With tech startups mushrooming like never before, industry experts predict there will be more than a million software companies in the world within the next 10 years. Nearly 50% of these businesses are tightly concentrated in Western European and American cities. Competition is at an all-time high, operating costs are rising, and talent is increasingly scarce.
With the desire to help connect customers with highly skilled technical talents, Meadewillis exists to help businesses cope with challenges and embrace opportunities with a scalable, adaptable systems approach. We understand that your business, project and demands are unique. At a reasonable and affordable price, we offer global customers the best technology solution.
1. What is Offshore Software Development?
Offshore software development is another name for ‘outsourcing’ in software engineering. “Offshore” represents the type of development work where you are delegating project activities to another team, who are the same permanent employees as your local team, except that they are based in a different location. (It could be in another country, it could be another continent). Outsourcing can be beneficial because it provides access to a broad pool of software engineering talent that would otherwise be inaccessible. As a result, businesses can take advantage of a wide range of experts beyond their internal teams. For most companies, offshoring development is a great solution for projects that require specific expertise and high -quality, which is hard to find on a local scale.
In software engineering, offshore software development involves performing the software development process in a country with lower production costs, thereby reducing budget expenditure. Offshore software development may include the following services: product design and architecture, coding and testing; development SaaS, Internet/Intranet, e-commerce, CRM, project management and other special web services solutions (including Web 2.0 solutions).
For example, IT giants like Google, Microsoft and Apple have all set up their R&D centers in Bangalore, Asia’s Silicon Valley. The lower operating costs, large pool of talent, and the opportunity to scale quickly allow them to increase output and enhance their technical expertise without undue stress, complexity, or expense.
2. How Offshore Software Development Works?
Due to differences in geographical locations, customers may face time zone differences. Fortunately, these obstacles don’t matter today, with the help of various high-quality remote team management tools and the best video conferencing software, handle any task efficiently and collaborate with vendors from all over the world.
Basically, you have two options to choose your future development team:
The first is to find freelancers and connect them as a team. Nevertheless, this is not your best idea unless you are a product management geek. In this case, you should be ready to take full control of the development process and stay in touch with your remote members.
The second option is to switch to the services of an established group working on behalf of a registered company. In this case, you won’t have to worry about finding someone to manage the workflow. Instead, all these problems and many more will be solved by the company.
The outsourcing process begins with hiring new employees abroad. Professionals are hired based on full-time outsourcing and their service costs are almost three times lower than in-house staff. The offshore team is responsible for:
- Full software development
- Experiment
- Maintenance
- Communicating with customers in the process
3. Onshore, Nearshore, and Offshore Software Development – what’s different?
I bet if you hear “Offshore” then you must have heard of “Onshore” and “Nearshore” for sure. In fact, these three service models differ according to the geographic point of view of the customer and its software development service partner.
4. Benefits of Offshore Software Development
- Cost-effectiveness
Minimizing costs to maximize profits is always the top concern of investors, more than ever, right at the time of the Covid-19 pandemic, saving and changing management methods to technology tools to maintain business operations is even more practical.
By offshoring, businesses can save up to 30% on software development costs, the rental package includes recruitment and salary expenses. In fact, businesses do not have to spend any capital to invest in software, hardware, and infrastructure as these costs will be taken care of by the service company.
Businesses in the US, for example, will tend to offshore service companies in Asian markets such as China, India or Vietnam where the labor cost is much cheaper than the host country but still ensure the quality of the output products.
- Time Savings
In addition to the cost, the time factor also greatly affects the amount of capital spent on a project. The longer the implementation time takes, the more competitive opportunities you will lose in the market. Moreover, the longer it takes, the higher it costs. Offshore software companies have experienced many projects, and they will have a multi-dimensional view to consider the implementation time to help speed up the progress. In addition, the development process and Agile methods, the most advanced development tools, are guaranteed to improve and have a flexible response to each change that arises.
Besides, the benefit of working at a software development company abroad is that you will be working with a company in a different time zone. The time difference between time zones can be an advantage in helping your project reduce time to market.
- More time to focus on core business activities
Offshore software development allows you to focus more on your core business strategy, instead of worrying about managing the complex and time-consuming software development process. It allows your company to focus on core operations without the added pressure of running and managing a software development department.
- On-Demand Access to Knowledge and Expertise workforce
Thousands of well-trained software developers graduate every year. Countries that are famous for overseas software lifecycle development (such as Vietnam, Singapore, India, China) have invested heavily in education, especially in the IT industry. The aim is to develop the quantity and quality of software developers. This investment will aim to increase the number of IT professionals in the fields. Thereby solving the shortage of IT in the country. Then provide high-quality products to the international market.
While hiring IT experts in the country becomes difficult, then hiring offshore software from other countries will become a great solution. Offshore development teams with world-class expertise and experience in these areas can provide knowledge-intensive services based on offshore outsourcing contracts.
- Minimal Risks
Having the best foreign developers on your team reduces the inherent risks of the project. IT outsourcing companies have experienced many projects from home to abroad. They will anticipate common risks and apply best practices to increase flexibility and reduce downtime.
- Business growth
With all of the above benefits, they still serve the same ultimate goal of business growth. Offshore software development gives companies of all sizes access to the same skilled workforce, reducing the cost and time required to develop software. Freeing up time allows you to leverage your strengths and core activities and work towards sustainable business growth.
5. How to Choose an Offshore Software Outsourcing Company?
- Quality Experience
Always check your potential IT partner’s references, previous client lists, and completed projects. This information will give you some insight into the performance, workflow style, and quality of the IT company’s software products.
- Great communication skills and fluent English
Language difference is one of the obstacles when offshore so smooth communication and workflow is the most important step. Your Outsourcing Partner must be fully fluent in English or the language of your choice. In addition, their workflow should match your workflow throughout the development cycle.
- Standardized Security Protocols
As technology advances, cybersecurity is more important than ever. Make sure that the IT company you choose has up-to-date security protocols to keep all data and software products safe.
- Top Talent Software Engineers
Outsourcing development abroad gives you access to world-class IT talent. The mission of an outsourcing company is to bring together the best software developers from the region and use their talents to build the best possible product for you.
- Full Range of Services
The best outsourcing companies that specialize in many areas will be able to handle your project from a holistic and highly experienced approach.
