What Software Development Services Can Be Outsourced
Outsourcing services cover all aspects of software development life cycle, including:
- Business analysis and planning: Maintaining business analysis and data analysts in-house might get costly. The more wise idea is to find an agency that specializes in these services and outsource the business analysis and strategy planning for your software product to them.
- Website development: Outsourcing website development allows you to access the pool of the best web developers experienced in diverse sophisticated technologies. Thus, you get a modern-looking and responsive website developed with the latest technologies and best practices in mind.
- Support and maintenance: Day-to-day website or application monitoring and updates might be an overwhelming task for your internal specialists. Outsource software support & maintenance to the offshore team of professionals and forget about downtimes, security vulnerabilities, and bugs.
- UI/UX design: Finding an experienced UX/UI designer might get challenging. Offshore outsourcing companies have already completed the recruiting processes for you, offering only the best out of the best web designers to take on your project and turn your vision into reality.
- Native mobile app development: Offshore mobile application development is a popular service that eliminates the need to hire and retain in-house team of mobile developers. Outsource your project to the external team and put aside all the hassle connected to taxes payment, insurance, and perks. We have all these covered.
- Web application development: Along with other services, offshore software outsourcing companies also provide expertise in web app development. Choose the technology stack you prefer and outsource your project to the team of the most experienced web developers.
- Cross-platform application development: Cross-platform app building is the new trend in the world of custom business application development. Boost the mobile presence of your company by opting for the seamless creation of a solution that looks and functional solidly across all devices.
For sure, this list can be continued further. Along with the above-mentioned services, you can also delegate Quality Assurance, hosting, security services, and more to the offshore software provider.
What is the Difference Between Onshore, Nearshore, and Offshore Software Outsourcing?
When considering offshore outsourcing services you might also encounter onshore and nearshore software development opportunities. What is it and how does it differ from other types of cooperation models?
Nearshore software development outsourcing is the cooperation with an external services provider that is located in a neighboring country with no or minimal time zone difference. Nearshore outsourcing holds the balance between onshore and offshore types of collaboration and offers the advantages of both: reduced development costs with real-time communication due to time zone overlap. An example of nearshore outsourcing is partnering with the development team from Mexico if your business is located in the US. Note that this model limits your geographic options and typically comes with higher costs compared to outsourcing to countries like India or Eastern Europe.
Onshore development includes collaboration with development teams from the client’s own country or region.
How Offshore Software Development Can Benefit Your Business
Now when you know what offshore software outsourcing is and how it differs from other cooperation models, it’s time to discover the benefits this approach holds for your business.
Reduced development costs
Hiring offshore developers from Eastern Europe or Latin America is always cheaper than collaborating with onshore specialists. This is connected with lower labor costs in those up-and-coming regions compared to Western Europe or the USA markets. Lower labor costs are associated with lower cost of living, economic differences, and reduced overall expenses for companies to retain employees. But don’t worry: lower costs DO NOT mean lower service quality or poor expertise. Offshore developers possess strong technical skills, extensive experience in software delivery, and a commitment to delivering top-notch results. Educational and training software courses and training in offshore countries are of a high level as well.
Access to the global talent pool
By opting for offshore outsourcing you tap into the pool of the best software developers globally and are not limited to your location. Access to a diverse global talent pool allows you to find and hire only the best of the best software engineers and IT specialists for your projects. In addition, any narrowly specialized experts may cost a fortune to hire locally, while you can get the same level of expertise through offshore outsourcing at a much more affordable rate.
Accelerated time to market
Adding extra hands to your in-house team is a proven way to speed up your project’s timeline and reduce time to market. Completely outsourcing technical projects to external software development companies that know the ropes and whose processes are well-run is an established practice to get a product within time and budget. Hire offshore specialists to work along with your team and follow your processes and workflows and see how the project skyrockets in terms of development speed and quality.
Delegation of risk management
When outsourcing a development project to a software agency, you delegate all the risks associated with its implementation and deployment to a team of seasoned professionals. Such an approach helps you to put aside all the hassle of technical processes and allows you to concentrate on your business objectives and strategies.
Optimized Workloads
Dedicated development teams have well-run development processes, divided into specific sprints and milestones. These guys know what to do and when to implement, optimizing all the workflows and task scopes within the team. This, in turn, leads to a faster product delivery and reduced project’s life cycle.
Challenges of Offshore Software Development
Of course offshore software development is not a utopia and holds its own drawbacks and pitfalls. It is crucial to understand all the challenges associated with this model before outsourcing your project.
Language and cultural barriers
Involving people from different countries with distinct cultural backgrounds might cause issues connected to miscommunication, poor language knowledge, and contrary views on processes or workflows.
Solution: The most efficient way to eliminate any language or cultural buried is to hire remote developers who are fluent in English and have a proven-track record of collaborating with people from different parts of the world. Such team members are always more adjustable to distinct workflows and any misunderstanding can be solved via clear communication.
Poor quality control
When outsourcing the project to an external vendor, you might lose control over the quality checkups, ending up with bugs piling up and code not working.
Solution: Ensure that your offshore services provider has QA engineers on board. Ask them for regular reporting on the work done.
Lack of code consistency
We all have different handwriting, so web developers write code differently. Having multiple specialists working on the same functionality might lead to inconsistencies in code, making it more difficult to read and understand.
Solution: Ask your vendor to create documents for coding standards, so you can pass them to new web developers if staff changes, or provide your own guidelines if you have them.
Data loss
Data loss is frustrating. However, it might happen during the development phase.
Solution: Ask your offshore partner to make backups daily or weekly, depending on the site’s size and complexity.
How to Choose the Best Offshore Software Outsourcing Company?
With thousands of offshore software development companies available on the market today, it might get really challenging choosing the right partner. Let’s highlight key points to consider when making your choice.
Review potential candidates on resources like Clutch.co or Glassdoor
Don’t know where to start? Check out the resources like clutch.co or Glassdoor. Such platforms also provide invaluable information like client’s or team members' reviews. Reading them, you’ll get a clear understanding of the company and set up some expectations. Another option is to just google something like ‘the best offshore software development companies and check out the most recent blog posts with lists.
Review the case studies or portfolio of the offshore development company
Before outsourcing your project to an offshore software development company, you need to ensure that they possess the necessary expertise and have dealt with similar cases. Check their case studies or portfolio to see whether they are experienced in your industry or have developed similar functionality.
Suppose you’re a healthcare company looking to develop a patient management system. Before outsourcing, you should verify that the offshore company has relevant experience. For instance, check if their portfolio includes projects like electronic health records systems or healthcare apps. Doing this you will safeguard yourself from newbies and experiments on your project.
Understand the pricing models
When you have outlined some potential candidates for offshore outsourcing, check out their pricing models and decide whether they align with your budget. External vendors might work within time & material, fixed price, and hourly rate models. Ask the agency about hidden fees: do they have any? Last but not least, what is the cost of their services? Do they align with your project’s budget?
Search for compliance and communication, working approaches, and business objectives
Even when outsourcing projects to the specialist from a distinct company, it is crucial to share similar work views and objectives. Differences in workflows and work approaches, as well as communication and cultural barriers, can impact the success of your project in a bad way. Before partnering with any vendor, check if your core business values and views are similar. This will ensure smoother cooperation and a more positive working environment.
Ask about Non-disclosure Agreement (NDA)
When partnering with an offshore software development company, they will gain access to your business’s sensitive data and information. Before signing any contracts for cooperation, ask whether they provide a on-disclosure agreement. This simple step will safeguard your business.
Top Countries for Offshore Software Development
Some countries have already gained popularity as hotspots for offshore software outsourcing. For instance, Eastern Europe offers top tech talents in countries like Poland, Romania, and Ukraine. In Asia, India and the Philippines are leaders in the software outsourcing industry. Each of these countries offer unique advantages that make them attractive to businesses from the USA, Canada, and Western Europe, looking for high quality standards at competitive prices.
Tech expertise in Eastern Europe has increased dramatically, especially in recent years. Warsaw, Bucharest, and Kyiv are thriving with innovation, drawing in international clients with their dependable and effective software services. In the meantime, India still leads with its extensive IT workforce and years of expertise in the outsourcing sector. On the flip side, the Philippines stands out for its top-notch software development and exceptional communication abilities, making it a preferred choice for numerous U.S. companies.
5 Reasons to Outsource from the USA to Eastern Europe
Eastern Europe is an Eldorado of offshore software outsourcing. Countries like Poland, Ukraine, and Romania are top software development hubs as of 2024. Businesses prefer these countries for strong technical skills, cost-effectiveness, and cultural similarity. Check out why you should consider offshore outsourcing to Eastern Europe from the US.
- High level of expertise: Developers from Eastern Europe are renowned for their high level of expertise in sophisticated technologies. Poland, Ukraine, and Romania are home to thousands of IT professionals who possess degrees in computer science and engineering. Offshore developers from these countries are also experienced in state of the art technologies, like AI, blockchain, and cloud computing, which makes them competitive on the global market.
- Cost-efficiency: For U.S. citizens, hiring web developers from Eastern Europe is more budget-friendly than cooperating with onshore specialists. No compromising on quality. Hourly rates for offshore developers from Poland, Romania, or Ukraine are significantly lower than hourly rates in Western Europe or North America.
- Cultural compatibility: One of the advantages of outsourcing to Eastern Europe rather than India or Philippines is cultural compatibility with Western businesses. This region shares the same or similar business practices, work ethic, and communication styles.
- Strong focus on data security: Offshore developers from Eastern Europe strictly follow international standards of data protection and web security, such as GDPR compliance. Most software engineers are proficient in the knowledge of legal requirements of the markets they serve ensuring that projects meet regulatory standards.
- Thriving tech ecosystem and innovation: Eastern Europe is an up-and-coming region for technology innovation. It is the land of tech startups, conferences, and innovation hubs. Such an ecosystem creates opportunities for collaboration and growth.
Here at Drupfan, we offer offshore software development services for clients across various sectors. With hubs located in Poland, Romania, and Ukraine, we strive to deliver personalized digital solutions on time and within budget. Contact us today to discuss your software project!
How Much Does Offshore Software Development Cost
The price of offshore software development differs greatly based on the region, project complexity, and the particular skill set and expertise needed. Typically, Eastern Europe, Asia, and Latin America have lower prices in comparison to the U.S. and Western Europe without sacrificing code quality. In comparison, Eastern European developers typically charge $25 to $50 per hour, significantly less than the rates in the United States, which can be larger than $150 per hour for the same level of expertise.
India continues to be a highly affordable outsourcing option in Asia, with hourly prices varying between $15 and $40. The Philippines provides comparable rates as well as the benefit of English proficiency, enabling efficient communication and quicker project completions. Argentina, Brazil, and Colombia in Latin America are also valid options, providing rates ranging from $30 to $50 per hour.
Note that price should not be the only consideration when choosing an offshore software development company. Although lower rates are tempting, it is crucial to also take into account the quality of work, efficiency of communication, and cultural compatibility in order to establish a fruitful outsourcing relationship. Putting money into a slightly pricier yet dependable and seasoned overseas team may result in improved results and cost savings in the long run.
Drupfan — Your Offshore Software Development Partner!
When it comes to offshore software outsourcing, Drupfan stands out as the leading services provider. As an experienced partner with a strong foothold in the Eastern Europe market, Drupfan leverages top tech talent from Poland, Ukraine, and Romania to deliver top-notch software solutions worldwide. We provide staff augmentation and dedicated team services to help businesses fill expertise gaps in their existing teams. Our commitment is to offer comprehensive software development services that go beyond meeting client expectations. Drupfan makes sure that your project is dealt with carefully, accurately, and with great attention to detail, all while focusing on the customer's needs.
For companies looking to scale efficiently and innovate rapidly, Drupfan offers the perfect blend of technical expertise, cost savings, and exceptional service quality. Contact us today to discuss your project. If you are a new company wanting to create a Minimum Viable Product or a big business aiming to improve your technological infrastructure, Drupfan can provide the necessary knowledge and resources to assist you in achieving success.
