Software development is a highly technical job. To develop software in-house requires time, skilled manpower, and expensive programs and equipment. Offshore development is a cost effective alternative to developing software in-house.
Offshore software development is synonymous with flexibility. When facing a large project but of short duration, you can use Offshore software programming to limit the number of new employees and administrative support personnel you must take on.
For start-up companies, the benefits of Offshore software development can be monumental for the simple fact that it allows you to go farther on your venture capital dollars. The costs of Offshore software programming are much lower than hiring western programmers to fulfill your design.
Benefits of Offshore Software Development:
The Value Proposition For Offshore Development in India
The case for locating offshore resources in India is driven by a strong economic value proposition.
Dramatic cost savings. Fully loaded costs for offshore work in India are 30-50 percent lower than those in the U.S. and Europe, after factoring in increased expenses for telecommunication, infrastructure, and integration. Many ISVs have captured sizeable savings by offshoring development/maintenance for mature products and executing custom software projects.
Faster time to market. Indian offshore development allows companies to reduce the time required for conceptualization through marketing of the product. Time reductions result from 24/7 development cycles, rapid ramp-up through access to a large pool of resources and faster learning curves in some areas resulting from past experience.
High quality. Most IT services companies in India have a successfully tested methodology and have in-built quality standards for their development processes. For example, 22 out of the 37 SEI CMM level 5 certified software companies are in India. In addition, 140 ISO 9001 certified software development companies also exist in India.
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