Wednesday 24 June 2015

Nearshore Software Development - Welcome to the New World

Offshore development has been the buzz word in the global IT and Software industry. As India became the global hub of software development and turned into world’s back office thousands of small and big outsourcing service providers made their way into the market. This resulted in erosion of quality as some say and has in many cases earned the Indian industry bad press. Many clients have had to bear the brunt language barrier, poor communication skills and cultural gap which acted as a huge discouragement. This has led to a situation where clients like to outsource their projects to locations closer to home.




Nearshore software development has emerged as a very popular alternative for IT products and services offering all the benefits of offshoring minus all its ills. It is a simple business model where businesses outsource their work to companies that are located in their geographical proximity. This allows better synchronization of work hours which can often be a key factor in getting the best out of business partnerships. Leading Indian software development companies are moving their development units closer to clients’ location and hiring local workforce to offer best quality services and yet keeping the prices competitive.

Benefits of Nearshore Software Development

Physical Communication – Physical communication and one-to-one meetings are near absent when companies outsource their projects to different parts of the world. This often creates a situation where developers are in ambiguity regarding a client’s needs. Nearshoring allows clients to physically interact with the developers leading to better understanding resulting in quality output.

Language Barrier – Language barrier often creates lots confusions in outsourced projects. For instance if you are a German company and not very well conversant in the English language it can lead to a communication gap. In nearshore model you would actually deal with developers who are conversant in your language and this creates a better atmosphere for business.

Reduced Costs – In the world of business, time is money and nearshoring streamlines the entire work process and allows you to reduce costs. Along with this you would also spend lesser money on making telephone calls and travelling whenever required.