Increasingly, companies of all types are opting to outsourcing non-core activities to nearshore partners. The two primary reasons why more companies today are electing nearshore IT outsourcing are cost advantage and time convenience. Travel time is also a big factor in deciding where to outsource projects with ease of travel invariably favoring a nearshore partner.
Another challenge is finding IT professionals that will seamlessly integrate into their host teams and work simultaneously with them. Through nearshore outsourcing, the lack of major cultural and time-zone differences keeps everything on parallel schedules and ensures that teams work efficiently and productively.
And, not only are more companies outsourcing to countries closer to their own, but they are increasingly outsourcing more business processes. Non-transactional business process outsourcing (BPO) involves non-core work, such as human resources, training, and finance and accounting functions.
Companies can offshore these business processes for a fraction of the cost of running the same functions in their home countries. And because processes such as human resources and accounting are essential and fundamental parts of a business, having those functions performed during similar business hours is imperative.