Onshore v. Offshore v. Nearshore Software Development:
A Practical Guide to Outsourcing
According to the October 2017 Gartner Market Guide for Agile and DevOps Services, “By 2021, more than 60% of IT organizations will take advantage of agile and DevOps services from external providers, up from 27% in 2017.” There are a few different outsourcing models from which to choose – onshore, offshore and nearshore. Depending on a company’s business and technology needs, in-house expertise and project scope, there are pros and cons to each model. Let’s break down some of the opportunities and obstacles associated with each one so you can be confident in selecting the right “shore” for your needs.
Already think nearshoring is a great option for your project?
Scaling your team with U.S.-based developers is a good option for companies who require contractors to work within the same office location. This is a solid choice when there is a need for specialists to inject hard-to-find expertise into in-house teams, or to supplement the Agile expertise of teams provided by other service providers.
Crossing oceans can be a good outsourcing solution when your projects are straightforward, well-defined and require minimal communication.
If you need critical software development done quickly, efficiently and with a high degree of collaboration, transferring development to a nearby country could be more advantageous.
Whether you select an onshore, offshore, nearshore (or blended) team, it is essential to locate your business’s processes and functions in regions which will be the most suitable for the company in terms of resources, quality, and costs. Understanding the pros and cons of each model will help your team select a partner with confidence – know you’re getting the right resources, in the right place, with the right level of control. Additional questions? Contact Gorilla Logic to discuss your particular needs.