How to Manage an Offshore Development Centre Properly

Offshore Development Centre

A company with an offshore development center can take advantage of a wide range of international talents at lower costs. It’s also a way to streamline product development and launch without overtaxing in-house teams. An ODC, however, must be managed properly to reap the benefits. Here are some tips.

One of the most common reasons for establishing an Offshore Development Centre is to save money. Companies typically hire experts from countries with lower living expenses, which leads to reduced salaries. This in turn reduces overall product development costs without compromising professional expertise and the final quality of the end result. Additionally, companies can expect to save on operating expenses such as office rent and infrastructure costs, electricity, technology maintenance and purchase and more.

Another benefit is the ability to scale up quickly and on-demand. An ODC allows a company to meet seasonal business demands with little hassle, which can be impossible to do with in-house staff alone. This is particularly important for small to medium businesses who are experiencing rapid growth and need to ensure their products meet customer needs consistently.

How to Manage an Offshore Development Centre Properly

Moreover, an ODC can also be a valuable tool to have for tackling software projects that require significant resources to complete. For instance, a project may involve complex and time-consuming programming that requires specialized knowledge. An ODC can help a company develop and deploy new software applications for its customers without overstraining its in-house staff or slowing down the rest of its operations.

Finally, the ODC model enables companies to get expert assistance for specific projects in an extremely short period of time. This is especially valuable for businesses that need to accelerate the completion of a new application for a client or project launch. An ODC can provide the necessary support for a specific phase of development and ensure that all deadlines are met with minimal risk to the company’s reputation.

While the advantages of an ODC are obvious, it is important to understand some risks that come with this cooperation model. The most significant risk is that it can be difficult to find and retain a highly-qualified team of specialists with the necessary skillset for your projects. This is because developers are paid based on the market dynamics in their region, which means that over time, wages can rise substantially.

To avoid this risk, it is crucial to communicate effectively with the offshore team. This can be done through video conferencing, instant messaging or other communication tools. It’s also important to set clear expectations and guidelines for the team. This will allow you to monitor work progress, establish trust and build a productive relationship with the team. Lastly, it’s important to have a comprehensive management system in place so that all of the processes and tasks in an ODC are organized and structured. This will ensure that the team is able to deliver high-quality results on-time and within budget. To learn more about how your organization can benefit from an Offshore Development Centre, contact Newxel today.

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