In the meantime, with the demand in the IT market, many business owners are searching for skilled professionals at lower prices to cut the costs on the company. Ukraine has recently been a focal point for major IT players to outsource their companies. Ukraine is trying to become the leading region for understanding the customer’s opportunities by demonstrating high expectations in developing and leading technologies and producing the end product in a fast and cost-effective manner.
Difference Between Outstaffing and Outsourcing
Here is the basic distinction between outsourcing and outsourcing:
- Outsourcing – You are hiring a skilled third-party outsourcing provider who has a talent pool of experts with diverse systems and various levels of seniority. When the provider has the team’s expectations, they select out the experts required for the project. That means they also work for the company while the people are working on your business. IT outsourcing is a perfect choice for recruiting a whole product development team, including project managers and market analysts.
- Outstaffing – You are hiring a third-party provider who has a pool of IT specialists. Think of an outstaffing provider as the team that looks after the office and the taxes when you have little influence on the professionals who work with you. Outstaffing is perfect if you just need tech engineers and reviewers as normally all the supervision is handled by the in-house workers.
Pros of Outstaffing
Save time and money
Although the outstaffing company is the one that actually hires employees, so you don’t have to think about any costs relevant to that. Taxes, wages, holidays, sick leaves, and software are not your headache. But the provider will save you time and frustration. Plus, you can enter a business in a foreign country without having to set up an office there.
Good in English
Without the minimum intermediate level in English, it is difficult to become a developer, since all the instructions and specifications are in English. Ukrainian developers have a good English level, which is adequate to do their job well. Project managers, account administrators, squad leaders have mastered both oral and written English fluently. Proficiency in English makes communication better.
Low price with high Quality
Considering the Ukrainian economy’s present state, there are comparatively low average incomes compared with those of other European countries. It means there will be professional developers agreeing to a smaller pay than their Western European counterparts. Around the same time, this does not mean that the output they produce is of poorer quality. In turn, Ukrainian app developers have shown their potential to produce outcomes that meet standards over the years.
You have controls
From the office of the out staffer, the people who work on your project report directly to you. This is the most control you can have, without thinking about your workers’ working conditions. Even your expanded staff is more likely to invest in your business’s purpose than an outsourcing team. And if they support your mission, they will aspire to help you accomplish your goal and not need someone to look over their shoulder to create high-quality applications continually.
But you have to make a lot of effort to make them feel like an integral part of your business. Otherwise, if they don’t know as you care for their input, the expanded team will get demotivated. Ensuring you see them once in a while, consider joining their celebrations and not too much replacing the team members or managers.
Cons of IT Outstaffing Ukraine
It’s time to reveal the downsides of outstaffing and scope out the pitfalls you might encounter along the way. Although the number of downsides is a little lower than the pros, you’d consider them before making a final judgment.
Problems of communication
You can work with workers from various countries and face certain communication difficulties. Different languages and time zone factors are the reason why you can’t interact as effectively and consistently with the outside team as with the in-house staff. It could slow the process down.
Effect on Business Culture
Outsourcing will have a negative effect on your business culture as a result of your employees becoming more insecure. This is because the internal staff may feel worthless or forced to think about their work.
Risk of Data Leaks
Confidentiality is one of the major aspects of the IT business to look after. When you outsource, it is the first thing to be compromised. However, to ensure that the agreement guarantees the security of all confidential data, a penalty clause and a double check is needed.
Outstaffing allows you direct access to a professional worker who can be delegated and reassigned if you see fit. Much like a worker in your workplace, you’re free to order them to concentrate on one job, switch between several, or complete several successive tasks as you see fit, all at the same cost.