Traditional Outsourcing vs ODC : Which one is Better?

October 26, 2020 Published by: Minesh Doshi

offshore development center

Remote working and work-from-home concepts have brought the idea of outsourcing in focus again. The outsourcing model has transformed the business scenario over the period, but advancing technology has given a rise to the Offshore Development Center (ODC) for modern enterprises. It is fair to mention that ODC is a more advanced and developed model than traditional outsourcing.

Let’s compare ODC and traditional outsourcing development to get more insights into the benefits of ODC for your business. This blog talks about the benefits of ODC and gives key points of difference with traditional outsourcing. A reputed software development company handles ODC professionally while maintaining the quality of work and addressing the client’s requirements.

Let’s start with the major benefits of the Offshore Development Center.

Key Business Benefits of Offshore Development Center

  • It offers a dedicated workforce and a contractual commitment
  • It leverages the cost advantage in custom software development
  • It assists companies to set and achieve long-time business objectives
  • It provides benefits of taxation, auditing, and skilled workforce
  • It reduces operational expenses for companies and ensures higher productivity

All you need to find the right software development partner to gain these benefits. It is fair to mention that when you outsource software development to a reputed and reliable software development company, your company can save overheads significantly and get the benefits of specialization. You can focus on core business activities because software development-related activities are handled by the ODC.

After going through the key benefits of ODC, let’s make a list of aspects that differ ODC from traditional outsourcing development.

Major Factors that Make ODC Different from Traditional Outsourcing

An offshore development center is an evolved form of a traditional outsourcing development process. It differs from the traditional outsourcing in the following aspects-

  • Traditional outsourcing development is based on a utilization model whereas ODC involves a core team of developers with high flexibility and scalability
  • Traditional outsourcing has a task-oriented relationship model whereas ODC takes a value-led approach while making a strategy for a long-term
  • Traditional outsourcing model follows scope-bound agreements whereas ODC consists of a team of developers who works based on a contractual agreement

Companies that want to come up with updated websites and mobile apps or want to assign a software project that can last for a long time should go for ODC because it is a more organized, cost-effective, and flexible option as compared to traditional outsourcing.

Also Read- Everything You Need to Know about Mobile Cloud Applications

The offshore development center is the commercial model that gives the utmost security and scalability through a contractural concept. It also offers the advantage of commitment to a long-term project. Also, ODC offers great savings to the end-customers because the operational cost is significantly reduced. Entrepreneurs need not invest in digital infrastructure or hire professionals with the ODC model.

It is possible to scale up or down the capacity of the ODC as per the changing project requirements. The ODC model also provides complete control over ownership to entrepreneurs. What’s more, you can save time on establishing BIDs and utilize this time on high-quality production. Finally, ODC enables you to keep flexible staffing for quick execution and meet all deadlines.

Wrapping Up

From healthcare to hospitality and manufacturing to finance, every industry vertical can leverage the benefits of the offshore software development center. With a highly interactive environment and skilled resources, the ODC model is capable of meeting the diverse and ever-changing requirements of modern enterprises.

Semaphore is a leading software development company. We offer CMS development, mobile app development, web development, and eCommerce development services to our esteemed corporate clients globally. Our flexible engagement models enable you to hire developers for your projects in a cost-effective way. Do you want to develop a business mobile app or a dedicated website? Simply drop us a line at info@semaphore-software.com and our expert consultants will contact you soon.