The preconceptions and stereotypes of offshore IT

Outsourcing your company’s IT requirements to an offshore agency is an often extremely underestimated resource that can take your business to the next level. Unfortunately, a range of misconceptions about offshoring can prevent some companies from taking advantage of this abundant and efficient resource.

These misconceptions about offshore outsourcing can range from security risks, employee ethics issues, all the way to a general belief that this type of IT hiring is only something large companies can participate in. Ultimately, however, these misconceptions only serve to limit the potential your business has to offer.

Different corporate cultures 🌍

A company’s corporate culture is often unique to the company, and ultimately determines both the quality of work and business results.

A list of common and vital corporate culture differences includes the following:

• The language.
• The work ethic.
• The mentality.
• The respect for the brand identity.

Regarding the above parameters, many business decision-makers are often hesitant about outsourcing teams overseas, finding excuses like the following: “They speak different languages, celebrate different holidays, have a different business ethic, come from different cultures and are unable to deliver quality work on time.”

But these fears are very often based on assumptions, not experience. Beware, it is of course quite possible to come across an offshore outsourcing company that is just not competent. But this is a general risk found across different markets and sectors, not just for offshore IT companies.

While the impact of cultural differences and their associated risks can be significant, right from the start you can always mitigate these risks considerably.

International companies perform research, carefully select their partners and establish clear and effective communication processes between departments and partners before expanding into new geographies.

Taking simple steps, you can ensure that your collaboration with an offshore outsourcing company will be the most productive: 

• Invest time in research.
• Review the offshore agency’s portfolios and client references.
• Interview potential developer teams in order to determine their English skills and technical expertise
• Make sure the offshore agency identifies with your company’s culture, beliefs and values.

Communication problems 🗣️

With language differences, different time-zones and company cultures, are you concerned about good communication and making your requirements well understood? 

It is, of course, understandable. After all, your project and/or business is ultimately at stake.

It is important to remember that while this may be your first time collaborating with an offshore outsourcing company, offshore IT agencies tend to have extensive experience in dealing with a wide range of clients from around the world. They have actually become experts at efficient communication and dealing precisely with issues such as time-zones and corporate cultures with companies across a range of different markets. 

The key is to be able to meet and/or discuss well in advance with your future outsourcing partner. Make sure that you clearly explain your expectations and requests, as well as to analyze your partner’s response.

Here are some simple steps to ensure good communication:

• If you are communicating via email and your offshore IT partner takes days or weeks to respond, then you simply have to look for another company. 
• If you and your offshore IT partner are operating in drastically different time-zones, then you should discuss adjustment measures and establish availability hours for key members, as well as contact methods in cases of emergencies. 
• Establish clear communication protocols that ensure that teams will be less likely to be shy or lazy to openly discuss and solve crucial business issues. 
• Reflecting on operations is key for any business success. Hold regular online and face-to-face meetings (when possible) with your offshore partner in order to maximize efficiency and productivity.  

ℕ𝕖𝕖𝕕 𝕒 𝕥𝕒𝕝𝕖𝕟𝕥𝕖𝕕 𝕥𝕖𝕒𝕞 𝕗𝕠𝕣 𝕒 𝕨𝕖𝕓 𝕕𝕖𝕧𝕖𝕝𝕠𝕡𝕞𝕖𝕟𝕥 𝕒𝕤𝕤𝕚𝕘𝕟𝕞𝕖𝕟𝕥? 𝔹𝕠𝕔𝕒𝕤𝕒𝕪 𝕚𝕤 𝕪𝕠𝕦𝕣 𝕤𝕠𝕝𝕦𝕥𝕚𝕠𝕟. 𝕀𝕟 𝕠𝕟𝕝𝕪 𝟜 𝕨𝕖𝕖𝕜𝕤, 𝕨𝕖 𝕔𝕒𝕟 𝕠𝕗𝕗𝕖𝕣 𝕒 𝕥𝕖𝕒𝕞 𝕠𝕗 𝕢𝕦𝕒𝕝𝕚𝕗𝕚𝕖𝕕 𝕕𝕖𝕧𝕖𝕝𝕠𝕡𝕖𝕣𝕤 𝕥𝕙𝕒𝕥 𝕒𝕣𝕖 𝟙𝟘𝟘% 𝕕𝕖𝕕𝕚𝕔𝕒𝕥𝕖𝕕 𝕥𝕠 𝕪𝕠𝕦𝕣 𝕔𝕠𝕞𝕡𝕒𝕟𝕪’𝕤 𝕟𝕖𝕩𝕥 𝕀𝕋 𝕡𝕣𝕠𝕛𝕖𝕔𝕥!

Cheaper labor 💰

As a business owner, it is vital that you treat all employees well. You wouldn’t want to outsource IT work to a partner who doesn’t treat staff properly. Many CEOs or business managers who often hear that offshore workers are underpaid, are ultimately more reluctant to outsource. It would be equivalent to taking advantage of someone through someone else.

However, reality is quite different. In most offshore companies, employees are paid on average 10-15% more than other employees in their home country. This does not necessarily mean that they are paid the same as in your country, but it does mean that they are often paid more than other workers in their country.

Skill levels of offshore teams 🤹

As outsourcing overseas is often cheaper than hiring domestically, one of the first concerns of any business decision-maker is whether offshore staff will offer high-quality skillsets. 

Since offshore companies are usually located in developing countries with lower living costs and salaries, some CEOs can be concerned that the skills offered by offshore staff will not be up to standard or able to fulfil the company’s expectations. While many people equate low cost with low value, this is simply not the case.

In reality, the main reasons for outsourcing are:

• A one-time need for specific work forces and/or skills.
• A need for technical knowledge and expertise in a specific area.

For example, if you need to hire a group of people to code, but you only need that team for a short period of time, it may be difficult to find available IT talent in your geographic area. You can’t just rely on the talent that’s available within 30 miles. By choosing to outsource to an offshore company that has an abundance of qualified personnel, you can quickly fill your skills gap.

Moreover, offshore companies recruit their talent with great care. They are experts in recruiting, and are up to date with the latest technologies and tools in the market.

To help you find a trusted partner, you can easily consult past work or ask for feedback on outsourcing experience with former clients of the offshore company you are considering.

Offshore outsourcing is only for large companies 🙅

This misconception is basically a relic of the past, when outsourcing was very expensive.

Outsourcing can benefit all types of businesses, even if it’s a family business or a small company.

In an era favorable to entrepreneurship, it would be a pity not to offer offshore outsourcing for startups, SMEs, etc… It is true that these clients often do not necessarily have the means to hire complete teams, when compared with large companies. 

This is why many offshore companies now work with small businesses by offering packages tailored to their size and budgets.

Looking to outsource your IT? Think Bocasay!

Bocasay, an offshore web agency that specializes in IT outsourcing, can offer you customized packages and international talents. Web development, custom software creation, application maintenance and much more, contact our teams for a free quote!