When it comes to IT outsourcing, Poland is becoming more and more popular destination among investors, especially those from the United States and the Western Europe. In this Eastern European country and a member of the European Union there are already three cities recognized among Tholons Top 100 Outsourcing Destinations, including Kraków (ang. Cracow) placed 9th in the world and 1st in Europe. Also KPMG IT Outsourcing Service Provider Performance & Satisfaction Study confirms Poland’s position, claiming the country is 2nd among the most preferred locations for delivering IT Services in the world.
So why both the biggest worldwide companies and fast-growing startups decide to invest in Poland? Why Poland is a good place to outsource IT projects? Check the 7 reasons below.
1. QUALITY & INNOVATIONS
Polish software and hardware developers are well-known for meeting the highest quality standards of IT services – it is a fact proven by worldwide rankings, international championships, and global corporations.
Best-skilled programmers in the world
Software developers from Poland are not appreciated by KPMG IT Outsourcing Service Provider as the 2nd most preferred location for delivering IT Services in the world without a reason. Their performance is confirmed in many international competitions, including Microsoft Imagine Cup, Google Code Jam, the Central European Programming Contest (CEPC).
Innovative hardware & software
Not only are Polish developers the best specialists. They also take part in the cutting-edge innovations in the tech industry in the latest years, such as the Internet of Things, wearables, and smart vehicles. The medical wearable SiDLYCare Band, which helps to look after elderly patients, the ExtaFree and ExtaLife pioneer smart home systems with bi-dimensional communication and smartphone control, or the luxury smart car Varsovia are just a few examples of Polish innovative projects.
Codewise, another Polish company, created a well-recognized tool for web advertising and analytic. This year the enterprise was placed 2nd among 1000 Europe’s Fastest Growing Companies by The Financial Times. Kraków, the second biggest Polish city, is also known as the world center of Beacons – thanks to such pioneers in this field as Estimote or Kontakt.io.
2. HIGHLY EDUCATED PEOPLE
The outstanding quality would not be possible without the high standards of education in Poland. As one of the countries which has been under the Soviet Union influence, Poland has long traditions in teaching sciences and IT as well as some great universities in this field, including Warsaw Polytechnic and University of Science and Technology in Cracow.
High level of Polish education
There are over 100,000 staff employed in the IT sector in Poland currently, and each year 15,000 graduates of IT faculties enter the Polish labour market, while almost 100,000 high school students attend IT courses.
What is more, 39% of people aged between 25 and 34 have university degrees or the equivalent in Poland, giving the country the well-deserved 2nd place in the world – behind Norway but before the US, ranking 11th with 35%. Poles also make over 12% of all the EU university graduates.
Professional IT skills
The level of IT skills found among Polish developers matches or even overtop the level found in the Western European countries or the United States. According to HackerRank, Polish are 1st in the world in Java skills, 2nd in Python, and 5th in Ruby. Polish developers also do well in algorithms – a very important skill for a good programmer – ranking 2nd in the world.
Polish IT students are also frequently being given awards at the international programming contests e.g. in 2011 in ACM ICPC contest in Orlando or in 2014 in Coding World Championship in Helsinki, Finland.
3. WORLDWIDE RECOGNITION
With the great outcomes, comes the recognition. No wonder, some Polish companies takes the top places in the well-known mobile app developers directories, such as AppFutura, Clutch.co, or Business of Apps.
According to Clutch.co, an acknowledged marketplace for software development which well-deserved reputation comes from accurate and objective assessment of developers and interviews with their clients, among the top software houses around the world you can easily find Polish ones.
Polish companies are doing well in AppFutura ranking, too. 1st place in the overall global ranking is taken by a software house from Kraków. What is more, among the top 30 companies recognized there one can find 3 software houses from the biggest Polish cities: Warsaw, Kraków, and Wroclaw.
4. COMPETITIVE SOFTWARE DEVELOPMENT COSTS
Although Central and Eastern European developers are highly educated and talented and their work meets highest EU standards, it is worth mentioning that the prices of mobile app development in this part of the European Union are lower than in the United States and most countries of Western Europe.
The reason for the lower development prices in Poland is connected with the lower labor and living costs in this country, in comparison to the Western Europe. According to the Polish Information and Foreign Investment Agency, the average monthly gross remuneration in IT is from PLN 4,000 ($1,055) for a junior to PLN 9,000 ($2,373) and more for a senior developer. At the same time, an average hourly rate for iOS and Android development in the United States is around $150.
If you are interested in the costs of app development and the factors which influence them, check our quick app cost guide.
5. NO COMMUNICATION PROBLEMS
Software development projects require good collaboration and communication between you and your software house. Therefore, in case of outsourcing, one has to pay attention to some aspects which are absent while you cooperate with developers from your own country. Fortunately, in case of Poland communication is not a problem.
Proficient language skills
Although English is not a mother tongue of Poles, the knowledge of this language is vast, mainly because of the obligation to pass a foreign language test in every stage of Polish education system. According to EF English Proficiency Index, measuring the level of English skills in countries around the world, Poland ranked in the 8th place, ahead of such countries as Belgium, Germany or Switzerland.
Friendly timezone & distance
Many outsourcing destinations are situated in the opposite hemisphere, making it difficult to communicate with your cooperators during your working hours. With Poland it is not the case. The country is situated in CET time zone which means no or only 1-hour time difference from the Western Europe. It is also situated only 6 hours from the United States, making it possible to adjust meetings and get immediate response for your queries.
What is more, you can easily visit Poland to meet with your development team – the advantage which is not obvious with Asian countries for example – as the country is situated in the center of Europe and is well connected with many European and American cities.
No cultural gap
It may seem not so obvious, but if you already have experience in outsourcing, you probably know that cultural differences can create huge communication problems. However, Poland belongs to the same culture circle as Western Europe. It has the same history, cultural heritage, and behavior patterns, which makes Poles easy to understand and communicate with.
6. HIGHEST SAFETY STANDARDS
One of the most important factors in software development is keeping your idea safe. With outsourcing, this is also a common worry as you have to share your idea with some external actors. Therefore, it is crucial to comply with the highest safety standards as Poland does.
The EU quality & safety standards
Many apps include some kind of data, given in by its users. Therefore, choosing countries from the European Union, with its highest quality and safety standards of customer data protection is always a good choice in comparison to many other outsourcing destination where security is not treated that seriously.
As the EU member, Poland has to obey the Data Protection Act and many EU standardization regulations which ensure that their work is of the highest quality. The country follows also all EU copyright and intellectual property rights as well as the American standards of data security and intellectual property protection.
Stable legal envirnment
As the European Union member country, Poland has the same basis of economic law as the rest of the Community, making its legal environment stable and convenient for external investments. Being a member of the EU, OECD, and WTO also means that Poland is very accessible to international investments, having its market open for all companies based in the European Union and allowing data or money transfers without permits or visas.
7. STABLE, GROWING ECONOMY
When you invest in outsourcing, it is understandable you want to be sure, the whole economical and legal situation in the country of your choice is stable and suit best your business needs. Therefore, you will probably look for a cooperator from a country with a growing economy and clear rules and Poland is definitely the one.
EU rising star
Poland is the 6th biggest state among European Union members. It is also the 6th largest economy in the EU and one of the most dynamic in Central Europe, which maintain stable despite of the world economic crisis that hit many European countries in 2008. The Polish government supports international investments and the membership in the EU makes it easy to do the business and travel to Poland.
Growing IT market
According to the research company DIS, the value of the IT market in Poland reached PLN 21.2 billion in 2013 and it is growing by 4% a year, making this country the fastest growing IT market of Central and Eastern Europe. Currently, the IT market represents 1.5% of Poland’s GDP and this trend will grow as more and more Polish software houses begin to play an important role in the global software industry.
Attractive investment location
Investments in Poland has been appreciated by many of the biggest international companies, including Microsoft, IBM, and Google. According to the Ernst&Young Attractiveness Survey Europe of 2013, the country is the most attractive location for investment in Central and Eastern Europe. Also UNCTAD’s World Investment Report from 2013 appreciate Polish market, predicting the country will soon be the 4th most attractive economy in Europe and 14th worldwide.
HOW TO OUTSOURCE? A QUICK CHECKLIST
Many people are afraid of outsourcing because they don’t want to loose control over their software development project and trust an external contractor. However, following the rules below, you will minimalize any risks associated with outsourcing while keeping the numerous advantages of it.
- Do the market research: check your cooperator’s portfolio, places they take in the worldwide developers rankings, and reviews of their previous clients.
- Choose the best quality in the adequate price
- Meet them in person or via Skype. E-mails are not enough
- Sign an NDA for safety reasons
- Prepare a good brief and a specification for your app
- Focus on good communication and mutual understanding
- Make sure all the property rights remain yours
- Cooperate with your software house throughout the development process
- Test the app to make early adjustments
- Ask for a guarantee. At least one month is a must
Are you no longer afraid of outsourcing? Do you want to outsource your app development project to Poland? Fill in the form to get a cost estimation prepared by our business analysts.