Why Eastern Europe May Be a Better Outsourcing Choice for Hong Kong Businesses

16 August 2019

Eastern European countries have been making steady progress in developing their offshore IT services. They’re able to provide highly skilled laborers and quality output at low costs. Because of this, they’re drawing in more attention from Hong Kong businesses that are looking to outsource.

Evidence suggests that Eastern European countries tend to provide better engagements for their clients.

Eastern Europe for IT outsourcing Hong Kong companies

For example, the minicab company Addison Lee outsources their work to Russia. The skills of their Russian team are as good as local programmers, but they have lower labor costs.

According to the company’s IT director Peter Ingram, they were initially choosing whether to hire a team from India or from Russia. They sent source code work to each team as a test and he says that the team in Russia was able to provide better results than the Indian team.

The Indian team worked in a systematic way that emphasized speed and efficiency. But this resulted in them being unable to spot the mistakes that were included by the client on purpose. They also did not ask anything about the business.

Meanwhile, the Russian team took the time to analyze the company’s proposition, asked questions about the process and took notes of the deliberate mistakes.

Ingram goes on saying that in Russia, they “have a good pool of talent. The guys are graduates, they are keen to work and show a lot of willing."

The head of global transactions at Deutsche Bank, Daniel Marowitz, also notes that Ukraine and Russia have many talented workers with unique skills.

It’s important for Hong Kong businesses interested in outsourcing to find the team with the skills that fit their needs.

Workers in India are systematic, quick and efficient but Eastern European workers have the advantage of being more flexible and can be more experimental with tasks. Plus, they are preferred by smaller businesses because they are able to do innovative development at a low cost.

Aside from technical skills, Eastern European countries also have better language skills. This makes them ideal for Hong Kong businesses who want to expand internationally, especially across Europe. Belarus and Poland, in particular, are noted for having a better range of language skills.

Eastern European countries also follow the Data Protection Act which ensures that Hong Kong businesses remain safe, even when teaming up with overseas workers.

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Outsourcing may be viewed as an “Indian business”, especially by experienced outsourcers who have been working with Indian teams for years.  But the trend of outsourcing from countries like Belarus, Ukraine, Russia and Poland is rising.

More and more Hong Kong businesses are finding that Eastern European countries are a better choice for them.

Schedule a meeting in Hong Kong with one of our Senior Outsourcing Consultants today to explore how GreyLoud can revolutionize your IT operations.

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