The Reasons to Outsource Your Software Development in Ukraine

Published: October 10, 2013 4 min. read
Svitla Team
By Svitla Team
Managed Operations
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Ukraine has been always considered the country of talents. Beautiful nature and mild climate can’t help inspiring anyone. The level of intelligence of population is rather high. In the previous decade, with growing of globalization, increasing of influence of the Internet and social media, as well as investment from abroad, the interest to IT increased among young people in Ukraine. According to the job ratings 2013, IT specialists set the 1st place in the most desirable professions among school graduates, leaving behind directors, managers and layers.

Although the salaries of Ukrainian software developers increased 1.5-2 times comparing to the previous two years because of growing technical expertise and demand for developers, they are still 2-3 times less than the salaries paid in US and Western Europe for the same jobs. This makes Ukraine attractive offshore software development provider. The pool of specialists includes the representatives of all possible sophisticated technologies. The biggest popularity nowadays belongs to .Net, Java, PHP, Ruby, and mobile technologies (Android, iOS).

There are 862 higher education institutions in Ukraine. Thanks to the good educational system saved since Soviet times and updated with modern European techniques, young people are able to obtain profound knowledge in math and physics and due to the self-education, Internet courses, and freelancing they can polish their skills in practice. Such education and desire to work makes them perfect specialists able to solve very complicated tasks.

Ukraine has a great potential and now sets the leading position among countries of Central and Eastern Europe in IT outsourcing. As Ukrainian government does not sponsor science and manufacture in enough amounts, most of the IT industry in Ukraine is oriented towards international market. Approximately 40,000 people work in outsourcing. Of course, this is not as much as in India, but the population of our country is not that huge also. Each year Ukrainian institutions add 16,000 graduates to IT community. With such tempo the number of IT specialists should reach 120,000 specialists by 2020.

This tendency triggered creating of outsourcing companies that help foreign firms to find the specialists in Ukraine thus reducing additional time and money expenditures. In Svitla Systems, our professional recruitment managers are oriented on selecting and employing only the best candidates from all over the country, performing careful interviewing and background checks. Our HR managers study the needs of the market and select the candidates that really satisfy the requirements of the projects. We value our staff, providing them with all necessary hardware and software, comfortable offices, health insurance, vacancies etc. We listen to our staff same way as our clients and this makes our company attractive for job-seekers.

The portrait of Ukrainian developer may be depicted as a hard-working, enthusiastic, creative and intelligent person. Most of IT people in Ukraine are aged 20 to 35, able to be flexible to customer working hours and meet strict deadlines. Many our customers point out that Ukrainian developers are not afraid of coming to customers with their ideas and range of options for better solution. Though the last say stays after the customer such collaboration helps to achieve the best results.

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Besides being knowledgeable in computing they also have a good command in English and communicational skills. Ukrainian people are very polite, hospitable, client-oriented and gladly communicate with guests from abroad. More and more companies give priority to Ukraine (instead of Asian countries) because of the cultural aspect: in the people’s way of thinking Ukraine is much closer to Europe and US.

Nowadays, Ukraine actively paves the way to integration with European Union. The government of Ukraine works on the tax-laws that would stimulate the entrepreneurship in IT sphere. Such engagement of the ministers should also increase the interest to startup by both Ukrainian and foreign investors. Hopefully, the professional level of IT specialists in Ukraine will continue to grow and many companies will appreciate the work with our people.

So the main reasons why to outsource in Ukraine are:

  • Lower salaries comparing with US and EU;

  • Large IT specialists pool;

  • Great talents;

  • European type of thinking;

  • Compliance and meeting deadlines;

  • Well-established recruiting system;

  • English-language competence.


Written by
Svitla Team
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FAQ

Why might a company choose to outsource software development?

Outsourcing software development will be from that huge pool of highly qualified specialists at much lower salary costs compared to the US or Western Europe, but with uncompromised quality. Just like what happened in Ukraine, technical strength in .NET, Java, PHP, Ruby, mobile abilities, among others, is accompanied by strong mathematical and engineering education and developers who can strictly keep time flexibility working with international clients. Cultural proximity to Western business practices enhances collaboration due to good English and communication skills, plus local mature recruiting processes. In aggregate, this makes scaling development an efficient, budget-conscious way to access new ideas and innovation.

What is outsourcing in software development?

Software development outsourcing is defined as the transfer of whole or partial engineering work to third-party professionals or companies from other countries. It does not hire and support a large internal staff but creates cooperation with qualified developers from abroad who possess solid technical, mathematical, and engineering qualifications. Normally, such workers have experience with current technologies, speaking abilities, and working under tight time constraints while observing the client’s culture and business orientation. Immediate acceleration of the scaling process reduced expenses plus access to a huge talent reservoir across the globe.

What are the advantages of outsourcing internationally?

International outsourcing opens for businesses some of the most fundamental benefits by tapping into large talent pools characterized by strong technical and educational backgrounds at a much lower cost than what is found in domestic markets. Companies can easily keep their budget optimized while receiving high-quality work. Apart from that, international outsourcing inculcates different perspectives on presenting innovative solutions since developers from various regions of the world look at problem-solving through various angles. Quick, efficient team scaling, coupled with a strong work ethic and adherence to deadlines, improves operational flexibility, which trickles down to give a competitive advantage.

How do developing countries benefit from outsourcing?

Outsourcing creates high-value job opportunities for skilled professionals in developing countries, particularly in the software and engineering sectors. The increasing number of foreign clients also means investment in education, technologies, and local infrastructure that uplifts the general professional standards of workers. Outsourcing inspires entrepreneurship since the locals set up their own recruitment agencies, project management firms, and IT companies to serve international partners. Ultimately, this brings about more global economic integration, increased tax revenues, and new paths for young specialists who otherwise would have taken the route out of the country.

What is the primary goal of outsourcing?

The main purpose of outsourcing is to use external resources in achieving a business objective efficiently or effectively at a reduced cost. This may include expertise and skills not found within the organization, but which would require more expenses to keep available internally. The provision allows reduced operating costs together with faster project initiation that refocuses internal labor on core activities. Outsourcing is meant to give an organization flexibility and scalability while creating a competitive edge by enabling proper resource allocation through access to the best professionals worldwide.