Outsourcing of software development or IT related operations is increasingly becoming the norm. And, more and more companies are turning to the nearshore outsourcing option.
Perhaps you have delegated tasks to offshore companies and are now considering moving to nearshore. Is it worth it? If you are on the fence, this article can help you make more informed decisions.
Before discussing the reasons for choosing a nearshore software development company, let’s briefly explain what nearshore outsourcing means. It is the practice to hire a company from neighboring countries rather than in your own country.
For example, if you live in the United States, you outsource your software development tasks to a company in Mexico or Canada.
Here are the strategic advantages of nearshore software providers.
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You share office time zones
According to a study published by PMI, poor communication is attributed to the failure of about 15% of IT projects.
When working with offshore software companies, communication delays are inevitable due to time zone differences.
A specialist based in Canberra ACT, Australia, is 14 hours ahead of Washington DC, United States. Such a difference can be a big hurdle when teams are working on the same project, requiring regular communication and providing crucial information in real time.
With nearshore outsourcing, your organization shares business hours and working days with the software vendor. Your employees would not hesitate to ask for help or advice. They know they will get answers quickly when needed.
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Cultural and linguistic similarities
Another reason why nearshore software developers may be a good option is less cultural differences and language barriers.
The cultural aspect is essential when it comes to providing acceptable designs, themes and references that match well the target audience or clients.
Besides locals, professional developers from neighboring countries may also understand your country’s cultural norms better than virtual offshore teams.
Or, at least, they have a lot in common that encourages more effective collaboration, communication, and problem solving. One thing worth mentioning in this regard is linguistic compatibility.
People who run businesses in the United States can outsource software developers in Latin America, as most are fluent in English. This is because they hope to sell their services to a larger market, which makes sense given that English is the most widely spoken language in the world. Others have a team of bilingual software experts.
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Advantage of greater proximity
At some point, you may need to meet with software developers or engineers face to face to make your project a success. The closer they are to your country, the less time and money you will spend on flights.
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Profitability
The main reason for outsourcing is, without a doubt, to save money. While costs vary widely from software vendor to software vendor, your business could still meet your goals for less.
To be precise, an outsourced service can reduce expenses related to:
- Acquisition of software development tools and technologies
- Recruitment process or job search
- Onboarding a new employee
- Preparation of social charges
- Provide health care and other benefits
Depending on your project, the services can be increased or reduced as needed.
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Similar intellectual property laws
The extent of intellectual property (IP) protection varies from country to country. In general, however, securing this protection usually involves complex applications.
Software developers in neighboring states are more likely to know all of the technical rules and regulations in the customer’s country. They are better positioned to navigate the process more effectively and point you on the right track than offshore teams.
Additionally, most countries like Canada and Mexico have strict intellectual property laws, which provide almost the same level of protection as US laws.
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Benefit from a diverse talent of professionals
Of course, it doesn’t matter whether you opt for local, nearshore or offshore outsourcing. Trusted and reputable software companies have a team of highly trained software experts to handle a wide range of projects.
You wouldn’t have to worry about gathering new technical skills along the way to complete your project according to your needs and goals. Basically everything you need comes in one package.
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Access to the latest software development technologies
Experts worthy of the name are ready to adopt and invest in new technological solutions, regardless of their cost. This is because they want to stay relevant while providing the best service to customers. By delegating tasks to nearshore software development professionals, your business will indirectly benefit from these technological innovations.
Wrap
As you can see, working with nearshore software developers and engineers seems like a more rewarding option. While nearshoring offers many benefits, the success of your software development project depends on the team you choose. No two software providers are equal. Therefore, it’s worth taking the time to find a highly rated team with a proven track record of delivering results.
Interesting Related Article: “The Benefits of Outsourcing Your IT”