Nearshore outsourcing, aka nearshoring, is the practice of delegating IT-related works or services to experts in neighboring countries. For instance, IT companies in the US can outsource part of work they can’t perform on-premise to a team from Canada, Latin America, or Mexico.
Nearshore outsourcing comes with tons of advantages. It provides hard-to-find skills and allows you to upscale or downscale with ease. Besides, you can easily collaborate and communicate with your nearshore partner without the challenges of time-zone differences, language barrier, or cultural inconsistencies.
The company had ambitious plans to expand its reach geographically and in terms of the industries it served without nearshore outsourcing. However, those plans were hampered by severe difficulties in finding and retaining enough software experts with the required technical and customer relations skills.
Mexico has become particularly attractive to U.S. companies as an outsourcing provider because of the growing number of skilled software developers available there. With STEM programs graduating about 130,000 highly trained engineers every year, Mexico has many well-qualified software developers who are eager to work as remote contractors for U.S. companies.