Offshore development center model: an
essential meaning and distinctive

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The offshore development center is a term that is getting widely used in software companies. We all know that offshoring is the best method if one is looking to optimize costs. That is where the offshore development center comes in. But, what is offshore development center?

The offshore development center basically consists of an off-site team who works collaboratively on a project. Most IT-related projects don’t require that much infrastructure for setting up off-site operations. So, it is a common practice in large companies or in projects that require the collaboration of 25 or more people. 

Offshore development center models are changing the way people execute or complete projects. A detailed piece on the offshore development center is available on this link. 

What is offshore development center?

An offshore development center provides coders and programmers with office staff along with all necessary infrastructure for the execution of the project. A project manager is assigned to the team who makes sure that the project is going according to plan. 

The reason offshore development centers are trending is that they help you save costs by up to 60% in terms of infrastructure. It is a secure location that is specifically made for the purpose of software product development and execution. 

In simple words, an offshore development center meaning is a place that is an extension of your own company where infrastructure and resources are built according to the client’s requirements. 

The primary purpose of an offshore software development center is to provide scalable services, allowing companies to demolish redundant costs. Most of the time, the offshore development center model is monitored by the client’s company, where it is the role of the manager to keep a smooth interaction with the client and developers. 

What do you need to set up an Offshore development center?

Why are companies moving towards offshore development centers? What can your company gain by using offshore development center services? In this section, we are going to talk about the benefits of setting up an offshore development center for your company. 

  • The offshore development center model is an opportunity that allows companies to focus on other parts of the business while the software-related tasks are handled by ODC. A team is dedicated to the competition of the project, enabling greater stability and efficiency.
  • As mentioned, offshore software development centers are part of a company, except they are situated in another country. Now, the advantage to that is that if a project requires more than 25 coders, ODC can provide that. 
  • One of the most astonishing advantages of the offshore development center model is that a company has complete control over the project. That is not available with offshoring the project. Since it is your project, your team, your resources, and your plan of action, everything is controlled by you. With offshore development centers, having control enables companies to dedicate resources effectively and make decisions timely in order to complete the project
  • An offshore development center is a dedicated office center that comes with every necessity. That also includes security. That means moving towards the offsite location in order to complete that project won’t affect the project’s integrity and security. 
  • Offshore development center lets you access the vast pool of talent in that country. Regions like Ukraine are filled with IT experts who are capable of working side by side with your international clients. If you get your hands on such individuals, there are chances that you will complete the project effectively. Offshore development centers enable companies to leverage the use of such IT professionals in their projects. 

How to Setup an Offshore development center?

Knowledge Cycle

Since you are trying to replicate an office that meets your client’s requirements, the first thing that you need to do is get to know the knowledge cycle. Consider what you are trying to develop. What are the client’s requirements? Are there any restrictions? Does your client has proper paperwork? In this cycle, you also have to consider the client’s work ethic, culture, and approaches. Moreover, there should be a security onboarding step that will make sure no extra information reaches the hands of competitors. 

Appoint key individuals

The next step is appointing the key individuals who will help in executing the project. For instance, you have to distribute the roles among the team. For instance, one will write the code; the other will do the QA steps. Another team will do beta testing. 

Keep in mind that there will be a manager among this team who will ensure the development. That manager will be a bridge between you, your team, and your client. Appointing a manager is crucial, so do this step wisely.

Set execution timeline

Following the timeline is an integral part of the project. This is where the expectations are broken down into milestones. The deliverables should be delivered to team members of ODC in order to avoid any miss communication. All of this helps in the proper execution timeline. 

So, we hope that we have answered the question, “What is offshore development center?”. Honestly, ODC is the future of the IT industry because of the cost cuttings. Plus, they offer advantages that help in the successful execution of the project. But, the idea behind setting up an ODC is consistency and patience. If you have that, you will eventually reach the top. 



Rishikesh Y Dube, 22 years old I am a fourth-year BLS LLB student apart from law school and my love for human behavior and phycology/criminology, I love to cook watch anime, and practice Mixed martial arts. I am a person who is keen to know and gain knowledge about everything on which I can put my hands on. I am also an IAS aspirant and thus interested in politics and all the sociopolitical and economical issues.

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