MoldoWEB is a software development company, located in Romania, specialized in providing outsourcing and team augmentation services for clients around the world.
Table of contents
What is an Offshore Development Center?
6 Benefits of an ODC in Eastern Europe
Navigating Potential Pitfalls
Wrapping It Up
Eastern Europe has become a go-to spot for software talent. If you need to scale your dev team, it’s worth checking out. Developers here are skilled and generally share a work style similar to what you’d expect in the West, so collaborating remotely doesn’t feel like a struggle.
Here are the six benefits of setting up an offshore development center in Eastern Europe and how it could actually make your life easier.
What is an Offshore Development Center?
So, what exactly is an Offshore Development Center? Basically, it is your own remote software development team, working like an extension of your in-house staff, but based in another country. Unlike outsourcing, where you hand off a project to an external vendor and hope for the best, an ODC is part of your company, with a dedicated team fully aligned with your goals, values, and culture.
Think of ODC this way: instead of working with freelancers and handing off different tasks, you set up a long-term partnership with a reliable, dedicated team that knows your product and is part of your company. This team does more than just write code and handle quick tasks. It also takes part in the bigger picture by brainstorming features, solving problems, and growing with your business.
Setting up an ODC can come with many benefits for companies of all sizes, such as access to remote talent or faster scaling and development time, to name a few. It’s like having another office in a region where skilled developers are easier to find while you are in control of all operations.
ODCs and outsourcing aren’t the same. Here’s a quick look at the main differences between the two:
Aspect
ODC
Outsourcing
Ownership
Your own dedicated team
Vendor’s team
Control
You manage work and priorities
Vendor manages work
Commitment
Long-term, product-focused
Short-term, project-focused
Knowledge
Stays with your team
Often lost after project
Flexibility
Easy to scale
Depends on vendor
Costs
Higher setup, better long-term
Lower setup, may cost more later
ODC vs. Outsourcing
6 Benefits of an ODC in Eastern Europe
There are some serious benefits to setting up an ODC in Eastern Europe. While it’s more typical for large corporations to have an ODC in a distant country, small businesses can also benefit just as much from having one. Let’s see what the main advantages of working with Eastern European IT teams through an ODC are.
1. You get access to real talent - When you are struggling to hire locally, that can take a lot of time and effort. With an ODC, you can access a much wider talent pool of developers, designers, testers, or whatever roles you need for your projects. This makes the process much smoother, and you get to choose the best tech talent that fits your requirements.
2. Lower costs, without lowering standards - Hiring locally in the US or Western Europe is expensive. By offshoring to Eastern Europe, you’ll cut some of the costs, while still working with highly-skilled developers.
3. Scale your team easily according to your needs - When a company is preparing for a new release, or if a busy season is coming up, like holidays, for example, hiring is not always the best solution, especially for short periods. It’s a longer process that involves interviews, onboarding, and training. With an ODC, you can quickly adjust your team size to match your current needs without having to go through the lengthy hiring process.
4. Smooth Collaboration & Cultural fit - Cultural fit matters more than people admit. In Eastern Europe, the work ethic, communication style, and even sense of humour aren’t that different from what you’ll find in the West. And with overlapping time zones, collaboration with your remote team will feel natural.
5. A team invested in your product - The great thing about setting up an ODC is that you build a team that will be focused on your product’s success instead of just writing code or ticking off tasks. A reliable team will also contribute with fresh ideas and smart solutions.
6. You build for the long-term - Working with an offshore development company may take some upfront organizing and effort, but over time, you'll get a team that will know your product inside out, becoming more efficient and aligned with your goals.
Navigating Potential Pitfalls
An ODC can work very well for businesses of all sizes. Now that we have covered the main offshore development center benefits in Eastern Europe, it’s important to also look into some of the challenges you might face in the process.
Getting started and finding the right people and location are some of the most challenging parts. It can feel like a lot to handle at first, and honestly, it is a lot. To make this process smoother for you, make sure to do plenty of research, get in contact with potential local partners or consultants who know the market, and go from there.
Communication across borders can also come with some challenges. Even with overlapping time zones and cultural fit, remote collaboration requires discipline. It’s important to get your communication channels and project management tools set up with your ODC right from the start. This way, everyone knows what’s going on, tasks stay tracked, and you avoid the usual mix-ups or confusion that can happen when teams are remote.
When you’re working with a team in another country, legal and compliance stuff matters. Every place has its own rules and taxes, and missing something can lead to headaches. Getting a legal consultant on board helps you dodge surprises and stay on the right side of the law.
Keeping your offshore team connected and integrated might be another challenge with an ODC. This is why regular interaction is essential, along with involving them in planning and celebrating wins, just like you would with your in-house team.
When you know about all the potential challenges that can come with setting up an ODC, you can plan ahead proactively to build a team that really feels like an extension of your company.
Wrapping It Up
The ideal location to set up an ODC should combine strong tech skills with cultural fit. Eastern Europe offers both and even more. You gain both skilled developers and a team that grows with your product. While it may seem like a lot of upfront work, the key is to take it step-by-step and lean on local consultants and teams to guide you in the process.
And remember, once everything is set up and running smoothly, it will feel like you’ve added a new office, but without the overhead.
Looking to scale your dev team? Get in touch and see how we can help.
MoldoWEB is a software development company, located in Romania, specialized in providing outsourcing and team augmentation services for clients around the world.