Benefits Of Outsourcing Software Development

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If you’d like to meet the team in person, choose a company in a location that you can easily reach . Experienced providers have processes in place that ensure close participation in the project, to the point where clients get to feel like part of the team. Moreover, outsourcing companies often invite clients to visit the project team on-site and offer extensive reporting to keep everyone in the loop. That’s one of the main reasons why so many of them decide to team up with outsourcing partners and delegate the process of building applications to external teams. If you’re planning to develop a software which will require a long-term commitment, you should consider building a team of developers in-house. You can have as many highly-skilled software developers as you want within a very short period…by outsourcing to one or more IT vendors with the capability to deliver what you want.

Concerning density, there are 6 programmers per 1000 citizens in Romania. The tech talent pool of the Czech Republic is still growing, adding 7K tech graduates yearly. Besides, there are 10 developers per 1000 citizens in the Czech Republic. To put this into perspective, a similar experience in Poland would cost you $60–$90 per day.

Software development which is done in the USA/Western Europe for a very high price, can be obtained at a much lower hourly rate in developing countries like Ukraine and Poland. Eastern Europe has all the characteristics of one of the fastest growing areas in software development – from the growth rate of the IT industry to the huge IT talents pool. Check whether the company has ever worked with a client from your country or from many different countries.

Why Build A Nearshore Software Development Team In Eastern Europe With Daxx?

IN2 Group is a reliable partner that has certificates from Oracle and Microsoft, and boasts the Magento Commerce Solution Partner status. There are 6.1 million professional developers in Europe according to the State of European Tech report. However, the number of software developers in the world is distributed unevenly — Western Europe, for one, has been suffering from a tech talent shortage for quite a few years now.

An hourly offshore developer rate of a senior software developer in such countries as South Africa, Morocco and Kenya is around $40 on average. Sometimes outsourcing clients switch one development team for another or decide to continue working on the product on their own. The risk is that the previous development team doesn’t create appropriate project documentation or produces a solution that is not easy to scale. As IT companies expand, they become part of increasingly ambitious and demanding projects. They need an expert workforce to meet the demands of their clients. By outsourcing your app development project to such an agency, you gain access to skilled engineers who have been vetted by the company and their skills have been battle-tested in many different projects.

Why choose software development outsourcing

The only way to prevent this is by working with reputable vendors that utilize relevant technology. Look for companies with great client reviews, and clarify every detail when negotiating and signing the contract. When your team works on one project only and has shared goals, you have a higher chance of loyalty and dedication. People tend to identify with the work they do and be more engaged in it in the long term. Our client is a secure, automated platform that streamlines the merchant cash advance process and enables ISOs and lenders to manage their businesses from one centralized, convenient place. Our main goal was to develop a digital platform for healthy habits called EinkaufsCHECK.

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For instance, if you find a bug in your code, it’s easier to easily explain the situation to your in-house team and they can start working towards a solution instantly. So all your developers will work round the clock, hand-in-hand to deliver what you hired them for. All your developers will have a common goal, all their efforts and expertise will be directed towards the success of your project. This is why many outsourcing companies display their portfolio and provide references to help you make the right decision. If you’re not careful enough, you may end up outsourcing your project to the wrong company.

  • The truth is that you don’t always need to take the journey alone.
  • When your team works on one project only and has shared goals, you have a higher chance of loyalty and dedication.
  • To help you arrive at a rational decision, we’ve provided a comprehensive overview of the pros and cons of each approach.
  • The Czech Republic is among the top 20 countries that strongly invest in the development of the tech sector.
  • Altigee helps startups and tech companies build remote engineering teams or extend their existing teams with senior tech talent.
  • When hiring external professionals, business leaders create more efficient teams that can handle more complex projects.

A country-based analysis shows that Ukraine is the most popular nearshore programming destination among German companies — 17% of business owners have opted for Ukraine. 12% of German companies outsource to India, 10% to Romania, 9% to Poland, and 4% to Belarus. Altoros is an international IT outsourcing company that has 300+ employees working from offices in the US, Argentina, and Belarus.

Want To Get Information About Software Outsourcing From The Experts?

Outsourcing software development to a dedicated team is a flexible and convenient way to go about outsourcing. The dedicated team may augment your internal IT department or even become your remote IT department. You enjoy full visibility with regard to progress, not to mention communication – which is much better.

Why choose software development outsourcing

With the growth of your project, you might find yourself needing to quickly scale your project. With an in-house team, it might take months to find the right professionals. If you work with a company providing software outsourcing services, there won’t be any problems scaling your team. As a part of the pre-screening process, you will get in touch with different software outsourcing companies. It might be a good idea to talk to them via phone and video call in order to assess their level of English comprehension and expertise.

Although travel time obviously takes longer, the maximum time difference of ten hours still makes it possible to set up efficient cooperation with the help of daily sync-ups and flexible working hours. Get hand-selected expert engineers to supplement your team or build a high-quality mobile/web app from scratch. The truth is that you don’t always need to take the journey alone. A trusted partner can help you reach your business goals faster by sharing the load and providing help where you need it most. It’s actually best to talk about concerns rather than cons when it comes to outsourcing.

Software Development Outsourcing Rates In Eastern Europe

However, 80% of retailers still rely on software development outsourcing, the gross market of which hit $64B in 2018, according to Among Dutch companies, 18% outsource to India, 14% outsource software development to Ukraine. The rest of Dutch businesses also hire teams in Eastern Europe — 9% to Poland, 9% to Romania, and 5% to Belarus. Predica is a Polish information technology and services company with 10+ years of commercial experience.

We aimed to create a hybrid app for iOS and Android for the easiest and most accurate diet tracking and food… The situation is a little more complicated if your project requires a specialist with a rather rare technology stack, for example, Scala, Groovy, Q#, Elang etc. This website is using a security service to protect itself from online attacks. There are several actions that could trigger this block including submitting a certain word or phrase, a SQL command or malformed data.

Why choose software development outsourcing

Usually, when you outsource this part of software development, the business analysis includes market research and competitor analysis. The main goal of this stage is to create a project’s functional specification and product backlog that list the necessary functionality in a logical way to complete its objectives. OnContracting reports that tech companies may save an average of $100,000 per year, per job thanks to outsourcing software development.

The company is on the Global Outsourcing 100 List and also appears among the top IT companies in Ukraine. You’re the one to choose, hire, and manage your remote development team with the tools and methods you love. You can start from hiring 1–3 Outsourcing Software Development developers or hire a cross-functional team from the get-go — it’s up to you. If you’re hiring locally on the US market, expect to pay your future software developers up to $157,500 a year (salary in SF Bay Area, data from Hired’s 2021 report).

Disadvantages Of Outsourcing Software Development

Altigee helps startups and tech companies build remote engineering teams or extend their existing teams with senior tech talent. For the past 4 years, we helped our clients to hire 200+ engineers. Many outsourcing vendors use an Agile approach to development and project management since Agile provides the exact level of flexibility and control that outsourcing requires. As a result, they’re well placed to bring the time and productivity benefits of Agile to your project. The average hourly rate for software outsourcing development ranges from $15-$45 for junior specialists and up to $50-$100 for senior engineers.

This is why most tech startups go for outsourcing app development in today’s competitive market. This can be easily verified by collecting feedback from other business owners and entrepreneurs who applied for outsourcing services and had experience of cooperation with a particular country. Droids On Roids is a mobile & web app development company established in 2011, offering full-stack mobile, web and backend services. If you’re thinking about how to start working with an outsourcing company, here are a few tips to help you choose the best provider for your project. Pick an outsourcing company located in a country where there is no war or crisis. Make sure that it has been in operation for several years and is well-established on the market.

Why Outsource Software Development

Picking the cheapest may result in unique challenges, she says. The IT exports in the Czech Republic have already reached $1.78 billion. No wonder Czechia is 27th out of 82 countries by the overall tech capacity. The IT outsourcing sector hit 4.8% of the Bulgarian GDP back in 2017, however, this number is predicted to double by 2021, reaching 7.9% of the country’s GDP.

As an example, we do the software development and project management with the latest tools including Docker, Jira,, Balsamiq Mockups, AWL, DigitalOcean, Git VCS and a whole lot more. When you choose to outsource, you no longer have to invest in the several different development tools required to get the job done. Instead, the contractor will provide their own tools, and only deliver the product as requested. See howour development processworks, just so you know you’ll be getting an impeccable software development service when you outsource to us. Reducing costs and the development period as well as using allocated resources more efficiently is directly affecting the team’s productivity and the company as a whole.

The company was founded in 1993 to provide digital advising services and cutting-edge technology development. SoftServe accelerates customer business development by providing innovative solutions. Intellias is a software development company based in Ukraine that has been operating since 2002. The company also has departments in Berlin, Germany, and Poland. The majority of Intellias’ customers come from the EU and North America.

You should definitely check out a prospective partner’s rating and reviews, as well as ask for client testimonials. Carefully look through the company’s portfolio and see if the tech stack they’ve mastered suits your needs. You’ll have a much better idea of who’s behind the fancy website after an hour-long chat. Nearshoring is outsourcing your software work to a company within a similar time zone . You’ll probably outsource the hiring process to an external recruiter or an agency. What’s more, even when you have your candidate, there’s always a learning curve, which takes additional time.

A sad end for the bright ambitions of outsourcing software development cheaply. These neighbors enjoy cultural proximity, adjoining time zones, and cost benefits. However, sometimes experts in need miss out on the local market.

Another part of business owners is looking for talent, which is not so easy to find at home. Despite this, you must remember that the success of your project is determined by its quality, and as everyone knows, quality requires costs. By contrast, Eastern Europe is now facing the opposite tendency — the number of talented developers has been constantly growing. Western business owners can benefit from these tendencies — choose skilled software developers from the vast tech talent pool in Eastern Europe and cooperate with them through the extended team model. Outsourcing software development to Eastern Europe is a workable solution for 40% of leaders who continue to experience talent scarcity in IT.

Do You Want To Outsource Your App Development?

You may find a plethora of reviews on software outsourcing platforms, including Clutch, The Manifest, GoodFirms, etc. However, if they are introduced, it means additional costs and potentially prolonged deadlines. A lot of preparation and paperwork precedes development, and when it starts, you need to have all the specifications, requirements, and final goals defined. UX and UI design involves the creation of an app’s interface, layout, and navigation based on software specifications identified during previous stages. The main goal is to create a user-friendly and attractive software interface that will include all the needed features. Thus, you need to make sure that after you sign an agreement, you don’t have problems communicating with your team.

There are a ton of nightmare stories out there from people who hired an unreliable vendor or maybe had the wrong expectations of their deal. The result is that there’s plenty of misinformation about what the real disadvantages and risks are. What do you stand to gain when choosing to outsource the software part of your project?

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