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Running an Offshore Development Center

Running an Offshore Development Center

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The term “offshore software development center” is probably not something unfamiliar to you when ODCs are popping up and rising higher and higher in recent years.

These centers become top choices for many enterprises because of the benefits they bring.

ODC In Software Development

“In software engineering, offshore custom software development consists in offshoring the software development process in a country where production costs are lower, thus decreasing budget spending.” Wikipedia

ODC differs slightly from software outsourcing. ODC provides services or products and it’s located in another country while outsourcing is a service that offers certain services or products from a third party company, the geographical location might not be a critical factor.

Set up an OCD team

  • Assort your company with the new partner
  • Create job descriptions and responsibilities
  • Plan security measures
  • Give the new team time to understand the culture

Engagement Models in ODC

  • Time and Material Model: This is recommended when the scope and specifications of the projects are subject to change.
  • Fixed Cost Model: Suitable for short-term, medium size projects defining scope as well as specifications. This is the project completed for a lump sum. The cost and time frame are fixed before starting the project.
  • Dedicated Resource Hiring: Recommended for longer projects that have unclear requirements. The customers pay monthly money that covers the salary of the team member.

The ODC guideline checklist

Ensure the success of your future ODC

Research the market and living standard of which country you want to have your ODC in
Plan the facilities you will need
Register to the local government as a legal entity
Find and rent an office. The office near the center of the city is an excellent choice because it is an enormous benefit to find candidates.
Interior design
Renovations in office
Buy and install furniture
Prepare workstations and connect workstations to the Internet
Set up security signal system
Equipment for your employees and office like printer, scanner
Pantry area, snacks, water, coffee machine, medicine box
Hardware and software tools for developers’ work
Purchase all required equipment and office supplies

Moving on to the team

Hire a core team
Recruiter
HR manager
Accountant
Lawyer
Developers
Any additional staff for your center’s daily functioning

Inspire, unite and build up the team

Establish / Bring together your brand
Office branding, working culture
Branded T-shirts, cups, pens, notebooks, etc, depending on your budget and how much you want to expand your business

When the team is ready to work, it’s time for you to sit down

Plan corporate and cultural activities with HR Manager
Plan team-building activities and pizza parties
Set up a benefits package for your employees
Plan when is the right time to give your team a visit

These "To-do lists" will be a guideline to help you set an OCD team but you could choose another agency to help you make the transformation more efficient

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