All of us use different types of software on a daily basis as it helps us to work, study and have fun. Any successful business has, at least, a website or even a mobile app. Software development is a complicated process and a costly one as well. Thus, the majority of companies choose to use offshore software development company services to cut the development costs. What’s more, with this approach, you don’t even have to know how to manage a software development project because the service provider is not only hiring tech talent for you but also does the management (optional) and provides your offshore development team with hardware, software and office space.
Cost Effectiveness
Building an offshore team it’s very important to choose the right location. A developer with the same set of skills can cost 3 times less in Ukraine, comparing to Switzerland. To be more specific, annual net software engineer salary in Switzerland is CHF 92,375 which is equivalent to $93,947. Meanwhile, annual net software engineer salary in Ukraine is only $24,478 which is, actually, almost 4 times less. Of course, in Switzerland, developers have one of the biggest salary rates. Moreover, different types of programmers (different skill sets) can be more or less demanded and, as a result, more or less paid. Take a look at the following picture to get more data.
You still get a highly qualified professional with good language skills but you don’t have to overpay. Using outstaffing model means that your service provider does the actual hiring. It means that you also save on taxes and, sometimes, it’s really a lot.
Access to Global Tech Talent
Almost every country is facing a tech talent shortage. The demand for developers is growing faster than the supply. It may be an impossible task to find and hire a programmer with particular technical skills, especially locally. Meanwhile, some countries have a great tech talent pool so why not look for that dev there? Moreover, you don’t even have to actually look for one because, once again, it’s the responsibility of your service provider.
No Need for Micromanagement
Once more in this article, I’d like to point out that, with offshore software development services, there’s no need to know how to manage a remote team. Your service provider, would not only find the right candidate for the job but also provide the management. Whether it’s for free or for additional payment depends on the contract you have. There’s a great number of project management software like Redmine, Jira and Trello. A manager can create tasks, set up due dates and monitor the progress even remotely. You can also have the access and monitor how your offshore developers are working and how much time they spend on each task. Of course, no one forbids you to have an in-house manager or CTO who would remotely control the offshore team with the use of the same software. It actually works out pretty well in any case.
Full Control and Constant Communication
In terms of increasing your team productivity and awareness of your business goals, it’s a good practice to set up meetings on a regular basis. With the help of software like Skype, the meeting can be organized easily. Other important factors here are the time zones and cultural rifts. This is why it’s actually really important to choose the outstaffing location properly. Aside from online meetings, it’s also a good practice to visit your remote team from time to time and spend some quality time together. Spend a few days working side by side and have some fun afterward. This is a great way to build up the team spirit.
Staff Augmentation Made Easy
Sometimes, a company already has an in-house team but a particular specialist is missing. Once it’s clear that this professional can’t be found and hired locally, the company would start looking for one abroad. While we know that the service provider takes responsibility for finding the perfect candidate, the real question is how to create a synergy and make the existing team work together with a remote employee efficiently. It sounds more complicated than it actually is. As mentioned before, there are projects management software and communication channels, like Skype, Hangouts, and Viber. This way, every member of your team is able to monitor all the processes at any time. Thus, you can easily augment your staff without any headaches.
Software outsourcing has always been popular and keeps getting even more sought-after. While this model is used more often, more and more companies get to know what outstaffing is. If you really want to save some money on your software development without losing control and quality, this is what you should strongly consider.
With the popularity of remote work and global tech talent shortage, this model is the “lifebuoy” for small companies and startups.
