In the cutthroat world of software development, standing out from the crowd is important. But with fierce competition for local talent and mediocre output, it's becoming increasingly difficult. Luckily, with offshoring, you can build elite teams of software developers in another country.

Discover the benefits of offshore teams in this article that compares both local and offshore development. We'll analyse how each stacks up against cost, talent, and results, so you can make an informed decision about scaling your tech team.

Let’s take a look at the costs

Let's face it, hiring top-notch software engineers can be expensive. Software engineers are some of the highest-paid professionals, so offshoring has become an attractive option for companies looking to cut costs.

1. Staying local

This can mean shelling out big bucks for the best talent, not to mention recruitment fees, office space, and employee benefits like health insurance.

2. Offshoring

Building an offshore team in emerging tech economiescan be a game-changer. Here are a few reasons why:

  • the cost of living in these countries is lower, meaning you can hire top-notch developers at a much lower rate than you would in Western countries
  • these areas have thriving tech communities and education systems that produce skilled developers who can meet or exceed your requirements
  • don't worry about additional expenses like healthcare or recruitment fees. Offshoring can offer significant savings compared to what you'd pay in Europe or the US

Accessing talented and forward-thinking engineers

Staying local

Recruiting top talent in Western countries can be a real headache. Aside from sky-high salaries, recruitment fees can reach up to 35% of an employee’s annual salary. But the real kicker is the shortage of quality software engineers available at an affordable cost. Paying $60-100 per hour is not uncommon, and if you can’t offer the most exciting work or lucrative contract, then the power is in the hands of the engineers. So, what’s a company to do?

Offshoring

Offshoring can be the solution to avoid high recruitment costs and scarcity of local talent. India, for instance, has a remarkable pool of well-trained developers. The country produces over 1.5 million new engineers annually, and tech hubs like Bangalore attract them in droves. Notably, Indian developers also speak fluent English, making communication a non-issue. Moreover, Indian education values both software engineering and English language teaching, resulting in well-balanced, proactive engineers who easily fit into teams of Westerners.

What about outsourcing?

Outsourcing might seem like a quick fix, but it's not a long-term solution. With outsourced engineers, you're sharing them with other businesses, and they don't have the cultural buy-in to your vision.

With an offshore team, you can hire developers that fit your organisation perfectly. A thorough recruitment process ensures you get the right technical and personality fit. Think of it as a value-adding extension of your in-house team, not just a short-term solution.

Want to grow your enterprise but worried about managing an offshore team?

Don't be! With the right partner by your side, scaling your business with an offshore team is a breeze. These professionals are a fully integrated extension of your local team, and your offshore partner takes care of recruitment, operations, and administrative duties. Plus, your work culture, ethos, and rules still apply, so you can trust that your team is passionate about their work and fully invested in your success.

Quick look : Dive deeper into the benefits of building software offshore

How to make offshore teams function well daily

Managing an offshore team can be a daunting task. However, with the right tools and processes in place, you can ensure that your offshore team functions efficiently daily. Here are some key strategies to consider:

  • implement good communication and task-scheduling tools if you're not already using them
  • put simple processes in place, such as instant messaging, video calls, and task scheduling to streamline everything
  • share the right tools and explain how your team uses them
  • emphasise a culture of 'if you're not sure, ask' to overcome hurdles early on
  • consider extending your team to India if growth is on your mind or if you can't fill the empty capacity in your office

Wrapping it up

If your business is stable and your team is content, there's no need to invest in an offshore team. But, if you're considering growth or have extra capacity to fill, extending your team to India could be a rewarding option.

Connect with us to schedule a free call with a senior executive who can answer your questions. We're excited to hear from you!


Source:https://peakd.com/benefits/@thescalers/how-offshore-teams-can-benefit-your-software-development-process