Recently, there has been a growing trend of companies looking to offshore software development in the search for good and inexpensive engineers. While some companies have succeeded in finding reliable offshore partners, others have faced challenges and have ended up significantly changing or canceling these partnerships.
There are several reasons why companies choose to work with offshore partners. Lower costs, access to specialized skills or talent that is hard to find locally, and faster time to market are some of the main drivers.
There are also reasons why these partnerships can fail. Communication problems due to language barriers, cultural differences, or time zone differences can hinder collaboration. Quality control issues may arise due to differences in expectations or standards. Lack of experience in building world-class software or following best practices can also be a challenge. Inefficiencies can lead to cost savings never being realized.
To improve the chances of finding the right offshore partner, companies should consider certain criteria.
- Firstly, it is important to look at the potential partner’s relationship with their employees. Are they full-time employees with benefits or are they hired on a contract basis? A partner that invests in attracting and retaining the right people is more likely to be a better long-term partner.
- The employee turnover rate can also provide insights into a potential partner’s culture and professionalism.
- Ownership structure, such as employees being shareholders, can indicate a stronger connection between the partner and its engineers.
- A partner that primarily hires through employee referrals shows a focus on hiring the right talent.
- A partner with employees who have experience with world-class software companies (e.g., PayPal, LinkedIn) can bring a lot to the table
- A partner with a management team with a strong background and reputation will likely make things go smoothly
- A partner that is culturally aligned with North America and in a similar time zone can contribute to efficient communication and collaboration
- A partner with engineers who are thinkers rather than just order-takers can lead to better solutions.
- A partner that derives most of its business from client referrals is a great endorsement of the company’s management team, people, and capabilities
While cost is a consideration, exclusively searching for the lowest-cost provider may not lead to the right partner. Software development requires skilled professionals, and other factors should be prioritized.
Additionally, trying to interview a potential partner’s resources can be challenging. Relying instead on the company’s reputation, operational excellence, and all of the points discussed above will likely provide all the validation needed.
So, how does MangoChango rank against all these criteria?
- Employee Turnover:
- Employee Referrals:
- Work Experience:
- From world-renowned software companies (e.g,, Paypal)
- From some of the best-known management consultancies in the USA
- Client Referrals:
- Cultural Alignment:
- Time Zone and Proximity:
- CST and 3 hours away from central US
- Consultants, not order-takers
MangoChango’s clients not only realize the cost-savings promised by an offshore model, but they also get a team of highly qualified engineers that quickly become integrated into the in-house software development teams.
More importantly, MangoChango’s zero employee turnover ensures that their engineers will be with the client from the beginning to the end, and, as professional consultants, they quickly become trusted advisors, delivering better-architected solutions faster, and taking on more responsibility as the project progresses.
Keeping all these things in mind will greatly increase your chances of success on your next offshore software development partner search.