Why Is Offshore Development Center Cost-Effective & a Step Further in Quality?

The offshore development center is not just the buzzword in the technology and software development industry; it’s a reality!

>> Read more: why hire a software outsourcing company from Vietnam?  

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But, many software and mobile development companies are still unsure of whether to hire an offshore development center for their next project. They have concerns about the cost. And, they are also apprehensive that it could mean compromising the quality of the solution.

>> Learn more: how to choose the right outsourcing software company in Vietnam?

So, read further, to know if offshore development centers are cost-effective; and whether they offer the best quality solutions!

Labor Costs

Experienced and qualified software and app developers are highly paid across the world. Software development companies incur huge costs on recruitment of the best talent. Then they have to pay salaries and perks as well. But, is hiring the best talent enough to keep the software development business going?   

Software development companies have to take up a variety of projects. And, every project has a deadline. To meet the deadlines of the project, and to achieve all that is expected by the clients, the development companies have to maintain a team with professionals having varied skill-sets.

Moreover, even after completing a project, it has to pay salaries and perks to the workforce, which is made to sit idle because the company doesn’t have work to keep them occupied. The company cannot even choose to lay off some of its developers as the next project might require their expertise.

Human resource planning is a concern for software development companies; the consequences of an error are serious! And human resource costs are high!

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Offshore development teams are generally from countries where the cost of hiring technically qualified labor is much less than the USA or Europe. So, even with the same number of skilled professionals in the team, the costs incurred are much less. When you can build software for less, you sell it for less; and it gives you a costing edge!  

The offshore development center is thus a solution to substantial labor costs associated with recruitment, maintenance, and exit of the employees.        

Operational Costs

Is it feasible for software and app developer companies to hire a separate team for each new project? Any experienced software development company knows that it is not!

Hiring more employees is a significant burden on the infrastructure of the company. You have to provide space, equipment, and day-to-day amenities.

And, you can’t give up on new projects either, if you have to expand your business. So, what is the solution that can balance the operational costs and the benefits that a company can derive through the growth of the business? The answer is offshore development!

Well, the offshore development team helps you save on your infrastructure and operational costs with every new project. It is not practical to expand your facilities for every new project.

So, it is essential to evaluate and list down the modules or projects that you are good at handling with your existing expertise and capabilities. You may continue to work on your prime projects and hire an offshore team for the subsidiary projects and modules. This will help you save on infrastructure and high operational costs.       

>> Read more: structure an offshore development team: pros and cons

Training Costs

Software development companies and mobile app developers do not get the same type of projects all the time. And, they prefer a variety of projects as that helps them grow into different sectors.

But building new projects is always a challenge. You have to keep your teams updated on emerging technologies and trends. Most of the time, it also requires you to train your developers to use new interfaces, frameworks, or languages.

It is not easy for companies to send their developers for costly and time-consuming training before the commencement of each project. And, training does not assure that the team will be able to perform well in the new domains without any practical experience.

Offshore development teams are a great help when you need a partner team that is already proficient in the new technologies. It can work with you in collaboration, fulfilling all your requirements, and with no additional training.

Moreover, with offshore software development, you can be sure that your project work is carried out by an experienced team that is capable of delivering excellent performance.

Quality

The quality aspect of offshore development teams doesn’t even require a debate. The fact is that offshore development teams perform well, mainly because they come with the expertise that is needed to develop a perfect product.

By hiring an offshore development company, you can concentrate on areas of your expertise and leave the rest on the offshore development partner who is an expert in the relevant domain.

Working with a software outsourcing team allows achieving a broader knowledge base and specific experience in the technologies for the end product. Furthermore, you get to learn about new areas which you haven’t explored already.

So, while the team directly reports to you, you have full control over its performance. As you are working in close collaboration with the offshore team, you can guide the pace of development.

A dedicated offshore development team allows you to perform regular quality checks to make sure that product development is proceeding as required.  

A common problem with in-house development teams is about restrictions to work with a fixed team that may, or may not perform with the new project requirements. A flexible team structure is prevalent in offshore development, as it allows selecting the right people to fit the specific project requirements.  

>> Learn more about our dedicated Offshore Development Center in Vietnam: https://inapps.net/services/offshore-development-center/

Conclusion

Offshore software development is a growing trend in the software and mobile app development industry. The reason is simple. Businesses are ready to pay well for the best end product.

But, despite all your efforts of hiring the best talent, you cannot be sure that your in-house team will be able to handle all the new and upcoming technologies equally well.

So, to get a cost-effective and high-quality solution, offshore development teams are the best option.     

Now you know the reasons why you need an offshore development center for your upcoming project. Contact us to work with the best offshore development team now!

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