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Why Nearshore Software Development is Getting Popular?

THETECHMUSK by THETECHMUSK
July 21, 2021
in Business, TechNews
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In recent times of global uncertainties, working in an office has become a distant thing. More and more companies have moved towards a new system called Home-Office. In this new system, you are going to work from, as we have expected, home. As on the one hand, this has opened a lot of opportunities, this has also limited other aspects to a great margin. 

Software development has always been an interactive task. Here, both the operational and development team work together to bring the whole concept into reality. As office spaces have been migrating to home offices, employees are working less together, at least physical-wise. In this way, software development has taken on a new meaning in the community. Nearshore software development is what we are talking about. 

What is Nearshore? 

man using MacBook

Nearshore outsourcing is sourcing some of your tasks to another company. To be clear and precise, you are outsourcing your software development to a company or person external to your organization. But isn’t that outsourcing in general? Why is it called nearshore then? 

Glad you asked. In nearshore outsourcing, there are few conditions that set it apart. You should hire a company with a 1-3 hours time difference if you are planning to do nearshoring. This way you are going to meet 3 different conditions which are,

  • The time difference is minimal 
  • The communication barrier is zero to none 
  • No issues with personal visits. 

In-House VS Nearshore: Comparison 

laptop computer beside monitor with keyboard and mouse

Software development has been done in-house since its inception. Here in this system, you will produce the whole software within your company, or in another term, in-house. This has been the benchmark method of developing software since the beginning until new contenders emerge. But how is nearshore outsourcing compared to in-house? Well, let’s find out. 

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  • Finding Talent: 

When it comes to in-house software development, you have to look for local employees. It’s important to look for those candidates who will come to your office and do the job. This limits the possibilities to find the right people. 

On the other hand, in nearshoring, you are not only limited to your area to find talents. You are now open to find the best worker within a radius of 1-3 hours time difference. In geographical terms, this is huge. 

  • Cost: 

For in-house, you need to have a physical office where your workers will work. Additionally, you have to provide all the gears as well as amenities to support them. This is a huge cost that you need to bear. 

However, this is the strongest side for nearshoring where any need for an office place is void. The team members will work from their own place with their own gears. This will drastically reduce your cost and enhance your profitability. 

  • Management: 

In-house management is quite precise and accurate as you can manage the work face to face. Additionally, you can also evaluate the tasks more effectively. 

When it comes to nearshore, management gets tough. As they are not working in your office, rather over the web, proper management is quite impossible to achieve. Yet, there are few techniques that may enhance your managing power. 

Why Choose Nearshore?

A MacBook with lines of code on its screen on a busy desk

Now, why are you going to switch to nearshore software development? This is a valid query that has been asked quite a few times already. Well, by choosing nearshore outsourcing, you will open yourself to quite a few conveniences which are hard to decline. Let’s check those out,

  • Saves Time: 

In nearshore software development, you don’t need to set up an office space to start working. Furthermore, onboarding is not needed here, nor is sourcing, recruitment, and hiring. This saves huge time. All you need is to hire the company or the people, and within a week, the development can start. 

  • Saves Money: 

It’s not necessary to have an office with all the equipment for the nearshore. You can save a huge chunk of money, just by hiring a nearshore company. In addition, recruiting is also costly. By not recruiting employees, nearshore also saves you money in that manner. 

  • Compatible Culture: 

As previously mentioned, nearshore outsourcing only means hiring those who live close. To be exact, within the time difference of 1-3 hours. In most cases, neighboring countries have such time differences where the cultural difference is minimal. Even in some instances, few of the neighboring countries share the same cultural aspects. This reduces any misunderstandings between the team members. 

  • Better Hiring Opportunity: 

As in nearshore, the worker doesn’t need to come to your office to work. As a result, you can locate better talent outside your local area. This is a huge plus as a better employee will bring better results for your project as well as the company. 

Are There Any Drawbacks? 

Is it always the sunny side? No. There are some darker clouds of nearshore software development that may cause rain. And they are, 

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  • Risk: 

Hiring a nearshore outsourcing company can be quite risky. In any situation, if the company or the person stops working, the situation can be a nightmare. 

  • Cost Control: 

Even though, nearshore will help you to save money, controlling the money can be a hassle. As team members are not physically at your reach, you are quite limited with your control power. 

Final Verdict 

Considering both the negatives as well as positives factors of nearshore, this is a great system. This will bring an extensive amount of performance as well as productivity to your team. No wonder why nearshore is gaining such a reputation in today’s market. 

When you are looking for a simpler approach to software development, nearshore is the way to go. With its capabilities to save money as well as time, you are open to a larger profit margin. Additionally, better employees will bring better performance, thus better results. 

Even though there are few concerning aspects of nearshore, there is no perfect system. For nearshore software development to be successful, you must minimize those risks. 

To Wrap Up

In this modern era of the IT industry, nearshore has made its name. This is because of the advantages it brings to the companies, which are too hard to deny. So be adventurous and find the best provider who will serve your needs accordingly. 

Tags: Nearshore Software DevelopmentSoftware DevelopmentSoftware outsourcing

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