Smartsourcing: The New Blueprint of Offshore Development

In the last decade or two, the concept of building distributed teams has become increasingly popular. More and more businesses, especially in the West, are embracing a global workforce like never before. In fact, in 2019 alone, the revenue from the global outsourcing and offshoring industry amounted to over 92 billion U.S. dollars.

Additionally, with the Covid-19 pandemic forcing employees to work from home, global business leaders are now adapting to the new normal — a remote workforce. And, because they are now an unwitting part of the world’s largest remote work experiment, they have no choice but to make the best of it.

But how?

By embracing the advantages that remote teams have to offer, harnessing talent in worldwide talent pools, and scaling beyond borders — the smart way.


Not long ago, offshoring was a buzzword — a grey area that was often confused with the cost-cutting practice of outsourcing an organisation’s processes to an external vendor. This was only done because some businesses wanted low-cost engineers who could work for over 20 hours a day on one-off projects. However, they soon realised that outsourcing their development to agencies resulted in mediocre output. They wanted to find a cost-effective solution that didn’t compromise on quality, and offshoring was born.

And, in between the pillars of the offshoring industry, smartsourcing surfaced as the (not so) new kid on the block. Smartsourcing goes beyond hiring offshore programmers to cut operational costs. Smartsourcing is about partnering with an offshore company to build your own dedicated, cost-effective development team, to boost innovation across the full spectrum of your business. It delivers the agility that is often lacking in other offshoring frameworks.

In fact, smartsourcing coincides with significant shifts in the offshoring industry where menial tech support tasks have been substituted with groundbreaking R&D centres. This transition accentuates the need for more meticulous planning to sow the seeds for the next generation of innovation.

The New Generation of Smart Offshoring: Offshore 2.0

Covid-19 and the new normal has reshuffled the existing orders and ushered in new thought processes and models. Where once offshoring was seen as hiring ‘cheap’ engineers in developing countries, today, it is a smart business move and a leverageable asset.

By building a dedicated engineering team in an emerging tech hub like India, for instance, businesses can drive performance and competitiveness without any geographical restrictions. And the biggest incentive? Access to massive talent pools.

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