Whenever launching a new software project, one of the first decisions every executive has to make is to choose the right software service provider and to define its integration strategy. This is always a difficult decision coupled with multiple challenges.

In this paper we go over the primary criteria executives should consider when defining the level of service provider integration to the project and business. The paper is to serve companies evaluating software development services, executives striving to standardize provider collaboration processes, and project teams engaged in the service provider selection.