4 months ago

Best Companies Outsource to Ukraine – Here’s Why

Leading brands and innovative startups all around the world secretly adore Ukraine as a global outsourcing destination. Over a hundred companies, including Samsung, IBM and Oracle, have already placed their R&D offices there while thousands of others remotely outsource projects to Ukraine.

If all the buzz around makes you feel like missing something, here we gathered the most relevant facts about IT outsourcing in Ukraine. In this article, we have attempted to find out why Ukraine is considered the strongest choice of the moment. And we bet you will get surprised.

Topics covered:

1. Over 160,000 IT professionals with excellent expertise
2. Any specialty, technology and experience you might need
3. Top industry recognition in many international rankings
4. Cultural proximity to the Western world
5. Highly qualified tech professionals
6. Proven and fair price/quality ratio

1. Over 160,000 IT professionals with excellent expertise

During the past two years Ukrainian IT industry has grown up by 60%, reaching over 160 thousand people in 2018. Over 60% of them are employed in outsourcing. By 2020, the country is expecting to surpass the 200,000 mark with IT industry valuing $6-10 billion.

Along with positive dynamics in terms of quantitative growth, the quality of the provided IT services is not affected. Ukraine is recognized among the TOP-10 entities worldwide with the best programmers, scoring as much as 91.26% in the SkillValue report.

2. Any specialty, technology and experience you might need

Over a half of all Ukrainian IT specialists are developers while around 14% are QA/QC professionals. The rest stands for top managers, business analysts, sales and marketing managers, designers and system administrators.

Technologies and programming languages

The most common programming languages used by Ukrainian developers are Java, JavaScript, C#, PHP and Python. Having Python on the top list shows means Ukraine is geared towards the machine learning and data science, some of the most popular technologies of the future.

According to the Daxx domestic research, Ukraine stands out by the number of developers in some technologies when compared worldwide. Thus, there are more Unity 3D and C++ engineers in Ukraine than anywhere else in the world. Also, Ukraine stands second worldwide for Scala, Magento, and JavaScript and third for PHP, Node.js, Ruby, ASP.NET, and Python.

Besides, Ukrainian developers take leading positions in IT expertise when ranked by domain: mathematics, security and distributed systems.

Experience

On average, most Ukrainian IT specialists (56%) have approximately 5 years of professional experience. Almost 20% of Ukrainian software developers have 7+ years of experience. Top managers and system administrators are estimated the most experienced among all the IT experts in Ukraine. 40% of them work for more than 10 years on average.

The share of junior and senior developers is almost equal in Kyiv, Ukrainian capital, while in other key IT cities there are roughly two juniors per one senior.

3. Top industry recognition in many international rankings

Ukraine has been repeatedly ranked as a top IT outsourcing destination. The country provides a balanced combination of fair rates, outstanding quality and positive dynamics.

Noticeably, not only Ukraine is recognized as a trustworthy entity, but also particular companies get ranked in leading listings like Global Outsourcing 100, Software 500, Clutch. For example, devabit was named a top IT services firm in Ukraine by Clutch.

Overall, there are more than 1000 software development companies in Ukraine which specialize in a full range of services: web and mobile development, UI/UX design, quality assurance and testing, 3D technologies, AR/VR etc. For example, in devabit, we provide all the abovementioned services along with BPO.

4. Cultural proximity to the Western world

Work Ethics

Ukrainians are known as a hard-working nation. Taking their first job in early student years, local developers achieve senior level by 30, which often surprises foreign employers. Almost a half of software engineers admit to code for fun in their spare time.

Ukraine belongs to a low-context group of cultures just like most of the Western countries. This means that facts and figures mean more than personal relations. Indeed, programmers in Ukraine tend to rely on detailed planning and clear requirements. Developers usually do not simply criticize the issue but also suggest improvements and look at the bigger picture.

English proficiency

Communication might feel slightly too formal for US employers. However, there is no language barrier: around 70-80% Ukrainian IT specialists have at least intermediate level of English proficiency.

Public Holidays

Besides, there are only 11 public holidays in Ukraine. In other Eastern European countries such as Czech Republic, Poland, Romania, and Hungary there are at least 13 paid public days-off and 19 in Bulgaria. Meanwhile, in South and Southeast Asia the population is culturally and ethnically diverse with each group demanding their own paid vacation.

5. Highly qualified tech professionals

While Ukrainian population makes up a mere 1% of the world, they also represent 6% of the global certified professionals in STEM (Science, Technology, Engineering and Mathematics). Having just one-seventh of the US population, Ukraine annually produces nearly half as many software engineering graduates.

For Ukrainians, software engineering is among the most lucrative jobs available on the market. While in the US and Western Europe, there isn’t as much hype around IT jobs, it is no wonder why IT industry in Ukraine keeps booming.

Almost 90% of high-schoolers decide to continue their studies at universities and colleges, and 35% of them go for IT-related majors (64% among IT workers). There are 402 universities in Ukraine with approximately 40,000 STEM graduates annually, more than in Japan, the Netherlands, Sweden, Norway, or Belgium.

Education is among top priorities in Ukraine, and the country in #1 in CEE (Central and Eastern Europe) region both by the number of graduates who enter the labor market and by the number of IT experts. Globally, Colliers International put Ukraine 4th by the number of It specialists.

Over the last decade, Ukraine was also in the top-10 list with the biggest number of certified IT professionals, getting as high as the 4th position.

Moreover, according to the DOU report, Ukrainian developers are keen on self-education. 70% of the respondents read professional literature, 60% regularly attend IT events, and 57% take online courses.

6. Proven and fair price/quality ratio.

According to Gartner, Ukraine ranks first in the CEE region for the best price/quality ratio. Compared to its geographical neighbors, Poland, Belarus, and the Czech Republic, Ukraine provides more competitive rates and a larger talent pool.

Hourly rates might seem a bit higher than in some regions of South and Southeast Asia. However, cheap work is not something Ukrainian developers strive to provide to their clients. The high-quality work is. The quality of delivered projects is the finest while the fair hourly rate of just $20-$40 is due to lower living costs in Ukraine.

Since 2015, salaries of Ukrainian tech workers have risen noticeably. However, they are still a fraction compared to the western ones.

For example, a junior stack developer is paid around $1,600 per month in Ukraine, while in the UK it gets as high as $5,200 and in the US – $6,200. Developer’s salary in Switzerland starts at over $11,300.

While an average US software engineer chargers over $100 per hour and a more experienced one only agree to a $150/hour rate, Ukrainian outsourcing team may help avoid overspending without losing quality. Juniors with up to two years of experience can cost as low as $20 per hour of work. Mid-level specialists charge $30 per hour and senior developers with over five years of experience work for $40 per hour.

Taking into account low rates, deep expertise and industry knowledge, convenient location and cultural proximity –  it is no surprise anymore why global giants like Apple or Microsoft decide to outsource to Ukraine.

If you are looking for an experienced outsourcing team for your IT project, contact devabit experts. We will make sure to offer you the best solutions in web and mobile development, 3D, AR/VR, UI/UX design, QA and BPO.