What is the technology stack behind HackerRank
IT nearshoring - short portrait Poland
Anyone doing IT nearshoring to Poland is in good company. Global players like Microsoft, Oracle, IBM or Credit Suisse operate large research centers or BPO service centers here. As well as hundreds of other companies. We take a look at the IT nearshoring location: some facts and figures as well as my personal experience from IT nearshoring projects with Poland.
IT nearshoring in Poland: talent pool and qualification
Without a doubt, Poland has firmly established itself as an IT location; around 15,000 computer scientists graduate here every year, and the total talent pool of IT professionals amounts to 250,000 to 300,000 (for comparison in Germany: approx. 900,000).
The attractiveness of an IT location can also be measured according to the quality of the training, the quality orientation of the software developer and similar criteria. Poland fulfills these criteria, the attractiveness of the IT location is underscored not least by the recent announcement of one Investment of 1 billion US dollars in a data center to provide cloud services by Microsoft - the largest IT investment ever made in the country.
When looking for objective evidence of the quality of software developers in Poland, one comes across a country ranking of hackerrank.com: The portal regularly posts tasks and coding challenges online and assigns a scoring for each solution approach (according to information from HackerRank around 1.5 million developers participate); on this basis, a country profile results, which is included in a country ranking.
It undoubtedly raises questions about the reliability and informative value of the methodology that Israel, for example, fared significantly worse than Greece or Chile. If the ranking does not claim to be absolute, this positive ranking can certainly be included as an indication among many in the overall assessment of Poland as an IT location.
Figure: Country ranking by solution quality of Hacker Challenges at HackerRank
Last but not least: Even in our own experience, the quality orientation in cooperation with Polish software developers is high.
IT nearshoring in Poland: cost advantage
When browsing the Internet about IT nearshoring Poland, one comes across statements such as “The wage level can be up to 50% below that of German employees.” I consider this a misleading statement. On the other hand, there is also information such as the following: "A web developer in Poland earns an average of € 51,000." - Depending on the interests of those who put such figures into circulation, the salaries are shown either too low (providers of IT nearshore offers in Poland) or too high (providers of IT services in Ukraine or Belarus).
In my experience, the personnel costs for IT developers in Poland are around 20 to 30 percent below the cost level in Germany. Of course, this is heavily dependent on the location and the desired technology stack.
IT nearshoring in Poland: EU legal area & geographical proximity
Another advantage of the IT nearshoring location Poland is without a doubt that the country belongs to the European Union. Poland is part of Schengen, the cooperation in the context of meetings and multi-day developer workshops does not have to take into account any restrictions on business trips, a visa is not required. Remote management: powered by digitization.
At the time of writing this article, I am sitting in the capital Berlin; The journey to an IT development center in Szczecin just across the German-Polish border hardly costs me 2 hours (whether by car or train).
Even more important: In Poland, the legal framework of the EU applies. This can be of great relevance in connection with data protection and information processing. In isolated software development projects, the underlying data must not leave the legal area of the EU.
IT nearshoring in Poland: first steps
This blog "BytesForBusiness" was developed by a Polish agency with whom I have had good experience in working together (project language, of course, English): brandoo.pl/
At the time of this writing, I am also the managing director of a company with two IT development centers in Poland: codelab.eu. It is a long-established software development service provider with around 200 employees at two competence centers in Szczecin and Wrocław. The company is characterized by many years of expertise in the development of software solutions for the automotive and telecommunications industries, with well-known tier 1 automotive suppliers among its customers. The company also develops solutions for the eCommerce and medical technology industries. The focus is on the development of embedded software systems, IoT solutions, connectivity and web portals. If you are interested in a non-binding presentation, please give me a call or send me an email. I am looking forward to the exchange!
The author is a manager in the software industry with international expertise: Authorized officer at one of the large consulting firms - responsible for setting up an IT development center at the Bangalore offshore location - Director M&A at a software company in Berlin.
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