Jul 8, 2020
5 min read

Nearshore Outsourcing: Main Business Advantages

Before we actually get to the term ‘nearshoring’, let’s specify what outsourcing means in general terms. Without getting into deep specifics, it would be fair to say, that outsourcing means delegating your work to someone outside of your company.  

It can be a big company or even a sole specialist. However, why do people choose nearshore outsourcing at all? Well, it is an excellent strategy for cost reduction, exploring new markets and attracting great new employees. 

Since the opportunity to reduce operating costs for businesses using Nearshore locations is high (normal reductions in costs are 30-50% vs. U.S. operating costs as an example), more and more businesses have been following the trend and making the choice to gain the advantages of Nearshore outsourcing. 

For the U.S. this term applies mostly to Mexico and, by extension, countries in South America, like Argentina or Uruguay 

So what does nearshore has to do with outsourcing? 

Nearshore Outsourcing is where the team would be located close to yours, it should be the perfect balance between the benefits of offshore and onshore

Some are trying to look for the difference between nearshoring and outsourcing, even though it is completely illogical, as nearshoring is a part of outsourcing. 

Being one of its main branches (or types), it is gaining massive popularity these days. Unlike other types of outsourcing, nearshoring implies delegating tasks to a country that is located somewhere not far away, preferably within your region. 

 As you see, there is really no point on looking for this ‘nearshore vs outsource’ difference, as there is none. 

Nearshore software development  team gaps the space between onshore and offshore. Nearshoring is where the team would be located close to yours, perhaps border your country.  

In circumstances, nearshore outsourcing should be the  perfect balance between  the benefits of offshore and onshore If you choose a nearshore company, the available pool of talent is expanded and labor costs can be significantly reduced. 

In addition, there are more key  advantages to nearshore outsourcing services

  • Time zone differences are reduced 
  • Less expensive labor than onshore 
  • Some cultural differences but not of significance 
  • Being more able to visit, resulting in a more effective working relationship 

Our nearshore agile methodology and advantages 

Definity First offers nearshore solutions using a specific methodology to deliver the productivity and flexibility your project needs.   

We will start from your requirements by documenting the full project to understand the full picture. Based on the documenting, it´s easy to build and establish a roadmap with a timeline, deliverables, and an outline of features.  

Our team will move quickly towards the release of a minimum viable product (MVP), which they iterate over until your entire feature set is realized. 

During the collaboration process, Definity First conducts regular scrums and production sprints with you and your team. 

In each sprint, our engineers will add new features and test recently added features until your final product is ready to be published. 

Our way of working is all about listen the clients needs and deliver the product most efficient way. It includes regular meetings, called scrums, which include your development team, a scrum master, and a product owner.  

Using an Agile methodology, our team  adapts  to your needs.  What if during production, you need to change the feature set? No problem! Agile is designed to dynamically accommodate changes to the requirements.  

Why Nearshore outsourcing is good for your business? 

There are various reasons why you should take advantage of Nearshore. It allows you to find the middle way saving costs and keeping the control of your project. With nearshore solutions, its easy to have control over your team and fix issues whenever they might occur.  

Nearshoring is increasing its reputation. Its one of those solutions with cost effective and convenient for a different type of companies. Its also true that nearshoring has one of the highest productivity levels out of all outsourcing solutions. 

If you are thinking about nearshoring, it’s an efficient way to get the work done quickly and cost-effectively. Most companies have already turned this card and now it's your turn! 

We are a company that provides high-quality nearshore software development, outsourcing, and IT staff augmentation services with a combination of engineering, innovation, and design for worldwide and any kind of industry. 

Read more of the nearshore services from here. Take advantage of our knowledge and contact us at hello@definityfirst.com if you are looking into nearshore services.  Get to know more about nearshore by reading Advantages of Outsourcing IT and Software Services.