When is Offshore Development the Right Choice?

The Challenges of Developing Software In-House

The prospect of building a new website or developing new software projects is always super exciting. However, the reality of getting these projects completed within the necessary time and budget requirements can be a bit intimidating. This is especially true for companies without their own in-house teams of developers to make it happen. 

For most companies outside of the technology or development worlds, hiring the in-house team required to work on these projects simply isn’t a real option. This would require not only costly employee salaries, but also factors such as recruiting and hiring costs, health insurance, benefits, as well as the software and hardware necessary to get the job done.

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Offshoring as an Alternative

These and other factors explain why many companies make the wise decision to outsource their software development needs to offshore software development companies. Offshore outsourcing allows companies to get the help they need to achieve their software, website, and application development goals regardless of their company’s size or industry. 

Third-party development companies offer a wide variety of benefits for organizations in need of extra help. In addition to cutting costs, outsourcing generally allows for on-demand scalability as a business’s needs increase or decrease. They also provide access to niche, expert talent that may not have been otherwise attainable for most companies.

Partnering with an outsourcing provider allows organizations to stay within their budgetary and time constraints by charging one inclusive flat fee. This eliminates the costly, hassle-filled, and time-consuming recruiting and hiring process required to bring on new in-house team members.

Offshore outsourcing is an ideal way for companies to accomplish their technical goals without breaking the bank and staying within any necessary timelines. By partnering with an offshoring provider, companies rest easier knowing that their development needs are taken care of.

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What is Offshore Outsourcing?

While outsourcing is generally a great practice for companies needing to accomplish their development goals, offshore outsourcing is an even better option to consider. Offshoring is the practice of outsourcing work to a company or individuals in an entirely different geographical location than where the hiring company is located. An example of this practice is when a company based in the United States hires an offshoring provider in India or Ukraine. 

There are two other types of outsourcing as well. Nearshoring is the practice of hiring outsourcing providers in countries that are close to that of the hiring company or within the same time zone. While this helps cut costs some as well, it comes with its own set of pros and cons. Onshore outsourcing is when the hiring company partners with an outsourcing provider within their own country. This practice is typically the most expensive choice being that both companies experience the same cost of living. 

Offshore development helps control costs being that the cost of living is typically lower in the country of the outsourcing provider. Additionally, the different time zones allow for extended development time every day to help up the pace and meet important deadlines. 

When Should Companies Consider Offshore Development?

Offshore outsourcing is beneficial for many reasons, but every company must consider all of the factors that come into play when decided if outsourcing their software and website development needs is the best choice. The biggest factor is normally asking when is the best time to finally do it. 

Offshoring is the best choice for a variety of situations, including:

  • When a business isn’t looking to add permanent or full-time employees to the company

    Many businesses choose to look to offshore providers when their full-time employees don’t have the bandwidth to take on any more work and they also can’t afford to hire any more permanent staff members.

    Hiring, training, and retaining employees isn’t a simple feat. It requires a rather large budget and extra time that many businesses simply can’t take on. By utilizing an offshore development company, businesses gain the necessary manpower to get tasks done as quickly and efficiently as possible without hiring directly. They also gain flexibility and scalability as their needs call for it.

  • When the project is just a one-time thing

    It isn’t a smart business decision to hire employees or build out a team that is only needed for a single project or function. Working with offshore software developers gives organizations the ability to complete one-off projects quickly and in the most cost-effective manner while gaining access to the top talent in the field.

    Instead of bringing on permanent team members in costly, time-consuming processes, they need only reach out to their offshoring provider to quickly assemble a team and pay only for the hours required to get the job done.

  • When the project requires niche skills or expertise

    It’s fairly impossible for companies to employ team members with experience in every specific technology or niche within the world of development. If technology isn’t even the primary focus of the hiring company, this is even more impossible.

    By outsourcing their development needs, companies gain access to experts within the field of technology that they typically wouldn’t have been able to have otherwise. If a project requires niche or unique skill sets about lesser-known technologies, the chances are that most offshore development companies have someone in the office who has already worked on/with it or can learn about it.

  • When the project requires more than just developers

    Hiring an offshore software development company doesn’t mean only hiring developers. These companies feature experts in all facets and fields of the software development process. This includes specialists in quality assurance, testing, quality control, project management, design, and other areas.

  • When time is of the essence

    Hiring a third-party offshore company is a much easier and faster process than hiring employees for in-house teams. In addition to this time savings, outsourced teams are generally faster at developing the product itself.

    These teams make the design, development, testing, and release of software products their area of expertise. They do it day-in and day-out so they are already comfortable with the processes, their roles within said processes, and know the best ways to maximize time and budget. To build this level of skill, agility, and comfort with an in-house team would take quite a bit of time and obviously much more than the timeline of one project.

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