Software development is an expensive process, mainly due to the high cost of the high-quality specialists work. The hourly rate for developers at top companies in North America and Western Europe has always been and remains quite high. Is there a way to get more while paying the same, and in the best case scenario, save money, but at the same time remain satisfied with the quality result?
There is a solution, and outsourcing is its name. This form of cooperation will help you cope with everything without exceeding the budget and at the same time avoiding the risks of poor quality of the final product, if the development company is selected wisely of course. However, before choosing a company, you first need to decide on the country and in the case of the software development market, Ukraine is the best option for the price/quality/result ratio.
Over the past few years, Ukraine has gained unprecedented growth in the high-tech industry. We present to you 7 rock-solid arguments why this country is the best choice in the field of software development.
1. A large number of IT professionals 2018-2019.
Ukraine has a large number of professional specialists, and most of them are fluent in English. Today this country is the fourth in the world among the countries with the largest number of IT employees. According to one of the largest Ukrainian community of software developers DOU (Developers of Ukraine), in Ukraine there are more than 90,000 IT specialists, and 50,000 of them are software developers.
Additionally, Ukrainian universities graduate more than 38,000 technical specialists annually. In total, 79% of people in Ukraine have a degree, and 57% of technical specialists have STEAM education (science, technology, engineering, and mathematics). According to experts, the number of web developers and mobile developers in Ukraine will exceed 200,000 by 2020. The community of Ukrainian developers is also very active and regularly attends dozens of programming competitions and hackathons.
2. Optimal rates
Economic efficiency is one of the main advantages of outsourcing. And Ukraine is one of the areas where IT service providers offer the highest quality at a reasonable price. The relatively low cost of living and high salaries in the IT industry allow Ukrainian software development companies to attract the best minds, but at the same time, prices in comparison with the global market remain quite low.
For comparison: the average hourly rate for a Ukrainian software developer is approximately $ 25–50 per hour, compared to $ 60–100 for a US developer in a 40-hour work week. This is clearly demonstrated on a map with the most attractive regions for software outsourcing.
Good to know: Although the rates in Ukraine are still slightly higher compared to Asian countries, the latter are a very specific region. Attractive prices are explained by high competition in the local labor market and there is a flip side to high demand: you can meet very good specialists just as easily as low-skilled developers who do not meet deadlines. In addition, the time zone of contractors from Asia can be extremely uncomfortable for owners of products from the United States or Europe. Therefore, if you do not want to play Russian roulette and don’t know a proven Asian company, as well as want the contractor to practice the business approach adopted in Western countries, it is better to avoid risks and look for developers elsewhere.
3. Client-oriented approach
Ukrainian software development companies are trying their best to offer clients as much as possible. IT consulting, support, maintenance - in the end, customers get an integrated approach, which saves time and money in order to concentrate on their core business tasks. Foreign clients have the opportunity to save time and costs, since Ukrainian outsourcing companies can cover the entire spectrum of customer needs “under one roof”, and not distribute the team across several countries and time zones. In addition, Ukrainian firms try to act as partners, and not as contractors, offering various options for resolving IT-related issues, as well as using all their experience to prevent erroneous decisions. This customer focus, along with the European mentality, has American and Western European companies doing business with Ukrainians.
Speaking of time zones, the time zone of Ukraine is GMT + 2. It is very convenient for Europe - the working hours are the same. And even for companies from the USA, Ukraine is the best choice compared to the time zones of Russia, India or China.
Also a great bonus is a high level of business English, as well as a constant increase in the number of developers who know this language. This is due to the fact that becoming a software developer without knowing English at least at the intermediate level is very difficult, as all the documentation and specifications are written in this language. Also, the constant need to practice the language in the course of communication with foreign customers, trips to international events and experience exchange programs play their role as well. Project managers, client managers and team leaders have even higher level of English, as this skill is especially important in their work. In addition, large outsourcing companies in Ukraine significantly invest in teaching English and have either full-time teachers or contact with the best language school in the city.
4. IT startups
Another point in favor of Ukraine is a large number of IT startups. According to AngelList statistics, nowadays in Ukraine there are about 1,600 technology startups with an average valuation of $ 2.5 million, as well as almost 3,000 investors. For comparison, in Canada, these indicators include about 600 startups and a somewhat over 500 investors. This indicates not only Ukraine’s readiness to cooperate with start-ups, but also a developed IT infrastructure, as well as the ability of Ukrainian developers to create high-quality software products, as Ukrainian companies are recruiting local specialists. Industry giants have already realized the promise of IT startups developed by Ukrainians. For example, last year Amazon bought a startup called Ring with an R&D office in Ukraine. Another example is the Looksery startup, which was founded in Ukraine and acquired by Snapchat. In addition, such well-known companies as Grammarly, Petcube, People.ai, MacPaw also originated in Ukraine and are used by customers from all over the world.
Ukrainian software development companies are truly reliable in doing business. This is due to an understanding of the business reputation importance. In addition, Ukrainian firms for the most part sing a contract, and therefore also bear legal responsibility to the customer. At the same time, it is common for them to sign agreements drawn up on internationally recognized standards, use official data protection laws, and sign non-disclosure agreements. Also, good Ukrainian software development companies store data on European and American servers, as they are more secure and reliable. Access rights to the data are usually also separately specified in the contract.
6. Troubleshooters in action
Another important distinguishing feature of Ukrainian developers is their readiness for troubleshooting. Troubleshooting is a form of problem solving, which implies a systematic, mediated by a certain logic, search for the source of the problem with the goal of solving it. Let’s be realistic, problems appear, often it is quite unpredictable, but their most quick and high-quality solution is a peculiar feature of Ukrainian programmers. As the practice of working with Ukrainian firms shows, developers often act not only as coders, but also offer their own solutions, participate in brainstorms with the customer to solve problems and are involved in IT planning. One of the confirmations of this fact is the chart below:
As you can see, the salary of a software developer in Ukraine is the highest, even higher than in Poland, the Czech Republic and other developed countries. This is due to the fact that customers are willing to pay for additional expertise, involvement in the project and detailed proposals from developers. Thus, the work of a software engineer is one of the highest paid in Ukraine, which is a huge motivator for the fastest and highest quality solution to possible problems of a client.
7. Experience of other companies
If you read up to this place, you are probably looking for more evidence. Let's do it this way: Skype, Deutsche Bank, Apple, Bosch, Ebay, Dell, Microsoft, IBM, Siemens and Huawei are global companies that already use the Ukrainian experience in IT services and have opened their R&D centers in this country. Additionally, the United States considers Ukraine the largest R&D partner (about 45% of participating companies), followed by EU countries and Israel.
Have already mentioned that Cisco, Atlassian, Travelport, OpenText, Fluke Corporation and many other global firms are working with Ukrainian software vendors to implement their digital solutions? Yes, they also trust Ukrainian developers, and this is a great sign of quality. Finally, we reinforce everything written above with a graph showing the main consumers of Ukrainian IT outsourcing.
As you can see, doing business with Ukrainian software development companies is an excellent business prospect. They work for the result, offer more than was originally required and are aimed at long-term business relationships. We already wrote above that the number of software development companies in Ukraine is large. To select the most optimal, study rating sources such as Clutch and DOU, in particular, their sections with TOP companies. Otherwise read our material “How to Choose a Software Development Company”, which describes a clear algorithm of actions.