Finding the right software engineer isn’t easy these days. It starts with choosing the right candidate, followed by the expensive and time-consuming onboarding process. All this to realize the new hire might not work out in the end.
If you’re going through this, you are not alone. Thousands of tech companies are struggling to find the right talent to work on specific projects while facing timeline restraints. Here’s the work around.
Outsourcing projects is becoming the top choice for companies with too much on their plate. Between 2020 to 2030, software development employment is expected to rise 22%, which is much faster than the average. (U.S. Bureau of Labor Statistics; 2021) While the tech staff shortage continues, companies are looking at alternative options.
What Is Nearshoring?
There are a few misconceptions to address. The first is that outsourcing is too costly. In reality, hiring new employees can quickly become more costly after factoring in recruitment, onboarding, benefits, and downtime.
Second, companies often assume outsourcing must be done for the entire project, not just parts of it. Software engineer consultants often take on a range of projects, big or small, part or full.
Lastly, there is a false impression that outsourcing requires contracting work to firms across the globe within different time zones and languages. Rather, nearshoring outsources projects to nearby countries or regions similar to yours.
Is Nearshoring For Me?
So why should I nearshore my software projects? A great benefit to nearshoring is saving time and money. The onboarding process for hiring new staff can often be six months with the possibility of failure. The opportunity cost of onboarding and wages can often exceed the cost of nearshoring a project.
Nearshoring gives companies access to very experienced teams – resources that would fundamentally be cost-prohibitive for most. This allows companies access to broader business insights and to unlock potential value that is normally unrealized.
Finally, using external consultants allows for diversity in thinking. Different environments, teams, and cultures allow for a widespread of ideas that are often unnoticed. Nearshoring utilizes this concept and maximizes the potential for innovation.