How often do programmers work without a team

Looking for a programmer? 5 reasons for recruiting abroad

Hiring a complementary development team in Germany can be a real challenge. With the acute shortage of skilled workers, the extremely high salaries, and the insufficient skills of many candidates, the search for programmers is not something companies look forward to.

Looking for a programmer? What are the alternatives? Outsourcing is certainly one way. But is it really sustainable in the long term? If you outsource development processes, you are likely working with a team that was quickly hired for your project. And then what? How do you keep working on it without the team that is already familiar with your project?

Another possibility is that Establishment of a development team in an up-and-coming technology nation. But how can you justify that it is really the right step and that you are taking it at the right time? Obviously, the decision to hire programmers in another country requires careful consideration. The main question that needs to be answered is, "Are there enough benefits for offshore software development?"

To make your decision easier, we have created a kind of checklist. If you can answer “yes” to the following questions, then you know what to do!

1. Looking for a programmer but not found it?

Regardless of whether you want to develop a product from scratch or want to expand your existing development team. You have to find the right developers.

That means qualified and reliable programmers who are specialists in their particular field. But if you can't find these in the local job market, hiring an entire team can become a lengthy process. In fact, 54% of companies worldwide report experiencing the skills shortage - the highest number in over a decade. The ManPower Group's 2020 survey showed that only 18% of countries do not report a skills shortage.

DID YOU KNOW?

The software industry was identified as the industry with the highest employee turnover rate at 13.2%.

So even if you can find the right people, chances are they won't stay with the company for long. Due to the high dropout rate, it is only a matter of time, sometimes only a few weeks or months, before the whole recruiting process starts all over again. The result? Your project suffers considerably as a result. Deadlines may not be met, and the company's reputation will be damaged, and so will its revenue.

2. Is your existing team not sufficiently qualified?

A recent study by SHRM showed that 75% of HR workers believe there is a lack of skills in job applicants. More than 50% of the respondents even stated that the shortage had gotten worse or much worse in their company in the past two years.

Used skills and job titles are changing faster than ever before. The need for a “skills revolution” remains a defining challenge of our time. In an increasingly technology-based world, people are in demand.

Jonas Prising

CEO, ManpowerGroup

Take the following simple example - Imagine you are developing new and innovative software that you are very euphoric about. However, in order for your product to pass all quality tests and become the best solution on the market, you need the best QA experts in the industryto help you with this. Unfortunately, their home team doesn't have the expertise to make this happen. If you want to hire QA experts, you face weeks to months of recruiting while the work continues to build up.

Does this situation sound familiar to you? If the answer is yes, then you should probably add a dedicated team overseas to your existing team that has the advanced skills.

3. Is it difficult for you to pay the high salaries?

When programmers are sought, it is always the best. Most companies' standards call for only the most experienced developers, and they are reluctant to compromise the skills of the people they hire.

But it is obvious that developers of this caliber are also damn expensive in Germany. Salaries are often incompatible with the budget. From 2015 to 2017 alone, IT salaries increased by an average of € 5,000.

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It's very simple - if you want to work with the best in Germany, you have to pay a high price. And again. Outsourcing to a third party company in a low-wage country like the Philippines may seem like an attractive option, but the sustainability issue still remains. So the alternative? A dedicated offshore team.

4. Can't you scale fast enough?

When developing software products and services, speed is essential. Tech companies are springing up around the world like never before. The innovative strength increases unchecked. How quickly a product is ready for the market is a decisive factor for success. If you are not ahead of your competitors, you will probably get nothing. And your competitors are not sleeping. If you want to have a head start, you need a strong development team.

Easier said than done, however. Skilled workers shortage, high salaries. Putting the right team together can be a long process. In fact, according to a report by iCIMS, it took an average of 66 days for companies to fill a position in IT in 2019.

If hiring the right developers takes longer than actually developing the product, then you know you have a problem.

5. Do you have too many roles in the company?

What does your typical Monday look like? Do you have to constantly switch back and forth between recruiting, finance and administration? This would of course make sense if you are the HR manager or the admin of the company.

But what if you are actually the CTO and should be working with your development team instead of doing administrative tasks? Then give up time that you don't actually have and effort that could well be used for more productive purposes. And for tasks that someone else could easily take on. But unfortunately there is no other, correct?

How did the test turn out?

If the answer to all of these, or at least most of them, is yes, then hiring programmers in the home market alone is not the solution for your business. You need a great team and the best way to get that is to find it overseas!

Why offshoring?

For newbies, let's talk about the programmers we're looking for first. In Germany there is enormous pressure to find the right employees with the required skills at an acceptable salary. When you hire an offshore team in a country like India that places a high value on education and skills, you will have access to a well-educated and talented job market where you will find exactly the skills you need.

Furthermore, the salary you pay an Indian programmer is significantly lower than in Germany due to the low cost of living. You avoid the problem of the shortage of skilled workers and save money in the process.

And when it comes to scaling, here's an example. One of our customers, Prequin, already had an existing development team in London before they approached us. However, they had to expand their team quickly, which was difficult or impossible in London. By building a dedicated team in India Prequin 60+ was able to hire additional developers in just 8 months.

The essential findings

  1. If you can't find the right developers with the skills you're looking for locally, then maybe it's time to look elsewhere for them.
  2. Although outsourcing seems to be an attractive solution at first glance, especially in terms of price, it is usually not sustainable in the long term
  3. Building a dedicated development team in an emerging technology nation like India can pay off immensely. This is supported by the access to an additional labor market and the lower salaries

If your company is looking for programmers and you would like to hire a dedicated team in India, please contact us using the contact form! One of our employees will contact you as soon as possible. If you are still unsure whether offshoring is right for your company, you can download our ebook on the subject. It succinctly breaks down the model and procedure.

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