What is nearshore software development?

August 24, 2022

One of the three location-based outsourcing models in the IT field is nearshore software development. Nearshore software development usually means that all employees are in different places but close enough to each other that they can work together in real time, but not under the same roof.

Nearshore software development is a way of working together that lets a client give tasks and responsibilities to software service providers in nearby countries that are no more than four time zones away.

Main features of nearshore development

Nearshoring is a great option for clients who want to try outsourcing but are worried about cultural differences and places that are far away. One of the best things about software platform development process is that you can meet with developers in person within a short flight time.

  • 2-4 time zone difference. Sharing a standard time and working the same hours helps the team work as a whole and help people faster. Nearshoring is the second-best model after onshoring because it makes real-time communication and better coordination possible.
  • Not much difference between cultures. For software development to go smoothly and problems to be solved quickly, everyone in the company needs to be able to share knowledge and ideas and work together on projects.
  • Locations close to each other. Since service providers are close to their clients, they can visit them often. When in-house and nearshore teams meet in person, they learn to trust each other and share information.

Biggest centers for nearshore software in Europe

A lot of professional nearshore teams are known to be based in Hungary, the Ukraine, Romania, and the Czech Republic. In these countries, especially in Ukraine, the IT industry has been growing quickly over the past few years. It is the center of nearshore development because it has a huge pool of talented people, low prices, and a pretty good level of English proficiency.

Clients choose nearshore software developers in Eastern Europe because they have access to a larger pool of talented people in the area and can save money with a better budget.

How the Nearshore Development Team Works

It's not hard to put together a team of people from other countries. You need to do three main things.

  • A business writes down its goals and needs. The product that is wanted is looked at. To help a nearshore partner find the right person for a project, the client decides on the programming languages, frameworks, range of skills, and expected salary.
  • The client gets ready for the process of work. He or she sets up the technology stack and remote tools and makes sure they work right.
  • The business tells a partner about what the business needs. The client looks over the candidates that a vendor finds and keeps an eye on the hiring process.

By using nearshore development, you can move the process to a country nearby, get lower business costs and better quality (thanks to the availability and variety of talent) without losing a team's high level of engagement and integration.

  • Cons of outsourcing software development

Here are some of the problems with the model that you should think about before making a choice:

  • Higher price than moving jobs overseas.

If you use the offshoring model, it will cost you more to use the services of outsourcing companies in countries or regions close to where you do business.

  • Fewer providers

This disadvantage depends a lot on where you do business, but nearshore companies are usually less common than offshore companies.

  • Needs to be watched

With nearshoring, you don't just give the whole project to a third party and wait for the result. Instead, you need to check in on the nearshoring team's work every so often. Usually, this means getting a project manager.

  • Low proficiency

Not every country is close to another country with a lot of developers or the right experts. Sometimes, you can't get the right team together with nearshoring, so you have to go with offshore outsourcing.

Nearshore Outsourcing Model

When your business plans to outsource a software development project using the nearshore model, it can get great results. For example, it can fill a gap in tech talent, build a solution from scratch, or finish a project that the previous team didn't finish.

In short, nearshore software development is all about finding the right people for the job, keeping costs low, and working together easily. Nearshore outsourcing is your best bet if you want Agile and iterative software development strategies, fast communication, collaborative development practices, rapid prototyping, or design that focuses on the user.

How to Find Software Development Companies nearshore

As technology moves forward quickly, the world changes very quickly. Because of this, many companies have no choice but to give their projects to nearshore outsourcing partners.

It is very important to find the right nearshore development partner because many software development projects last for a long time. Plus, all software needs to be kept up to date with new features and updated on a regular basis.

Working with Canadian IT firms is the best choice for companies in the U.S. because nearshoring is the best way for them to get good results faster.

The IT industry has grown quickly in Asia, and now different Chinese companies offer nearshoring services to businesses in the nearby countries that are more affordable. Also, there are a lot of companies in different parts of Europe that offer nearshore development services for countries close by.

Market size of nearshoring

The international nearshore market is getting much bigger and more valuable. From the statistics that are available, it is clear that nearshore locations are a big part of many companies' growth plans.

Nearshore outsourcing is used by about 57% of international companies with more than 2500 full-time employees. Most large companies today prefer to use nearshore services to help their business grow and keep it going.

Nearshore services make up more than a third (36–40%) of the global services market, which is worth nearly $200 billion each year.

  • Over the past few years, the global nearshore software development services market has been growing at a rate of about 5-6% per year.

Plan to find nearshore custom software development team

The nearshore software development companies is the best choice for developers who are fully equipped and have a lot of experience and can handle all kinds of project tasks. It is especially helpful for businesses that don't need their own team of developers. At first, it might seem easy, but every time people work together, they need a detailed plan.

You don't have to hurry to find the right partner because you need a reliable, skilled team that can finish your project in the time you've given them. Even though you have to think about a lot of things before making a deal with another company, it is still less work than hiring and training your own employees.

Sometimes it takes a company years to put together a dream team and all the resources it needs to reach its goals on its own.

So, how do you make a plan for a nearshore partnership? Here are five things to think about:

  1. Have clear requirements that describe your goals in detail

Bring all of your departments together so that everyone on your team is on the same page and knows exactly what needs to be done. Your managers and you should put the focus on the most important requirements and make them clear, specific, and easy to understand so that there is no confusion when talking to the partners.

  1. Make a list of possible people to work with, and look at their work closely

Make sure the company is honest and that the services don't have any hidden costs. Check out their portfolio, the services they offer, the reviews, and if you need to, talk to past customers to find out more

  1. See if you speak the same language

Language skills have a direct effect on the success of a project, so they are important for building strong, effective relationships.

  1. Meet with the people you want to work with so you can get a full picture of them. This makes it easier to build bridges

Examples of nearshore outsourcing show that both teams learn something new and useful that they can use in the future. They talk to each other and share information, improve their communication skills, learn how to work with companies from other countries, and so on.

  1. The nearshore partnership will help your business grow by giving you access to both skilled workers and the most up-to-date tech tools

Another important thing to check is the team size and company culture. Every business that does outsourcing wants to sell itself, so they will only show the good things about themselves.

What is nearshore software development?

Nearshore software development is a way of working together that lets a client give tasks and responsibilities to software service providers in nearby countries that are no more than four time zones away.

find your workspace

One of the three location-based outsourcing models in the IT field is nearshore software development. Nearshore software development usually means that all employees are in different places but close enough to each other that they can work together in real time, but not under the same roof.

Nearshore software development is a way of working together that lets a client give tasks and responsibilities to software service providers in nearby countries that are no more than four time zones away.

Main features of nearshore development

Nearshoring is a great option for clients who want to try outsourcing but are worried about cultural differences and places that are far away. One of the best things about software platform development process is that you can meet with developers in person within a short flight time.

  • 2-4 time zone difference. Sharing a standard time and working the same hours helps the team work as a whole and help people faster. Nearshoring is the second-best model after onshoring because it makes real-time communication and better coordination possible.
  • Not much difference between cultures. For software development to go smoothly and problems to be solved quickly, everyone in the company needs to be able to share knowledge and ideas and work together on projects.
  • Locations close to each other. Since service providers are close to their clients, they can visit them often. When in-house and nearshore teams meet in person, they learn to trust each other and share information.

Biggest centers for nearshore software in Europe

A lot of professional nearshore teams are known to be based in Hungary, the Ukraine, Romania, and the Czech Republic. In these countries, especially in Ukraine, the IT industry has been growing quickly over the past few years. It is the center of nearshore development because it has a huge pool of talented people, low prices, and a pretty good level of English proficiency.

Clients choose nearshore software developers in Eastern Europe because they have access to a larger pool of talented people in the area and can save money with a better budget.

How the Nearshore Development Team Works

It's not hard to put together a team of people from other countries. You need to do three main things.

  • A business writes down its goals and needs. The product that is wanted is looked at. To help a nearshore partner find the right person for a project, the client decides on the programming languages, frameworks, range of skills, and expected salary.
  • The client gets ready for the process of work. He or she sets up the technology stack and remote tools and makes sure they work right.
  • The business tells a partner about what the business needs. The client looks over the candidates that a vendor finds and keeps an eye on the hiring process.

By using nearshore development, you can move the process to a country nearby, get lower business costs and better quality (thanks to the availability and variety of talent) without losing a team's high level of engagement and integration.

  • Cons of outsourcing software development

Here are some of the problems with the model that you should think about before making a choice:

  • Higher price than moving jobs overseas.

If you use the offshoring model, it will cost you more to use the services of outsourcing companies in countries or regions close to where you do business.

  • Fewer providers

This disadvantage depends a lot on where you do business, but nearshore companies are usually less common than offshore companies.

  • Needs to be watched

With nearshoring, you don't just give the whole project to a third party and wait for the result. Instead, you need to check in on the nearshoring team's work every so often. Usually, this means getting a project manager.

  • Low proficiency

Not every country is close to another country with a lot of developers or the right experts. Sometimes, you can't get the right team together with nearshoring, so you have to go with offshore outsourcing.

Nearshore Outsourcing Model

When your business plans to outsource a software development project using the nearshore model, it can get great results. For example, it can fill a gap in tech talent, build a solution from scratch, or finish a project that the previous team didn't finish.

In short, nearshore software development is all about finding the right people for the job, keeping costs low, and working together easily. Nearshore outsourcing is your best bet if you want Agile and iterative software development strategies, fast communication, collaborative development practices, rapid prototyping, or design that focuses on the user.

How to Find Software Development Companies nearshore

As technology moves forward quickly, the world changes very quickly. Because of this, many companies have no choice but to give their projects to nearshore outsourcing partners.

It is very important to find the right nearshore development partner because many software development projects last for a long time. Plus, all software needs to be kept up to date with new features and updated on a regular basis.

Working with Canadian IT firms is the best choice for companies in the U.S. because nearshoring is the best way for them to get good results faster.

The IT industry has grown quickly in Asia, and now different Chinese companies offer nearshoring services to businesses in the nearby countries that are more affordable. Also, there are a lot of companies in different parts of Europe that offer nearshore development services for countries close by.

Market size of nearshoring

The international nearshore market is getting much bigger and more valuable. From the statistics that are available, it is clear that nearshore locations are a big part of many companies' growth plans.

Nearshore outsourcing is used by about 57% of international companies with more than 2500 full-time employees. Most large companies today prefer to use nearshore services to help their business grow and keep it going.

Nearshore services make up more than a third (36–40%) of the global services market, which is worth nearly $200 billion each year.

  • Over the past few years, the global nearshore software development services market has been growing at a rate of about 5-6% per year.

Plan to find nearshore custom software development team

The nearshore software development companies is the best choice for developers who are fully equipped and have a lot of experience and can handle all kinds of project tasks. It is especially helpful for businesses that don't need their own team of developers. At first, it might seem easy, but every time people work together, they need a detailed plan.

You don't have to hurry to find the right partner because you need a reliable, skilled team that can finish your project in the time you've given them. Even though you have to think about a lot of things before making a deal with another company, it is still less work than hiring and training your own employees.

Sometimes it takes a company years to put together a dream team and all the resources it needs to reach its goals on its own.

So, how do you make a plan for a nearshore partnership? Here are five things to think about:

  1. Have clear requirements that describe your goals in detail

Bring all of your departments together so that everyone on your team is on the same page and knows exactly what needs to be done. Your managers and you should put the focus on the most important requirements and make them clear, specific, and easy to understand so that there is no confusion when talking to the partners.

  1. Make a list of possible people to work with, and look at their work closely

Make sure the company is honest and that the services don't have any hidden costs. Check out their portfolio, the services they offer, the reviews, and if you need to, talk to past customers to find out more

  1. See if you speak the same language

Language skills have a direct effect on the success of a project, so they are important for building strong, effective relationships.

  1. Meet with the people you want to work with so you can get a full picture of them. This makes it easier to build bridges

Examples of nearshore outsourcing show that both teams learn something new and useful that they can use in the future. They talk to each other and share information, improve their communication skills, learn how to work with companies from other countries, and so on.

  1. The nearshore partnership will help your business grow by giving you access to both skilled workers and the most up-to-date tech tools

Another important thing to check is the team size and company culture. Every business that does outsourcing wants to sell itself, so they will only show the good things about themselves.

If you have enough space at home, it is better to convert it into a separate work space. So the very first thing for you to work remotely is to find a workspace that is dedicated for you to work instead of sitting in the living room or bedroom. Find the best place at home that can serve as your work setup. Some workers that are new to remote work often struggle with the kids, pets, roommates, and some distractions at home.

To mitigate these challenges, the best way is to find a dedicated place for yourself where you could easily balance your work life and entertainment life. It is also important to focus on your core tasks and not end up giving extra time to complete them at the end of the day.

Try to avoid deciding on a workplace where people often walk around and congregate in the TV area and kitchen. One of the home office setup ideas is that you find a peaceful place where you have less distractions and sufficient privacy to attend your zoom meetings and calls without any background noise. Doesn't matter even if you have a very small space, you can even have the best desk setup for two monitors for you that increases your work productivity and isolation to focus.

Lighting that Increases your Work Productivity

It is always important to focus on the lighting of the room you are working in. You are supposed to spend some 8 to 9 hours in one light and that should be comfortable for your eyes and mind. Natural light is the best option to have when you are working from home. When it comes to increasing productivity at work, natural light helps you decrease drowsiness. If you don't have access to natural light, you can set your desk light to a natural one. This is your responsibility to have the best home office setup for productivity.

Keep Your
Workspace Clean
and Organized

Your workplace productivity is often affected due to the cluttered desk. One of the important things to remember to have the best desk setup for home office
is that the more organized your setup is, the more your work productivity will be.

When the desk is cluttered, it becomes very difficult to find the things and arrange them when you need them. And it becomes very difficult to have them when you need them immediately and you look here and there to get them, but it tends to waste so much of your time. To avoid this inconvenience, it is always better to organize your desk before you get started on the work.

It is one of the best tips to work from home.

A neat and clean workspace always motivates you to work without any distraction and makes access easy to each and everything that is present and
is actually required to be on your desk.

When a workspace is clean, it also helps you reduce anxiety and stress. It is therefore important to know how you can arrange your desk and declutter your workspace. The very first thing is that you reduce the use of paper. And instead of physical material like papers, you can use high-end home office productivity tools, such as Evernote or Google Drive, etc, to keep all your notes organized, as well as saved on the drive.

You can access the documents with one click. For this, you do not need to run here or there or waste your time finding the document you want immediately. All the documents whether it would be a Word file, a Google sheet, a spreadsheet, or any folder, you can easily access on your computer and make edits without any delay. This saves much of your time, as well as keeps your workspace neat and clean.

Secondly, always keep the things you need regularly while working. The stuff such as your mouse, your charger, your mobile phone, notepads, and headphones, etc. could be kept organized on your desk.

Colors and Greenery

Colors always play a vital role in freshening your mood. Similarly, when it comes to your work productivity, it is very important that you have the colors around you that could impact your mood and work productivity. Surround yourself with the greens and blues that could help you increase your productivity and help you work peacefully. We are always motivated towards work when the stuff around us calms us. It actually has a major role in giving you more hands at work. So make sure that your workspace is giving you the good vibes that can actually help you to work happily in a remote environment.

Place some green plants around your desk or table, put some photo frames and colorful pieces of art that you have made. Choose the best home office layout for productivity and make a setup in your house that serves the purpose of ultimate work culture and vibe. It will not only help you focus on core activities and tasks but also motivate the team members with your energy level. Make your work from home more exciting and productive with these simple yet affordable ideas.

Drink Plenty of Water

While working remotely, you are constantly sitting in one place and so it is important to keep yourself very hydrated. Even mild dehydration can affect your work. In men, it results in a decrease in cognitive performance whereas, in women, it degrades your mood. So make sure to java a water bottle with you all the time you are working and drink it often.

You have to find a bottle in which your water remains hot or cool accordingly and you do not have to visit the kitchen again and again to have it. Put one big bottle on your table to use throughout the day. You can also add some fruits or vegetables to it to make it a refreshing drink for yourself.

Focus on your Ergonomics

Remote workers usually spend more time and work for longer hours. Amid so, at least 6 to 9 hours are spent every day. During excessive work and sitting, it is important to focus on your ergonomics as well. Sitting for hours on a desk and table can affect the muscles of your back, neck, and shoulders so make sure that you keep yourself physically fit during remote work.

It is important for you to have a suitable setup. Choose the best chair and table for yourself where you are supposed to spend a significant amount of time on a daily basis. Choose a chair that has solid lumbar support and the desk is also according to your height. Your chair should be adjustable in height so that you could balance it according to your desk height.

Adjust your mouse and laptop in such a way that you could naturally see forward. Your neck should not bend while working, sit straight to keep your back straight all the time. You can go and choose the best work from home essentials. Not only this, you need to have some home office productivity tools that could help you work seamlessly and automatically in certain activities.

This article gives an answer to a very common question, how to make home office more productive? So set up a home office for remote work now by following the given guidelines.