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Why to Choose Ukrainian Offshore Software Development Company

Oleh Henaliuk
·
April 22, 2024

The current business environment is one highly characterized by cut-throat competition making it very difficult for a business to survive without incorporating technology. However, the creation of the software can be a challenge since it must be done internally, means high costs, shortage of the skilled people, and long development time. Such challenges mar the growth and competitiveness of firms, particularly the young and medium-sized ones when they start experiencing these challenges most likely due to their youthfulness. As a result, outsourcing the development of software is widely used by contemporary organizations and enterprises on a global scale. Offshore software development companies’ outsourcing is effective, inexpensive, and if the partner company is well selected, the outcome could also be stellar. This is where offshore software development comes in handy as a strategic solution to these problems since it creates the opportunity of accessing the talent pool in the world, is cheaper, and shortens time. 

Currently, there are rather many IT services centers globally, but Ukraine is among the top countries conducting offshore development. That is why more and more companies from all over the world turn to Ukraine as their reliable software development partner. According to QArea, Ukraine is home to more than 200,000 IT specialists and over 1,600 software companies, placing it first among Eastern European countries, followed by Poland, Romania, and Bulgaria. It also has one of the best education systems in terms of IT. Of the 443 institutions, a significant share belong to the IT-oriented educational institutions that give students, coming from Ukraine, a fairly good IT training to become leading IT experts.

As you can see, this country has become one of the leaders in terms of offshore software development centers of attraction for global companies by having a highly educated population, fluency in English, and a reasonable geographical location. Irrespective of the type of web or mobile development services, UI/UX design, AI/ML, or cloud solutions,what you may be looking for, believe it the Ukrainian offshore software development companies have the answer to your needs. 

Next, we explain why Ukrainian offshore software development companies are the best choice in addressing typical problems of in-house development. Idealogic's team will look at the main advantages that are connected with cooperation with Ukrainian firms, share hints on how to choose the best Ukrainian company speaking about the international successful partnerships Ukrainian companies have built up.

Ukrainian offshore software development is a powerful tool for your business that can become the key to increased efficiency and cost-effective results.

What Is Offshore Development?

Outsourcing is a business that affirms cooperation with an organization or a team situated in a different country to perform software development duties. Companies are strongly engaging in outsourcing software development as a way of getting such advantages like cost control, having access to wider pool of skilled workforce, and the fact that they can solely concentrate on key business processes as they outsource the technical processes to independent professionals. Besides this, Straits research has indicated that the current size of the global IT outsourcing market is USD 342.60 billion in 2023. The market is likely to reach USD 770.98 billion by 2032.

Offshore development enables firms to increase their competencies while in fact, they are not increasing their own domestic workforce, which equals efficient usage of resources and in theory, quick time to market. This model is rather appealing for organizations that need more sophisticated solutions to be integrated into their business or have certain expertise shortages but don’t want to involve extra permanent employees.

Advantages of Partnering with an Offshore Software Development Company

The rationale for offshore development often arises mainly from the fact that cost of labor in other countries is usually much cheaper, and this saves a company a lot of money on large projects. Moreover, this approach enables organizations to exercise greater control over resources and let them adapt the number of staff to the size of projects without acquiring new human capital that entails administrative and overhead costs. 

Theoretical research has also presented the idea that a firm can cut its software development expenses by as much as 70% by outsourcing the process to a country of lower cost. It is evidenced by research that one significant motivation to offshore development is the ability to cut down on extensively large expenses. However, a Deloitte global outsourcing survey shows that 78% of the global businesses are optimistic about outsourcing relations with offshore software development firms and this goes beyond the facts that the outsourcing is cost driven as it also shows that most of the businesses are content with the quality services that are provided by the offshore software development firms. 

Also, offshore development can help increasing core competencies by directing the company’s attention to areas where it has the most strength. Outsourcing technical development to outside teams also enables them to devote more time to one’s core business model, consumer relations, and market penetration. This can prove to be advantageous especially for firms who are not in the software development business.

A final benefit of outsourcing software development is that one can use it to put into practice international innovations and technology. Offshore teams usually have different points of view and approaches that may come as a result of their work for different companies in the IT sector. This diversity enables them to deliver proper software solutions no matter the type, such as mobile, web, and the others. 

Also, when outsourcing with offshore software development companies located in other organizational time zones, companies can reap the benefits of round the clock production. This continuous operation can cause accelerated development cycles and thus shortening of the time it takes to launch a product on the market which is paramount in markets where speed is a determining factor. 

Therefore, risk sharing with offshore software development firms is a strategic opportunity to enhance technical competence, cost control, and business strategy, while at the same time extending a global talent reach for innovative solutions.

How to Choose the Best Offshore Software Development Company

At Idealogic, we have been experiencing software development outsourcing for years. Now we are going to explain to you how you can outsource Ukrainian software development companies effortlessly.

1. Define your requirements.

A company's search for an offshore software development company should have clearly outlined project necessities before beginning the search. Find out what manner of skills and technologies are required, the project size, and your anticipated time frame. This will make you point out those companies that deal in the service delivery that you need.

2. Research potential companies.

Research well about the offshore software development companies, which are likely to bid for the project. Therefore, you should establish the special skills of the companies and whether they have dealt with a project like yours or focus on companies that share the same industry as you. Also, one should review their portfolios of the projects they’ve done and the cases they specialize in.

3. Check for references and reviews.

Recommendations from previous clients involve insights into the business’s performance, standards, and concerning project execution and communication. It is also recommended to cover previous clients and get the primary feedback from them if it is possible.

4. Assess project management capabilities.

It is necessary to know how an offshore software development company works to execute projects. Ask them about their tools and processes of project management. Make sure they have good and clear procedures that cover progress status report, change management and maintaining deadlines. 

5. Look at security and IP protection policies.

Protection is always an issue to consider when selecting an offshore software development firm. Find out how a company operates secure and if it can offer some form of assurance for the safety of ideas or concepts you have developed. This comprises coding standards, data protection and International standards on security.

6. Test the engagement with a pilot project.

If possible, you should begin with a pilot project, at least within one zone to assess the company’s proficiency and compatibility with your needs. This may offer you a real-life preview on how efficient the offshore team is in regards to delivering on your expectations as regards the assignments, quality of work, and project deadlines. 

Through a meticulous evaluation of potential offshore software development companies concerning these factors, one can arrive at a sound decision that would lead to positive results in the software development projects they take.

Why Ukrainian Offshore Software Development Company is the Best Choice 

Over the recent years Ukraine stepped on the international scene as a key player in the IT outsourcing industry. Ukraine has a well-developed educational system, English speaking population, the time difference with European and North American customers allow having a high level of communication, and the rates can be considered as a quite competitive. All the above factors put Ukraine in a strategic place in the offshore software development services provision. Now, let’s take a look at each factor and do a further analysis of it. 

Education Matters

In general, the Ukrainian education system can hardly be referred to a list of the most successful ones in the world, however, it indeed produces a great number of ambitious tech professionals. In this regard, we have rather many reputable universities that equip their learners with global tech information — Taras Shevchenko National University of Kyiv and Kyiv Polytechnic Institute chief among them. And those are not mere words — seeing is believing, and, by the Coursera analysis, Ukrainians are the fourth in turn in the world by the IT skills vacancy. Furthermore, Ukraine is devoted to the educational sector with specific focus on STEM and turned into a leading country in the provision of qualified software developers. IT specialists are annually graduated from the best universities of the country, and their number is about 16000. 

Well, indeed it is clear that it is always better to not just speak about the competencies but rather demonstrate them, thus the second sign of the high level of Ukrainian competence in the field of tech is the first-class IT products Ukraine produces. To mention a few of them, they are – Grammarly, which is a popular error checking tool; Playtika, which is a famous Game developing company; Ajax Systems, which is a developer of wireless security systems. 

However, as we already pointed out in one of the recent articles, being a software developer in Ukraine has become a new black. First of all, what IT specialist practically implies is that they get a good salary. Secondly, well, software developers can work from home nine out of ten times, which is perfect for youth nowadays! Thirdly, progressive IT companies also offer satisfactory work environment. 

Finally, the industry of programming is quite simply interesting. Not only is programming a universal language, but the study of programming also entails proactive lifelong learning as much is always going on in the world of technology daily. After all that has been said above, it does not come as a surprise that many of the most forward-thinking and motivated individuals decide to enter IT sector, and it means that Ukraine is full of intelligent software development specialists willing to please the international clients. 

In total, this identified large and extensive system of education allows the production of numerous IT specialists the majority of which is capable to cope with new requirements and tendencies of modern software developing. Thus, Ukrainian offshore software development companies are rather appealing to the foreign-sourced businesses that are looking for talented and creative yet highly dependable development partners.

High Level of English

Overall, Ukraine exhibits rather high results in the English language proficiency scale, entering the top 50 countries in most of the cases. This competency is particularly exhibited in the IT department known to be the hub of hard working and innovative professionals in the nation. 

The statistics shows that in the life of the Ukrainian IT community, English is not only a working language but also a language of communication. The majority of the young IT professionals use English daily, not only at work but also when they are with friends, social media, or watching movies. They often use gadgets and other tools to watch movies with English, read articles as well as books, and even engage in such contents as converse with into language. 

However, by using the data from Education First's English Proficiency Index, one can realize that Ukraine has recorded improve the English proficiency over the years. This is a reflection of the general educational polices that stresses on learning of languages from an early stage. Furthermore, the IT professionals already are in a more select category trying to assert their English competency than the general population. Several IT job vacancy portals reveal that 80% of IT people in Ukraine consider their English as intermediate or even higher, which is much higher than the norm for the country. 

However, another strength that has acted in favor of the Ukrainian IT market is the relatively high level of English, thanks to which representatives of Ukrainian IT companies can easily communicate with clients from different countries. This capability is essential when undertaking globalization projects because communication can either enhance or hinder the achievement of the set goals. The lack of a language barrier or discomfort in communication is admittedly mentioned by the clients and is inarguably an essential factor in the choice of an outsourcing IT partnership in the practice of Ukrainian developers. 

Incorporating the data and information presented here, the inherent factors for the Ukrainian IT professionals include the following: the formal education in English is inculcated among the Ukrainians, continual personal and professional use of the English language, English language as a cultural norm, therefore, there is every reason to believe that the Ukrainian IT professionals cooperate in a global market environment.

Convenient Time Zone

Ukraine occupies a rather advantageous geographical position in the time zone of Eastern Europe, which is UTC+2. Therefore, this time zone has certain benefits for interaction, particularly with European and North American counterparts. 

Concerning the time differences, it would be rather ideal for the European clients since Ukraine observes the time almost adjacent to it. The time difference is found to be inconsequential where most of the European countries fall under the same time zone or one or two hours backward. This makes it easier for an interaction to occur especially where there is a arising issue within the normal business day location and time. That is very helpful in the case of rapid development when the presence of daily updates and constant feedback is critical to the project’s success. 

 North American organizations, moreover, gain when they get into an affiliations with Ukrainian offshore software development companies. However, the time difference is much larger and ranges from 7 to 10 hours ahead of the East Coast of the United States; yet, still, the working hours may seriously overlap. For instance, if it is morning in New York which is 9AM, then in Kyiv the time is 3PM in the afternoon. This way, some hours throughout the day are spent on activities that are done together, such as meetings, putting through, etc., and all these can be effectively used for collaborative work. 

 Also, the time zone allows for nearly a full 24-hour cycle of development work even if developers’ teams are located in different time zones, such as Asian or Pacific ones. For instance, while the Ukrainian team most likely has ended their working day, a team located on the Pacific coast of the United States begins its work. However, this arrangement can fasten project timelines seeing that development work will proceed a one time round the clock base.

Affordable Pricing

Ukraine is one of the cheapest countries for software outsourcing without the tradeoff of quality. The cause of this affordability include; cost of living, policies of government and competition in the market. 

First of all, Ukraine offers rather low expenses compared to the majority of states that can be attributed to such categories as the cost of living in developed countries such as the United States of America and the countries of Western Europe. This difference is expressed through constantly lower indicator, which allows the Ukrainian developers build up their offers in price on the Internet more tendentious. For instance, while the annual wage in the United States for an ordinary software developer is $100 000, in Ukraine a professional is paid between 25 000 and 40 000 US dollars depending on the year’s experience and expertise. 

Secondly, the Ukrainian government has acknowledged the opportunities of the IT sector as one of the tools for economical growth and has introduced relevant state policies. Such incentives are tax credits for the Information and Technology firms and easy working conditions when dealing with overseas clients. Measures like these cut operational expenses for these firms and pass the benefits to the clients by charging fair and competitive rates for their services. 

In addition, the IT market in Ukraine is highly competitive, with numerous IT firms offering a wide range of services, from software development and product design to technical consulting and ongoing support. This creates rivalry among them to become efficient and price their services fairly to penetrate international businesses from different industries such as fintech, logistics, real estate, and more. This is advantageous to clients since they can choose from different providers, which offer affordable services with quality they require. 

Nonetheless, they competing with other regions and countries that offer higher prices, Ukraine’s software development quality is comparable to such places. Ukrainian developers can boast not only well-educated and skilled personnel, but they are also distinguished by their rather innovative character. A majority of the Ukrainian IT companies comply with global norms for software development like ISO and CMMI, thus having qualitative development of products on hand. 

Altogether, the reasonably priced services of Ukrainian offshore software development companies, combined with the quality of services, offer great worth for the overseas clients. This cost-effectiveness is one of the reasons why the majority of the companies from all over the world turn to Ukraine for their software development partners, to get more for their money.

Which Countries Partner with Ukrainian Offshore Software Development Company

Outsourcing in Ukraine is especially liked by clients in different countries. Today, offshore software development companies of Ukraine cooperate with dozens of foreign countries. Now, it is appropriate to discuss countries that demonstrate the highest level of engagement when it comes to acquiring IT services from Ukraine.

First of all, the UK.

The United Kingdom of Great Britain and Northern Ireland have already evolved as two of the most significant customers for offshore software development companies situated in Ukraine. The United Kingdom may boast being favorable in terms of innovative environment, while there are several quite liberal startups’ intentions targeting the global market. However, domestic software development is expensive, but subcontracting a competent offshore partner is the best thing, and Ukraine has become such a place. Thus, the export of IT service from Ukraine to the United Kingdom in 2020 has increased by 50% and comprised more than $350 million, which has equaled the export of three primary Ukrainian goods, namely, ferrous metals, cereals, and oilseeds. And that is not all. In the previous month, the British Global Sourcing Association awarded the highest score to Ukraine as the top country for IT outsourcing. What a lovely thing to say - so happy that they get to hear that day in, day out.

Secondly, the USA.

The rationale for close working relations between progressive American firms and their offshore development counterparts in Ukraine is not dissimilar to the above. There is no need to explain American demand for anything, least of all IT services. The Ukrainian software developers to whom many companies evidently outsource their projects offer fast, qualitative, and cheap solutions.

Thirdly, Germany.

Out of all the nations in the Mainland Europe Germany typically shows the greatest interest in participating with Ukrainian IT personnel. Why? Once again, it is all about being the innovation hub and the citizens’ quality of life. 

Besides the three mentioned states, Ukrainian offshore development receives much focus from Canada, the Scandinavian countries, and other developed first or second English-speaking states.

Idealogic - Your Ideal Offshore Software Development Company

As it’s been observed, it is indeed very important to find a right and sure partner in terms of software development. Here, Idealogic grasps the position which is at the pinnacle of innovation, quality and cost control, thus it is your dependable offshore software development company. At Idealogic, we put to use the advanced tools of technology and our rich industry experience in enabling the diverse spheres of business including but not limited to fintech, logistics, real estate and etc. Thus we fine tune your business problems into solutions that make your competitors marvel. 

The team of ours is first of all the team of professionals with vast experience in software development as well as in converting complicated business proposals into effective solutions. We take our distinct business approach as a philosophy that entails punctuality, relatability, and flexibility at every phase of the development phase. We are convinced that with Idealogic, you get in touch with a provider that is focused on professional performance and driven by the love for unique software. 

Select Idealogic and discover a synergy with your software development needs and wants exceeded. Let us assist in making the changes needed to reach the digital revolution. To know how we can help in achieving your project objectives, please contact us today or book a quick call with our CTO.

 So now let’s do the first action bring us towards collaboration.

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