet the minimum requirements, leading to increased long-term costs. This can manifest in several ways, such as reliance on temporary fixes, inefficient resource utilization, lack of scalable solutions, and limited technological expertise. These practices, while seemingly cost-effective in the short term, can result in a cycle of ongoing expenses without delivering the expected value.  

7 effective steps for changing your software development agency

Making the switch to a new software agency is a big decision. Here's why, we created an expanded guide with specific steps to ensure a smooth and informed transition:

Identify the need for change

Start by identifying exactly why a shift is needed. Is it due to missed deadlines, lack of technical expertise, or poor communication? Broaden your assessment to include overall capabilities. For example, according to a recent IDC report, top drivers for switching providers include the need for faster digital transformation and higher-quality services, highlighting the demand for strong adaptability. Align your evaluation with your business objectives, so that you can select an agency that can help in achieving them. 

Communicate clearly with your current partner

Maintain open communication with your current software development team. Let them know about your decision and the reasons behind it. This conversation might reveal unknown challenges they're facing, like resource constraints or misunderstandings about project goals. Such discussions can help the change happen smoothly and maintain a positive relationship, potentially beneficial for future collaborations. 

Involve your current software development team

Include your internal team in the transition process. Their insights are highly valuable, as they are familiar with the project's ins and outs. For example, your tech team can highlight specific technical capabilities that the new software development agency should have. Involving your team early also prepares them for the upcoming changes, ensuring an easier adaptation to the new working style. 

Scrutinize all transition details

A detailed plan is crucial, and it should cover everything from data transfer protocols to timelines. For example, create a comprehensive data migration plan that ensures no data loss and minimal downtime. Knowledge transfer sessions should be organized between your current and new software development agencies. Record these sessions for future reference and to help new team members catch up quickly. 

Set clear expectations

When engaging with a new software development firm, define your expectations clearly. This approach ensures alignment between IT and business strategies, keeping the organization’s goals in focus. Additionally, it establishes clarity around the expected processes and workflows. 

Discuss your project's scope, deadlines, communication frequency, and any unique requirements. For instance, if weekly updates are crucial for you, make this clear from the start. This upfront clarity helps in building a transparent and effective working relationship for the future. 

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Assessing cost-benefit dynamics

Consider all the financial aspects and compare the costs and benefits of the new partnership. Will the new company bring more efficiency or innovation that justifies the transition cost? Sometimes, a higher initial investment in a top software development team can lead to significant long-term savings and improved software quality. 

As businesses increasingly recognize the value of quality and performance over short-term savings, financial considerations are shifting. Forrester highlights this trend, noting that 91% of global technology decision-makers plan to increase IT spending to achieve exceptional results. This growing focus on high performance reflects a broader industry shift toward prioritizing long-term success over immediate cost-cutting. 

Be patient with the transition time

Be prepared for the process to take some time. It's not just about replacing a vendor but integrating a new team into your project's ecosystem. This process might involve onboarding, knowledge transfer, and initial slower progress as the new team gets up to speed. Remember, a thorough and patient adjustment often leads to a more fruitful collaboration in the long run. 

Maximizing success post-software development partner transition

After you have chosen a new software development agency, you should set the stage for a successful partnership that will bring high results. Here are some key steps to ensure success: 

Implement regular progress reviews 

Establish frequent check-ins with your new software development team from the outset. These sync-ups help align goals, quality standards, and deadlines, ensuring everyone is on the same page. This practice eases the transition for both sides and creates an environment conducive to innovation. 

Cultivate a strong relationship

Working toward a strong relationship with your new software agency is important because it lays the foundation for long-term collaboration and exceptional results. Build open communication, provide constructive feedback, and address concerns promptly to ensure challenges are resolved and collaboration thrives. 

Explore growth opportunities

With your new partner, actively seek opportunities for business growth. Discuss potential future projects, explore innovative technologies, and consider new services that could benefit your business in 2025. This proactive approach can open doors to exciting collaborations and advancements. 

Document the transition process

Record the steps, decisions, and outcomes of the transition process. This documentation serves as a valuable reference for future transitions and helps identify areas for improvement. It's a practical way to capture learnings and insights gained during the switch to your new software development team. 

By implementing these strategies, you can build a productive and successful relationship with your new software development agency. Regularly reviewing progress, addressing challenges, and adapting to evolving needs will help you maximize the value of your collaboration while keeping your projects on track. 

Navigating software development agency transition: Insights from Accedia

At Accedia, we've gained substantial experience in assisting businesses transition from their previous development partners. Our approach varies with each client, but our focus remains consistent: understanding the reasons behind the decision, addressing client pain points, and tailoring our services to better meet their needs. Involving both the outgoing and incoming software development teams in the transition process has proven to be most effective. 

Accedia’s approach to smooth transitions

Typically, we propose an adjustment period, often around three months, depending on the project's size and scope. This period involves detailed planning and coordination with all project stakeholders. We emphasize continuous communication with the former vendor, arranging meetings across corresponding teams like UI/UX, engineering, and consultancy for comprehensive knowledge and data transfer. For instance, our engineers conduct paired programming sessions with their counterparts, ensuring a smooth handover. 

Global corporate firm's smooth transition to Accedia

A notable example from our experience involved a global corporate advisory firm that transitioned to Accedia following a recommendation from their previous Bulgarian vendor, who was refocusing on the health sector. This is a great instance for the professional goodwill that can exist between software companies. The shift was a collaborative effort, including joint sessions to discuss business logic and quality assurance procedures. We thoroughly recorded these sessions to facilitate future onboarding of additional consultants, ensuring minimal disruption for the client. The result was a win-win: the outgoing agency could pivot to their new focus, the client benefited from a smooth handover that preserved project progress, and Accedia started a new long-term collaboration. 

International hotel chain partners with Accedia for niche expertise

In another scenario, a leading international hotel chain switched from an Indian-based software agency to Accedia. The key factors were our location in Europe and specific consultancy skills. Although the previous partner was involved later in the process, we ensured thorough knowledge and data transfer. Our focus was on deeply understanding the client’s business, requirements, and expectations of working with a European firm. The move was successful, with the hotel chain entrusting us with additional projects, including system migrations to different cloud providers. 

Final thoughts

Switching a software development agency can be a turning point for your business, offering the chance to realign with your goals and overcome existing challenges. With careful planning, clear communication, and the right partner, the transition can be easily done, and it sets the stage for future success. If you’re considering a change in 2025, the Accedia team is ready to guide you through every step of the process. Reach out to discuss how we can help make your move smooth and effective.