IT outsourcing: behind the rise of software development outsourcing to Romania
In today’s global market, IT outsourcing has become a crucial strategy for businesses seeking cost-effective software development solutions. Over the past years, Romania has emerged as a top location for offshore software development and outsourcing. With its highly skilled workforce, competitive pricing, cultural compatibility, and favorable business environment, Romania offers an attractive proposition for companies looking to leverage external expertise.
Further on, we’ll explore the boom of IT outsourcing to Eastern Europe and the reasons behind Romania’s evolution as a top location for IT and software development outsourcing.
What caused the IT industry expansion in Romania and Eastern Europe?
As companies look to diversify their outsourcing destinations beyond traditional options, Romania and Eastern Europe have emerged as attractive alternatives. Romania along with other Eastern European countries, have witnessed massive growth of vibrant technology hubs and startup ecosystems over the past years. These hubs foster innovation, attract entrepreneurial talent, and create an environment conducive to technological advancements. The presence of these technology clusters further propels the expansion of the IT industry in the region.
With numerous universities and technical institutes producing a steady stream of skilled graduates, the region provides ample qualified human resources for the IT industry. This abundance of talent ensures a sustainable growth trajectory for the sector in Romania and Eastern Europe.
These factors collectively contribute to the region’s appeal as a competitive and thriving destination for IT and offshore software development in Romania.
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What are the benefits of outsourcing software development to Romania?
If unacquainted, you might wonder what makes Romania rank amongst the go-to offshore software development destinations in 2023. Is it the fact that it has the 4th fastest broadband internet connection in the world? Is it the tasty food or the vampire tales? Maybe in relation to tourism, that works. When it comes to it business outsourcing, however, things are a bit more different.
To sum it up, here are 4 of the main benefits of software development outsourcing to Romania.
Romania is known for its competitive pricing in the outsourcing market, so there’s no surprise many Western European or North American countries look at the country as a golden goose in the IT industry. In other words, low-end prices and high-quality output really make up for a hard-to-beat argument when it comes to outsourcing options. This cost advantage allows businesses to get significant cost savings while still maintaining a high standard of quality. So if expanding your profit margin is one of your main company goals, choosing to outsource to Romania makes a lot of sense to us.
High-skilled IT professionals
Over the past decades, Romania has made significant investments in developing a robust IT infrastructure creating favourable conditions for IT companies to establish their operations and provide efficient services to clients worldwide. At the same time, the educational system became more robust so that it emphasises technical education and provides future developers with a solid foundation of theoretical knowledge and practical skills. Romanian developers are highly regarded in the IT industry for their growing experience, strong technical education, analytical and problem-solving skills, adaptability, fast learning abilities, attention to detail, and commitment to quality.
Cultural compatibility and language proficiency
Over the past 10 years, Romanian IT professionals have built a reputation for their high cultural compatibility with Western European and North American clients. Most IT professionals in Romanian companies have a good understanding of Western business practices. They can easily adapt to the client’s work culture, requirements, workflows and procedures. And last but not least, English proficiency among Romanian IT professionals is generally high, which facilitates effective communication and streamlines collaboration.
Overlapping schedules with Western Europe teams
The geographical location of Romania provides a significant advantage for outsourcing projects from European countries. The small time zone differences allow for better alignment of working hours, therefore providing a smooth collaboration between development teams, clients and project managers. The time zone differences can also be leveraged by North-American companies in order to provide around-the-clock services while avoiding night work complications.
Explore some of our success stories with customers outsourcing to Romania
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So, what does the future of IT outsourcing in Romania look like?
The continued growth of IT outsourcing in Romania is expected to continue its upward trend. The pool of talented IT professionals keeps expanding, supporting the growth of the sector. Investors worldwide are showing more interest in Romanian IT companies or intent to outsource product development in Romania.
As the Romanian government shows more and more commitment to supporting the growth of the IT sector, the industry keeps growing on all levels. Romania has already established a vibrant startup ecosystem in areas like Cluj-Napoca or Bucharest, which are also home to many technology-focused events and conferences.
Romanian IT companies have been proactive in establishing partnerships and collaborations with international firms. These partnerships allow for knowledge sharing, technology transfer, and access to new markets, building more bridges for future software outsourcing collaborations. By fostering strong relationships with global companies, Romania strengthens its position as a reliable outsourcing destination.
Overall, the future of IT outsourcing in Romania is bright. The future of IT outsourcing in Romania looks promising. Over the last few years, the country has established itself as a reputable destination for software development and IT outsourcing, and it continues to attract businesses from around the world.
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