The company that hires an onshore developer, actually hires a company and / or team that works in the same country. The main advantage of outsourcing services at the national level is communication.
Better accessibility at higher cost. The fact of speaking the same language is a plus between the parties. In addition, it will be easier for the supplier to integrate into the client’s work routines.
This is generally the most successful option in organizations with stricter legal requirements. Intellectual property protection regulations vary depending on the country. In this sense, opting for a onshore provider ensures the client the work within the same legislative framework.
The onshore option also contemplates variations in itself, because you can choose an onsite or offsite model. In the first case, the outsourced employee or team works in the client’s own premises. In this way, the employer has the obligation to prepare a space that must be accompanied by other types of expenses such as technical support or work material. On the offsite model, the outsourced employee works from its own house or office and reports to the company using tools that include VPN access, email, conference calls, chat, etc.
Software development outsourcing is an option increasingly used by companies that want to cover the lack of technological skills of their businesses. When hiring a service of these characteristics, it is important to assess which of its “flavors” best suits our needs.
Outsourcing is for any company, a strategic decision that involves the incorporation of an external provider into its value chain.
In this sense, there are different types of outsourcing depending on where the service provider is located. Although it is true that you do not have a suitable option, it becomes more vital and important to know the pros and cons of each of them.
In recent years, software development languages have evolved to make way for increasingly complex methodologies. To fill these vacancies, many companies are choosing to delegate development services to third parties. According to State of Software Development:
In short, we talk about:
– Onshore: The software development company to be hired nationally.
– Offshore: Usually refer to European or Asian companies that provide development services.
– Nearshore: Refers to companies in the same or similar timezones as the United States and usually includes Central and South America.
Among the advantages of the nearshore software development we have:
- Same time zone support allows for efficient communication and turn around times to solve critical day-to-day business problems
- Development costs are lower than hiring onshore resources
- You are more likely to find high skilled developers with working experience in the US.
But there are also some disadvantages:
- Managers will not have direct, in-person supervision of supplemental staff working remotely.
- On-site integration with employees can take longer, as distance and time, even with outstanding communication protocols and technology, can affect the way people cooperate and interact with each other.