5 pain points that nearshore software development solves for your business

April 29, 2024

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nearshore software development


The demand for quality software development has reached unprecedented levels as the world becomes increasingly connected and digitalized. All companies, whether small or large, regardless of industry, are turning to technological solutions to optimize their processes, improve efficiency and increase their competitiveness in the market.


However, tackling the task of developing software can present a number of challenges, especially when it comes to finding the right equipment for the job. This is where nearshore software development comes into play, an increasingly popular option for companies looking to outsource their software development projects.


Nearshoring has become a recurring practice that is increasingly gaining confidence among global companies: according to data from Axios, reviewed by Product Distribution Strategy, 42% of respondents stated that they have taken nearshoring measures to boost their businesses , productivity and profits.


That's why, in this article, we'll delve into some of the problems that nearshore software development can solve for your business.


nearshore software development


5 problems that nearshore software development can solve for your business

High software development costs

One of, if not the biggest, concerns for business leaders is the high cost of software development associated with recruiting and retaining technical talent.


Thanks to strategies such as nearshore software development, companies can access teams of expert developers at a significantly lower cost than in the company's home country. It consists of outsourcing software development to geographically nearby countries with lower labor costs, so that businesses can obtain an excellent return on investment without compromising the quality of the final product.


“In today's market, where competition is global, all companies should explore this trend and see how they could benefit from it. “It doesn’t matter what industry your business is in or the size of your business”, they noted in a Forbes article, in which they also indicated that nearshore software development increased in Latin America by 286% in 2021.


nearshore software development


Lack of specialized talent for projects

There are projects whose complexity can exceed the capabilities and tools of the internal software development team. In this case there are two options: go through long periods of recruitment to see if they find qualified developers, or look for a nearshore software development company that has the right team for the project at hand.


Nearshore software development solves this problem by providing access to a broad pool of highly skilled technical talent across different technologies and development domains. These nearshore development teams are typically made up of professionals with extensive experience and training in the latest software development trends and tools, ensuring quality and efficiency in project execution.


Little flexibility and scalability

Scalability is key to adapting to market changes and needs, something very necessary in the business environment, but also in everything associated with technology. Sometimes, due to a lack of trained personnel or little experience in certain tools, this flexibility and scalability is limited simply by lack of manpower.


In this scenario, nearshore software development offers a flexible and scalable solution by allowing companies to quickly adjust the size of their team according to the needs of the project. Whether they need to increase development capacity to meet tight deadlines or reduce the team after project completion, companies can do so quickly and efficiently without incurring additional costs associated with hiring and training internal staff.


“It can be a key consideration for departmental organizational structures, systems and applications. “If companies partner with an outsourced provider that can help elevate the performance of equipment and systems, then a company can operate at peak performance”, they agreed in an article posted on LinkedIn.


nearshore software development


Poor communication with offshore providers

Effective communication and collaboration are critical to the success of any software development project. Many companies have experience working with offshore software development providers, as they are very competitive in terms of talent and costs, but communication can be affected by being in such distant countries, with different time zones.


This is a problem that does not exist with nearshore software development, since the provider is located in a geographical area close to that of the client, with a similar time zone, which facilitates real-time communication and collaboration between teams. internal and nearshore. Additionally, companies can leverage online collaboration tools and project management platforms to maintain clear and transparent communication throughout the entire development cycle.


“Nearshore contracting allows North American companies to outsource work to Latin American countries. “Geographic proximity means that travel and communications are easier and less expensive, there is likely to be at least some common ground between cultures, and partners are more likely to speak the same language”, they emphasized in the business magazine CIO.


nearshore software development


Little time to focus on the Core Business

Outsourcing nearshore software development allows companies to focus on their core business and key strategic activities, instead of wasting time and resources on technical tasks that are not part of their expertise. By relying on a trusted and experienced nearshore partner, companies can delegate responsibility for software development and dedicate their internal resources to areas that generate greater value for the business.


Nearshore software development offers a number of significant advantages for companies looking to outsource their software development projects. From competitive costs and access to specialized talent to flexibility, scalability, and effective communication, nearshore software development solves a variety of common problems and enables companies to drive innovation and growth in today's globalized marketplace.


By considering these advantages, companies can make informed and strategic decisions to fully leverage the potential of nearshore software development in their business.


Do you need a nearshore software development provider for your next project? At Rootstack, we have +14 years of experience supporting companies in their digital transformation. Contact us.


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