Reasons to Resort to Nearshore Software Development
During the last decade, life’s tempo grew at least two or even three times. That did not only influence our daily lives but the business world as well. Now company owners have to adjust to the harsh reality where there no longer is a place for procrastination as every second there will be someone breathing down your neck. It is only obvious that businesspeople are now trying to find solutions for their businesses that would allow them to stay competitive on the market scene and at the same time would not require a significant financial investment. One of those solutions became nearshore outsourcing. Or, if to be more specific, nearshore software development outsourcing.
Nearshore Software Development: What Is It?
Software development is a rapidly growing field these days. It is only natural that it became one of the biggest branches of outsourcing in general.
What is outsourcing, after all, you might ask? Basically, outsourcing tasks means delegating them to another, outer contractor, therefore leaving your company’s employees more time to concentrate on more urgent tasks. Outsourcing has lots of benefits like cost reduction, attracting new talents, expanding your business to new markets and many more. There are a few types of outsourcing today; however, the one that seems to be the most popular is nearshoring.
In case of nearshore software outsourcing, you hire a contractor who is located somewhere nearby, in most cases within your geographical region. Why is it so popular though? First of all, in case of hiring nearshore software programmer, you significantly reduce your expenses. Nearshoring allows you to broaden your ‘search party’ for new employees to the nearest countries. However, chances are high that these countries’ economy state is worse; therefore, software engineers’ rates will be lower. Another thing that nearshoring software development might get you is the possibility to find a more skilled contractor than you would be able to in your own country. Now you do not have limits in the form of your country’s borders, you can start looking further and find someone truly exceptional. Finally, the greatest thing about nearshore software engineering services is that your contractor company will be located in the nearest time zone, so communicating with your team o even traveling to their office will not be a problem anymore.
As you see, by choosing nearshore software development services, you are giving your business a huge boost.
Nearshore Software Outsourcing: Types of Projects It Suits the Best
Every company owner, before implementing software nearshoring strategy into his business, wants to know, what type of projects it is suitable for. Well, speaking of software development, it could be said, that this particular field is absolutely perfect for nearshore software development as it is mostly technical and does not require your direct presence.
For example, we could be talking about such projects as BizzTalk or SQL Server implementation. As you see, both these projects do not require direct communication; it can all be done through video chat if the need occurs. Another example: when a certain company wants to build a core product for their needs. No matter how experienced their programmers are, it is always a good idea to have outer expertise in such things. This is when software development outsourcing nearshore comes in handy.
Finally, you can turn to software nearshoring services even when you or your team need a consult on how to build your product.
Lots of huge companies use nearshore software programming services these days. For example, Intel, that outsources some of the jobs to Costa Rica, where the tech industry is much more developed than in the United States and the prices are considerably lower.
Software Development Outsourcing: Nearshore Prons and Cons
Previously we briefly went through the biggest advantages of software development outsourcing nearshore strategies; however, it would be best, if we explained it in a bit more specific way to you. In the following table, you can find all the pros and cons of nearshore software outsourcing:
As you see, there are far more benefits to nearshore outsourcing, than there are disadvantages. That means that it is worth at least a bit of your time to check this option out.
Nearshore Software Development: How Much Can You Save?
We say – quite a lot. Think about it, the first thing that you will notice about nearshoring are the prices of plane tickets. There is no way that you will not have to travel to your outsource team, so keep in mind that flights within the continent are always cheaper. The bigger is the distance – the bigger your travel expenses will be and sometimes the financial difference between nearshoring and offshoring will not be able to cover that.
Another thing to consider – cultural differences. They can also be pricey and influence the communication process with your contractor a lot.
Finally, let’s compare rates of different countries’ software development contractors so that you will feel the difference yourself. All the numbers will be taken from Upwork and PayScale:
As you see, by hiring your software development team from Eastern Europe you can significantly reduce your costs.
Resorting to Nearshore Software Development
We say that there are plenty of reasons for you to consider this option. Sure, it might be not as compelling in financial terms, as offshoring; however, nearshore outsourcing allows you to find that ‘golden middle’ between reducing costs and keeping the control over your project. With nearshore solutions, you will always be able to keep in touch with your team and fix any issues whenever they might occur.
More and more companies turn to nearshoring these days, as it is one of those solutions that are both convenient and cost-effective. Not to mention the fact, that nearshoring has one of the highest productivity levels out of all outsourcing solutions that currently exist on the market. That means that less amount of people on your nearshore location will give you better results than a twice as big team on an offshore location.
In any case, nearshoring is a perfect way to get your software development projects done quickly and for a considerable price. Most companies have already learned that now it is your turn.