Offshore Services

What is it and why do it?

Offshore development in the IT world is the term most often used to describe the business of outsourcing software programming and engineering services beyond national boundaries. The three most common justifications for offshore development are cost reduction, internationalization and inadequate supplies of domestic resources. Cost reduction is the traditional reason for offshore development.

Benefits of offshore services

• Significant cost savings, up to 80% in certain cases.
• The outsourcing company is able to release resources for high value-added and priority work and can concentrate on their core competence, designing, business knowledge while delegating technical tasks, maintenance, research or routine tasks to the offshore software development company. In some cases the offshore software development company can add significant technical knowledge also.
• While it can be quite difficult to recruit the expected competence in Western countries, it is a completely different scenario in Ukraine, where there are many qualified programmers with good academic training.
• For temporary peaks the outsourcing company can avoid expensive new recruitment or the high cost of local consultants and instead use lower priced consultants in the offshore software development company.
• Consulting and programming capacity is available at short notice without increasing long term personnel commitments.
• Outsourcing company also reaps the knowledge gained by the offshore software development and consulting assignments.
• Access to a resource pool of highly skilled and experienced IT professionals
• World-class quality development

Some clients outsource their programming needs by getting programmers from Ukraine for short or long term projects to work onsite with their own design team. Others send whole or parts of projects directly to Ukraine for offshore software development in Ukraine.