Outsourcing in general is a form of business practice where companies transfer some of their services and workload to a third-party contractor. If we narrow a focus to software development outsourcing, that practically means that the transfer may include a wide range of operations. These may involve web development, testing, and even the entire IT department operations.
Apparently, one of the main reasons companies started web development outsourcing – especially to other countries – was to optimize the costs. The top five ranked benefits of IT outsourcing have varied over time, yet the list often includes one or more of the following:
- Undeniable cost optimization.
- A more room for focus on business strategy.
- Access to a wider pool of resources or skills.
- Lower investment in in-house infrastructure.
- Increased flexibility when it comes to changing business environments.
If somebody would want to categorize types of outsourcing according to spatial and time distance, it can be said there are three options. Onshore is the outsourcing that happens within one’s own country. On the other hand, nearshore outsourcing means collaborating with a contractor from a country with an insignificant time difference or a neighbouring one. Finally, offshore software development outsourcing includes cooperation with a vendor from a country with a noticeable time difference.
Related article: Opening a Branch Office in a Foreign Country
Here we are going to cover some of the most popular and best countries to outsource software development to in Europe.
Serbia
The tech industry is one of the most steadily growing industries in Serbia. Only between 2010 and 2020 has the IT industry increased 10x in exports. According to the statistics, there are already 2,500 IT companies in Serbia. Most of the tech companies – around 67% of them – is still focused on being a third-party vendor. That gives the opportunity to developers to be constantly up to date with the best world practices in handling the project and communicating with the stakeholders.
We have already written about some of the benefits of outsourcing to Serbia, but here we would like to stress two of them that we get a lot of questions about.
According to EF English Proficiency Index, Serbia ranks 15th out of 100 countries. This should come as no surprise as English is a mandatory foreign language taught in all elementary and high schools.
Speaking of the IT education support system, it got significantly modernized. Namely, just to mention that the basics of Python are already in the curriculum of elementary schools nowadays. In addition to that, the number of specialized classes in CS has been increasing in grammar schools as well.
Poland
The most widespread programming languages in Poland are PHP, Java, and .NET. Being a member of the EU, Poland follows EU data protection laws and regulations. This may be counted as one of the great benefits, especially when your project involves handling sensitive data. In addition to that, according to many client testimonials, Polish developers are reported to have very few cultural differences which make the cooperation pretty smooth.
Bulgaria
The IT outsourcing market in Bulgaria is a popular option when companies decide to outsource to Eastern Europe. The country pays a lot of attention and investments into education programs. After such efforts, the results have been inevitable – it is reported that around 2,000 students graduate from CS institutions every year.
In addition to that, the IT market has reaped many benefits as a result of cooperation with the state government and businesses worldwide.
Ukraine
Ukraine has around 150 CS universities and colleges, and also a number of tech boot camps and courses. The local IT community gladly shares their knowledge so that more developers can acquire excellent tech skills. These numbers influence other areas of the outsourcing market as well. With the numerous community, it is no wonder that big cities in Ukraine are known for their own tech specialities. We will also add here one more number: 245. That is how many large software companies are located in Ukraine.
Romania
Talking numbers, there are around 60,000 people in Romania who are involved in the outsourcing sector. No wonder having in mind that many companies such as Dell, IBM, and similar have international offices in this country. Romania is a popular choice for those who are in need of fintech software, but none is less true for those who seek software development in all other areas as well.
Croatia
Besides the steady growth of the tech industry in Croatia and many outsourcing businesses that already opened their offices in neighbouring countries, as of January 1, 2021, this country started offering “digital nomad visa”. With this permit, there is also an option for non-EU citizens to live in Croatia long-term.
If you decide to outsource your software development in Serbia, check out the services we offer at ProDevs.
