Agile Development and Offshoring: A Guide on How it Works

Outsourcing software development services is a global trend. The agile software development industry owns $92.5 billion in the market, and a huge piece of these digits is an agile Offshore software development company. By investing in offshore development, various business owners save their time and cut a huge cost from their monthly expenditure required for optimum workflow in the organisation. This comprehensive guide will help you discover every aspect of offshore development and its benefits.

Agile Development: Definition

Offshoring is nothing but outsourcing specific services from other countries. This implies that you are remotely choosing an application development company to fulfil your monthly development requirements. 

On the basis of ROI (Return On Investment), ‘offshoring’ could be a bit risky. But despite this, many IT companies are choosing offshoring software development because the agile methodology helps them in many ways. The biggest reason behind the popularity of offshoring is the non-reliance on human resources required to develop applications. You have a fully-fledged company with a team of application professionals and designers who will handle everything for you. All you need to do is just set the deadline and stay updated with the development progress. 

Be it mobile app development, custom development, website design, long-term support, or maintenance, one can outsource any task to offshore software development services. 

By outsourcing development services, you can save time from hiring, training, and buying new resources. It will ensure that only the experienced developers, designers, and testers work on your project, and you get quality software for your client in the shortest possible time.

Many renowned companies are relying on Offshore development companies; hence, its effectiveness is a no-brainer. 


Difference Between Offshore, Onshore, and Nearshore

You might have heard or read these terms: Offshore (which we are discussing in this post), Onshore, and Nearshore. But how are these three terms different from each other? 

Let’s find out!

  • Offshore

These are the companies of service providers, situated in different countries from yours. These companies can have different time zones than yours because they could be on a different continent. 

  • Onshore

These service providers work the same as the offshore service providers; besides, they are located in the same country as yours. Most companies find it convenient to delegate onshore companies because you can personally meet them and explore their work culture. 

  • Nearshore

These are those service providers which can be hired from countries with a similar time zone. Companies prefer geographic proximity and similar cultures and delegate nearshore companies.


Which Challenges the Teams Faces?

Like any other company, offshore companies also face certain challenges, which we have listed right below.

Different Culture

Locating in different countries can make cultural diversity. This could lead to different work styles, etiquette, and dynamics. At the beginning of your Offshore project, you might face miscommunication and misunderstanding with the managers, but by knowing a few things about their culture and work style, things can go smoother. So you have to be careful while scheduling working hours in a week, regular reporting, and state holidays.

Different Time Zone

Some agile offshore software experts might work many hours ahead of your location. That’s why we always suggest you schedule regular meetings and take the local time of both parties into consideration. 

For say, India is 9.30hours, China is 12 hours, Philippines is 12 hours ahead of the USA. So you need to schedule the workbook according to that time zone so that you can get the application developed before the deadline.

Communication Difference

They say, “facial expressions are the words of the heart.” They don’t lie. 

Having face-to-face communication is crucial in a business relationship. It makes testing the amount of attention the service providers paying to your concerns easier. 

Well, those were the golden days when offshoring was all about spending hours on a call, and still, you were not sure whether or not you are trusting the right company. 

In today’s modern age, this communication gap has been filled with various video conferencing and meeting applications. All you need is your gadget with a webcam, a strong Internet connection, and you are all set to express your ideas & suggestions with your offshore company located poles apart.  

Who should Hire the Developer Team?

Normally, companies with a non-technical core require the support of offshore application development. 

These businesses are masters of their niche but are not able to cope with the ever-changing technology. 

The technical support they require could be as simple as updating their website, using back-end data, or developing value-adding digital products for their clients. 

Because they don’t have sound knowledge of programming and other technologies, they require cutting-edge skilled software professionals who will fulfill their requirements. 

Also, some companies want to cut their spending on in-house development teams and choose offshore developers who are a lot cheaper. Plus, the companies don’t want to spend days or months developing and testing a software product. So they outsource these services. It allows them to have the same quality work done but under less budget and time. 

Or, there could be companies that want their in-house developers to utilise their skills and productivity on the company’s internal projects. So they delegate offshore development teams that will handle external projects with agile methodology.

So in which category do you fall?

How does it work?

So you have decided to work with an Offshore developer. Great! 

Following are a few points that you need to know about the way offshore development companies work:

Hand over your project to an offshore development agency or individual developer

Delegate the remote team for the entire project or a certain part of the software

Delegate only an experienced offshore service provider 

You will have complete control over the project and the development process. Ask the service provider to keep you updated on the progress.

The best part about offshoring is that you don’t have to worry about managing resources when an employee is not present. The professionals will take care of your project in the best way. 

Major Benefits of Offshore Software Development

You can expect the below perks when you go for an offshore development agency:

  • Great Talent

Great talent and skills are the major reasons why many businesses choose outsourcing development services. They have years of experience in this field and get trained for updating technology. These talented experts can set your business bar high. So you can be assured that your project is in the right hands.

  • Low Operational Cost

Believe it or not, you spend more on in-house hiring than on offshoring. You would have to provide proper work setup, employee benefits, insurance, and much more to your employee. But when you offshore, you just pay one-time or monthly payments to the company and the rest will be handled by them. No extra cost, nothing else. 

  • Focus on the Real Business

You don’t have to stay accountable to your in-house developers. The offshore company will take care of everything. It allows you to pay attention to the major business activities rather than keeping an eye on the projects. 

  • Scalability

Imagine when you delegate the most talented employees and leave you when you need them the most. 

The biggest advantage of outsourcing software development services is that you can keep your business running regardless of the situation. Hence, the offshore development team will provide you with a smooth business experience and meet your requirements & expectations.

Key Takeaway

Agile offshore software development helps you to handle your business in the right way. You don’t have to rely on your in-house developers for building applications, and you can use their expertise for major projects. You can easily handle your projects by handing them over to your offshore company.

Apart from the benefits, there are certain challenges that every offshore company and the hirer might face, but the growing technology has helped them overcome that as well.


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About the Author


I am a technology consultant at a software development company.
Find out more about @evangeline

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