Software offshore staffing is the process of hiring professionals, especially software developers or IT specialists from overseas to work on projects. Here, companies usually hire from countries with significantly lower labor costs. Offshore staffing is quite different from outsourcing.
In this case, you don’t give the entire control of your project to those experts. Rather, they are an extension of your in-house team that works and grows with your project’s goals.
Companies opt for offshore software staffing models because they are highly cost-effective. Also businesses get to collaborate with global talent and scale their teams efficiently without compromising quality. And the advantage of 24/7 productivity allows companies to focus on more strategic development.
10 Best Software Offshore Staffing Company
| Software Offshore Staffing Company | Company Size |
|---|---|
| Vivasoft Limited | 300+ |
| InApps Technology | 200+ |
| Netguru | 900 |
| Bacancy | 1050+ |
| N-ix | 2200 |
| ZoolaTech | 500 |
| STX Next | 1000 |
| Future Processing | 1000+ |
| The Software House | 220+ |
| OpenXcell | 500 |
1. Vivasoft Limited
Based in Bangladesh, Vivasoft is one of the most promising software offshore staffing companies in Asia. Since its foundation, the company has served more than 50 companies globally and gained the client’s trust through delivering high-quality, scalable solutions.
With a team of 300+ expert engineers experienced in 20+ tech stacks, Vivasoft provides highly customizable solutions tailored to each client’s unique needs. Beyond software development, Vivasoft offers specialized services in mobile app development, AI, blockchain, and DevOps. It is a versatile technology partner for businesses across multiple industries. Leave the coding, analysis, and bug fixing to us and get your software developed according to your wish.
Founded: 2016
Email: contact@vivasoftltd.com
Website: https://vivasoftltd.com
Address: Floor #11, 16 & 19 Ahmed Tower, 28, 30 Kemal Ataturk Ave, Banani, Dhaka 1213
2. InApps Technology
Known for helping the startups to find their way to success, InApps is a Vietnamese software development company. It has two more branches in Singapore and the USA. Due to their robust performance, they are currently the top ranked IT company in Vietnam and hold 5th place in app development and custom software development in Southeast Asia.
Founded: 2016
Email: sales@inapps.net
Website: https://www.inapps.net/
Address: Headquarter- 285, Cach Mang Thang Tam Street, Ward 12, District 10, Ho Chi Minh City, Vietnam (Viettel Tower)
3. Netguru
Founded in 2008, Netguru is a renowned software development company who have numerous offices and delivery centers all over Poland. It has worked with a wide range of companies from small-scale startups to multimillionaire companies. They have a long list of services, specializing in web development, mobile app development and custom software development.
Founded: 2008
Email: hello@netguru.com
Website: https://www.netguru.com/
Address: Nowe Garbary Office Center, Ul. Małe Garbary 9, 61-756 Poznań, Poland
4. Bacancy
Originally founded in India as a small team of tech enthusiasts, vacancy now operates its services in 30 different countries, with the key hubs being in Ahmedabad and New York. They have a unique way of combining innovation and tech with culture, which has made them stand out among hundreds of IT companies. It has gathered top talents from all over the world and currently has built a team of 800 efficient developers, coders, and solution architects.
Founded: 2011
Email: solutions@bacancy.com
Website: https://www.bacancytechnology.com/
Address: Headquarters- 15-16, Times Corporate Park, Thaltej, Ahmedabad, 380059
5. N-ix
With more than 20 years of experience and over 2200 skilled professionals on board, N-ix is undoubtedly one of the largest software offshore companies. They have successfully served 100+ clients and earned their full satisfaction and are working hard to do more. The veteran engineers from 25 different countries work together to develop innovative and successful software products.
Founded: 2002
Email: contact@n-ix.com
Website: https://www.n-ix.com/
Address: Headquarter- Valletta, 157 Archbishop St., Malta.
6. ZoolaTech
Originating from silicon valley, ZoolaTech now operates their work in multiple regions like the USA, Mexico, Turkey and Ukraine. It is a full cycle software development company who provides custom software development, mobile app development, cloud services, data migration, etc. through both in-house operation and offshore staffing. With 500 experts always on board, they don’t compromise when it comes to the quality of their services.
Founded: 2017
Email: contact@zoolatech.com
Website: https://zoolatech.com/
Address: Headquarters- 1221 Brickell Ave, Suite 900, Miami, Florida 33131, US
7. STX Next
STX Next is a global IT consulting company, based in Poland. However, they have expanded their business in several countries including, Mexico, Germany, United Kingdom and The United States. They specialize in custom software development and provide cutting-edge AI-powered software solutions. They have 500 expert technology officers who combine all latest technologies and ensure the best quality service to their clients.
Founded: 2005
Email: business@stxnext.com
Website: https://stxnext.com/
Address: Headquarter- ul. Mostowa 38, 61-854 Poznań, Poland
8. Future Processing
Another Polish software development company in our loss has been a partner of Microsoft since 2007. Though their services mainly revolve around software development, they put extra emphasis on consultation, machine learning, cloud computing, data migration, moderation, and data solution services.
Founded: 2000
Email: sales@future-processing.com
Website: https://www.future-processing.com/
Address: Headquarters- Bojkowska 37a, 44-100 Gliwice, Poland
9. The Software House
Possessing the highest recommendations as a software development company in the global tech market in Poland, The Software House wins the popularity choice with no doubt. It mainly focuses on Web development and software construction with an efficient team of globally recognized engineers.
Founded: 2012
Email: hello@tsh.io
Website: https://tsh.io/
Address: Headquarters: ul. Twarda 18, Warszawa, 00-105, Poland & ul. Dolnych Wałów 8, Gliwice, 44-100, Poland.
10. OpenXcell
Since 2009, OpenXcell is a reliable IT consultant based in India with their sales market offices in several countries like the USA, the UK, the UAE, Canada and Australia. They are specially recognized because of their creative and innovative software designs and custom software development according to the clients needs. With a team of 500 experts, they provide cost effective, user-oriented technical support.
Founded: 2009
Email: sales@openxcell.com
Website: https://www.openxcell.com/
Address: 203/204 Baleshwar Avenue, Bodakdev, Ahmedabad
Software Offshore Staffing
Software offshore staffing means extending or staffing your team with offshore or overseas software experts. The main motto of doing this is to get vast experts from diverse tech stacks. This is unbounded by geographic boundaries and provides talent with the specific skill a project requires. Usually, companies target countries with low living costs. This makes the entire deal affordable with a unique perspective.
Software offshore staffing is the latest trend in the software industry. Its history and origin are traced back to the Industrial Revolution. That time companies began to extract resources, raw materials, and labor from distant countries. But the leading pioneer of offshore started with General Electric which transferred its manufacturing processes to low-cost countries. Over time, companies began targeting countries like Bangladesh, Philippines, India, and China for the decreased labor costs by 30-50%.
When the internet era bloomed, this offshore staffing started with the hands of Dell and IBM. As they started hiring experts from overseas for call centers and IT. By targeting developing countries, they found they can reduce wages and bring innovation to the team.
Software offshore staffing is growing in demand with every passing day. Due to its lower cost and versatile expert’s access, it’s a popular choice among companies. Using this method, companies can bring innovation and diversity to their teams, ensuring project success.
Some of the recent trends of software offshore staffing are –
1. Software Trends
- AI automation
- Cloud computing
- Machine Learning
- Blockchain
- Cybersecurity
2. Geographic Trend
- Latin America
- South Asia
- Middle East
- East Europe
Why companies consider offshore staffing for software projects
Most IT companies consider offshore staffing for software projects for its lower cost and access to vast talent pools. Besides this, they can focus more on core activities, with more development hours to scale their business.
Nearly 60% of the companies use offshore staff for at least some software projects. Let’s break down the reasons for its popularity.
Cost Efficiency
1. Lower Labor Cost
Offshore staffing is generally less expensive than onshore wages. Hiring remote professionals for software development can cost you lower than hiring onshore employees. To get the best cost-saving options, companies tend to rely on countries like Eastern Europe, South Asia, and Southeast Asia. Labor costs are significantly lower here, and businesses can reduce wages by 70%.
For lower wages, choose regions like –
- Eastern Europe (Ukraine & Poland) – $30-$50/hour
- South Asia (India, Pakistan & Bangladesh) – $25-$50/per hour
- Southeast Asia (Philippines & Vietnam) – $ 25-$50/per hour
2. Reduced Overhead
Offshore staffing saves expenses related to increasing office space, resources, and infrastructure. As a result, businesses can cut their headcount total cost from $79,920 to $47,173. And that is more than 1.5 times. The difference is huge and a win-win situation.
Access to a Global Talent Pool
1. Specialized Skills and Expertise
Offshore staff augmentation gives access to the talent pool without any regional boundaries. Here, you can easily find specialized software developers experienced in specific technologies and programming languages that may not be always available in the local talent pool.
2. Experience with Emerging Technologies
The software industry is growing with trends like AI, cloud computing, and blockchains. Offshore professionals are frequently experienced in these cutting-edge fields. So, their expertise helps companies stay ahead of the curve in innovation.
3. Global Certifications and Standards
When you hire an offshore team for your project development, you can ensure global working standards. Compared to onshore staff, they undergo rigorous training and screening procedures before being hired. Often, you can choose companies with ISO- and CMMI-certified agencies that have the proper knowledge of compliance with global laws.
Scalability and Flexibility
1. Rapid Team Scaling
Offshore hiring allows you to scale your team rapidly with project development. Depending on the project goals, companies often need to suffer from understaffing or overstaffing. With an offshore partner, you don’t need to go through that hassle. Whether you need more team members or specialized workers, you can easily adjust your team with the changing dynamics.
2. Flexibility in Team Composition
Software development projects often require experts from different skill sets. And it is challenging to find experts through traditional hiring methods. You need an offshore plan to assemble teams with specific skills and diverse proficiency in technologies. Software offshore staffing gives you greater flexibility and versatile skills for your team.
Extended Development Hours
1. Time Zone Advantages
Generally, it seems like time zones can be a great barrier to effective workflow. But the reality is the opposite. You can actually use the sun model for your own benefit. Different time zones allow you to strategically schedule your team’s workflow. For example, schedule the work so that the offshore team can start when the in-house work hours finish. This model ensures your team can work around the clock and increase productivity. This leads to faster project delivery and completion with 25% more speed, as reported by McKinsey.
Some of the timezone benefits of are –
- 24/7 development
- Faster turnaround
- Flexible schedule
2. Overlap with Onshore Hours
Strategically schedule offshore teams to overlap with onshore hours. This overlap allows for real-time problem-solving, quicker feedback loops, and improved coordination. Thus, both teams can work together during crucial parts of the day reducing delays in project timelines.
Focus on Core Competencies
1. Delegation of Non-Core Tasks
By extending your team offshore, you can transfer routine tasks to them. And your official team can focus more on strategic activities. As much as you save on labor and resource expenses, you can also improve efficiency & business growth.
The non-core software tasks that you can offboard are –
- Software testing
- Maintenance and error fixing
- Data migrations
- Code review and documentation
- System admin works
2. Cost-Benefit Allocation
Hiring an offshore team saves you a lot of money from labor and resource allocation. Plus, by handing over the non-core tasks, you also make greater ROI without using the resources. The best way to utilize this is to redirect those resources to more core business functions. Work with high-value projects with better results and invest in them. This will give you the cost-benefit allocation of the resources and utilities.
Access to Diverse Perspectives
1. Innovation through Diversity
With offshore staffing, you get skilled professionals from different cultures and localities. As your team comprises diverse experts, it also fosters a diverse work culture. You get to tap into each individual’s unique perspective and use that for business growth. As found from research, cultural diversity can promote innovation and create new ideas & insights.
2. Enhanced Global Awareness
As you work with industry talents from different regions, you get a global insight. You can analyze how the market of the specific region works and the required measures. You get the idea of customer preferences and highlight points. This will help your team position itself at international levels by using numerous geographic approaches.
Risk Management and Business Continuity
1. Distributed Risk
Offshore staff augmentation ensures your project does not rely on a single team. When you distribute your workforce, you’re actually distributing your risks. This effective risk management helps your project to continue even when your regional office can’t function.
2. Business Continuity
Your offshore team is not bound by any locality. And it is also resistant to local issues. For instance, if your in-house activity totally stops, your overseas team can still work and ensure project completion within the deadline. This does not stop your business activities entirely and provide backup support in onshore downtime.
Access to Emerging Markets
1. Expansion into New Markets
The offshore team gives you detailed perspectives about their local market. You can get clear ideas on business opportunities in that region. With this, you can expand your business to new markets with smoother entry. As you get pinpoint details about consumer demands, market trends, and local issues, growing in new markets becomes easier.
2. New Partnership Opportunities
As you get the chance to enter into new regional markets, it also enhances partnership opportunities. You can partner up with local brands and offshore firms. And use this collaboration to explore market-fit products & expand overseas.
Strategic Partnerships and Alliances
1. Long-Term Relationships
Offshore staffing fosters long-term relationships with the agencies. This promotes mutual growth and collaboration. As you communicate and form the bond, the result is more productive business growth.
To build long-term relationships with offshore partners, follow these steps –
Set communication protocols
Schedule meetings to overcome overlapping hours
Do not over pressurize them with strict deadlines
Create a culture of respect
Respect the cultural diversity
Fostering a transparent work culture
2. Collaborative Innovation
Offshore teams collaborate with you to get innovative results. You can work with them in joint research and development about the product launch. Through these, you get more in-depth knowledge and co-create solutions with more advanced tech skills and ideas.
Enhanced Focus on Quality and Innovation
Offshore staffing prioritizes expertise skills. So, you get the expertise in best practices to focus on quality and innovation. Using their skills and methodologies per your project requirements ensures the best outcome.
Common Challenges In Offshore Staffing
Offshore Staffing has now become one of the most accepted strategies in business. However, Trusting an outsider with the company’s data is not easy. Also, barriers like language and cultural diversity make offshoring a bit challenging.
So yes, offshore staffing comes with its own set of problems. If not handled properly, your business can be in trouble despite having skilled manpower.
Communication Barriers
When you hire workers from different regions of the world, language can be a huge barrier. Your offshore staff may fail to understand the instructions correctly. This can also create misunderstandings among the members and thus hamper the project overall.
Different time zones are another reason why there can be a lack of communication among the workers. For example, if several employees from different locations are working on one project, they need to exchange information. But it can be difficult when there is more than a six-hour difference in time between them. One might seek data while the one containing it may be asleep. Scheduling meetings with all project members also becomes difficult in such cases.
Using proper communication tools and strategic scheduling are the best ways to get rid of these issues.
Quality Control
Companies tend to hire employees from countries with lower labor costs. However, in the process of reducing costs, they often end up hiring inexperienced and unqualified workers. They can not fulfill the client’s demand, and the outcome is disastrous.
Also, when you hire multiple workers across different locations, they must be equally qualified. Even if one of them is lagging, it can jeopardize the whole work. Ensuring the efficiency of all staff in offshoring is indeed challenging. Hiring from the best software offshore staff provider is the easy solution for this.
Culture Differences
The main reason why many businesses hesitate to hire offshore employees is data privacy. If the offshore company doesn’t have a secured platform, your business plan, project ideas can be easily stolen.
It is best to have an NDA (Non-Disclosure Agreement) contract with the offshore company so that your data is legally secured with no chance of leaking. Also, partner with an offshore staffing provider like Vivasoft, that has robust security protocols to ensure data security.
Data Security And Confidentiality
Offshore staffing opens up the gate to hire capable manpower from all over the world. Though it erased geographical boundaries, it ended up creating a new one called cultural diversity. Managing a team full of diverse people can lead to confusion, misunderstandings, and often conflict.
After all, they have different approaches to work and different standard models to follow. This can cause serious conflict among the team members and slow down their productivity.
Key Factors For Successful Software Offshore Staffing
According to the Employ Quarterly Insights Report, 81% of talent acquisition professionals agree that acquiring top talent has become more challenging than in past years. This is why offshore staffing has gained immense popularity nowadays. After all, you can get highly skilled workers who have undergone rigorous testing, at comparatively lower costs.
Choosing The Right Offshore Partner
In most cases, companies prioritize cutting costs. However, cost should not be the first concern if you want to have the best quality service. Instead, choose someone who understands your business concept and project plans and can help your business to bloom.
Here are a few things you need to keep in mind while choosing the right offshore partner to ensure maximum productivity-
- Clear communication
- Vendor expertise and reputation
- Cultural compatibility
- Cost-effectiveness
- Quality service
- Legal compliance
- Data security
- Industry insights
Setting Clear Expectations
When dealing with an offshore partner, you need to be specific about what you want from them. Be clear about your business goals and give them proper instructions. Explain the role you expect them to play in your task in detail.
For those hiring multiple workers for a single task, make sure to assign them their responsibilities to avoid any overlapping. Be exact about the progress report, reporting format, and time to make the best use of their skills.
Implementing Effective Communication Strategies
Communication is the fuel that keeps a company running.
Maintaining effective communication with offshore employees is ten times more challenging than with in-house workers. Texts, calls, and video conferences are traditional methods of keeping in touch with staff.
With newer technologies like Zoom meetings, Google Meet, and Skype, communication has become easier and more transparent. Personalized one-to-one communication and group meetings among members ensure less confusion and increased productivity.
Monitoring And Managing Performances
Thorough monitoring of the daily performance ensures the highest efficiency of an employee. Build a system where the staff needs to input their everyday work. Arrange regular review sessions and discuss individual and team progress. Arranging training and skill development activities can also help boost the performances of the employees.
Why Choose Vivasoft For Software Offshore Staffing
Since 2016, Vivasoft has successfully completed 80+ projects and earned the trust of numerous brands and clients. With a passionate team of over 300 highly skilled engineers, it provides the best offshore software development services around the globe. Here are some compelling reasons to choose Vivasoft for software offshore hiring:
- Top 1% Talent: Vivasoft employs highly skilled professionals across various technologies through a meticulous screening and hiring process. We guarantee that your projects are managed by industry-leading experts.
- Agile Methodology: We follow an agile development process that is adaptable, collaborative, and focused on delivering high-quality software solutions.
- Comprehensive Services: From offshore mobile app development, team augmentation, MVP services to end-to-end development, Vivasoft offers a complete suite of software development services tailored to address the unique needs of diverse businesses.
- Cost-Efficient: Vivasoft offers highly competitive and customizable pricing models tailored to your specific software development needs. We focus on delivering high-quality software solutions without compromising your budget.
- Cutting-Edge Technology: At Vivasoft, we leverage cutting-edge technologies to create innovative solutions and better communication. We make sure your projects benefit from the latest advancements in software development to improve functionality, performance, and user experience.
- Global Reach: Vivasoft has a proven track record of successfully serving over 50 leading companies across various countries. This shows our strength in connecting businesses with top-tier developers from around the world.
Partnering with Vivasoft for your offshore software development means scaling your dev teams with world class experts.
Best Practices For Offshore Software Development
Having an in-house software development team is definitely beneficial. However, it is very costly as well. And searching for skilled professionals is a tough task. That’s why companies opt for offshore software development.
Here are a few best practices for offshoring software development-
Agile Software Methodologies
Agile software methodology is the most used and most effective project management approach. It has suppressed the traditional waterfall method with a 64% success rate, whereas the waterfall has a 49% success rate.
- Agile methodology has divided complex software development into different parts. And companies can have offshore employees working on each part separately and delivering quick results.
- A team following the agile method focuses on the quality of each iteration so that it produces accurate results every time. So, when all parts are combined and the final product is launched, it is sure to pass all quality checks.
- This method saves the additional costs of debugging, error fixing, and amendments.
- It prioritizes customer satisfaction over anything else and takes every feedback into immediate consideration.
- The agile method ensures better coordination and collaboration among the offshore staff.
Regular Updates And Feedback
Regular Updates and reviews allow for continuous development. Create an open feedback channel where all employees can share their ideas and thoughts and make suggestions. This enhances employees’ skills and project outcomes.
The daily feedback system also allows quick adjustments whenever necessary. And helps the project stay on track aligning with your business goals.
Cultural Sensitivity Training
Offshore staffing brings people of different cultures and beliefs together on one platform. Welcoming perspectives of diverse cultures is vital for creating a cooperative team.
Arrange training sessions where employees of all diversity share their ideas and working styles. This will help them become more respectful and accepting to each other and improve their skills overall. Ensures swift collaboration to strengthen the bonds between team members.
Future Trends In Software Offshore Staffing
From startups to multinational companies, the benefits of software offshore staffing are undeniable. The market analysis regarding IT outsourcing shows that the current IT outsourcing market size is estimated to be $617.69 billion in 2024. And it is expected to rise up to $806.53 billion within the year 2029, growing at a CAGR of 5.48%. So, needless to say, how fast the sector is growing.
Technological Advancements
Advanced technologies like AI, machine learning, and automation are becoming necessary commodities nowadays. Software offshore companies are also integrating AI to complete repetitive tasks, help in decision-making, optimize software development, and more.
While AI is taking over boring and repetitive jobs, developers can focus on the more complex parts of the work. This gives them enough room to think outside the box and be creative.
The use of AI in coding and analysis will also lower the chance of error, and developers will be able to provide high-quality services with reduced time. Solving problems will become less time-consuming, which is sure to benefit both clients and developers.
Evolving Business Models
From small businesses to larger enterprises, all are evolving their business plans and strategies to survive in the competitive world. And offshore staffing is helping them to a great extent in that.
Offshore Staffing has broken the traditional 9-to-5 office model. With offshore staffing models companies now have greater scalability and agility. The flexibility to hire teams or developers on demand allows organizations to adjust quickly to market changes.
Conclusion
Software offshore staffing is a powerful strategy that boosts business efficiency and supports growth. By leveraging a global pool of highly skilled workers at a reduced cost, companies are getting the chance to invest in more things.
Though clients may face a few challenges in offshore staffing, the future of this sector is highly promising. With careful planning and the right partnership, companies can plunge into endless possibilities.
