Many companies involved in software development today still don’t know that there are numerous benefits to be gained by outsourcing one of their teams or a part of a team to a foreign country. What you can read here below is no news to our existing clients.
1. You save money
Different locations have different costs of living and if you are developing software in a high-cost country like Sweden you have a great opportunity to transfer some of your software development to Thailand and by doing so getting more talent for your bucks. The labor cost here for a senior software developer is 60% lower compared to Sweden.
2. Learning how to manage remote developers is not a bad thing
Do you want your team to be local, showing up for the morning scrum every day at the office, and only conversing in the native language of your office location? Then I have some bad news for you. Working remotely at least a few days a week is becoming an important benefit for many talented software developers. The current Covid-19 situation has sped up this transition even more. Many software companies all over the world are struggling with adapting their processes and tools to accommodate this. There are security concerns, VPN solutions need to be set up and traditional onsite whiteboards and meeting rooms need to be accompanied with online tools for managing tasks and whole projects.
Do you want to know how to do this? Then learn from a respectable outsourcing company, they have been working like this for many years and know what works and what doesn’t. Start utilizing outsourcing resources can greatly mature your organization’s internal processes to become more remote work-friendly.
3. Outsourcing software development saves time
How much time and other resources are you spending on hiring and managing your employees? I bet a substantial amount. With an outsourcing partner, you are also outsourcing some of these parts, giving you more time to focus on the business core of your company.
4. Time zone differences can be an advantage
In contradiction to what many think, working in different time-zones is usually not a problem. With the right tools, you can do most of your collaboration online. Like for example writing feedback comments on a task in an online project management system or code reviewing a push request from one of the team’s developers. We find that face-to-face online meetings are a necessity but you don’t need them all the time. A common setup is to have online team meetings with the project owner once every two weeks. The project manager might talk face to face with the project owner once or twice every week also. This works very well even when the time zone difference is 12 hours which is the case for our North American clients.
In other cases, like for our Swedish clients, we have a lot of overlapping working hours, at least 4 hours every day. This gives plenty of time for finding meeting time slots and chat windows that works for both sides. When it is 9 am in Thailand it is 4 am in Sweden. This gives the Thailand based team 4 working hours before the working day starts in Sweden.
5. Software development is hard, and many locations don’t have enough local talents to match the demand
Finding talented software developers is today not easy. Globally the demand for talented software developers is higher than the supply. The market is trying to handle this the best it can and various adaptations are deemed necessary to keep business going. We who work with software development we know that a top of the line developer in a team of 3 can end up doing 80% of the work in a project. As a startup, how do you find this top of the line developer you need to succeed? One way is to expand your horizon and look for talents further than a few kilometers from your current office location.
6. Gain flexibility in scaling your team to match your needs
With an outsourcing partner, you gain the flexibility to scale up and down your team as needed.
7. Some skills needed in a project are better kept external
Some skills in a project are heavily needed in the beginning, but less later on. The opposite is also true, some skills are not needed at the beginning of the project but are vital at the end. Two examples of this are graphic design and quality assurance. For most types of businesses doing software development, it might not be the best alternative from a cost perspective to have expert graphic designers and quality assurance in-house all the time, and we don’t recommend letting your in-house software developers do their own designs and testing their own code. What we do recommend is a third alternative involving the outsourcing of these services, where you only pay for your graphic design expert and/or your quality assurance expert during the period they are actually needed