It was in the 21st century when the term outsourcing came into existence. Initially, it only involved hiring  a local company to do a task and the different types of outsourcing  included network outsourcing, business processing outsourcing, logistics outsourcing, services outsourcing, HR outsourcing and project outsourcing  etc. This concept was introduced for the manufacturing industry, but was later expanded to development companies in developing countries. With the development of information and communication technologies, it has become possible for businesses to get access to experts even in other countries. Software outsourcing has therefore become extremely popular amongst businesses because it gives them a myriad of benefits.

There are a number of reasons why companies choose to outsource software development from offshore companies. First and foremost, they can benefit from a huge reduction in cost. No longer do they have to hire experts in programming and designing software and pay them their demanded salaries. They don’t have to give them bonuses, paid vacations etc. or provide other benefits such as car, insurance and accommodation. With outsourcing, they can simply consult a service provider that has these experts on staff and get their project done at a reasonable cost. It is even more beneficial if the labor costs are low in other countries because they translate into less expense.

Likewise, as software development is outsourced, the business has a better opportunity of focusing and strengthening its core competencies rather than divert attention to software programming, etc. They can widen economies of scale by centering their resources on their core operations. There are various countries all over the world from where businesses can outsource software development services. However, the best option at their disposal, which makes the most sense, is that of Costa Rica, a country that’s situated in Central America. Currently, this current is the number one in software development exportation in the Caribbean Islands and Central America.

The sector of the finance and software industry in outsourcing in Costa Rica is said to be one of the most dynamic areas. It is an excellent platform for availing software development services because the country has political stability, which means there will be no political problems disrupting the work. Likewise, the country also boasts a very strong quality infrastructure as 92% of the electricity is obtained from renewable resources. Apart from that, Costa Ricans are also said to have a high level of consistency. The individuals maintain a high quality of life that has a balance between family, social and work interests.

Therefore, the hours that are spent at work are very focused and intensive and the levels of output and quality are quite consistent. Moreover, the workforce is also extremely reliable. The system of education in the country is also of a very high standard due to which it is easy to find experts in software development. They are able to deliver results very quickly and do not charge a huge sum of money in return. Hence, software outsourcing can turn out to be a boon for businesses.