Choosing an Offshore Outsourcing Company

The choice of the right offshore outsourcing company can be vital in making your business efficient and cost effective. For many western companies, hiring a software outsourcing company to solve their IT tasks is not only a way to save money and get top-level professionals, but also a business strategy factor, because it lets you concentrate on your major business tasks.

Reaping the Advantages of Outsourcing

A key factor of success of the offshore outsourcing strategy is in your choice of software outsourcing company. To avoid the risks of working with an offshore contractor and enjoy all the benefits of outsourcing, the customer must form very thorough criteria of evaluation of the candidates.

Due to the offshore business outsourcing market features, the following characteristics of an offshore company are significant and contribute to the overall benefits of outsourcing:

  • Professionalism. To prove their business outsourcing professionalism, the contractor first of all must have necessary programming skills and be experienced in the field of offshore outsourcing. A full comprehension and good performance of the customer's task can be guaranteed by the examples of the projects completed, other customers' references, contractor employees' resumes, as well as the size and the structure of the contractor's company.
  • Note: To get all the advantages of outsourcing it is very important to make sure that the contractor has the appropriate number of qualified staff to perform the customer's project. Offshore outsourcing companies often start new projects having not enough people which results in deadline breaks and project failures.
  • Quality level. A certified quality management system, stable and formalized client work methods, testing procedures and requirement/configuration management techniques prove that the company is able to provide high quality and guarantee successful development of the software projects.
  • Note: In small companies or informal teams, the success of a project is very dependent on the personality's talent. This means that the reliability of the team falls as the key person is sick or quits. When it is necessary to develop a complex system that requires professional management and different specialists, quality can not be guaranteed.
  • Price. One of the main reasons why companies use outsourcing is a desire to save money, so one of the most important criteria of choice is matching of the price to the level of the company's maturity. A low price does not always guarantee a high-quality product, but often results in the loss of money, time, and opportunities. It is very important to consider the contractor's prices in connection with their professionalism, level of quality and customer support.
  • Support programs. Any serious offshore outsourcing company must provide free customer support programs. This is vital for success of the software product. Having a representative office abroad is a significant factor, because it makes local customer service possible, which lets reduce the support time and costs.
  • Stability of the offshore outsourcing company. There are a number of external and internal factors that determine a contractor's suitability for long-term cooperation. Among the internal factors are how old the company is and if the company has any permanent customers and a management team, which must be mentioned on the corporate site. The external factors are the company's country and its political and economical situation.
  • Note: Most small offshore outsourcing companies and informal teams apply techniques to avoid taxing. This is very risky, because serious problems with tax administration may occur at any moment. The potential customer should pay attention to the documents that the contractor requires for establishing the cooperation (contracts, invoices, acceptance certificates, etc.), and the bank account where the money should be sent — it must be a company account in a bank located in the company's city. If it is a personal bank account or the bank is in another country — it may mean that the contractor avoids taxation illegally.

There are a great number of IT outsourcing companies with different technical capabilities and level of services and prices. The strategic choice of an outsourcing company is very complicated and responsible, however if the choice is right, the profitability of the cooperation will be obvious and will allow the customer to do their business even more effectively.

According to the above evaluation criteria, many Russian companies have significant advantages over other participants of the offshore outsourcing market. Intrice has a considerable experience, a well-organized management team and high technical and intellectual potential. We will be happy to provide our potential customers will full information for making the important decision.


For more details about our business and how we can help you solve your tasks, please see our Outsourcing Company and Services areas, or contact us and after we understand the environment you're working with, we can suggest the best course of action.

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