IT Outsourcing to Poland or to India?

June 14, 2010 Wojtek Gurgul

I thought this was covered so many times in so many places that it is waste of time to talk about it again. Offshore software development seems to be very well described topic in the Internet, if you are willing to search for it. But I still get the same questions again and again from our potential clients. That means that it is worth discussing it. I have a lot of personal experience in working with Indian companies. And yes – it is possible to be successful there. I actually worked with many great Indian IT specialists. But this is naive to think, that India is a paradise for Software outsourcing.

Let me lay out some points here:

  1. No – There is NOT an unlimited number of good developers in India. Like anywhere in the world the best developers are in scarce. The same applies to India or any other destination. Yes – you are right. All the best are already hired and well paid. This won’t be easy to get them in your team.
  2. No – you will most likely NOT be able to maintain the stable team. The industry standard attrition has been over 50% already 3-4 years ago. It is worse now.
  3. IP – You will always have much better confidence that your rights and ownership is well protected in any EU-member country. Imagine that you have to go to Indian court to try to protect your rights. Poland and other countries have a well established law, which lets you easily protect your IP.
  4. Salaries. No they are no longer much lower than those in Eastern Europe. In fact the best developers there earn as much as 80% of what their colleagues in the US or Western Europe. The financial advantage is a myth based on the fact that you  can get fresh graduates fairly cheap. But they will expect high raises each year, and they will not feel embarrassed to change their job overnight if someone pays them more. And more may mean 50 or 100% increase. In fact the salaries in countries like Poland are more or less on the same level. As I mentioned – perhaps fresh graduates are the only exceptions.
  5. Work style. What you will get in Poland is basically the same as in any other European country. That needs no proof, as Poles are already everywhere 🙂 –  Especially in the UK and Scandinavia. When you work with India you need to be prepared for communication and cultural barriers. They are not a myth, they do exist.

To summarize I truly believe, and a lot of publications prove, that Poland among other Eastern European countries is considering its location, talent pool, size, political stability, proper infrastructure and law system far better option for most of the clients in Europe than any Asian based partners.

And you can get here within 2 hours from many European airports – very often cheaper than taking a train to another city in your country.

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