South Africa’s thriving economy and diverse talent pool are seeing companies from all over the world outsource a wider range of roles.
Companies in the West have long outsourced certain functions to other countries. However, while previously the main aim was to cut labor costs, the rise of digital technology and the growth of remote working has transformed outsourcing strategies. Today the focus is much more than just cost reduction. It’s about finding talented people from around the world who can collaborate with domestic teams across a range of professions. While companies might previously have outsourced basic functions such as customer service, today they are looking for all sorts of highly skilled professions with one of the most common being developers.
At the same time, the emphasis is shifting from low-cost countries such as India to more sophisticated economies such as South Africa. Here, a combination of a diverse, skilled and talented workforce can help companies broaden their talent pool while optimizing costs. So, If you want to outsource developers to South Africa, here are a few answers to commonly asked questions.
1. Why hire offshore developers in South Africa?
Outsourcing in South Africa has grown considerably in the last few years. The company has one of the fastest growing business process outsourcing markets in the world with companies of all sizes looking to outsource key operations. They are drawn by several factors including:
• Access to a bigger talent pool: Digital communications allow businesses to widen their talent pool. Today businesses routinely collaborate with multidisciplinary teams based in many different parts of the world. By doing so, even relatively small companies can work with professionals from anywhere in the world. No longer does a firm have to draw from its local area or even country. It can choose people with the skills they need regardless of where they live. For disciplines such as software development where skills can be in short supply, outsourcing can often unlock talent that was previously inaccessible.
• Cost-effective: Labor costs in South Africa may not be as low as some of the traditional low-cost outsourcing destinations, but they still represent a significant discount on the West. Companies can save between 45% and 60% on costs once labor costs, exchange rates and the cost of living are taken into account. Unlike other low-cost destinations, though, that doesn’t mean sacrificing quality. South Africa has a highly educated talent pool of professionals with a thriving class of expert software developers. They are footloose and keen to offer their skills internationally. International companies, therefore, benefit from a talented, highly qualified, and enthusiastic pool of potential developers.
• Limited language barrier: