4 Reasons Why Offshoring IT Makes Sense

Offshoring is a practice that has been around for decades in all sorts of shapes and forms across multiple industries. But in the last couple of decades, it skyrocketed within the IT industry, growing with the increasing digitization of every business under the sun. Yet, even this phenomenon makes many companies wonder whether IT offshore outsourcing is the way to go.

Naturally, the answer to that depends on their specific situation, their plans, and their strategy. There’s no one-size-fits-all response for businesses asking themselves if they should hire offshore developers. But, overall, there are pretty good reasons to do so. Here we’ll check the main benefits of offshore software development so you can see what you might be missing out. 

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Why Do Companies Offshore Jobs?

There are many reasons for choosing offshore software development. Companies mainly use it because it’s a cost-efficient way to develop high-quality IT solutions, a path to access a larger talent pool, a quick route towards scalability, and the perfect way to find highly-specialized professionals.

Offshore outsourcing is a great alternative for companies looking for specific expertise that might be harder to find locally. Though that pretty much sums up why so many companies are hiring offshore software engineers, it’s better to have a fuller picture to truly understand the growth of this practice in the IT landscape. So, let’s take a look at the 5 most significant reasons for offshoring IT in detail. 

Access To Specialization And Expertise

That increasing digitization we’ve mentioned earlier is happening in virtually every company out there. While it’s evident that there will be businesses that are more invested in it than others, almost all of them are adopting digital solutions to a certain degree. That means that all of them need software engineers and IT professionals to design and develop those solutions. 

Naturally, there aren’t as many engineers to meet such a level of demand. That’s especially true for highly-specific and cutting-edge technologies such as cloud computing, AI, the IoT, or virtual reality. So, companies have to compete for the same candidates, often poaching them from one another. That creates enormous obstacles when trying to hire IT experts, especially in certain countries, like the US or specific parts of Europe.

That’s why offshore outsourcing makes sense. Companies based in countries or regions riddled with talent shortages can look elsewhere to fill in their gaps. And since there are so many high-quality providers worldwide, finding the right candidates is more accessible through offshoring. For instance, businesses from the US or Europe hire BairesDev to meet their needs, knowing that they’ll access the top 1% of IT talent in Latin America with experience and expertise that perfectly fits their projects. 

High Cost-Effectiveness

One of the main reasons why offshoring became a business standard in the first place is that it allows companies to achieve higher operational efficiency at lower costs (when compared to using local talent). That remains a main selling point for the offshore model, even within the IT world. 

The ability to cut costs comes from a couple of factors. First, offshore developers are typically based in countries with developing economies with a lower cost of living. That means that companies can hire equally talented engineers than those in their own countries but at more competitive rates. The other main factor is that hiring offshore teams lets businesses save the hiring process costs and those that come from an employment relationship as well as the costs of developing an infrastructure to support added in-house employees.

It’s also worth noting that it’s common to feel like paying for less can lead to sacrifices in the quality of the final product. Though that’s a legitimate concern and a risk of working with an offshore company, that’s an issue that can be easily avoided by working with a renowned offshore provider like BairesDev. 

Faster Time To Market

In a highly competitive landscape where technologies can provide companies with an edge, developing IT solutions quickly and hitting the market early can be the only way to stay ahead. That can be a tricky thing to pull off, especially when the IT team is small, lacks the necessary skills to tackle a specific project, or is swamped by everyday or core tasks.

Offshoring helps businesses with that by providing talented software engineers that will work exclusively in their projects without distractions and delays. Since they are focused on the project at hand, developers don’t have to deal with additional tasks or other clients. Thus, they can work to complete the project on time and hit all the necessary deadlines. 

This can provide any company with a faster time to market, as there are few bumps or detours in the road. A dedicated team can also better tackle any issue that arises during development, as their only goal is to build the solution for which they were hired. Thus, an offshore IT development team can help a business get that competitive edge by increasing the overall development speed. 

Risk Mitigation

Any development project has inherent risks – that’s a fact. There can be shifts in priorities, unforeseen issues, talent gaps, and many other problems that need to be solved to complete the software. Fortunately, offshore development can help with that as well. That’s because the provider shares the burden of any risks associated with the development of the product. 

Hiring companies aren’t the only ones interested in building the product in time. Offshore partners also have a vested interest in this, because the work they put into that product will be a part of their portfolio and can open new opportunities for them in the future. That’s why they are the first to safeguard the project’s integrity, watching over the product’s performance and overall quality.

That means that they’ll plan the whole project up to the last detail to avoid any potential issue they foresee, making strategic decisions informed by their own experience and expertise. Since problems will arise anyhow, the offshore development team will work tirelessly to resolve in the least amount of time possible, thus mitigating the impact of any existing risk.

The Value Of Offshoring IT

The 4 reasons above are what drive companies to hire offshore developers. Partnering with a reliable offshoring company can help fill the gaps in IT, quickly provide necessary experience and expertise, deliver at faster rates, and even reduce the inherent risks of software development – all at highly competitive costs.

That’s why you should consider offshoring for your next IT project, especially with BairesDev. We can offer you seamless team integration, affordable prices, fast turnaround, and extensive expertise in your project’s technologies. What’s more, we can help you with development and give you the advantage you’re looking to stand out from your competitors. 

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