Whether you are building a website, mobile or desktop application, you will need to hire programmers at almost every single stage of the process. A software developer is an all-encompassing title given to an individual that writes code. The position can either be held by a junior-level developer working to sharpen their technical skills or a senior developer experienced in delivering complete solutions for clients.
If you are an entrepreneur with an IT-related idea, there are chances that you will be needing a software developer. Interestingly enough, even hardware engineers occasionally require the services of these individuals to program firmware and circuits.
In this article, we are going to look into why there is an increasing demand for offshore software development and how best you can hire programmers to undertake your project as a startup.
What Exactly is Offshore Software Development?
Offshore software development is simply a business practice whereby a parent company partners with a remote developer, team or company to benefit from their software development expertise.
These independent contractors are hired to deliver a part of a project or simply assigned to develop a software from the ground. Additionally, they also help companies deliver innovation without initiating any increased risk.
Software Development at a Glance
More than anything, any developer out there truly values seeing their work having an impact. This is a harsh reality that most large companies have to deal with given the large workforce as it minimizes the impact of an individual developer. On the other hand, when working for a small company, the developer has the opportunity to build groundbreaking features that are desperately needed to propel the small business to the next level.
Unfortunately, this is the ideal situation. In reality, most tech startups are constantly facing tech talent shortage. This is because it’s nearly impossible to compete with the bigwigs such as Google, Microsoft, Facebook, Rackspace, IBM, etc for the limited number of developers. They simply can’t afford to pay the software developer salary in these big companies plus the opportunities for advancement are extremely constrained.
According to a recent study conducted by Transparency Market Research, the global deployment software and application development market is projected to experience a 2.56% CAGR for the period between 2017 and 2022. This growth will be majorly driven by integration benefits the downright efficiency the technology offers to various sectors.
During the same period, the most in demand will be structured data management software which will account for approximately 37.7% and expected to see a 31.5% CAGR to reach a $164m valuation. Both the markets will rake in $24m annually which truly shows the magnitude of expansion.
Global Market Segmentation
Geographically, the North America app development and deployment market contributed a total of $31m in 2017, making it the largest market segment. The same segment is expected to exhibit a 28.9% CAGR by the year 2022 with the revenues reaching $96 m.
North America is closely followed by Europe with revenues expected to clock $73mn by 2022. In terms of growth, the European market is expected to expand at a rate of 25.9% annually. This growth in Europe will be largely propelled by the many vendors preferring to set base here compounded by the large expertise base that the continent has.
Last but certainly not the least, the Asia Pacific with the exception of Japan is predicted to see a 29.3% CAGR with the estimated revenues projected to hit $74 m. by the year 2022.
The Impact of New Entrants
The global software development market is mainly dominated by a few players including Microsoft Corp., IBM, Salesforce.com, Oracle Corp. Facebook etc. However, industry analysts predict that the entrance of new players looking to create a market for themselves will send tremors throughout the whole industry. Key among the factors to play an important role in this shake-up is the increasing demand for remote tech jobs.
Top Reasons to Choose Offshore Software Development
There are many reasons why you should hire programmers, here are the top five.
One of the major reasons why companies resort to outsourcing is because it presents major cost-saving benefits. In a country like Ukraine, the software developers are properly equipped both in terms of skills and necessary tools. This translates into quality work at an affordable cost. In fact, companies outsourcing from Ukraine are capable of saving their development budget with up to 60%.
Whether working on mobile app development or website development, timely implementation is of the essence. Any delays could result in unforeseen and unnecessary spending. When working with an offshore software development company, the commitment to work is unquestionable. The teams are always dedicated to deploying your products in a timely fashion eliminating any inconveniences. After all, they are alive to the fact that a lost customer translates into lost money.
Hiring tech talent requires that the individuals have the set-skills to turn your ideas into a tangible product. Offshore software development companies have a large pool of skilled professionals to tackle all the problems that your project could face. As a result, you get to utilize these bright minds without having to permanently hire them.
Any offshore software development out there knows the importance of communication as it’s the lifeline for any successful project. That is why most have communication platforms with clients both at a personal and the team level. They constantly keep in touch updating you on the progress of your project hence completing your work to your satisfaction.
When you outsource your work, it basically means you are spreading the impact and risk management of your project with the company. It’s easier for an offshore company to manage and mitigate any risks that may arise in the course of the development process since it forms a major part of their core business.
Offshore Software Development in Ukraine vs Other Countries
Ukraine is without a question the melting point of offshore software development services. The number of skilled IT professionals is one of the highest in Eastern Europe, plus the cost of development is significantly low.
Here are some of the reasons why Ukraine beats other countries:
Skilled Software Developers
Software development companies from Ukraine comprises of innovative and smart developers who are equipped to handle software development projects or any other IT-related jobs. In fact, the country has been hailed for producing developers who not only have development skills but also possess strong analytical skills.
Compared to other European countries, Ukraine emerges the winner in terms of being strategically located. The country is 1 hour ahead of other European countries and intersects with both the American and Australian time zones. This translates into better communication with your remote team, operational monitoring, and control over your project.
Compared to other European countries, the average salary comparison by a job in Ukraine is significantly low. This rounded off with talented software developers and quality managed services make the country an ideal outsourcing destination.
Developer Salary by Country
In terms of salary comparison, the western countries dominate.
If you are a startup wondering how to hire a developer, you can tap into offshore software development as its one of the best hiring methods. It’s not only efficient but a great cost-saving strategy. Outsourcing helps your recruit individuals who will wear multiple hats and can work independently without any close supervision.