Why Do Sweden Companies Hire Developers in Ukraine?

Qubit Labs
Qubit Labs Team

Stockholm is considered one of the top startup capitals in Europe, so it is little wonder Swedish companies invest in IT outsourcing to increase their capacities. Most local businesses prefer Ukraine outsourcing because of the country’s geographic proximity and elusive aspects, like cultural and social linkages.

The question is: Is hiring Ukrainian software developers a suitable solution for Swedish tech companies? What to expect when building a software team in Ukraine? How to make sure your company made the right move? To address the matter, Qubit Labs has decided to conduct research and see the factors spurring the Sweden market representatives to cooperate with Ukrainian tech talent and choose IT outsourcing.

Why Do the Largest Swedish Companies Outsource Their Software Development?

Although the reasons might differ based on the city and company. Nevertheless, the most common cause is that it is a relatively small country, so there is a shortage of human resources, especially high-skilled specialists. Actually, the local IT outsourcing market’s turnover is expected to increase up to $3,978.4 million by the end of 2021.

The country is among innovation leaders, performing significantly above the EU average. The numbers are evolving for many reasons, one of which is the activity of the company Business Sweden. It helps local companies to grow their global sales and attract international organizations. Sweden is open to cooperation from abroad, and the research output is on the top level.

Thus, to reach its full potential, the country has to attract foreign human resources. Often, the Swedish tech companies can’t find local developers for a reasonable price and with sufficient expertise; however, it’s not always about the price. It might be a challenge to find a developer that will understand the requirements and deliver results greater than hoped-for. In this case, a Swedish company, whether it’s large or small-medium, would look for professionals outside the country’s boundaries.

Benefits of Outsourcing to Ukraine

The answer is simple: find vendors. Ukraine IT outsourcing is advanced enough, so there are many companies that offer assistance in finding and hiring developers, establishing R&D offices, and taking care of other management-related tasks. Since outsourcing is aimed at improving your business bottom lines through reduced operational costs, it would be practical to find countries and companies with a reasonable price-to-quality ratio. Software development Ukraine is a cost-effective solution to run your business processes more effectively and maximize the organization’s performance.

Finding a reliable partner would halve your responsibilities and make the business run smoothly while cutting costs and increasing revenue. IT outsourcing in Ukraine will save you a lot of money and effort because there won’t be any need to find engineers and setting workplaces for them. The vendors already have everything ready.

In case you have any concerns about the quality of services or the communication, be confident the vendors will put their best foot forward. They care about their reputation and won’t do anything that might jeopardize it. Besides, when working with a Ukraine developer team, you could invest more money into the product, advertising, and improvement instead of human resources. Although local programmers’ salaries are multiple times lower compared to the Sweden market, their services are high-end.

Why Choose Ukraine Over Other Nearshore or Farshore Countries?

Ukraine software outsourcing implies flexibility and salary levels that are lower than in the neighboring countries, Poland and Romania. The higher the salaries, the more taxes a Swedish company will have to pay. Besides, why not opt for a destination that offers the same quality yet for less money? That’s a forward-looking and cost-efficient decision.

However, the Ukrainian market has a strong competitor – Asian countries, in particular, India. It’s true that the costs of software development there are even lower than for software outsourcing Ukraine. But, sometimes, it’s better to pay a bit more to make sure you won’t have to deal with the negative outcomes later. One of the most significant hurdles in finding common ground between Swedish companies and Indian vendors is cultural miscommunication. As mentioned, a Ukraine developer has a similar mentality and views, which can’t be said about one’s Indian colleague.

When there is a project on the line, you would want to ensure your requirements have been interpreted correctly. The best way to do that is to discuss everything without language barriers, which are common in India because a few people would know Swedish. As for Ukraine, the level of education there is higher. Hence, there won’t be any problems in communicating in your native language, or in English, with a Ukraine developer.

We understand that any Sweden brand would want to be confident in its employees and their expertise. That’s why implementing fitting recruitment practices allows local Ukraine IT outsourcing companies to find candidates that would actually meet your expectations. From our experience, we know it takes a certain amount of time to reach out to suitable developers. Yet, we can analyze each candidate at the outset and don’t waste your time interviewing average applicants.

Among the biggest Swedish companies on the Ukrainian market of outsourcing services, there are Vаderstad, Sigma Software, Ericsson, and Husqvarna. Some of the most popular Ukrainian startups are Grammarly, MacPaw, and GitLab. If outsourcing Sweden requires specialists in several programming languages, you will find them in Ukraine. Although JavaScript, Java, C#, and Python are the leaders in outsourcing Ukraine, you can find programmers who deal with Erlang, Dart, and Apex. These are just some examples of why IT outsourcing in Ukraine might help your company become the next leader in the area.

Why Do Sweden Companies Hire Developers in Ukraine?

Cooperation in Ukraine Outsourcing

Your Sweden technology company might want to conduct the hiring process in a slightly contrasting way to the one common in the country. That’s why you should inform the candidates about the peculiarities of each stage to prevent losing them. The demand for software development Ukraine is evolving, so if you want to take time before the final decision, make sure you won’t take longer than a week. Top programmers understand their expertise and skills are in demand, so they won’t wait long.

When embarking on Ukraine outsourcing, you could transfer the onboarding to the vendors or take care of it yourself. Some of the companies invite newbies to their head offices to establish contact, fill them in, and ensure they understand their responsibilities and expectations put by the business. Thus, when it comes to outsourcing Sweden services to Ukraine, find a partner that would help you set up an effective team and forge all the processes. For your part, pass on relevant information to the vendors and ask them to keep you up to date.

Wrapping Up

As you can see, Sweden technology companies understand the opportunities they will get from transferring their software development to Ukraine. The benefits are comprehensive: cost-effectiveness, performance increase, attracting in-depth expertise, and chances of becoming the industry’s leaders. You can entrust finding and managing candidates for your Ukraine outsourcing to Qubit Labs. We have extensive experience and numerous successful cases, so feel free to share your requirements with our consultants.


Related Articles:

Ukrainian IT Outsourcing Market Landscape

Why Open R&D Center and Where?


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