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Software Development Outsourcing Types & Models – Best Explained

software-development-outsourcing-types
Nabeela Anwar
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8 December, 2022

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20 minutes

Offshore Development vs Staff Augmentation

Offshore Software development and IT staff augmentation are two different approaches to using external resources to help with software development. In offshore development, a client outsources the entire software development process to a team of developers who work exclusively on the project. This approach is often used when a client needs a large team of developers with specialized skills, or when the project requires a significant amount of development work.

In contrast, staff augmentation is a more flexible approach that involves adding individual developers or teams to an existing in-house development team. This approach is often used when a client needs to add specific skills or expertise to their team, or when they need additional resources to help with a specific project.

software-development-outsourcing-types

Software Development Outsourcing Pricing Models

In software development Outsourcing, there are several outsourcing contracts pricing models that companies can use to charge for their software development outsourcing services.

These include:

  • Time and Material Contract
  • Fixed Price Contract
  • project-based Pricing Contract
software-development-outsourcing-types

US-based Onshore Development vs Development from Emerging Markets

There are a few key differences between development in the United States and in emerging markets. One core differentiating factor is the level of economic development. In general, the United States is a highly developed country with a strong economy and advanced infrastructure,

while many emerging markets are still in the process of developing their economies and building up their infrastructure. This can impact the types of development projects that are undertaken and the resources available for those projects.

US-Based Onshore Development

The United States is a leading country in the field of software development, with a large number of highly trained and experienced software developers and a thriving technology industry. There are many advantages to using US-based software development companies, such as access to cutting-edge technology and expertise, as well as a strong focus on quality and reliability.

The US also has a well-established legal and regulatory framework for the technology industry, which can provide added protection and security for companies and organizations working on software development projects. However, it is worth noting that software development in the US can be relatively expensive compared to some other countries.

The average cost of software development in the US is $100-450. (Source: Qubit Labs)

Emerging Markets Software Development Cost

The cost of software development in emerging markets can vary depending on a number of factors, such as the specific country, the type of project, and the level of experience and expertise required. In general,

However, it is likely that software development in emerging markets will be less expensive than in more developed countries, due to factors such as lower labor costs and a large pool of available talent. This can make it an attractive option for companies and organizations looking to develop software on a budget.

However, it is important to keep in mind that cost should not be the only factor considered when choosing a location for software development, as quality and reliability are also important.

The average cost of software development in emerging markets is $25-199. (Source: Qubit Labs)

How CodeNinja Differs From Others in Software Development Outsourcing?

  • You, get improved exposure to the untapped global talent of highly educated and trained professionals.
  • You can hire experienced talent as per your project requirement, experience, and time zone without any compromise on code quality.
  • CodeNinja offshore outsourcing can lower your in-house development and operation costs from anywhere, ranging from 30% to 60%.
  • Our offshore developers consider asset protection first priority and therefore offer higher risk management. Trusted developers/outsourcing company, already working with international clients.
  • We’re specialized in the cutting-edge technology stack and pretty much cover all the latest technologies, frameworks, and tools. We have a lot of expertise in diverse industries.

Conclusion

It’s a highly proven fact now that software outsourcing saves time and effort given the fact that you opt for the right software development outsourcing model and its types. More or less, software projects can be segregated based on outsourcing models and types. However, if your project is unique, you can always ask for consultation and head in the right direction.

CodeNinja is a premium destination for software development outsourcing as we’re into this business for the last couple of years. Not sure? Set up a call and get a business quotation for free.