Beyond India: New regions are paving the way in software outsourcing development

September 26, 2016

By Steve Mezak

No question. India dominates software development outsourcing. According to ATKearney’s 2016 Global Services Location Index, which bases its ratings on 38 metrics in the three categories “financial attractiveness,” “people skills and availability,” and “business environment,” India remains the aggregate world leader in offshore software development.

When you’re looking for a software outsourcing company, India’s loaded with options, but so are many other countries that you might not expect. Great outsourcing companies are all over the world. Look beyond India and consider newcomer countries who produce software at the cost and quality your business requires.

Global Software Development Rates

India’s well-known for inexpensive rates, but be sure to explore these budget-friendly regions that will produce top-quality software.

Southeast Asia in general leads the way in financial attractiveness, with Philippines, Vietnam, Sri Lanka, Indonesia, and Malaysia all providing fantastic hourly rates.

Eastern Europe remains competitive with Asia on price. In Armenia, Bulgaria and Romania, you will find rates are similar to Asia combined with quality software.

Latin America offers some key advantages while remaining cost-effective. Bolivia and Venezuela lead the way while the workday overlap makes them geographically desirable.

Africa is emerging as the next frontier in outsourcing. Morocco, Kenya, South Africa, and Ghana all boast options that are cost effective in a growing market with a huge workforce.


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Western-friendly culture fit

It’s important to consider cultural differences when you outsource. You might not be ready to go to the Far East for your software outsourcing for a number of reasons that include encountering a culture that’s a bit too foreign for your preferences, along with time zone and distance. If you prefer the comforts of your Western home, there’s is no better place to find the perfect cultural fit than by outsourcing software development to an onshore software provider - but be prepared to pay Western rates.
For better hourly rates, world-class software, and a familiar culture, you’ve got a lot of options that don’t take you as far as India or Asia.

Eastern Europe once again leads the way. Because of their proximity to Western Europe, countries and nation states like Belarus, Romania, Ukraine and Bulgaria all adapt to the culture of Western clients exceedingly well. Even closer but a little more expensive are Central European countries like Poland, Hungary and Slovenia.

Rivaling Eastern Europe is Latin America. Countries like Argentina, Costa Rica, and Colombia all produce software providers that fit culturally with Western clients while having the huge benefit of work-day overlap.

It’s a big world out there with great developers everywhere. Talk to an Accelerance Advisor about rates, cultures, qualifications and other outsourcing criteria to consider.

Talk to an Accelerance Advisor about rates, cultures, qualifications and other outsourcing criteria to consider.
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