Did you know that the global tech talent shortage could reach 85.2 million within the next decade?As globalisation continues, more IT services are moving offshore. While this trend will continue through 2021 and beyond, it’s also creating new opportunities for individuals and businesses to offshore IT teams as a way to improve productivity and reach new heights. And, most importantly, navigate the skills crisis in Western Europe, North America, and Australasia. In this article we’re exploring offshore development trends.

Offshore development trends: a new landscape comes into view

India is currently the world's number one offshoring destination, but more businesses are moving to new offshore locations in Eastern Europe, America, and Asia. Eastern European countries like Ukraine, Poland, Belarus, and Romania are also emerging as preferred nearshoring destinations for businesses in Western Europe.

Despite more businesses building global teams to address talent shortages, one major concern regarding offshoring that still prevails is data security. Businesses are educating themselves on the fundamental cybersecurity frameworks they must implement to mitigate security risks and protect sensitive data. As offshore development becomes more and more recognised as a scalable and sustainable alternative to hiring locally, security is paramount for offshore vendors and team builders.

IT leaders recognise the value of offshoring

Businesses are paying more attention to the value that an offshore development team brings to the table. Offshoring isn't about hiring employees at the lowest price possible, it's about gaining access to talented individuals who are experts in their industry.

Organisations in the West are simply unable to find engineers proficient in cutting-edge technologies such as Machine Learning, Artificial Intelligence, and automation. One of the top offshore development trends in the coming years will be the establishment of dedicated teams in countries like India. While the primary focus will continue to be on technical skills, soft skills such as teamwork, communication, and leadership will also be in great demand.

Implementing an offshore development strategy

Leveraging global talent helps your organisation to find the right talent to support the business’ skills requirements, develop a competitive workforce, and retain top performers. It can also improve your business by helping to deliver innovative and cost-effective technology solutions.

However, it’s important for companies with an IT offshore development plan to make sure that they have the proper controls in place to ensure the effectiveness of the strategy. Ultimately, partnering with experts who have experience with your industry can make all the difference.

Offshore development trends: wrapping it up

Offshoring is here to stay and will only become more popular in the years to come. As more companies embark on globalisation, IT offshoring presents a unique opportunity to build globally distributed teams in new offshore locations to explore opportunities to access massive talent pools. It will be interesting to see how different companies choose to build their teams to produce the best results for their business. It’s key to keep an eye out for the latest offshore development trends to stay ahead of your competition.