In today’s digital era, new and innovative software is being deployed all the time. This puts impetus on all companies to stay at the top of their game and scale their business, pushing themselves ahead of the competition.
Companies in the US and Europe are constantly on the lookout for talented developers to drive this software innovation. However, the distinct shortage of local talent in the West has led to more and more companies choosing offshore software development. This popular option allows companies to stay competitive in an ever-expanding industry.
State-of-the-art technology, abundant talent, and impressive economic growth have made India the world’s foremost offshoring hub. Today, India is a world leader in offshore development and has become the first choice for companies looking to expand their workforce. Hiring Indian programmers allows companies to access experienced, highly-skilled talent at a lower cost than at home. All of this at a greater ease and without lowering the standards of work.
Every day, companies are looking to expand their software development team, increase their output, or drive software innovation within their business. We’ve prepared 5 big reasons why going offshore can make it happen.
1. A massive pool of engineering talent
A 2018 survey revealed that 45% of employers find it especially difficult to fill jobs in engineering and IT. Nearly a third of respondents cited the lack of ‘skilled applicants’ as the main reason.
In the US and Europe, there is immense pressure to discover and hire developers with the right skill set. Unfortunately, there are too few talented developers in these areas. When you do unearth an excellent engineer, they come with an eye-watering salary.
That’s why more and more companies are looking seriously at offshoring as a way to enhance their development teams. Some companies try to “hack” their growth through outsourcing. However, this only works as a ‘quick fix’ and simply is not sustainable in the long run.
Outsourcing vs. Offshoring: what’s the difference?
Outsourcing means engaging individuals or agencies to remotely complete a fixed-term project, similar to working with freelancers. The developers have no ownership over the project. Since the main attraction is cut-throat pricing, the quality is frequently below par; sometimes the output is non-existent.
Offshoring is a completely different model. This is where you build a dedicated development centre (usually in a young tech economy, like India) with staff members fully employed by your business. These permanent employees are an extension of your workforce. By working with offshoring specialists, you guarantee to engage serious and committed developers looking for a career in your team – something that’s impossible with outsourcing.
Check out our piece on the key differences between outsourcing and offshoring to learn more.
India produces 1.5 million engineers every year, a number that is unrivalled anywhere in the world, and only set to increase. By recruiting Indian programmers into your offshore team, companies can access a massive pool of dedicated, skilled, and passionate developers who are just waiting to be hired.
2. An abundance of English-speaking programmers
Language compatibility is a significant point of concern when choosing an offshore software development company to work with.
As a nation, India puts significant emphasis on education for all its people – including language teaching. India is now the world’s second-largest English-speaking country, right behind the United States.
So the top Indian programmers are not only technical experts but also fluent in English. Even better, they are taught to communicate clearly and effectively. This allows top-quality developers to slot into your team regardless of logistical challenges. This way, geographical locations or time zones are never a hindrance.
A lot of companies worry about language and cultural barriers when offshoring. With top developers, we’re happy to report this isn’t an issue. Hiring Indian programmers means hiring skilled, focused engineers who will deliver whatever you ask them to. The best part – the work is at par with the industry standards.
3. Cost-effective compared to western developers
An undeniable advantage of offshoring is cost-effectiveness. By offshoring your software development and hiring Indian programmers, you can reduce your IT spend by 20-50% compared to hiring at home.
The cost of living in a country like India is significantly lower than in the West. For example, the all-inclusive cost of living in California is 140% more than Bangalore, India. This means that basic necessities like food, clothing and shelter cost way more in the US and Europe. In turn, the average disposable income for an employee in India is higher. This allows you to access an exceptional talent pool of engineers, without the same costs as at home.
Further, the cost of setting up a software development centre in the US and Europe are high.
Reports show that American companies occupy roughly 45% of office spaces in India as they continue to expand their operations in the country. This is followed by domestic companies which are followed by companies from the European Union.
While there is an initial investment required to move offshore, the ongoing costs (like internet, property leases, and payroll) are significantly lower.
4. Culture and attitude geared for success
With India producing 1.5 million engineers every year, finding the crème de la crème should be seriously difficult. However, it doesn’t have to be. Partnering with the right offshore software development company makes finding dedicated engineers (ones who can really contribute incredible results) a walk in the park.
But good Indian programmers aren’t just technically gifted. There’s a never-give-up attitude and focus on creative thinking that’s ingrained into the culture. Your engineers will become personally invested in your projects and brainstorm ideas to drive innovation. You’ll work with brave developers who aren’t afraid of failure of rising to a challenge.
Indian engineers are wired this way is because they are taught to always be persistent and hustle. In a country that generates hundreds and thousands of engineers annually, they need this grit to reach the top. Bringing this attitude into your business can do wonders for your growth and performance.
5. A proven economic and technological environment
India has emerged as one of the fastest-growing economies in the world. Over the next 10-15 years, it is expected to be the world’s 3rd economic power; right behind the US and China.
The Indian market has grown leaps and bounds in the last decade. India’s GDP is estimated to increase at an average rate of 7%, underlining the strength of its economic activity. Even better, India’s labour force is expected to reach more than 160 million by the year 2020. This is due to population growth and higher education enrolment, among other factors. This has all contributed to the growth and development of the Indian IT community.
There’s a reason IT behemoths like Google and Microsoft are building new R&D centres in cities like Bangalore. It’s already one of the most dynamic, talent-heavy cities in the world.
Located in Bangalore, India, The Scalers is the offshore software development company that can help you hire a world-class team of Indian programmers. We have a bulletproof recruitment process and a history of building first-rate teams.
If you’re ready to expand your business and build a team in India, book a free consultation with one of our senior executives by clicking the button below. We’d be delighted to help you.