Top IT outsourcing countries
IT outsourcing is on the rise across the world. Businesses large and small go for outsoucing IT operations to gain instant access to skilled talent, cut their expenses and ensure high quality of software products and services delivered. But choosing the right IT outsourcing company https://itsvit.com/ is the prerequisite of success, and some regions provide better overall level of services. Today we list top IT outsourcing countries worldwide to help you make an informed choice.
There are several huge IT outsourcing regions worldwide: Eastern Europe, Eastern Asia and South America. While businesses prefer to outsource close to their immediate location (mainly to ensure the work hours overlap), there are multiple reasons why working with an IT outsourcing partner on another continent might be your best choice.
Let’s take a closer look on the benefits of various IT outsourcing destinations.
Eastern Europe — Poland, Ukraine, Romania, Czech Republic, Russian Federation. This is a common IT outsourcing destination for the EU and US businesses
Eastern Asia — China, India, Philippines, Vietnam, Malaysia, Pakistan — a common choice for Asian countries, the Gulf and Australia
South America — Mexico, Brasil, Columbia, Argentina — frequent choice for the US and various countries worldwide.
Billing
Outsourcing IT operations to India, Philippines or Pakistan is one of the cheapest routes, as the cost of living there is quite low, which allows the outsources to charge 90% cheaper, as compared to hiring in the US or EU.
South America is also quite cheap in terms of cost of living, so IT outsourcing there allows saving around 60-75% of your project budget.Eastern European countries are either parts of the EU or have relatively high standards of living, so outsourcing there will save about 50% of your funds.
The main concern here is the quality of code, as low quality of Indian code has become a byword, while Silicon Valley startups are outsourcing to Ukraine and Poland for years now. This shows that billing, while definitely essential, is not the most important concern.
Market Size
General numbers of IT engineers, including DevOps specialists, front- and back-end developers, Big Data architects, iOS/Android developers, QA automation engineers, etc. are listed below. The data is presented for top 14 outsourcing countries worldwide
India – 630,000+. China — 390,000+. Malayzia — 15,000+. Mexico — 30,000+. Romania — 30,000+. Philippines — 35,000+. Vietnam — 18,000+. Russia — 45,000+. Czech Republic — 22,000+. Ukraine — 180,000+. Argentina — 28,000+. Brazil — 66,000+. Poland — 43,000+. Colombia — 9,000+.
Thus said, the country size is not the most important factor, as some smaller countries have more IT outsourcing specialists than the larger ones.
Innovation rates
Bloomberg Innocation index evaluates the countries by a vast range of parameters. Generally speaking, the more innovative a country is, the more high-tech startups are launched there and the more experienced the country IT talent pool is. Not all countries from the previous paragraphs are included into this list. The total score of 9 most innovative countries worldwide are listed below.
China 68.89 Poland 67.47 Malaysia 66.98 Russia 65.24 Czech Republic 62.27 | Romania 57.06 Ukraine 50.78 Brazil 46.4 Argentina 44.62 |
Cultural compatibility
It is obvious that cultural fit is essential to ensure smooth IT outsourcing partnership. Gartner evaluates this parameter by comparing English proficiency and alignment to Western culture between the leading companies of each outsourcing country and the US.
- Brazil – 5 stars
- Mexico – 5 stars
- India – 5 stars
- Philippines – 5 stars
- Ukraine – 5 stars
- Poland – 5 stars
- Czech Republic – 5 stars
- Malayzia – 4 stars
- Argentina – 4 stars
- Romania – 4 stars
- Vietnam – 4 stars
- Russia – 4 stars
- Colombia – 4 stars
- China – 4 stars
Conclusions on the comparison of top IT outsourcing countries
None of these parameters is exhaustive. There are also important things to consider, like the programmin skill proficiency, the number of business hours interlapping, average employee attrition rates per country, etc. However, the teams with a good cultural fit, affordable pricing, ample experience and sufficient size do exist, and such teams can be found in Poland, Ukraine, Brazil, Brazil, India and other countries.
We wish you success in finding the best IT outsourcing country for your project and a reliable company there!