Setting up a development centre in another country is a strategy that many companies have found to be effective; if businesses’ objectives include expanding or entering new markets, this solution is a front-runner, and it’s gotten companies closer to their goals in a shorter amount of time than they would ever have imagined.
But the success of implementing such a strategy, depends highly on the location in which the future development centre will be established. The country chosen to be the home of the upcoming centre should, ideally, have a flourishing business climate, a constantly growing IT industry, a fair price-to-quality ratio, and a bit of experience when it comes to software development outsourcing. And, as we will demonstrate in the following, Romania ticks all of these boxes.
Regardless of the type of development centre that companies are looking to set up, which can take the form of a nearshore or offshore centre, Romania offers the whole package when it comes to advantages. So let’s start with labour force.
One of the most difficult challenges that businesses have to overcome these days, is the one regarding talent shortage. Finding specialists locally can pose serious problems, given the speed and competitiveness that describe the IT industry. It is for this reason that companies turn to practices which enable them to access new talent pools and therefore, find the skill sets they desperately need.
And Romania has it all; dedicated, highly-skilled professionals, who, in addition to technical expertise, possess excellent soft skills. In this sense, more than three-quarters of Romanian IT specialists speak English fluently, and teamwork, adaptability, and interpersonal skills, are some of the local talent’s strong points.
So it is clear that the quality of software development services is high, but what about prices? Well, to put it simply, Romania offers an unrivalled balance between service quality and costs. Compared to other countries in Eastern Europe, Romania provides considerably lower rates, much to potential hiring businesses’ delight.
Nevertheless, the country has not only caught the eyes of companies that wish to make it their next development centre’s home, but has also attracted important investors. Romania’s low prices, along with its flourishing economic climate, and favourable environment for innovation, have made large companies such as Microsoft or Adobe feel excited about partnerships and collaborations.
Last but not least, when it comes to the geographical location and time-zone, Romania has a position of advantage as well. It’s a short 2 to 3-hour flight from major capitals such as London, Brussels or Paris, and the GMT+2 time-zone that it’s located in, makes the country all the more appealing.
Culture wise, the values and lifestyle in Romania are quite similar to those in Western Europe and in the U.S., which makes it easy for companies that operate in most parts of the world, to communicate and interact with their Romanian vendors. Moreover, many of the country’s IT specialists have already worked with global firms, having gained experience in the matter.
Now that we’ve highlighted some of the main reasons why it makes sense to open a development centre in Romania, let’s explore the topic even further, and see how other concepts that provide similar concepts, work. For those who are interested in less traditional practices, the BOT model can be an excellent alternative to opening an actual development centre.
The build-operate-transfer model is based on a contractual agreement between hiring company and its vendor, who operates in a different country, and who undertakes to establish, run, and transfer the newly created subsidiary to its client, along with all assets and rights surrounding it. Thus, BOT includes three phases, at the end of which the contracting company receives complete ownership of its recently built IT subsidiary. Much like opening a development centre, the build-operate-transfer model offers interested companies many benefits, among which the most noteworthy advantages might be the access to new talent pools, reduced costs, and increased control.
Opening a development centre in Romania makes sense from many points of view. The country’s constantly growing IT industry, thriving economic environment, and low prices are just some of the most appealing benefits that Romania has to offer. On top of this, its whopping software development outsourcing expertise, along with a talent pool filled with dedicated and passionate specialists, who excel in a wide array of technologies, make Romania a top-notch destination for businesses that wish to open a development centre.
Backed by 350+ IT consultants, over 250 delivered Agile projects, and over 10 years of creating successful project teams for customers in various industries, TechTalent is the go-to company when deciding to resort to the build-operate-transfer model.