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The Rising Popularity of Nearshore Software Development

As previously mentioned in one of our recent articles, the U.S. is undergoing one of the largest worker resignation rates in at least three decades.  With additional elements, like the pandemic and Biden’s administration announcing that it will no longer allow government-supported technology developed in the U.S. to be sent to manufacturers overseas, it is no surprise that there has been a steady increase in demand for nearshore software development services.

The global pandemic caused a supply chain shortage that has severely affected many industries, including manufacturing services and overseas technology development projects.

Overseas companies didn’t have the necessary resources or infrastructure to support the pandemic guidelines, like the work-from-home set up, and consequently, their tech services were affected. Companies that were already partnering with onshore or U.S.-based nearshoring were much better equipped and ready to continue business as usual. 

The Steady Rise of Nearshore Software Development

Nearshoring: An Attractive Solution

Besides being able to continue a stable supply chain, the companies that were partnered with onshore or nearshore providers also benefited from the advantages of these partnerships, such as: 

  • Protecting intellectual property. These days, cyberattacks are coming across agencies, organizations, and businesses alike. Regardless of the reason, they are targeting the systems that run our healthcare, businesses, government, and others. 
  • Supporting U.S. businesses. Businesses and other organizations should consider leveraging the U.S. for all phases of the technology life cycle. This would better protect our leadership position in technological expertise- a critical component to the U.S.’s competitive advantage. Outsourcing to U.S.-based service providers on the mainland or in nearshore locations would help the U.S. maintain its competitive advantage on the global technology stage. 
  • Mitigating risk. The pandemic exposed some vulnerabilities of the supply chain. By keeping the development and manufacturing services closer, it enables federal agencies or other organizations better control over possible future disruptions or additional risks.
  • Ensuring diversity. U.S. companies should ensure that they are working with a diverse group. By working with a team compiled from people with different backgrounds and culture, we avoid biases in data and consequently, a biased AI. Data has the power to impact people’s lives. A diverse workforce guarantees better AI solutions.

The Evolution of Team Dynamics

Nowadays, companies everywhere are re-imagining the definition of teams– what it can look like to them.  They are searching for true partnerships with their outsourcing providers. The great resignation and the need for supplemental IT staff have played a key role in the steady rise of nearshore software development, but the edge it provides could be what your IT projects are missing.

Nearshore software development services has always been an appealing prospect because of the advantages it offers, like lower prices, but nowadays it is an integral part of developing the smart ecosystem companies everywhere should be looking to adopt and expand upon.

The Future of Nearshore Software Development

While lower costs have always been an attractive aspect of nearshore software development services, it has now evolved into an integral part of building a smart ecosystem. Companies worldwide should consider adopting and expanding upon the advantages nearshoring offers. This trend is poised to shape the future of IT project development.

Embracing a New Era of Collaboration

In addition to the key advantages mentioned earlier, nearshore software development fosters a new era of collaboration between companies and their outsourcing partners. This collaboration extends beyond traditional client-vendor relationships, as it involves co-creation and a shared commitment to achieving project success.

Companies are recognizing the value of establishing long-term partnerships with nearshore service providers who understand their specific needs, goals, and industry nuances. This collaborative approach allows for a deeper alignment of interests and the co-development of innovative solutions. As the demand for nearshore services continues to rise, the relationships between companies and their service providers are becoming more strategic and synergistic.

The Steady Rise of Nearshore Software Development Services

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