5 benefits of nearshore software outsourcing -

5 benefits of nearshore software outsourcing 

Five benefits of nearshore software outsourcing

Five benefits of nearshore software outsourcing

When it comes to ramping up resources for software development, there are a few options available to you as a business leader. 

You could establish your own in-house team, but that will take a lot of time and money when you only need to flex your employees for a certain project.

What distinguishes nearshore software outsourcing from offshore software outsourcing?

You're still technically offshore your software product development when you deal with a nearshore outsourcing provider, but it's to a neighbouring country in the same time zone.

 Your software outsourcing provider could be located anywhere in the world if you use pure offshoring. This offers the advantage of allowing access to a global pool of talent, but the communication issues may outweigh any cost savings or additional beneficial talents.

Nearshore software outsourcing has five advantages.

1. Scaling options

If you have a specific project in the works and need to scale your internal resources to complete it, it makes little sense to invest time, money, and effort in developing a larger permanent staff, and you may find yourself limited in terms of local talent. 

You can extend your in-house employees as needed to satisfy project requirements or a growing development portfolio with a nearshore engagement strategy.

Your software outsourcing service in nearhore takes on the task of assembling the best-fit team of specialists, allowing you and your internal staff to focus on your core daily operations.

2. Access to a broad reservoir of talent

It can be difficult to find the perfect balance of talents and expertise to deliver a high-quality product. 

Especially if you're looking for a local team to join. However, using a nearshore outsourcing company gives you access to a large talent pool with a diversified skill set that you wouldn't be able to access otherwise.

 For example, ELEKS boasts over 1,800 specialists with a wide range of technological specialties.

Furthermore, while offshore development may allow you to tap into a larger global talent pool, you risk experiencing poor communication and having less visibility and control over your development project.

3. Cost-cutting in the workplace

Although not as inexpensive as offshore software development, nearshore software development has significant advantages in terms of profit margins.

 You can avoid the high costs of in-house recruitment and the higher hourly rate of an onshore team if you hire the proper smart development team.

 Furthermore, by allowing for quick and smooth communication between your in-house team and your augmented, expanded development team located nearby, you can reduce latency and accelerate project development.

When compared to onboarding your own internal team, the nearshore engagement strategy can save you up to 50%.

4. Close proximity allows for easy communication

Poor communication is one of the most significant impediments to successful software development, and it is the fundamental drawback of the offshore development paradigm.

 Because your extended team could be on the other side of the world, there could be a considerable delay in team communications, which could stymie problem-solving and extend your product's time-to-market.

Your software team is located in a neighbouring country with a comparable time zone using the nearshore engagement model, which means there is a good cross-over period during every working day when teams can communicate with one another. 

There are also the advantages of cultural commonalities and language proficiency in the local area, which both aid in the collaboration process.

5. Get products to market more quickly

You may launch your product to market up to 50% faster than if you used your in-house team if you hire a dedicated best-fit team of professionals to work entirely on your software project. 

This ensures that you remain market relevant and maintain your competitive advantage while maximising the revenue potential of your product.

A solid nearshore development business will offer a diverse range of services, such as product design, application development, proof of concept development, application reengineering, and more.

 They'll also have experience in areas like data science, quality assurance, and security, so you can be assured that at the end of your collaboration, you'll have a high-quality product that you'll love.

Nearshore software outsourcing's challenges

The cost of nearshore software outsourcing is comparable to offshore development, which may be a major concern for enterprises.

 However, when all factors are considered, the ROI of nearshore software outsourcing outweighs that of offshoring. 

Even if your budget is limited, the value you'll obtain from a nearshore partner will make the initial investment worthwhile.

There may also be reservations about entrusting a project to an outside team. However, other cooperation models can be used to solve this.

 For example, at ELEKS, we give our clients the option of choosing between an engineering team, which gives them more control, and a smart team, which is more autonomous.


Outsourcing to a software development business that can meet your requirements can pay off when you need to flex your resources to produce a bespoke project or strengthen your software engineering portfolio. 

There are a variety of options to consider, each with its own set of advantages and disadvantages, but if you're seeking for value for money and quick development while maintaining control over the project, the nearshore collaboration model might be the way to go.