When it's time to develop your product, do you go to a design firm, or an independent contractor? The answer is: It depends. Both are good solutions, but meet different needs.

"I like to use the lawn analogy. If you need your lawn mowed, you hire the kid next door. But if you also want someone who has the expertise to determine what fertilizer to use, what kinds of plants will grow in your yard, and when to trim the trees, you hire a landscaper," says Alex McKay, president of ARMA Design.

Outsourcing began as a cost-effective manufacturing solution. Then, in the 1990s, the concept expanded to include full-service product design. Today, many companies are less likely to have in-house electronic engineering capabilities and are more likely to outsource. They either hire an independent engineer with a specific expertise or go to a design firm they can rely on to be, essentially, their "virtual" electronic engineering department.

When faced with an outsourcing decision, which should you choose? Here are some important issues to consider before committing your resources. Read More...