What Is Offshore Software Development And Its Benefits?

This common ground will also go far in establishing long-term productive relationships with your offshore vendor. Your research and requirements will help you decide which to shortlist. By the time you’ve familiarized yourself with one product or technique, it can be outdated. Generally, the outsourcing of project development is done for three core reasons. Teams allow for a wider range of expertise during the development lifecycle, efficiency and cost savings. But doing this regularly, say quarterly, may be costly in the long run.

With fixed-price offshore software outsourcing, the main concern is that the client gets the illusion that everything is going according to plan. With offshoring, they significantly lower their spending on recruitment, training, and IT infrastructure. Developing countries tend to have lower labor costs, thereby charging more affordable rates than onshore or nearshore vendors. For example, tech companies like Microsoft, Google, CISCO, and IBM all have offshore IT operations outside of their home country.

Apple

Protect yourself against intellectual property theft by making the outsourcing partner sign NDAs (Non-Disclosure Agreements) as soon as possible. When it comes to a remote team, regular communication and progress reports can help you keep track of how things are progressing. Let’s explore how you can ensure things are going smoothly and according to your expectations. Get a consultation with our tech professional to discuss your project idea. Require your offshore vendor to prepare their IP documents such as the General Agreement, Employee Confidentiality Agreement, and Non-Disclosure Agreement.

Time and resource outsourcing is basically freelance contracting on a B2B level. You’re hiring remote software engineers to work alongside your developers on specific short-term tasks. For instance, you can request two offshore Java development specialists with particular framework experience as an addition to your team for completing tasks in the next sprint. Today’s most common offshore software development business models are variations on three main approaches. Learn how it can help businesses save costs, access global talent, and accelerate project completion. Flexibility in project management and pricing models is an essential determiner of an ideal offshore development partner.

Offshore Software Development Rates by Region and Country

Aside from food and accommodation, these hidden costs will surely have an impact on your budget. By laying out a well-planned strategy, it brings clarity and direction to your team’s workflow. Additionally, a concrete action plan ensures that your project outcome will be deployed successfully at the right time. Set goals for the team member, both short-term and long-term, and identify actionable steps to achieve them. Discuss opportunities for growth and development within the team or organization.

what is offshore software development

For example, if you’re working with software experts in China, you’ll need to deal with a 12 hours time difference. This is complicated by the fact that not many Chinese developers are fluent English speakers. This indicates a growing demand for offshore software development in the upcoming future. Hiring and training people is an investment that carries significant financial risk. The cost of hiring and paying staff is lower than if you hire people and train them.

You can’t find sufficiently skilled offshore developers

The rates will vary by region and country, and even within each country based on different seniorities and skill sets. For illustration, let’s take the story of our client, who is 11 hours far from the Vietnamese timezone. They have users playing their games 24/7 and need to ensure that everything always goes well. For that reason, they have a QA team from LTS Group execute testing whenever their team leaves the office.

  • However, if you intend to outsource the entire workflow, you should definitely hire a software development company, not a freelancer.
  • Nearshore software development is basically the same thing as offshore outsourcing, with the only difference being proximity.
  • IT outsourcing makes available cooperation with a variety of technical experts competent in needed business domains.
  • A strong partnership with your offshore developers is the key to a successful outcome.

As outsourcing software development becomes an ever-increasing trend, our lifestyle has changed as a result of it. Remote work has proven more productive than office work; people now find ways to create productive working environments outside the office setting. IT industry forecasters anticipate continued transformation over the coming decades as demand continues for companies offering software outsourcing services. Companies frequently outsource software development offshore workers in order to cut costs. Software development can be an expensive endeavor; you should set aside funds specifically for this. While you want the software you get of high quality but also be mindful of financial considerations; developers from developing countries are typically less expensive.

Problems With Quality Control

We’ve been delivering web, mobile and desktop solutions for the projects of the most different scale since 2005. We work a lot with the clients in Europe and North America and our strategic location can almost nullify any difference in the time zones. Our managers are always in touch with you, so you will always get timely feedback, be able to send corrections thus getting a quality product in time. Having the best offshore software developers on your team reduces inherent project risks. Your offshore software development company will apply the best practices to increase flexibility and minimize downtime.

what is offshore software development

By pooling their talent together in cooperation models like these, offshore developers will reduce both costs and time needed for team selection. All signs point to offshore software development as the preferred method of building apps in the coming future. Startups, particularly, stand to benefit greatly from this arrangement. We’ve shown how to choose the right IT outsourcing vendor and where to find them.

Everything You Need To Know About App Maintenance

This is one of the most important steps of the hiring process for developers. It’ll allow you to fully understand if the talent is really aligned to the company and project. A good interview can extract valuable information from candidates that will make it possible for you to decide whether they will continue in the process or not. For that, it’s essential to have good questions to gather answers regarding technical and soft skills.

Knowing exactly what’s the technical level that the candidates should have can help you design the type of technical validation that best adapts to your needs. While salaries are good to understand for hiring developers for full-time and long-term, you might just need a developer for a period of 3-6 months or 6-12 months. In these types of situations, it’s best to calculate your costs based on the hourly rates of a developer.

A brief guide to offshore software development

While offshore software development generally results in cost-saving, the resources used differ depending on the type of project. As such, it’s impossible to place an exact figure on building a particular software. However, experience tells us that building a software application with an offshore team from  Eastern Europe will cost between $50,000 – $250,000. Clearly, it makes good financial and business sense to seek outside expertise in software development. And although it might seem difficult, offshore software development is not as scary, provided you plan properly, and understand the risks involved. Carefully define your project, choose the best offshore development partner, and make use of best practices to keep work transparent, communication easy, and the project coordinated.

The internal recruitment may be completed in some days rather than months. So, you may select the best offshore developer (or a whole team) by considering different specialists from all around the world with various talents and expertise. This sums up other factors to consider and questions to ask when hiring offshore developers.

Also, we’ve illustrated our success as a leading software outsourcing company in Eastern Europe and how we’ve helped various startups. These achievements speak volumes of how we focus on business value, user needs, not only on sophisticated code. Building a piece of software involves IT experts in various cloud security companies disciplines. Depending on the type of software you’re building, you may find it tough to find such expertise within the local candidates. With Uptech team operating from different parts of the world, we could set a productive collaboration environment that resulted in clients’ successful product releases.

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