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Running Offshore Programming Company - From Insider

By Jason Himes

Perhaps, all of managers and executives of software development companies with US customers and offshore software developers in Russia, India and other locations serve the US and European markets and follow the main principle – to reveal the market demand and satisfy it with the best quality and lowest price possible.

Currently – taking into account the red-tape of Indian offshore programming business and consequent growth of the cost of off-shoring to India – one may occur a question – is this it and must we go back to the times when the bulk of programming was done in USA?

From my point of view the answer is negative – one should not neglect the processes in India, China, different parts of Russia, watch the Philippines, where we can see the strong US influence upon the business culture, and other conventional and innovative offshore programming markets.

Some global trends:

  1. India – general tendency to red-tape, more time for decision making, and consequently – costs increase. Though, we may not ignore its advantages: the opportunity to delegate your liability (with consequence to lose customer and get negative publicity), Which may be crucial if you have no commitment to the customer for long years. Offshore practice in India will make you deal with established company in Mumbai area and local representative in the US. The above features will most fit the large scale and lasting projects.
  2. Russia – is the place of old timers (computer geniuses – particularly outside of Moscow – one should cast an eye on Sent Petersburg, Smolensk, Ukrainian cities etc). Here you can and will benefit from the excellence of Soviet education system. If you decide to opt for Russia – it turns out to be cheaper than India and programmers’ skills and expertise (especially in problem solving and innovative projects) can be compared or higher than in India. But do remember and consider the great difference in business culture – strong management style is required here – otherwise they may lose interest to you.
  3. The Philippines – is a new place for outsourcing but already now it can boast that its programmers are very dedicated and motivated people – and the Philippines authorities do their best to enhance the internet infrastructure in the country.
First of all, before deciding to outsource offshore, we would recommend to take into consideration the project complexity, the number of team members to implement the project, the project challenge, keep project management and sales positions in-house, concentrate on one business system (like Microsoft CRM, Oracle Financials, etc.), try different offshore teams and developers to enhance your performance and efficiency.

About the Author

Did you find my article helpful? You can get even more information about electronic offshore programming by visiting Offshore-Programming.Info Jason Himes, Copywriter, freelancer

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