How to find and hire an offshore software engineering team

Hire an offshore software engineering team

To build a top offshore software engineering team, it’s essential to understand their capabilities and long-term benefits to your organisation, as well as to have a clear plan to follow.

This article details exactly that. It’s written for tech leaders like you who are looking to assemble or extend their development team and don’t know where to start.

We hope you find it helpful!

What (actually) is an offshore software engineering team?

An offshore software engineering team consists of high-performing tech professionals who develop software for a company typically headquartered in a Western country.

These teams are based in prominent tech hubs like Bangalore, India, and are known for possessing niche programming skills — those that are challenging to find in the US, Europe, or Australia.

Hiring offshore engineers can bring multiple benefits to your business. When done well — using the right engagement model — you won’t only get world-class talent but also employees 100% committed to your organisation’s mission and aligned with your values.

Put simply, you can build an elite workforce abroad that feels like your in-house team.

Where can you find the best offshore software engineering teams?

The best way to hire an offshore software engineering team is to partner with a reliable offshore development company.

However, tech leaders often feel overwhelmed (and confused) by all the choices they have to find top talent. Some try to build a team by posting job ads on boards or contacting engineers directly on professional networks.

Others try outsourcing.

Generally, they fail to onboard the engineers they need. This happens because they assume that freelancers or project-based professionals are suitable for supporting their long-term growth strategies.

And the dedication, exclusivity, and proficiency required for long-term success are — in most cases —  only achievable through hiring engineering teams via an offshore development company.

Ways of hiring top engineering talent abroad

Here’s each option in more depth.

Best option: Offshore development company

Partnering with an offshore development company is your best bet for hiring tech talent that matches your business requirements.

Why?

Well, these companies specialise in sourcing the best professionals from large talent pools and creating offshore teams tailored to their partners’ exact specifications.

Let’s say you want to build a dedicated development team with front-end and back-end developers to launch your new product and become an essential part of your company in the foreseeable future.

After partnering with an offshore development company and agreeing on team size and budget, you’ll have the opportunity to collaborate with professionals ready to deliver high-quality results from day one.

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Not-so-good options: Freelancers

Relying on traditional methods to hire top engineering teams, like sourcing freelancers in specialised platforms, is a mistake many companies still make.

Don’t get us wrong. You can contact talented developers following this approach, but you probably won’t find the long-term engineers you’d wish to hire.

These platforms work very well if you only need temporary help — e.g., addressing a sudden spike in workload or covering for an employee on leave.

Least effective option: Outsourcing company

You shouldn’t hire offshore developers through an outsourcing company, as their engagement model sources short-term or project-based professionals.

Business leaders tend to use outsourcing and offshoring interchangeably when these are two different approaches to hiring tech talent.

When collaborating with an outsourcing company, you can build an engineering team to assist you in specific tasks. For example, you can hire an outsourced development team to migrate your legacy systems to a modern tech stack.

The problem is that these engineers may be working for other businesses, not just yours. This means they might not be fully committed or motivated to innovate in your organisation, and your project is one of many for them.

Not keeping the same team throughout the project can slow down development due to poor knowledge transfer. This can increase technical debt and lead to hidden costs.

How do you hire high-performing software engineering teams?

Now that you know what exactly an offshore engineering team can offer you and where to find one, it’s time to set an action plan.

Based on our experience building over 80 teams over the past 10+ years for companies worldwide, here are the three steps we recommend you follow to hire a high-performing offshore software engineering team:

1. Define the skills you need (and the team size)

The first step in establishing your new team is determining the skills needed to meet your business goals and the number of engineers you want to hire. Keep in mind that initial requirements may evolve, so it’s acceptable to start with a small team and scale up based on future needs.

Focus on identifying specific expertise in emerging or specialised technologies that align with your long-term strategic objectives.

Although languages like Javascript and Python remain the favourites for developers, niche languages like Go are increasing in popularity.

Programming languages preferences

2. Pick the right offshore partner

There are local legalities you must understand to establish your offshore team in a foreign country, which an offshoring partner can help to navigate — and should you go that route, choosing the right partner is an area where discernment is essential.

A history of building successful teams, alongside their approach to people, are the most important parameters you should asses. Likewise, verify if they have a recruitment process that can effectively source the specific skills and cultural fit needed to enhance your existing team.

3. Collaborate together to build your new team

The right offshore partner will help to build a software engineering team offshore culturally aligned with your organisation.

But the final hiring decision will be yours.

At this stage, you may also evaluate how well they communicate and if your partnership will succeed or if it’s better to move on and sign a contract with another offshore company.

If you want to know more about how to hire a top offshore team, we invite you to read our ultimate guide to building a dedicated development team.

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Real-life examples of building a top software engineering team offshore

Here are some real-life examples of companies we helped build and scale offshore engineering teams in Bangalore, India.

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How a FinTech scaled to a 450+ person R&D Centre

Established in 2003, Preqin is one of the world’s most reliable sources of data, insights, and tools for alternative asset professionals worldwide.

At the beginning of 2018, Preqin planned to build its new product, Preqin Pro, quickly. But it faced a challenge: it needed a dedicated team to make it happen.

They already had an outsourced team in Pune, India, but it was costly and didn’t deliver satisfactory results. Scaling their local team in London wasn’t feasible due to talent shortages and high salaries. They needed a dedicated development team that would extend their existing local team in London to support Preqin Pro’s development and future projects.

That’s when they approached The Scalers.

Our partnership began with just one scrum team in Bangalore, gradually expanding to meet Preqin’s growing needs. Within a year, from 4 engineers, Preqin’s team surged to 70 members, ultimately reaching over 450 employees by January 2024.

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The Scalers have been a huge help in terms of localisation, helping us manage the Bangalore team on a local level operationally. The local knowledge is invaluable when navigating India’s unique rules and regulations.
Daniel Barnes
EVP, Global Head of Operations, Preqin

Their Bangalore team expanded beyond development to departments like DataOps, Finance and Sales, and People and Culture.

Preqin’s Bangalore team started small but quickly became vital to its development and data analytics efforts. Strongly aligned with Preqin’s culture, they’ve been pivotal in creating Preqin Pro and establishing Preqin as a global leader in alternative asset insights.

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Scaling innovation: Preqin case study

How we helped Preqin establish a 450+ person global R&D centre in India

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How a marketing company offshore team grew to over 100 engineers

In 2015, Ykone, a leader in influencer marketing based in Paris, faced challenges in developing their flagship software, Campaygn, due to a scarcity of local talent and inefficiencies in their existing development process.

That’s when they sought assistance from The Scalers to build a dedicated development team in Bangalore, India.

We initiated recruitment efforts in Bangalore, starting with securing a lead engineer to direct the project. Five senior engineers were handpicked to form the initial team, focusing on aligning with Ykone’s vision and facilitating knowledge transfer.

We provided logistical support, setting up a modern workspace in Bangalore equipped with the necessary technology. Replicating security measures from Ykone’s Paris headquarters underscored our commitment to data security.

The Bangalore team expanded to seven engineers proficient in nine technologies. Continuous engagement, led by a Chief Happiness Officer (CHO), and regular visits from Ykone’s CEO fostered collaboration and innovation.

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We were struggling to find talented developers in Paris, but we found them in Bangalore with The Scalers. Our partnership is now in its sixth year, and it’s amazing to see how far they have pushed our business forward.
Olivier Billion
CEO, Ykone

The results? Campaygn evolved into the world’s most advanced analytics platform for influencer marketing, driving Ykone’s market leadership.

Our dedicated offshore development team enabled the continual delivery of flagship software, supporting Ykone’s growth from five to over 100 engineers.

In summary

As you may have noticed, building a top offshore software engineering team requires strategic planning and the right partnerships.

Not knowing where to look for the talent you need and confusing outsourced help with high-quality offshore engineers is a recipe for disaster.

KEY TAKEAWAYS:
1.
Offshore software engineering teams consist of skilled professionals based in tech hubs like Bangalore, offering niche programming expertise.
2.
Partnering with an offshore development company is the best approach for building a dedicated, committed engineering team.
3.
Avoid traditional methods like job boards and freelancers for long-term engineering needs; they are more suitable for temporary projects.
4.
Outsourcing companies are less effective for long-term projects as their engagement model prioritises short-term goals over long-term commitment.
5.
Steps to hiring a high-performing offshore team include defining needed skills, choosing the right partner, and collaborating closely to ensure cultural alignment and success.

If you have more questions about offshoring or how we can help you grow — like we did with Preqin and Ykone — fill out this contact form. One of our senior executives will contact you shortly to answer any queries you may have and start talking about building your new team!