Part 5: Grow Your Development Team Offshore
The government has recognized the industry’s critical role in rebuilding the nation and has intensified efforts to support its development. The Ministry of Digital Transformation continues to collaborate with IT clusters to RnD center mitigate the impact of the war, facilitate business continuity, and attract foreign investment. Like most emerging economies, Ukraine struggles with corruption, but the situation has improved significantly in recent years.
Customer Model
Although the labor costs won’t be as low as in South-East Asia, the returns on investments are much higher. Globally, the demand for tech talent will continue to outweigh the supply until at least 2026, according to Gartner. Central and Eastern Europe remains one of the few regions, shielded from talent shortages.
Legal & compliance
In 2022, Ukrainians accounted for 45% of all new foreign companies, according to the Polish Economic Institute. Of these over 50% were registered to continue operating the business established in Ukraine. One of the most important aspects of working with a future service provider is legal issues. This includes ownership of intellectual property, insurance, allocation of responsibility, timelines, budgets, and more.
Opening a Development Center in Ukraine Versus Hiring a Nearshore Dedicated Team
By creating an environment that is conducive to the growth of the IT industry, the Ukrainian government is positioning the country as a competitive destination for outsourcing IT needs. As companies around the world continue to seek ways to cut costs, improve efficiency, and expand their global reach, outsourcing has become an increasingly popular option. And when it comes to IT outsourcing, Ukraine has emerged as a top destination for companies of all sizes and industries. Basically, despite threats and challenges, Ukrainian IT companies manage to keep up to the high global standards of development and offer their clients reliable development process day to day. This enabled contactless tracking of goods, resulting in significant improvements in warehouse efficiency, reduced labor costs, and enhanced inventory management.
Flexible Partnership Models
Moreover, installing your own hardware and software or equipping your employees with the necessary stuff to make the offshore office look like your original workplace is possible. On the other hand, establishing an R&D division in Ukraine allows you to directly hire your own software developers. This means you have the freedom to choose the best-matched professionals for your business, ensuring productive workflow, better results, and control over your development process.
Being involved in the project and being able to contribute leads to developers being highly motivated and working with more effort. One of the keys to effective technical staff is the viability of the client project. Like any creator, the developer you hire wants to know that the project he or she created will continue to evolve in the future. Conversely, if the project is put on hold shortly after release, it demotivates programmers. Interestingly, the salary levels for a novice iOS developer and a Senior-level developer vary dramatically. So, the average market budget for Ukrainian iOS developers can reach only $700 per month, while Senior iOS developers can earn up to $3500.
Despite the risks that are inherent in establishing an R & D facility or offshore R&D firms in Ukraine, there are also advantages and potential benefits of this venture. Outsource R&D is a great opportunity for your business to extend capacity in easy way. The intermediate would be the project manager appointed by Web development the offshore software company.
Same budget, better talent
- Clients may have to adjust their schedules to accommodate communication with Ukrainian developers.
- Explore the challenges of remote development in Ukraine and discover essential tools and recommendations to enhance collaboration and productivity in this unique environment.
- Reddit Ukraine is heavily funded, so they suggest competitive salaries and an opportunity to work in an international company.
- Ukrainian developers, despite the ongoing war, continue to demonstrate unmatched technical skill, resilience, and innovation.
- The customer himself can also take a part in interviewing and selecting his team members.
The local video game and esports market stood at $664 million in 2019 and is expected to reach $850 million by 2024. Combined, the top 5% of Polish startups from various sectors have created $2.7 billion in value since 2013 and continue to grow rapidly. These include HealthTech startup DocPlanner, educational platform Brainly, and a beauty appointment booking platform Booksy.
How RX Marketing Group Built a Software Development Team with HUD
The local startups and tech companies keep attracting venture investors and business partners to outsourcing Ukraine. Startups like Grammarly, Jooble, PetCube, and Readdile are just a few big names in this compelling list, and some of them, like Looksery and Viewdle, were acquired by Snapchat and Google. If you want to hire software developers, then Ukraine has to be one of your primary search areas. Although Ukraine has been under a state of hostility since 2014, it seems that the business climate has become more welcoming to foreign investment than ever. The government of the country keeps working on making business operations more accessible and open to foreign investors. The IT industry, at this point, plays a significant role in boosting up the economic development of the country.