Why Are Companies Obsessed With Nearshore Tech Solutions?

01. September 2022
What does a perfect nearshoring partner look like? It would probably be a technological company that tirelessly collaborates with your business daily to provide you with cutting-edge solutions to your IT project goals. The aspect of all outstanding partnerships is working in a tight knit tandem. Before we delve deeper into the true anatomy of nearshoring partnerships, let's look into their key pros and cons.  

Outsourcing vs. Nearshoring: Getting the right kind of help 

The global increase in demand for digital-first solutions has been the biggest challenge of many businesses so far. Whether it is digital transformation for corporations or providing 21st-century-ready digital solutions, the buzz is there to push for transformation. Therefore, seeking better alternatives to the internal recruitment of developer team(s) or IT staff led companies to outsourcing, which at times can be too time consuming, costly, or ineffective.

Outsourcing is a process of delegating a part or a whole internal task out of a home company to a hired external supplier of goods and/or services that could be anywhere in the world. After outsourcing found widespread popularity, especially in the tech industry, a subcategory of outsourcing focused on nearby countries while keeping all the benefits became the next big thing. This is now known as nearshoring.

What makes nearshoring a great choice? 

Several factors have made nearshoring the hot topic it is today. Objectively, the basic decision criteria usually includes: 


9 steps to successful nearshoring partnership

In 9 simple steps find out how to maintain the right nearshoring partner that can fully support your digital innovation and smart resourcing.

No. 1 – Access to the talent pool and technical knowledge expertise
For example, INVENTI as a nearshore partner situated in the Czech Republic sports highly educated experts that can fully collaborate on an equal footing with an in-house developer team. Thanks to that, INVENTI can  support your digital innovation and smart resourcing. Additionally, Czech universities and technical schools have a proven history of producing high-quality talents with the focus on IT management, engineering and software development, which makes the country a near perfect nearshoring opportunity.  

No. 2 – It is about the cultural match 
“Birds of a feather flock together” is a proverb that applies to the nearshoring benefit of cultural proximity to your home company. Nearshore partners have similar cultural dynamics and thus share similar work culture – in terms of the approach to deadlines, responsibilities, transparency and specific needs of a project. Although every European country has a nation-specific language, the shared use of a high level of English is common among all European nations. 

No. 3 – The trend of reshoring and diversifying your external supply
Unfortunately, the COVID-19 pandemic and a six day long Suez canal obstruction by a ship called ‘Ever Given’ in 2021 quickly uncovered how fragile and complex some of our supply chains are. For example, ‘Ever Given’ getting stuck in Suez “froze nearly 10 billion $ in trade a day” (The New York Times, 2021) and COVID is going to cost the global economy about 12.5 trillion $ by 2024 (Reuters, 2022). This revelation leads down to the need to improve and strengthen the resilience of supply lines.

In 2020 McKinsey Global Institute conducted a survey involving supply chain executives. They reported that an overwhelming 93% of them plan to take steps to make the supply chain resilient by means such as nearshoring and production regionalization. This trend is likely to grow in the upcoming years…    

So, why are companies obsessed with nearshore tech solutions?

As the global demand for digital-first solutions is on the rise, more and more businesses are going to consider smart resourcing for their IT staff and projects. As suggested by the McKinsey’s survey among the executives, nearshoring – the solution to the diversification need of the supply chain, is going to continue to bring the most apt international tech & software staff to the in-house teams of many European companies. Last but not least, the factor of cultural proximity coupled with the high-quality expertise is going to provide a more sustainable and integrated solution to your innovation driven goals and needs over time.   

Get to know more about the top three benefits of nearshore development of a software project. Keep reading on the “Why is today’s nearshoring the new black?” to see why nearshoring partnerships is the go-to solution for the IT sector. 

Eyal Frayden
Head of Business Development


9 steps to successful
nearshoring partnerships

In 9 simple steps find out how to maintain the right nearshoring partner that can fully support your digital innovation and smart resourcing.


9 steps to successful
nearshoring partnerships

In 9 simple steps find out how to maintain the right nearshoring partner