Nearshoring has grown over recent years. While companies in India used to be the preferred choice for outsourcing as they offered the lowest cost alternative, many organizations have shifted their investments to near shore organizations to address time zone challenges. Nearshoring is a type of offshoring that occurs when an organization decides to outsource work to companies that are geographically nearer, such as a U.S.-based company working with a firm in Central or South America.
Although nearshoring does have its advantages, onshoring (aka “here shoring”) allows you to keep your investment, your team, and your security right here in the U.S. Keep reading to understand the difference between these two outsourcing models and discover why “here shoring” may be the right one for your company.
Pros and Cons of Nearshoring
By far, the biggest benefit of nearshoring is that the organizations are physically closer, reducing time zone discrepancies. Fewer time zone differences allow teams to make faster decisions to stay on schedule and reduce delays. However, while nearshoring solves most time zone barriers, it doesn’t tackle the most difficult challenges that operating in an international context – usually with developing countries – presents. Different countries will have varying national holidays, languages, cultural differences, and business practices that can prove to be a challenge to efficient communications.
It’s also important to consider any new laws and regulations you’ll need to adhere to when working with a company in another country. Frankly, nearshoring is illusory in its ability to solve the tough problems of delivering high-quality software, cost effectively, at the required speed with an acceptable amount of risk.
Onshoring: A Cost-effective Alternative to Nearshoring
Although nearshoring allows two companies to be in more similar time zones, this doesn’t solve all problems with overseas outsourcing – just one of them. When you “here shore,” you cut down not only on time zone concerns, but also language and cultural barriers, as well as preserve the rules of U.S. law over IP and data security. You’ll also support jobs here in your own country, so you can feel good about the career opportunities your engagement will create. Besides that, wouldn’t you rather work with someone right here in the U.S.? Especially, if you can do it in a cost-effective way?
Sparq: America’s Leader in Onshore “Here Shore” Software Development
To help companies lower their costs and create high-quality software, Sparq’s innovative onshore model allows you to benefit from talented, qualified IT teams living right here in mid-sized and small cities across the United States. By “here shoring” with us, you’ll eliminate time zone challenges, language barriers, cultural differences, and get U.S. business/industry knowledge to speed up deadlines and improve collaboration. To find out how “here shoring” can benefit your organization, get in touch with our team today.

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