3 Popular Software Offshore Development Center Models

3 Popular Software Offshore Development Center Models

What are the main Offshore Development Center models?

When setting up an offshore software development center (ODC) with Manifera, businesses typically choose from three engagement models: Dedicated Offshore Teams, Fixed Price, and Time & Materials. Choosing the right model ensures a fusion of Dutch management and Vietnamese technical mastery while maintaining flexibility and cost-efficiency.

1. Dedicated Offshore Software Development Team

This model provides you with a team of experienced software developers who act seamlessly as your own extended team. You retain full control over the developers, assigning tasks directly and collaborating with them on a daily basis. This approach is highly scalable and operates on a straightforward monthly fee per Full-Time Equivalent (FTE).

2. Fixed Price Project

The Fixed Price model is ideal when your project has well-defined requirements, a strict budget, and a clear duration. Budget-related risk is completely out of your hands since the price is agreed upon before development begins. This is perfect for building an MVP or a specific software module with no expected scope changes.

3. Time and Materials

For projects where requirements are not fully clear from the beginning and are expected to evolve, the Time and Materials model offers the necessary adaptability. In this model, you only pay for the actual hours worked by the developers, ensuring that you can pivot your digital strategy or scale the team up and down without rigid contract constraints.

First-Party Evidence: Manifera's Engagement in Action

Manifera applies the Agile Scrum development framework across these models to ensure transparent communication and regular sprint deliverables.  Here is a real-world example of our offshore team execution:
Client / Project
Technical Challenge
Solution & Engagement
Quantifiable Result
Vodafone Fiji (VitiKart)
Designing and creating a comprehensive digital marketplace for merchants.
Deployed a Dedicated Remote Team integrating Magento and Vodafone's Cloud Architecture.
Successfully launched VitiKart.com.fj efficiently, meeting strict digital commerce goals.
"The vision of Manifera is to be the go-to software development offshoring partner for the European and South East Asian small to medium sized Software Development and Software Product companies, providing trustworthy and long-term services, with our fusion of Dutch management and Vietnamese mastery." — Herre Roelevink, Founder and Director at Manifera

FAQs

What are the most popular offshore software development center models?

The three most popular offshore software development center models are Dedicated Offshore Teams, Fixed Price Projects, and Time & Materials. Each model caters to different project scopes, budget structures, and required levels of flexibility.

When should a company choose the Dedicated Offshore Team model?

A company should choose the Dedicated Offshore Team model when they need a long-term, scalable extension of their in-house staff. It offers full control over daily operations and tasks, operating on a transparent monthly fee per Full-Time Equivalent (FTE).

What is the difference between Fixed Price and Time & Materials?

The Fixed Price model guarantees a set budget and timeline for projects with clearly defined requirements. In contrast, the Time & Materials model is highly flexible, allowing requirements to evolve over time, and bills only for the actual hours developers work on the project.

How useful was this post?

Share it with your friends

Get our latest articles here!

Thank you for subscribing to our blog!

Do you have any questions?

Help us improve the content of this Insightful blog by asking us questions. Manifera's team of experts will help you answer these questions as soon as possible.

    What is Refresh icon

    Contact