--- title: How a Danish ERP Firm Scaled with Offshore Developers description: How a Danish ERP consultancy that could not hire senior developers locally built an embedded development team in Bengaluru and scaled with confidence. image: https://blog.potentiam.co.uk/hubfs/blog/images/danish-dev-scaling-hero-hero-1.webp --- [![footer-logo](https://blog.potentiam.co.uk/hubfs/footer-logo.svg "footer-logo")](https://potentiam.co.uk) - [Solutions](https://www.potentiam.co.uk/solutions) [![Technology icon](https://blog.potentiam.co.uk/hubfs/Images/Icons/Technology%20icon.svg) Technology Scale your team with a dedicated advisor who aligns architecture and performance 
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Our client, a Danish ERP consultancy serving the food sector, struggled to recruit developers with five to ten years' experience or more, a shortage that COVID-19 made worse, and found it harder and harder to meet project demand and timelines in a market where senior software engineers are expensive and true ERP experts scarcer still. Its answer was a structured offshore partnership with us and a dedicated development team in Bengaluru. 5-10+ Years Experience Level Hardest to Hire Senior developers in Denmark 1 Hire Recommended Starting Point Start with one strong team lead 4-6 Weeks Typical Time to Hire in Bengaluru From search to accepted offer 5.8M Tech Industry Workforce in India nasscom Strategic Review 2025, FY2025 estimate ![Development team at standing desks in a Danish office](https://blog.potentiam.co.uk/hs-fs/hubfs/blog/images/danish-dev-scaling-hero-hero-1.webp?width=1200&height=628&name=danish-dev-scaling-hero-hero-1.webp) ## Why Could the Company Not Find ERP Developers in Denmark? For our client the constraint was experienced developers: people with five to ten years' experience or more were hard to find, and the competition for them had increased significantly. It is the constraint ERP consultancies raise with us most often. The company described the situation plainly: developers with five to ten years' experience or more were the hardest people to find, competition for skilled developers had increased significantly, and the shortage was limiting how far the business could scale. The pressure extends beyond Denmark. SAP customers still on Business Suite 7 face [SAP's end-of-2027 mainstream maintenance deadline](https://support.sap.com/en/offerings-programs/strategy.html), with optional extended maintenance to the end of 2030, and their S/4HANA migrations all need delivery capacity. Key Takeaway For our client the shortage of experienced developers was structural, and SAP's 2027 mainstream maintenance deadline adds pressure across the ERP market. Waiting for local supply to recover was not a viable strategy. ## What Made Our Approach Different from Traditional Outsourcing? ![Dedicated offshore team working on ERP development project](https://blog.potentiam.co.uk/hs-fs/hubfs/blog/images/danish-dev-scaling-float1-mentor-hero-1.webp?width=1200&height=628&name=danish-dev-scaling-float1-mentor-hero-1.webp) The company wanted skilled developers without the risks that come with contractors, and it saw offshoring as a longer-term growth strategy rather than a quick fix. As its CEO put it, "The process takes time, and this investment from management needed to be well spent." The distinction matters in practice. Contractor and project outsourcing arrangements often supply people on short-term contracts, where staff can rotate between clients and knowledge can leave with them. The client risks managing a revolving door rather than building capability. Our model inverts that dynamic. Drawing on the playbook our founders used to [scale EnergyQuote JHA to more than 300 people, about 60% of them offshore, before its exit to Accenture](https://blog.potentiam.co.uk/how-a-ceo-delivered-21m-of-value-and-an-exit-to-accenture-by-building-offshore-teams-part-1-of-6), we build embedded teams that work as a genuine extension of the client organisation. The team members are permanent employees of our local entity, working exclusively for one client and integrated into that client's tools, ceremonies and culture. Our experience bears this out. Dedicated offshore teams retain staff at far higher rates than contractor retainer models. That retention compounds into a real productivity advantage: teams in their second year deliver markedly more than in year one, because institutional knowledge, codebase familiarity, and process fluency accumulate rather than reset with every rotation. Contractor or Project Outsourcing (Typical Risks) - Staff can rotate between clients - Attrition can be high - Knowledge can reset when people move on - Managed as vendor relationship - Often billed by the hour - Resources may lack domain depth Embedded Team Model (with us) - Permanent team members, long-term tenure - High annual retention - Knowledge compounds year over year - Integrated as an extension of your team - Pricing agreed with each client - Specialists recruited for your domain ## How Should You Structure a Pilot to Minimise Risk? Our client's build rested on a capability plan we developed with it for both its immediate needs and its future scaling, covering team design, role design, career paths and how the offshore team would integrate with the Danish team. For most clients we recommend a deliberate pilot rather than a full team from day one, starting with a single role: the right team lead. This is a pattern we see repeatedly across successful engagements. The pilot approach allows a consultancy to validate several critical factors before scaling investment. Can the offshore lead communicate effectively with your Danish team? Do they understand your delivery methodology? Can they operate within your toolchain? Do they demonstrate the technical depth needed for ERP-grade work? Only after proving these fundamentals does the team grow. A pilot like this proves the model before you commit to more hires. With that validation in hand, the team can grow around the lead, following the team design, role design and career paths set out in the capability plan. Warning In our experience, skipping the pilot phase is one of the most common reasons offshore teams struggle. Companies that commit to five or more hires at once, before validating cultural fit and communication patterns, face higher attrition and more integration friction. Start with one strong lead, prove the model, then scale. ## What Does the Cost Comparison Actually Look Like for ERP Teams? The financial case for offshore ERP development teams becomes clear at team scale. Senior software engineers are expensive hires in Denmark once benefits, office space and equipment are added to salary, and consulting rates for the scarcest ERP specialists climb far higher still. | Cost Component | Denmark (5-Person Team) | India (5-Person Team) | Savings | | --- | --- | --- | --- | | Annual Salary/Fees | High, especially for senior roles | Lower; in our experience Bengaluru salaries often run 40 to 70% below the UK | Improved cost efficiency (our client's experience) | | Time to Capacity | Open-ended: senior developers hard to find locally | Team lead offer typically accepted in 4 to 6 weeks; start date then depends on notice, followed by a pilot and further hiring | Capacity arrives on a plan | | Total Cost of Ownership (18-24mo) | Baseline | Depends on roles, retention and the cost of the partner | Model it role by role | | Year 2 Productivity | Reset when people leave | Builds as the team stays | More continuity in delivery (our client's experience) | Raw salary comparisons also miss the cost of turnover. When a Danish team loses developers to competitors, re-hiring, re-onboarding and lost productivity during ramp-up erode any savings from hiring locally at lower seniority levels. A stable offshore team reduces that hidden cost, and knowledge builds as tenure grows. ## How Did the Company Solve the Cultural Integration Challenge? ![Cross-cultural team collaboration in a modern office environment](https://blog.potentiam.co.uk/hs-fs/hubfs/blog/images/danish-dev-scaling-float2-video-call-hero-1.webp?width=1200&height=628&name=danish-dev-scaling-float2-video-call-hero-1.webp) The working language matters. When offshore members join stand-ups, retrospectives and planning sessions, a shared language stops a two-tier team forming. Our Bengaluru teams work in English, so agree at the start which meetings and documents run in English. The company treated cultural integration as a priority from the start. If the offshore team feels like a separate entity, working on tickets thrown over a wall, you lose the collaborative problem-solving that makes ERP delivery successful. The Bengaluru team was fully integrated into the company's Danish operations, with a local HR business partner supporting it, so communication stayed smooth and the team worked as one. This reflects how we work more broadly. Our multi-hub model spans five hubs in South Africa, Romania, India and Brazil because different markets offer different cultural and time zone advantages. For a Danish ERP consultancy, India provides a deep technical talent pool, and it is only 3.5 hours ahead of Danish time in summer and 4.5 hours ahead in winter. A 9 to 6 day in Bengaluru runs from 5.30am to 2.30pm Danish time in summer and 4.30am to 1.30pm in winter, which leaves the Danish morning and early afternoon as a natural window for working together without either side working antisocial hours. ## Why Is India the Right Market for ERP Development Talent? India's engineering ecosystem is very large: nasscom estimates its technology industry headcount at [5.8 million for FY2025 in its Strategic Review 2025](https://www.nasscom.in/sites/default/files/media_pdf/Nasscom%20SR%20Press%20release.pdf). More specifically for ERP consultancies, India has a mature ecosystem of ERP consulting and systems integration firms, with practitioners who bring deep domain expertise. | Metric | Denmark | India | | --- | --- | --- | | Technology Workforce | Experienced developers hard to find (our client's experience) | 5.8 million (nasscom, FY2025 estimate) | | Senior Engineer Cost | High | In our experience often 40 to 70% below UK levels, especially for mid-to-senior roles | For ERP consultancies built on Microsoft technology, India's long history as a Microsoft development centre means the talent pool includes engineers with Dynamics 365 and Azure experience, which shortens ramp-up. In Bengaluru we recruit senior developers across .NET, Java and Python, along with data engineers, system architects and QA engineers. ## What Does the Implementation Timeline Look Like? Based on this engagement and our broader delivery experience, the implementation follows a structured sequence. Understanding this timeline helps CTOs and COOs set realistic expectations with their boards and existing delivery teams. 1 Discovery and Role Definition Define the technical requirements, cultural expectations and working cadence. We map your delivery methodology to identify the right candidate profile. 2 Team Lead Recruitment (typically 4 to 6 weeks) Source, screen and present team lead candidates. The client interviews and selects its preferred lead, typically four to six weeks from starting the search to the candidate accepting the offer, and a notice period can push the start date later. This is the most critical hire; take the time to get it right. 3 Pilot Validation (several weeks) Team lead works within your existing sprint cadence. Validate communication, code quality, domain understanding, and cultural fit before committing to expansion. 4 Team Expansion (after the pilot) With the team lead validated, recruit additional developers. The lead participates in interviews, ensuring technical and cultural alignment with your standards. 5 Full Integration and Scaling The team operates as an embedded unit within your delivery structure. We handle HR, compliance, facilities and retention programmes. You focus on delivery. Key Takeaway Recruiting the team lead typically takes four to six weeks from starting the search to the candidate accepting the offer, and we see the UK equivalent take six to twelve weeks or longer. After the notice period and a pilot, the wider team follows; how long full integration takes depends on notice periods, the pilot and further hiring. Set against an open-ended local search for senior developers, a planned timeline is a strategic advantage in itself. ## What Are the Hidden Risks CTOs Should Anticipate? ![Two developers reviewing code together](https://blog.potentiam.co.uk/hs-fs/hubfs/blog/images/danish-dev-scaling-float3-code-review-hero-1.webp?width=1200&height=628&name=danish-dev-scaling-float3-code-review-hero-1.webp) Building offshore development teams is not without complexity. The company's view of offshoring as a strategic investment rather than a tactical fix reflects a hard-won understanding of where engagements fail. The most common pitfalls fall into predictable categories, and recognising them early is the difference between a team that compounds value and one that drains management attention. First, the communication overhead is real in the initial months. Teams need explicit protocols for asynchronous handoffs, documentation standards, and escalation paths. This investment pays dividends quickly, but it requires deliberate effort from the onshore leadership team during the first quarter. Second, domain ramp-up for ERP-specific work takes longer than generic software development. A strong developer still needs a few months to understand your specific implementation patterns, client configurations, and vertical-specific business logic. This is why the team lead hire matters so much; they carry the domain context and transfer it to new joiners, protecting your onshore team from becoming a permanent training resource. Third, without a partner like us managing local employment law, benefits and retention programmes, attrition risk increases substantially. India's tech market is competitive. Developers receive multiple offers. The high retention rates achievable through dedicated team structures require active investment in career development, compensation benchmarking, and team culture. This is operational work that most European consultancies are not equipped to handle directly, and it is precisely the infrastructure we provide. For a deeper exploration of why CTOs are making this shift, see [7 reasons why offshoring your development team is a smart move](https://blog.potentiam.co.uk/7-reasons-why-offshoring-your-development-team-is-a-smart-move). ## How Does This Model Support ERP Migration Timelines? The urgency behind the company's decision is not unique. With [SAP's end-of-2027 mainstream maintenance deadline](https://support.sap.com/en/offerings-programs/strategy.html) approaching, SAP customers still on Business Suite 7 have to plan their move to S/4HANA. Every one of those migrations requires development capacity. Every delayed project represents revenue left on the table for consultancies that cannot staff their delivery teams. For consultancies working on Microsoft technology, the equivalent pressure comes from Dynamics 365 modernisation projects and Azure integration work. Their clients need delivery now; they will not wait while their consultancy searches for local talent. They will move to a competitor who can staff the project. An embedded offshore team changes the capacity equation fundamentally. Instead of turning away work or stretching existing teams dangerously thin, the consultancy can accept projects knowing they have the development muscle to deliver. The point is to unlock capacity that was previously impossible to access, without reducing quality. As explored in [delivering your software development roadmap before the money runs out](https://blog.potentiam.co.uk/delivering-your-software-development-roadmap-before-the-money-runs-out), timing and capacity are often the binding constraints on growth. Key Takeaway ERP consultancies that solve their capacity problem first gain a compounding advantage: they can accept more projects, build deeper client relationships, and generate the revenue that funds further team expansion. Those that wait for local talent to materialise lose ground to competitors who have already built their offshore capability. ## What Results Did the Company Achieve, and What Comes Next? The company's partnership with us resolved a shortage of experienced developers that local hiring could not fix. The capability plan gave the build a clear structure from the start, and the team grew from there. The Bengaluru team is now fully integrated into the company, giving it the flexibility to manage fluctuating project demand and reducing its reliance on scarce, high-cost senior talent in Denmark. As its CEO puts it: "The offshore team has become a core part of how we operate, giving us the flexibility to scale in a way we simply couldn't in the local market." The experience has given the company confidence that it can scale its team as needed, with our continued support. That is a common pattern among our clients: once the initial team proves its value, expansion follows because the hardest part, validating the model and building trust, is already complete. For the company, the strategic calculation is straightforward. Each additional developer in its offshore team reduces its reliance on high-cost, hard-to-secure senior talent in Denmark, adds continuity to delivery, and contributes to a capability base that grows more productive over time. The lower total cost of ownership is compelling on its own, but the real value lies in the revenue enabled by having capacity available when clients need it. [Explore how we build embedded technology teams across five hubs in four countries →](https://www.potentiam.co.uk/solutions/technology) Ready to Solve Your Development Capacity Challenge? Potentiam builds embedded offshore teams for ERP consultancies, technology firms, and scaling businesses. Start with a single hire, prove the model, then scale with confidence. [Book a Discovery Call](https://www.potentiam.co.uk/contact-us) [Explore Technology Solutions](https://www.potentiam.co.uk/solutions/technology) ## Frequently Asked Questions How long does it take to build an offshore ERP development team? We typically hire in Bengaluru in four to six weeks, from starting the search to the candidate accepting the offer, starting with the team lead; a notice period can push the start date later. After a pilot period, the wider team is recruited with your lead's input; the time to full integration depends on notice periods, the pilot and how many more people you hire. That compares favourably with an open-ended local search for senior ERP developers. What is the cost difference between hiring ERP developers in Denmark versus India? Senior software engineers in Denmark are expensive hires, and true ERP specialists command a further premium. Measured against the UK, which is the baseline we track, salaries in Bengaluru often run 40 to 70% lower, especially for mid-to-senior roles. Exact figures depend on seniority, skills mix and retention, and pricing is agreed with each client, so we model each role individually. How do you maintain quality when building offshore development teams? Quality is maintained through the dedicated team model rather than contractor rotation. With high annual retention, team members build deep domain knowledge over time and are markedly more productive in their second year. The team lead hire is critical, as they set quality standards, conduct code reviews, and ensure alignment with your delivery methodology. Is this model suitable for Microsoft Dynamics and Azure work? Yes, for the development work around it. India's long history as a Microsoft development centre means its talent pool includes engineers with Dynamics 365 and Azure experience, and it has a mature ecosystem of ERP consulting and systems integration firms. In Bengaluru we recruit senior developers across .NET, Java and Python, along with data engineers, system architects and QA engineers, and we test for specific product experience role by role. What happens if offshore team members leave? Dedicated team models retain staff at rates well above those typical of contractor arrangements. When attrition does occur, we manage the replacement process, including sourcing, screening and onboarding. The team lead structure means knowledge transfer is handled within the offshore team rather than requiring onshore management bandwidth. How does timezone difference affect collaboration with Danish teams? India is 3.5 hours ahead of Danish time in summer and 4.5 hours ahead in winter. A 9 to 6 day in Bengaluru runs from 5.30am to 2.30pm Danish time in summer and 4.30am to 1.30pm in winter, which leaves the Danish morning and early afternoon as a natural window for working together (stand-ups, sprint planning, code reviews) without antisocial hours on either side. Agree a shared working language at the start, and asynchronous documentation keeps work moving across the rest of the day. Potentiam Strategic Offshoring Consultancy, [Potentiam](https://www.potentiam.co.uk/) Potentiam is a London-based strategic offshoring consultancy that helps mid-sized companies scale by building high-performing, embedded offshore teams across five hubs in South Africa, Romania, India and Brazil. Founded by operators who scaled EnergyQuote JHA to more than 300 people, about 60% of them offshore, before its acquisition by Accenture in 2015. Sources and Citations 1. [SAP maintenance strategy](https://support.sap.com/en/offerings-programs/strategy.html): mainstream maintenance for SAP Business Suite 7 core applications until end of 2027, optional extended maintenance until end of 2030 2. [NASSCOM, Technology Sector in India: Strategic Review 2025 (press release)](https://www.nasscom.in/sites/default/files/media_pdf/Nasscom%20SR%20Press%20release.pdf): total industry headcount of 5.8 million in FY2025E 3. Client engagement data; the implementation timeline and retention observations are from our own delivery experience Scroll ## Ready to scale your team? Discover how our proven model builds teams that drive performance, reduce costs, and multiply growth. 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[Privacy Policy](https://blog.potentiam.co.uk/privacy) ```json { "@context" : "https://schema.org", "@id" : "https://blog.potentiam.co.uk/how-a-danish-company-scaled-their-software-development-team-with-offshoring#article", "@type" : "Article", "articleSection" : "Case Study", "author" : { "@id" : "https://www.potentiam.co.uk/#organization" }, "dateModified" : "2026-09-29", "datePublished" : "2022-04-21", "description" : "How a Danish ERP consultancy that could not hire senior developers locally built an embedded development team in Bengaluru and scaled with confidence.", "headline" : "How a Danish company scaled their software development team with offshoring", "image" : "https://5804539.fs1.hubspotusercontent-na1.net/hubfs/5804539/blog/images/danish-dev-scaling-hero-hero-1.webp", "inLanguage" : "en-GB", "keywords" : [ "offshore developers Denmark", "Danish ERP consultancy offshoring", "offshore development team India", "ERP developers Bengaluru", "pilot-first offshore team" ], "mainEntityOfPage" : { "@id" : "https://blog.potentiam.co.uk/how-a-danish-company-scaled-their-software-development-team-with-offshoring", "@type" : "WebPage" }, "publisher" : { "@id" : "https://www.potentiam.co.uk/#organization" }, "wordCount" : 3022 } ``` ```json { "@context" : "https://schema.org", "@id" : "https://www.potentiam.co.uk/#organization", "@type" : "Organization", "description" : "Potentiam is a London-based strategic offshoring consultancy that builds embedded offshore teams for mid-sized UK and European companies in five hubs across four countries: Cape Town and Johannesburg (South Africa), Iași (Romania), Bengaluru (India) and São Paulo (Brazil).", "logo" : { "@type" : "ImageObject", "url" : "https://www.potentiam.co.uk/hubfs/logo.svg" }, "name" : "Potentiam Ltd", "sameAs" : [ "https://www.linkedin.com/company/potentiam-ltd" ], "url" : "https://www.potentiam.co.uk" } ``` ```json { "@context" : "https://schema.org", "@id" : "https://blog.potentiam.co.uk/how-a-danish-company-scaled-their-software-development-team-with-offshoring#breadcrumb", "@type" : "BreadcrumbList", "itemListElement" : [ { "@type" : "ListItem", "item" : "https://www.potentiam.co.uk", "name" : "Home", "position" : 1 }, { "@type" : "ListItem", "item" : "https://blog.potentiam.co.uk", "name" : "Blog", "position" : 2 }, { "@type" : "ListItem", "item" : "https://blog.potentiam.co.uk/how-a-danish-company-scaled-their-software-development-team-with-offshoring", "name" : "How a Danish company scaled their software development team with offshoring", "position" : 3 } ] } ``` ```json { "@context" : "https://schema.org", "@id" : "https://blog.potentiam.co.uk/how-a-danish-company-scaled-their-software-development-team-with-offshoring#faq", "@type" : "FAQPage", "mainEntity" : [ { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "We typically hire in Bengaluru in four to six weeks, from starting the search to the candidate accepting the offer, starting with the team lead; a notice period can push the start date later. After a pilot period, the wider team is recruited with your lead's input; the time to full integration depends on notice periods, the pilot and how many more people you hire. That compares favourably with an open-ended local search for senior ERP developers." }, "name" : "How long does it take to build an offshore ERP development team?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Senior software engineers in Denmark are expensive hires, and true ERP specialists command a further premium. Measured against the UK, which is the baseline we track, salaries in Bengaluru often run 40 to 70% lower, especially for mid-to-senior roles. Exact figures depend on seniority, skills mix and retention, and pricing is agreed with each client, so we model each role individually." }, "name" : "What is the cost difference between hiring ERP developers in Denmark versus India?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Quality is maintained through the dedicated team model rather than contractor rotation. With high annual retention, team members build deep domain knowledge over time and are markedly more productive in their second year. The team lead hire is critical, as they set quality standards, conduct code reviews, and ensure alignment with your delivery methodology." }, "name" : "How do you maintain quality when building offshore development teams?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Yes, for the development work around it. India's long history as a Microsoft development centre means its talent pool includes engineers with Dynamics 365 and Azure experience, and it has a mature ecosystem of ERP consulting and systems integration firms. In Bengaluru we recruit senior developers across .NET, Java and Python, along with data engineers, system architects and QA engineers, and we test for specific product experience role by role." }, "name" : "Is this model suitable for Microsoft Dynamics and Azure work?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "Dedicated team models retain staff at rates well above those typical of contractor arrangements. When attrition does occur, we manage the replacement process, including sourcing, screening and onboarding. The team lead structure means knowledge transfer is handled within the offshore team rather than requiring onshore management bandwidth." }, "name" : "What happens if offshore team members leave?" }, { "@type" : "Question", "acceptedAnswer" : { "@type" : "Answer", "text" : "India is 3.5 hours ahead of Danish time in summer and 4.5 hours ahead in winter. A 9 to 6 day in Bengaluru runs from 5.30am to 2.30pm Danish time in summer and 4.30am to 1.30pm in winter, which leaves the Danish morning and early afternoon as a natural window for working together (stand-ups, sprint planning, code reviews) without antisocial hours on either side. Agree a shared working language at the start, and asynchronous documentation keeps work moving across the rest of the day." }, "name" : "How does timezone difference affect collaboration with Danish teams?" } ] } ```