Benefits of Onshore Vs Offshore Software Outsourcing
21/05/2013 17:14
When we think of software development confusion arises in mind whether to opt for a local company or look for an overseas option. If we calculate on a per hour rate Indian companies are much cheaper as compared to onshore options. There are lots of benefits of offshore outsourcing more than most of us are aware of. Let’s take a deeper look into the options available for your software development project.
Software projects offered to foreign companies by U.S Company for development can be considered as offshore development. Usually this is done in order to reduce the cost of project. This concept is not at all new and is backed by years of trade and transactions. These days where highly skilled labor is not essential, the work is outsourced china from different parts of the world. India has tremendous IT workforce and people from all over the world outsource their IT projects to native Indian companies. Offshore outsourcing is very economical and reduces the cost to a great extent. The cost reduction leads to getting the project development completed sooner as more work forces can be hired.
Onshore outsourcing exists in U.S where the production is cheaper, rentals are cheaper and labor cost in lower comparatively to the other parts of U.S. One of the main benefits of onshore outsourcing is that the project can be monitored personally. Most onshore outsourcing companies have a systematic project development process. Onshore outsourcing decreases the travel expenditure; training costs are reduced as well. The labor in U.S. is usually highly skilled.
More and more companies are looking to outsource their software projects to companies in India where the project would be done in less time and lower costs. Businesses have very fewer options when they are not doing in house development. Either its onshore or offshore, in onshore the software development would be monitored but the production costs would be high whereas in offshore software development cost is cheaper but one needs to make sure that they have found the appropriate software outsourcing company for the job.