Time. One of the relevant aspects of software development and IT projects that often determines the success or failure of initiatives. Recognizing this, companies are turning to nearshore development as a solution to streamline their projects and improve productivity.

In this article, we look at how nearshore development can facilitate real-time collaboration and faster turnaround times.

What will you find in this article?

• What is Nearshore Development?
• Facilitating Real-time Collaboration
  • Constant Communication
  • Immediate Issue Resolution
  • Rapid Feedback Loops
  • Shared Project Management Tools
• Faster Turnaround Times
  • Time-to-Market Advantage
  • Flexibility and Scalability
  • Access to Skilled Professionals
  • Lack of Cultural Barriers
  • High-Quality Infrastructure

What is Nearshore Development?

Nearshore development is a business strategy where companies outsource their software development or IT projects to neighboring or nearby countries. The goal is to leverage the advantages of working with teams in close geographical proximity (same time zone or a few hours difference).

For instance, a German-based company may decide to collaborate with a development team in Portugal. The time difference is merely one hour, and both countries are members of the European Union. Additionally, the high level of English proficiency among Portuguese professionals facilitates effective communication and collaboration.

Facilitating Real-time Collaboration

One of the key benefits of nearshore development is the ability to facilitate real-time collaboration between teams in different countries.

Nearshore development teams are strategically located in neighboring or nearby countries to ensure overlapping work hours with their clients. This allows quicker decision-making and immediate issue resolution, while eliminating delays and increasing productivity.

The shared working time creates a seamless collaboration environment, fostering a sense of unity and cooperation that can significantly enhance the project’s success.

Nearshore teams can leverage real-time collaboration in the following ways:

1. Constant Communication

Nearshore development teams offer significant advantages in establishing seamless communication channels and fostering real-time collaboration with clients. They have a strong command of the client’s language and cultural practices, which reduces misunderstandings and facilitates effective communication.

Within our teams, we utilize various communication tools such as Slack, Microsoft Teams, Skype, or Zoom.

Nearshore teams can easily coordinate meetings, brainstorming sessions, and workshops during overlapping work hours. This enables team members to actively engage in discussions, share ideas, and make collective decisions.

2. Immediate Issue Resolution

With real-time collaboration, nearshore teams can address issues as they arise, reducing response times and minimizing delays. This ensures that potential roadblocks are swiftly identified and resolved, keeping the project on track.

3. Rapid Feedback Loops

Regardless of the specific methodology used (such as agile methodologies like Scrum or Kanban), nearshore teams prioritize iterative and incremental development cycles that emphasize regular feedback.

By breaking down projects into smaller tasks and delivering them incrementally, nearshore teams can quickly provide results. This progressive approach enables them to swiftly gather valuable feedback from clients at an early stage of development.

The iterative feedback process has several benefits, such as enabling quick course corrections, avoiding rework in later stages, and accelerating the development timeline. Additionally, it creates a cooperative atmosphere where the team creating the product and the client collaborate to improve it.

4. Shared Project Management Tools

Nearshore development teams and clients typically use shared project management tools or platforms. These tools serve as centralized repositories for project documentation, task tracking, and issue management. They provide real-time visibility into project progress, allowing both parties to stay updated on the latest developments.

Here are some examples of tools our teams use:

• Project and Task Management Tools: Trello, Notion, Asana, or Jira.
• Shared document editing: Google Docs or Microsoft Office 365;
• Real-time code collaboration: GitHub or GitLab.
  

Faster Turnaround Times

Nearshore development is a method that helps businesses bring their products to market faster. It involves delivering projects or software solutions in shorter timeframes compared to other outsourcing models. Several factors in nearshore development contribute to faster turnaround times, such as meeting tight deadlines and gaining a competitive edge.

Here are some ways nearshore development can accelerate response times:

1. Time-to-Market Advantage

Time-to-market refers to the time it takes from the inception of an idea or product development to its launch in the market.

By working closely with nearshore development teams, organizations can benefit from efficient communication and collaboration, leading to shorter project cycles. The reduced communication barriers and quicker response times ensure that the development process remains on schedule. As a result, companies can get their products or services to market faster, decrease reaction time to market needs, and take advantage of new opportunities.

2. Flexibility and Scalability

Nearshore development teams can be more flexible in adjusting the team size as per project requirements and timelines. They can quickly scale the team up based on the workload, allowing for faster adaptability to changing project needs. This scalability ensures that the project can progress at an optimal pace without being delayed due to resource constraints.

For example, we have two cooperation models (team extension and full teams). Both cooperation models offer flexibility in scaling the team size. And whenever necessary, our clients can discuss their changing requirements with us, and we’ll work together to adjust the team size accordingly, ensuring minimal disruption to your project.

3. Access to Skilled Professionals

Nearshore development allows businesses to quickly assemble a team of skilled professionals with the required expertise. The proximity of the nearshore location means that the hiring process can be expedited, and teams can be set up more swiftly. This quick resource allocation enables the project to start promptly, reducing delays in the development process.

4. Lack of Cultural Barriers

Nearshore development involves partnering with teams from countries that share similar cultural backgrounds, which leads to smoother communication and understanding.

When teams have common cultural aspects like language, communication styles, and work ethics, they can better understand each other’s expectations and requirements. This shared understanding enhances communication channels, minimizes misunderstandings, and enables faster information exchange. As a result, teams can align their goals, exchange feedback, and resolve issues promptly, leading to faster project completion.

5. High-Quality Infrastructure

It’s necessary to have a good infrastructure for a project to run smoothly. Nearshore development locations often boast reliable and advanced IT infrastructure, including high-speed internet connectivity and modern communication tools. This infrastructure enables seamless collaboration, quick file sharing, and efficient remote work.

A reliable infrastructure minimizes technical obstacles and ensures smoother development processes.

Conclusion

As we have witnessed, nearshore development is emerging as a compelling solution for enhancing the quality and efficiency of software development.

Teams located in neighboring or nearby countries can enhance companies’ productivity. This occurs due to the shared working hours, which facilitate constant communication, swift problem resolution, and rapid feedback loops.

It’s no wonder that an increasing number of companies are adopting this work model, recognizing its potential to drive successful outcomes in the dynamic and demanding world of software development.

1.Democratization through Low-Code/No-Code Platforms and AI Integration

The democratization of software development is gaining momentum with the rise of low-code/no-code platforms. These platforms are the digital equivalent of DIY toolkits, enabling even non-technical individuals to create applications. According to Redhat, low-code/no-code solutions have the potential to reduce the development time by 90%. This significant reduction in development time is transforming the industry, making software development more efficient and accessible to a broader range of individuals. Coupled with the integration of AI in software development, these platforms are making the development process more efficient and accessible. AI acts as a coding assistant, automating mundane tasks, predicting potential issues, and suggesting improvements.

By 2024, low-code application development will be responsible for more than 65% of application development activity. The global low-code development platform market is predicted to generate a revenue of $187 billion by 2030. By 2024, 75% of large enterprises will be using at least four low-code development tools for both IT application development and citizen development initiatives

Source

2. Enhanced Security with Cybersecurity and Cloud-Native Development

With the increasing threat of cyber-attacks, cybersecurity has become an integral part of the development process. The DevSecOps approach is like having a digital bodyguard, integrating security measures right from the start. In parallel, cloud-native development is becoming the standard. This approach is akin to living in a smart, energy-efficient house, leveraging the speed and agility of the cloud to deliver better software, faster.

The DevSecOps market size was valued at USD 3.73 Billion in 2021 and is projected to reach USD 41.66 Billion by 2030, growing at a CAGR of 30.76% from 2022 to 2030. The growing need for secure applications due to the increasing number of cyber threats is a primary factor driving the growth of the market.

Source

3. The Future is Here: Quantum Computing and Blockchain Technology

Emerging technologies like quantum computing and blockchain are beginning to influence the field. Quantum computing, though still in its early stages, its market size is expected to grow significantly as the technology develops.

The global quantum computing market could reach $9 billion in revenue by 2030, compared to $260 million in 2020. The annual average growth of this market could be more than 40 percent between 2020 and 2030, with development intensifying after 2025.

Source

Meanwhile, blockchain technology is expanding beyond its cryptocurrency roots, finding relevance in various industries and creating a demand for blockchain-savvy developers.

The global blockchain market is projected to be worth $1,431.54 billion by 2030, growing at a compound annual growth rate (CAGR) of approximately 85.9% between 2022 and 2030.

Source

4. The New Normal: Remote Development Teams and Sustainability in Software Development

The pandemic has catalyzed a shift towards remote work, turning software development teams into digital nomads. This change has necessitated the adoption of new project management and communication tools. Simultaneously, the software development sector is taking strides towards sustainability, with developers coding with energy efficiency in mind and organizations seeking to reduce their IT infrastructures’ carbon footprints.

There are now three times more remote jobs compared to 2020. 74% of employees feel happier when they work remotely, and 97% of people recommend remote work to others.

Source

5. The Rise of Edge Computing

The global edge computing market is experiencing a significant surge, with projections indicating a bright future.

The global edge computing market size will reach USD 155.90 billion by 2030, expanding at a 37.9% CAGR from 2023 to 2030.

Source

The integration of Artificial Intelligence (AI) into the edge environment is projected to drive this market growth. AI-based edge devices can be utilized in a wide range of end-point devices, including sensors, cameras, smartphones, and other IoT devices.

Conclusion

In 2023, the software development landscape is a blend of democratization, efficiency, security, and adaptability. Emerging technologies are influencing the field, and an increased awareness of environmental impact is leading to more sustainable practices. As tech professionals, staying abreast of these trends is crucial to navigate the future of software development successfully. The journey ahead is filled with opportunities, promising a bright future for the industry.

In the current market, businesses understand the importance of custom software development as a valuable strategy when it comes to efficiency, cost reduction, and product release time. However, before the code scan starts being typed, there has to be a point of origin. In other words, the path to digital transformation must come from the client’s vision, only then can the development cycle of custom software can begin. As you would expect, developing a specific product for any company is a time-consuming and challenging endeavor. So what makes custom software development so important?

Outshining Traditional Strategies

More than ever, consumers seek and demand intuitive products that run on functionality, easy understanding and navigation. Custom software development can bring all of this together while focusing on creating a digital product as an answer for a specific market or niche. This means that businesses have access to a tailored fit, customized to specific requirements. This kind of option allows organizations to revolutionize their own market and appeal to consumers in a different way.

A personalized approach will translate into a specifically developed product that provides more and more customers. While a generalist model will fall-short due to its lack of appeal and limitation, leading lead to less attention. Of course, to achieve your brilliant customized idea, it’s important to partner with an experienced provider that can meet all of your demands. So, what should you look for? Our article 7 Tips for Choosing a Nearshore Partner will serve as the perfect guide

Advantages of Custom Software Development

As in any service, it’s important to take into consideration it’s cost. In most cases, there isn’t an option to buy off-the-shelf software. Even if there is, there are no guarantees that it will work perfectly for you or that it’s completely secure. Plus, custom software is scaled according to company needs, unlike the off-the-shelf solution. Resulting in one of two possible outcomes: it becomes too expensive or it’s no longer suitable to keep operating.

When it comes to security, all around the world hackers are constantly attacking products and platforms to test their vulnerabilities. A custom-developed software, exclusivity used by your team reduces the risk of attack significantly, especially if you’re working with a partner knowledgeable in software security. In addition, compatibility can be a major advantage since custom software can be developed with multiple tools.

Bear in mind that working with an outsourcing software development service frees your business and your team. This provides the liberty to deliver your product centered on what your customers expect: accessibility, appeal and responsiveness, among others. Choosing a provider such as Nearshore Portugal means you’ll have a team of experts in the latest technologies and tools. Plus, you can get the most out of a software development partner if they have in place Agile methodologies. Not to mention the advantages when it comes to communication and similar time-zones.

Compliance matters

When it comes to purchasing your business software, it’s crucial to make sure it complies with the norms and principles that are specific not only to your business but to the industry as well. Lack of attention to this can result in serious issues. Yet, this doesn’t need to become a problem since companies specialized in custom software development know all the procedures and are fully aware of the requirements demanded by the industry. The right vender will provide you with the right result and solution concerning regulation and legal policies.

In essence, custom software development can change the course of any business. However, with so many competitors in the market, there is only one way to grab people’s attention and it all starts with your idea. Working with an experienced software developer such as Nearshore Portugal will shape what was just a conception into a reality, focusing on how the product looks and acts as you envisioned. This, in turn, will provide your business with a unique product. When all is done, you will show your customers how you are ahead of the curve while, at the same time, knowing you have a trusted partner and advisor supporting you.

More than ever, talented and knowledgeable individuals are needed, professionals that understand each stage of the software development life cycle. This means working with skilled teams that can execute, develop, and deliver projects of all kinds. The end goal of outsourcing software development is all about hiring that key professional or team that will upgrade processes and increase output, resulting in less time spent on training new employees, and of course, reducing costs. By choosing to outsource, you’ll be reaping plenty of advantages that will provide your business with a better work methodology and value. We tell you the main reasons why you should be outsourcing software development!

Increasing team skills

One of the biggest advantages that you can reap from outsourcing is scalability. This means, growing your team’s skills and managing costs according to the business needs. You’ll have hat your disposal seasoned professionals that can provide your team with guidance and greater support, as well as efficiency and better work methodology while, at the same time, keeping an eye on the budget.

Core Strengths with software development

Regularly, companies of all kinds focus their efforts on several fronts at a time which commonly becomes a problem. This means, all their time, money and resources are put in various parts of the business at the same time, preventing them to achieve excellence in a specific field. This is turn can give way to bad practices, damaging project approaches. Working with an outsourcing software development company will provide you with an opportunity to focus and develop your core strengths. This means, removing the unnecessary pressure of creating the right team with the right technologies for the project at hand. You can count on these professionals to not only help you grow your businesses but to provide it with better results, allowing you to focus on where you can distinguish yourself, rather than just being good.

All about efficiency

Software development outsourcing companies such as Nearshore Portugal specialized in developing teams with no barriers. This means a unified team that is all about performance. Outsourcing these professionals means that your business will gain two very important aspects: knowledge that can be shared and learned by your in-house staff and time. Furthermore, having by your side the right teams will deliver better quality, faster deployments and operational efficiency, among many other key advantages.

Reduce time to market

As we said in previous articles, time is one of the most important elements of any business. Its importance is recognized globally with few companies knowing how to leverage it towards a competitive advantage. By outsourcing software development, the need to depend on in-house resources is gone. You can now set deadlines and have at your disposal dedicated developers for your project.

Even though outsourcing software development can have risks, the benefits can be much higher. When choosing a vendor, inquire about its work and projects through former clients. Explore their operation set-up and determine if there exists, in fact, the A-team that you need. If all checks out, you’ll be one step close to the team that will help your business succeed.

Technological advancements and organizational IT needs are constantly evolving, shaping business structures and objectives. For software outsourcing companies, 2020 will demand adaptation and optimization of current business models. When it comes to outsourcing, specifically teams, operational efficiency is a must for growing businesses. This means being able to bring products faster to the market. The regular recruitment and investment in worldwide talent, technologies, and adaptation to more productive work methodologies indicate that the popularity of outsourcing will keep on growing and with it, several trends.

Increased demand for Quality

Outsourcing has always focused on cutting costs and increasing budgets. However, although it is still a priority, the amount of focus has shifted. Currently, providers are more attentive to delivering a higher quality service when it comes to software outsourcing. Plus, clients are more interested in partnering with a trusted outsourcing partner whom they can maintain a long business relationship. Although the price always matters, it’s no longer the decisive choice.

Growing Nearshore Outsourcing model

The popularity of the Nearshore Outsourcing model continues to grow due to companies’ necessities, mainly centered on two key points: collaboration and communication. As we mentioned in previous articles, the nearshore model provides plenty of advantages. One of the most beneficial features being the same time zone. Working with a remote team that is in a nearby country with a similar, or a very close time-zone will allow communication to happen more quickly and effectively. This in turn ensures better management of the team and fewer complications when it comes to language barriers. Not only is it more efficient to leverage conference calls, video chats, and email communication with little to no delays in response but it also becomes easier to travel and visit for regular in-person status.

Security with software outsourcing

The last couple of years have proven to be hard security times due to the increasing hacks of companies. More than ever, companies are vetting extensively potential partners with Fort-Knox like IT security capabilities. Therefore, future partnerships will happen more frequently with providers that have a proven record of best practices in security. Such is the case with Nearshore Portugal. As a result, emerging cybersecurity tools are being developed, opening the door to new and seasoned talent to prevent future attacks, while reinforcing and improving current standards.

Ultimately, more than custom software outsourcing, the future is tied with pushing boundaries into more advanced business areas, which in turn requires pushing internal limits, adapting at the same time to future trends. Companies that can successfully identify more quickly the needs of the market will lead to 2020.

IT is evolving beyond the ability of many companies to keep up. As a result, companies are turning to a nearshore partner as it offers the ability to maintain a high level of control while transferring the cost of doing business.

But, in a rush to save money, companies often dive into software development outsourcing, quickly select a provider, and consequently, expect that team to produce great software right away. In their rush, they skip the careful evaluation required to determine which software outsourcing company best suits their needs. They don’t properly vet the provider to ensure they get the highest standards and the best service, experience, and quality of work.

Once you decide to Nearshore your IT project and start looking for the ideal Nearshore partner, make sure you choose your provider well.

To ensure that you select the best Nearshore company, we give you some tips to start:

1.  Identify your Top Technical Needs

Determine your top three technical needs and set them as top priorities in your outsourcing criteria. Focus on the technical expertise that makes the most significant positive impact on the overall quality of your software. After that, you need to make sure your nearshore partner can answer your technical needs accurately.

2. Check vendor’s experience

The more experience the Nearshore company has, the better it can solve problems quickly. Find out the vendor’s expertise in delivering services similar to the one you plan to outsource. This expertise could include the number of projects executed, types of clients, technology expertise, and so on. Ideally, the right vendor will bring vast experience from working with on software across different industries.

3. Different time zones lead to slower feedback and lack of productivity

Working with a remote team that is in a nearby country with similar, or a very close time-zone will allow you to communicate more quickly and effectively.

With a time-zone difference of only 1-4 hours, clients can collaborate in real-time with the nearshore team leveraging conference calls, video chats and email communication with little to no delays in response. This proximity dramatically decreases false assumptions and the need for extensive documentation.

Ultimately, this benefit is recognized at the bottom line regarding faster time to market and lower costs for initiatives leveraging nearshore resources.

4. Will the IT staff be working on other projects?

A good IT Nearshore partner will offer you a fully-committed team for your project.

At Nearshore Portugal each consultant works for a single client. This way we can ensure that our client has the full attention of his remote team.

5. Language skills

You’ll need a remote team that speaks your language, or, it won’t be easy to communicate! The level of communication can make or break a project’s success. Language barriers prevent new processes from being implemented, limit the necessary feedback, and hind team effectiveness.

6. Look for extra costs

If you started your quest searching for an outsourcing company to become your nearshore partner, you’ve probably noticed the massive range of prices. Prices depend on location, experience, technology stack, and many other factors.

When deciding based on prices, look at the delivery time. If the most expensive company claims to deliver your product faster, it probably means that you’ll save money with them

7. Culture and Work environment

There are many problems associated with long-distance cooperation such as cultural misunderstandings, different perceptions of time, or even misread body language and implicit assumptions. Specific habits, national holidays, manner, and conventions of conducting business, as well as mentality peculiarities – all these aspects can pose an obstacle to the seamless development process.

The Nearshore partner you choose can mean the difference between a long and profitable business relationship, or a source of delays and wasted work. Invest time upfront evaluating the nearshoring partners at your disposal, to ensure that your decision produces real, measurable results.

Are you considering Software Development Nearshoring? Drop us a line!

Don’t forget to check the following articles as well:

Nearshore Partner: The value behind the price!

Top 5 Benefits of Staff Augmentation!

Focus on goals!

As it is will all organizations, including nearshoring, successful businesses are based on trust and mutual understanding. Although you should trust have what your vendor wants is what’s best for your business, it’s more important to make a decision that you’re familiar with and equally important, which is part of your vision and business needs. Focus on your business/project goals and requirements so you’re Nearshore partner implement their way of working.

When nearshoring, get involved!

Even if your vendor has the experience and expertise needed to deliver great products, you still need to remain involved! Nobody knows better your business than you do, and for that reason, your commitment will have a real impact on the final product.

Choose the right company!

One of the main factors for Nearshore success is the vendor’s choice. It’s important to look for companies with knowledge and experience. Those who will always strive to deliver the best nearshoring software development solutions, according to industry’s best practices.

To learn how to choose your Nearshore partner read our blog post “7 tips choosing your Nearshore Partner”.

More than a tool, communication is key in any business relationship. You should clearly express your needs and expectations to your Nearshore team, only this way can you guarantee that they work with your goals in mind and deliver the greatest service.

Are you looking for the right nearshoring software development partner? Here, at Nearshore Portugal, we have 400of the best IT talents working from Lisbon in top projects around Europe with over 30 technologies. Give us a call to hear more about our very competitive rates and great results!