Dedicated Development Center: Overview by Qubit Labs

If your company is expanding and new tech tasks keep appearing, you may want to consider how to make it as profitable as possible. You may face challenges, like adding more people to your in-house department or trying an alternative, more cost-efficient method, like a dedicated software development center. 

What is Dedicated Development Center?

What is the concept of development center? A dedicated development center is a model in which a third party hires software engineers to cover your company’s needs and tasks and accomplish strategic goals.

A dedicated development model suggests expanding your unit by adding dedicated software developers located in a region with lower development rates, such as Eastern Europe, Central Asia, Latin America, etc. In addition, all workers are working on your project remotely full-time, which is an excellent alternative to the in-house team.

Pros and Cons of Dedicated Offshore Development Center

Like every outsourcing and staffing model, a dedicated development center has solid advantages and weaknesses that may not suit your priorities. Let’s examine its pros and cons to understand this model better.

Pros of Dedicated Software Development Center

• Cost-Efficiency 

Instead of expanding your in-house department with new people and providing workspace and equipment, it’s much easier and cost-efficient to go with a remote dedicated development center. All members work full-time and focus on your project; you don’t need to provide them with any working spaces or equipment.

• Unlimited Talent Pool

You are not limited to the locations if you go with a dedicated offshore development center. Hiring specialists from anywhere globally with particular skills can boost your business quickly. In addition, if you have experts from different time zones, the development and maintenance can be performed almost without interruption.

• No Hiring Hassles

A dedicated development center allows you not to worry about hiring and organizational headaches. Your vendor will handle all legal and tax questions, agreements, payrolls, social packages, etc. So you can just focus on your business without any administrative hassles.

Cons of Dedicated Software Development Center

• Poor Communication

Having workers from different time zones is excellent for rapid business development. However, simultaneously, responses and deadlines can be delayed and overdue. So, you must invest considerable time in team management and control of the development process.

• Organizational Difficulties

Building solid and productive cooperation with a dedicated development center can take a long time. Before your joint venture kicks off, multiple calls, meetings, and negotiations will frequently take place, taking up a lot of time and effort. However, once the relationship is built, you will usually have no difficulty resuming cooperation and getting new teams to work on different projects over the years.

Dedicated Offshore Development Center vs In-House Team

There is always competition between a dedicated development center and an in-house team. Undoubtedly, both models work differently and cover different needs, so choose one or use the benefits of both. You should consider the priorities and profit your company can get from each model.

But let’s see each model’s bright and dark sides: 

• The in-house team is ideal if you value face-to-face communication and want all members in one working space. It increases productivity, builds stronger relationships with your team, and improves communication. However, expanding the in-house team can be expensive as far as proving equipment is concerned. In addition, you must spend some time on training, onboarding, and retention processes.
• A dedicated software development center is cost-efficient in covering your company’s tech needs and hiring staff with particular experience and skills. You don’t need to put any effort into training as all participants you engage are fully prepared. Moreover, you are not limited to locations with a dedicated offshore development center, significantly increasing your chances of finding matching specialists quickly. Despite having access to a large talent pool, having staff from different bits of the world can make your communication unproductive. There is also a risk of misunderstandings, other mentalities, and business cultures, so you must put much effort into building solid relationships within your company.

Benefits of a Dedicated Development Center For Small Businesses and Startups

• Cost-Efficiency

When your business is just on its way to growing and bringing in more profit, it is crucial to make sure that expanding won’t break your budget. Extending your in-house team is costly, but having a dedicated software development center has a tremendous price-to-quality ratio, as you can hire specialists in cheaper countries.

• More Flexibility

You get software engineers with specific experience and skills who are familiar with the tasks that should be covered. They don’t need much training, so your hands can focus on business development.

• Wider Talent Pool

If one of your priorities is to hire new employees as soon as possible, a dedicated offshore development center will be a good choice. But again, gaining experts worldwide increases the chances of finding perfect-match professionals quickly.

• Easy To Organize Processes

Interviewing, researching, and managing new employees can be challenging, especially when you need more than one. Your vendor will handle all organizational processes and legal issues to set up your dedicated development center.

Final Thoughts

Consider your company’s priorities and needs to ensure that a dedicated development center will work for your company. For example, this model will work best if you are a startup or small business due to its cost-efficiency and access to a worldwide tech workforce.

If you are looking for a vendor that will provide you with the best dedicated software development center, Qubit Labs is here to help. We hire IT specialists to cover your needs from the top tech destinations like Ukraine, Poland, Bulgaria, Moldova, Romania, Georgia, Kazakhstan, and Azerbaijan. We are always ready to provide you with the best experience.