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IT outsourcing to Ukraine: development that outshines the warfare


With younger generations of IT expertise, Ukraine is a dynamic and productive nation. These professionals embrace change and innovation, and constantly aspire to excessive achievements. Ukraine’s IT outsourcing trade has had great development within the final twenty years. 

With quite a few advantages, Ukraine has established a strong repute as one of the vital most well-liked outsourcing locations. Over 15,000 IT specialists graduate in Ukraine every year. The nation has constructed a thriving IT ecosystem the place hundreds of software program growth firms ship cost-effective and high-quality options. Firms outsource their IT tasks to Ukraine to entry top-class engineering expertise and the best merchandise.

Ukraine has typically been acknowledged as one of many prime places to outsource wonderful software program builders at an inexpensive price. By outsourcing IT must Ukraine, firms profit from a wider expertise pool and decrease bills.

World companies on the lookout for customized software program growth steadily select Ukraine. Nonetheless, from February 24, Ukrainians should cope with russia’s warfare towards Ukraine. Regardless of this case, the Ukrainian software program trade remains to be increasing. What attracts Western firms and their IT operations to Ukraine and the way have Ukrainian IT enterprises withstood these tough instances? Let’s discover it on this article.

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IT enterprise operates seamlessly regardless of the warfare

Ukraine has suffered from an all-out warfare waged by russia since February 24. Nonetheless, this case has not halted any operations within the Ukrainian IT trade. After guaranteeing that their employees and knowledge are absolutely protected within the West of Ukraine or overseas, software program growth firms and the US and EU companies with places of work in Ukraine proceed to function with out interruption. Whereas retaining management, high-quality companies, and entry to the expertise pool, they’ve decreased and managed all enterprise dangers.

Ukrainian IT companies have proven their resiliency and talent to ship wonderful companies it doesn’t matter what. In the course of the wartime, the Ukrainian IT trade has displayed outstanding tenacity, ethical braveness, and talent to deal with crises. Many IT firms ensured the security of their workers in the course of the early levels of the warfare and even earlier than the warfare began since that they had launched emergency measures upfront following intelligence warnings. 

The shift to a brand new mannequin went easily, and that could possibly be anticipated. Two years of Covid quarantine have helped Ukrainian IT firms get ready for any circumstances.

International embassies have additionally returned to Kyiv, suggesting that the Ukrainian capital is safe sufficient for companies. Throughout disaster instances, Ukraine’s IT sector has confirmed to be a dependable companion for world companies. 

Progress of IT companies export

Ukraine’s export-oriented IT sector produced a file $2 billion income for the primary quarter of 2022, the Nationwide Financial institution of Ukraine (NBU) reviews. The result’s 28% increased than the determine for a similar interval of 2021 ($1.44 billion).

In response to this report, the expansion of the software program growth trade continued till the warfare began and reached a file month-to-month export – $839 million. This determine exceeds the identical interval in 2021 ($480 million) by 43%.

In March 2022, the Ukrainian IT trade retained $522 million that’s 96% of IT companies exports, in comparison with the identical interval final 12 months ($546 million). Furthermore, the vast majority of Ukrainian IT companies count on a development of 5-30% in 2022. The IT sector has been capable of stabilize and shortly rebuild its operations with the assistance of anti-crisis plans. Most Ukrainian IT firms managed to retain prospects and the quantity of their growth and upkeep contracts, Forbes reviews.

Ukraine IT firms nonetheless rent

The DOU recruitment portal’s ballot discovered that 90% of IT professionals haven’t skilled any modifications of their jobs or workload because the starting of the warfare. This illustrates the trustworthiness of Ukrainian IT companies. Extra importantly, they carry on hiring proficient tech specialists to help their firm and the market. 

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Ukraine IT market grew tremendously in 2021

In 2021, the Ukrainian IT market confirmed phenomenal development. To visualise this growth, consider a 50% employees improve by the 5 greatest Ukrainian software program growth firms. The 5 largest organizations (SoftServe, GlobalLogic, EPAM, Luxoft, and Ciklum) have employed roughly 27,000 IT specialists since 2020. In 2022 they rely greater than 40,000 workers all collectively. The latest estimates point out that 220,000 Ukrainian programmers carried out within the world market in 2021. That is the best end in Europe and the fourth rank globally when it comes to functionality.

World’s top-100 IT distributors listing embrace Ukrainian firms

The Ukrainian IT trade is known for its companies supplied for the EU, UK, and US firms and tech startups. Over 100 companies from the Fortune 500 listing are among the many Ukrainian IT distributors’ prospects.

The Worldwide Affiliation of Outsourcing Professionals introduced the highest 100 listing of IT outsourcing companies suppliers. This ranking included 12 Ukrainian software program growth companies and three worldwide firms with places of work positioned in Ukraine. IAOP yearly selects one of the best software program growth firms primarily based on essentially the most related standards within the trade, reminiscent of buyer testimonials, certification and awards gained by distributors, innovation initiatives, and social duty tasks.

Sturdy positions in US market

Clutch, the globally recognized US B2B software program suppliers evaluation portal,  highlighted Ukrainian companies among the many fastest-growing IT firms in its rating printed final 12 months. Ukraine’s outsourcing companies are additionally on the listing of firms with essentially the most sustainable development. The listing of the 100 fastest-growing software program growth firms consists of 5 of them from Ukraine, whereas 9 seem on the listing of prime 100 firms with essentially the most sustainable development.

In terms of IT outsourcing actions, the US continues to be Ukraine’s prime companion. Roughly 45% of the IT sector prospects signify the US-based companies. Ukrainian IT consultants are among the many greatest on this planet for his or her in-depth technical experience, wonderful English proficiency, and cutting-edge expertise abilities. 

Ukraine to affix the EU

Ukraine has been granted European Union candidate standing by the EU leaders on Jun 23, 2022. The historic choice marks an important level on Kyiv’s option to EU membership. 

All industries, together with IT, will step by step converge on EU requirements as a part of the EU integration course of. Entry to the EU market, technological developments, monetary help to revive very important infrastructure, and low-cost loans to restructure the economic system will assist Ukraine’s IT trade proceed rising.

Advantages of IT outsourcing to Ukraine

Ukraine is without doubt one of the greatest locations for IT outsourcing. Right here you’ll be able to rent highly-skilled software program engineers fluent in English. Ukrainian builders and IT undertaking managers are onerous staff and have a optimistic stance on cultural variations.

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Enormous expertise pool

The expertise pool is younger and vibrant, with sensible builders who’ve constantly raised the bar of excellence regardless of the challenges to allow the IT sector to prosper. With greater than 400 universities unfold throughout the nation, Ukraine yearly produces over 15,000 IT graduates who’re among the many greatest on this planet. Seizing the rising want to make sure ongoing software program growth capabilities, a major variety of personal institutions supply specialised programs within the trade. During the last decade, there has additionally been a gentle rise within the numbers of IT specialists in Ukraine. As an example, the highest 50 Ukrainian IT firms employed 10,000 extra professionals within the first half of 2021.

Numerous tech talent set protecting numerous applied sciences

IT consultants from Ukraine have a variety of abilities throughout all programming languages. There are greater than 1,000 growth facilities within the nation that rent expert programmers to work on numerous high-level software program tasks for world companies like Google and IBM. About 10% of Europe’s graduates in STEM fields, together with pc science, come from Ukraine. The nation has turn into a hub for innovation and the origin of many widespread IT merchandise as we speak. Ukrainian startups embrace Ahrefs, GitLab, and Grammarly.

Efficient Communication and English Language Proficiency

Ukraine has numerous folks talking English fluently. Western firms don’t face any challenges with the language barrier and doable miscommunication when outsourcing to Ukraine. All they want is to supply an in depth description of their undertaking’s technical necessities to get an ideal finish product.

Price financial savings

In comparison with software program growth companies in Canada, the US, and the EU, Ukrainian IT distributors do supply distinctive technical information and creativity for aggressive pricing. In comparison with different markets, Ukraine is a extra reasonably priced supply for software program growth experience to rent.  

It’s often costly to rent and practice a bunch of IT specialists in addition to create the mandatory in-house infrastructure. Moreover, firms can considerably cut back their expenditures on {hardware} prices, software program licenses, upkeep, and so forth. by subcontracting companies. By decreasing growth prices, outsourcing provides you price range management and entry to one of the best expertise which may not be obtainable in-house.

Price to high quality ratio

Pricing will not be the one issue. With highly-skilled builders and efficient product high quality management Ukrainian IT companies assure world-class high quality. On condition that Ukraine has a 30-year custom of software program growth, there are lots of senior engineers. As well as, loads of IT graduates advance their skills shortly since they land jobs proper out of college and are mentored by extremely skilled coworkers.

Sturdy work ethic

Ukrainians are well-known for his or her dedication to excellence and exemplary work ethics. You might rely on one of the best outcomes for those who rent Ukrainian software program programmers. They put loads of effort into product growth and have inventive minds to generate concepts for your enterprise.

Tradition proximity

Compatibility throughout cultures is the last word argument. Ukrainian IT specialists quickly take up Western rules and specific pro-European views. The Ukrainian folks  share a really comparable mindset to European residents. This interprets right into a strong cooperation that allows IT tasks and tech startups to be launched efficiently.

Geographical Proximity

Undertaking administration and scheduling alignment are made easy by the point distinction as a result of working hours are overlapping with these of a number of North Coast places within the US and Canada, and there’s solely a 1-hour time distinction with companies positioned within the EU. One of many foremost arguments for selecting Ukrainian outsourcing is that the working hours within the EU or the UK are almost equivalent to these of the distant growth group in Ukraine. Prime Ukrainian outsourcing cities, like Lviv, are conveniently positioned and are only a two-hour flight away from the EU (bear in mind that flights are briefly canceled due to the warfare). As well as, residents of most international locations can enter Ukraine with out a visa.

Knowledge safety

Knowledge safety is of important significance to world companies. The legal guidelines of Ukraine are in step with these of the European Union. Databases and pc packages are copyright protected beneath Ukrainian mental property legal guidelines. Ukrainian growth firms are able to defending each delicate consumer info and mental property rights. They supply safe knowledge restoration methods to cope with unexpected knowledge loss along with compliance options tailor-made to the shopper’s wants. Ukrainian IT companies additionally signal Non-Disclosure Agreements to guard your enterprise concepts and confidential info.

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Take advantages of Ukraine’s IT outsourcing, tailored to new realities

Each enterprise can entry extremely certified software program builders by outsourcing IT companies to Ukraine and get all of the listed advantages. The IT companies be sure that the group assigned to your undertaking has the mandatory abilities and expertise to construct strong, efficient, and scalable options. Because the distributors have expertise engaged on quite a lot of tasks throughout a number of industries, they will shortly discover environment friendly options to any firm’s particular wants. Since companies should sustain with the quickly evolving IT traits, outsourcing to Ukraine will help you undertake cutting-edge instruments and expertise quicker.

Ukrainian IT firms proceed to develop, attain world rankings lists, and win awards. In the course of the warfare, disaster administration and enterprise continuity methods carried out at their greatest, and Ukraine’s software program growth firms have retained prospects and saved tasks working. The partial switch of assets to neighboring Jap European international locations went easily, and Ukrainian IT companies proceed offering top-level companies. Ukraine’s IT sector has confirmed to be a reliable and efficient outsourcing companion. 

ELITEX, as a Lviv-based firm, has left the doorways of our workplace open to each worker who will thus really feel morally protected or want to speak with like-minded folks. We now have supplied our workers with secure working situations and facilitated the opportunity of relocating overseas for these of our workers who, for one cause or one other, wanted it. Safety has been a key facet of our enterprise for greater than 4 months now. This manner, we guarantee one of the best safety for ongoing and future tasks.

In case you are on the lookout for a dependable software program growth outsourcing companion, we will probably be comfortable to listen to from you.

Let’s discuss your undertaking

Drop us a line! We might love to listen to from you.

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