The Best Countries to Outsource Software Development [2021] What are the top five countries to outsource to?

best countries to outsource software development
Aug 31
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Selecting a way to grow and scale a business is always a bit challenging. Should you focus solely on the in-house team or employ a BPO company to help you out? If you choose the second option and decide to outsource some functions, there are things to learn first. For instance, did you get to learn about the best countries to outsource software development to? If not, here’s your chance. 

Each region offers different advantages. The key is to research your options meticulously and assess your own needs, preferences, and capabilities before sealing the deal. Prioritizing and running a through-and-through background check will lend you the most qualified team of developers out there.

So, let’s get started and see where you should look for talents. 

What Is Software Development Outsourcing?

As a globally popular business practice, the term outsourcing stands for a mutual agreement between two companies. It illustrates how one business lets another take care of certain tasks. A company provides its external collaborator with valuable insights, timeframes, and other inevitable guidelines. In the meantime, a professional third-party team uses their skills, knowledge, and expertise to fulfill all given assignments and ease their partner’s efforts. Moreover, outsourced teams help out when it comes to saving time, increasing quality, boosting productivity, and more. They make up for the mastery that could be lacking in the company’s in-house team. 

When a firm chooses to outsource software development, its first aim is to find a reliable BPO company trained in this field and proficient with a chosen tech stack. 

Why Do Companies Outsource Software?

When you break down the pros and cons of outsourcing, there are quite a few things to think about. However, there are still more advantages than disadvantages to this widespread practice. So, why choose to outsource? Here are the main upper hands to consider: 

  • Shortening time-to-market,
  • Accessing top talent quickly, 
  • Skipping lengthy hiring and training processes,
  • Gaining a competitive edge, 
  • Being more flexible,
  • Boosting the incomes and cutting costs,
  • Obtaining more coverage,
  • Having a more diverse pool of workers. 

Other benefits of software development outsourcing include minimized business risks, more room to grow and scale a team successfully, and more time to focus on some core aspects of your company. 

What Are the Top Five Countries to Outsource to?

The precise location where you’ll be looking for a BPO partner depends on several factors. Firstly, there is a matter of proximity and whether this aspect plays a significant role in your business. Then, there’s a time zone issue, which could be a deal-breaker for some (while others, like those in need of customer support services, will thrive). Language and cultural differences and barriers could also pose a problem. 

Finally, you should consider the financial aspects. Know your budget and which third-party companies will match it. Aside from that, you will have to do the homework and find out about other things to consider when choosing the right outsourcing company. Reputation and references matter more than you can imagine.

Now that we have covered certain questions you will undoubtedly have to answer before proceeding, here’s the list of countries with the most BPO companies, freelancers, and other flexible talents:

  • India 
  • China
  • Brazil
  • Malaysia
  • Philippines 

Ultimately, the US market excels when it comes to business process outsourcing. In fact, the BPO industry here will produce $113 billion of revenue throughout 2021. 

Nevertheless, when it comes to finding the best country to outsource software development to, there are more territories to take into account. 

Outsourcing to European Market

The European job market has countless perks. Whichever your niche is, the odds of finding superbly skilled professionals are high. Many US companies have shifted their focus from India and Latin America to Europe due to numerous reasons. The roles they outsource to the Old Continent vary from HR, through tech positions and design, to customer and contact center services. And those are just a few of the frequently outsourced functions. 

Why should you choose to outsource to Europe? Here are the top reasons to select one of its regions:

  • A vast talent pool,
  • Highly educated and skilled workforce,
  • A great deal of knowledge of security and minimized risks,
  • A western mindset and matching culture,
  • Excellent work ethic,
  • Multilingual workers with fantastic English skills,
  • An ideal quality to price ratio. 

Now, when the future of outsourcing holds many new regions to discover and a massive talent pool to unlock, it is the perfect moment to consider the European BPO market

5 Best Countries for Outsourcing Software Development

Outsourcing software is more than a trend. In fact, more than 75% of companies delegate their tech needs to third-party providers around the globe. Moreover, with the evolution of outsourcing, this business model has become popular among startups as well. Basically, any firm, regardless of its size, stage, and precise niche, can enjoy the numerous benefits of outsourcing

The list of best countries to outsource software development in 2021 includes:

  • Ukraine,
  • Poland,
  • Serbia,
  • Argentina,
  • India. 

These countries offer tremendous advantages for businesses that choose to expand their forces and sets of tech skills. Each one possesses a few significant assets that make it the perfect destination for any organization. 

Ukraine – One of the Best Countries for Software Developers in Europe 

Eastern Europe’s talent market is growing rapidly. It is no wonder that so many employers consider this particular terrain and recognize its potential. Ukraine is one of the top choices when it comes to hiring developers and other tech professionals

First of all, tech communities in this country are very engaged and proactive. Aside from the vibrant global tech scene, there are many smaller groups dedicated to specific roles, programming languages, frameworks, or domains. Ruby developers, Java engineers, QA specialists, and Data scientists have all gathered into several specialized circles. Their agenda includes sharing knowledge, organizing meetups, conferences, courses, and more. These events are visited and promoted by nearly 60% of the country’s industry experts.

These days, it is estimated that Ukraine is home to over 200,000 tech specialists. Therefore, choosing a freelancer or a BPO partner in this region will pose no problem. 

Poland – A Land of  Massive BPO Potential

According to a Stack Overflow report from 2017, Poland is among the most promising lands for tech professionals. Aside from the technical competencies and 250,000 developers who inhabit this country, there is another reason to consider it. Out of all the prominent BPO destinations, Poland is by far the safest one. In addition, it is highly ranked based on popular developers’ contests where experts from multiple states showcase their mastery. 

If you’re looking for a third-party software team specialized in fintech, Poland could easily be the ideal location for you. 

With 25% of all Central and Eastern European programmers living and working in this precise country, it is impossible not to put it on your list of prospective BPO areas. 

Serbia – Meet the Top Tech Specialists 

What is the best country for software development outsourcing? For many, it’s Serbia. If you choose to outsource to Serbia, many substantial perks will await. Matching time zone, superb English skills, excellent geographical position, go-getting attitude, strong work ethic, and hospitality will immediately make you feel like you’ve made the best call. 

In addition, the country’s tech sector is unstoppably evolving. In fact, there’s a fantastic education system that continuously focuses on STEM and enables programmers and other professionals to obtain the most extensive knowledge.

A few years back, Serbia had a bit over 30,000 highly skilled developers. Since then, the numbers have gone up. With more than 2,500 tech companies in Serbia, it’s easy to pair up and drive the best possible results. 

Lastly, the entire industry in this country is inclined toward innovation. You will encounter all relevant trends in software outsourcing and gain a competitive advantage when you meet Serbian talents. Their expertise covers multiple domains, niches, and technologies, including AI, machine learning, IoT, blockchain, and more. 

Argentina – Latin America’s Best BPO Destination 

Argentina has ensured its place on the list of highly ranked outsourcing countries by advancing its education system and allowing plenty of free learning opportunities. Besides, approximately 70% of students mix their study with practical work in the form of internships and jobs. So, you can tell why Argentina has a huge pool of tech talent to explore. Businesses can discover qualified professionals in the fields of mobile and software development, DevOps engineering, and cloud computing. 

There are more than 100,000 developers living and working in this South American country. In addition, there are 282 startups there, mostly located in the Buenos Aires area. Moreover, you can hire a freelancer specialized in these fields for a medium hourly rate between $30 and $50. 

India – the Best Country to Outsource Software Development in Asia

India ranked as the leading digital nation in Tholons’ 2020 Global Innovation Country Index. Its number of outsourced roles is growing daily. You can meet an extensive range of experts with excellent tech skills in the fields of native and hybrid app development, blockchain, artificial intelligence, and open-source projects. 

The number of IT professionals living in this huge country is impressive. It is estimated that the numbers have surpassed 5 million. In addition, the Indian software industry is expected to reach US$ 100 billion by 2025

Hiring a freelance developer in India can cost between $18 and $40 per hour.

How to Choose the Right BPO Company?

Choosing the right BPO company can be somewhat tricky. But if you follow these essential steps, your final choice will be on point:

  • Look into several companies, shortlist the best ones, and negotiate with at least three of them,
  • Explore your prospective outsourcing partner’s devotion and consistency,
  • Make sure that the domain they are specialized in matches your requirements,
  • Check out their reliability and recommendations,
  • Focus on transparent and constant communication,
  • Mind the company culture and values,
  • Ensure you are financially compatible. 

Don’t skip any of these steps. Picking a trustworthy team to help you reach your aims is paramount. If you do it correctly, the outcomes will be remarkable. 

Picking the Best Third-Party Development Team 

Selecting a fitting team of third-party developers entails a few other points:

  • Keep an eye on the apps, websites, and products they have built before,
  • Know the factors to consider when reviewing their previous work, including the design, user experience, time to load, and more,
  • Set up clear goals and be precise when stating the scope of work during your negotiations,
  • Ask questions and try to find out about their technical experience and non-tech skills,
  • Make an arrangement that will involve a test period and see whether they will deliver what you have agreed upon. 

That way, you will be sure that you’ve found the right BPO provider for your software projects

Explore the Best Countries to Outsource Software Development to

Now that you’ve learned of several arising regions in the BPO domain, there will be plenty of room for you to consider where to start the search. So, what is the best country to outsource software development to and why? Of course, the precise answer depends on your business needs, objectives, and requirements. However, these five countries we have discussed should unquestionably be on your list of prospective grounds to conquer. No ifs, ands, or buts about it. 

 

Can’t wait to start your quest? Let’s talk

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Tatjana Zotovic