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Nearshore Outsourcing and Small Business Digital Transformation

One of the most important recent developments in the information technology industry is the rise of nearshore outsourcing, which allows companies to outsource key software development tasks to talented software engineers located in the Western Hemisphere.

Many executives view this as a superior alternative to traditional outsourcing firms located in East Asia, since programmers living in Latin American are just as talented as their American counterparts, located in the same time zone as their in-house colleagues (making instant communication a breeze), and are fluent in English.

Read on to see exactly why so many American firms are turning to nearshore outsourcing to help jumpstart their digital transformation.

Access the World’s Top Talent

The single greatest challenge that human resources professionals and technology executives face today is finding qualified technical talent for their business.

The technology industry currently has an unemployment rate of just 1.9%, which means that even the most recognizable companies are struggling to attract experienced software engineers in a reasonable amount of time.

This tech talent crunch is why so many companies are turning to nearshore software development – it allows companies to hire the most talented programmers in the world, regardless of their home country.

These developers have the same skill-set and experience as their American counterparts but have long been overlooked because of their location. However, modern technology and the rise of work-from-home employees make this an attractive option for all types of companies.

Start Your Digital Transformation Immediately

A major benefit that nearshore software development offers is the ability to start the next development project almost immediately. The traditional hiring process for the technology has resulted in an average time-to-hire period of more than a month and a half –something which is predicted to continue to grow over the next several years.

This means that it can take an internal human resources team several months to source and hire an entire in-house development group. However, companies who work with outsourcing services can hire augmented staff members in a fraction of the time.

This allows businesses to move from the planning to development phases almost immediately since the best outsourcing companies will always have a list of qualified software engineers ready to begin work on-cue.

Focus on the Core Business

One of the dangers associated with an intensive software development project is the risk of executives focusing so much on the development cycle that they ignore their current clients and core responsibilities. Producing a piece of custom software with the potential for widespread adoption is a very difficult, time-consuming process.

That’s why the most successful software development initiatives start off by hiring an experienced project manager (who may even be assigned to an autonomous delivery team)–one who can create accurate time and budget estimates, ensure that the staff remains focused, and guarantee that the software has been thoroughly tested.

Maintain Company Morale

The technology industry has long had a reputation for long hours, intense workloads, and a culture that focuses more on productivity than home life. All of these idiosyncrasies have contributed to the ultra-high turnover rate that plagues the field.

In particular, technology workers have pointed to the incredibly high workload and lack of work-life balance as the primary reason why they left their last company.

One of the ways in which executives have reacted to this industry-wide morale problem is to turn to nearshore development services to augment their in-house staff for large-scale software development projects and during the busiest portions of their business cycle.

By supplementing an in-house engineering team with skilled contractors businesses can prevent burnout, improve company morale, and reduce turnover among their most valuable employees.

Long-Term Flexibility

One of the most frequently-cited benefits that executives derive from nearshore software outsourcing is the ability to maintain long-term personnel flexibility, regardless of a particular software development project’s short-term needs.

Traditional software development projects typically launched by hiring a large internal team who would handle all programming tasks in-house. However, the standard approach left companies saddled with a large in-house development group that was not needed for everyday tasks once the development project ended and whose skills may not even be needed for future development goals.

That’s why the savvy executives of today turn to software outsourcing to augment their staff during key phases of the software development cycle without making long-term commitments that limit their business’s agility in the future.

Integrate Software Security

One of the most serious and pressing issues the software development and the technology industry is facing today is software security.

The last decade was marked by a major increase in the number of successful data breaches and rising consumer recognition of just how much of their personal data is stored online. 2018 was the worst year on record for computer hacks and experts predict that the number of major incidents will only continue to increase.

One of the reasons that nearshore development services have become so popular is because they provide experienced, well-trained software engineers capable of ensuring security during every stage of the software development cycle. By working with these outside consultants, companies help ensure that their software works flawlessly and that their customers’ data is well protected.

A post by Paul Azorin (1 Posts)

Paul Azorin is author at LeraBlog. The author's views are entirely his/her own and may not reflect the views and opinions of LeraBlog staff.
Paul Azorín is the Founder and Chief Technology Officer at BairesDev. He is responsible for coordinating the technology department as well as the Presales team. Paul also leads the Marketing and Communications team and works passionately to communicate the identity and values of the company. Paul holds a bachelor’s degree in Software Engineering and is self-taught in several programming languages. With over ten years experience working as a Software Architect, Paul still holds a love for development that transfers into everything he does.

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