In the current era of “permacrisis”, companies in North America are facing unprecedented challenges. From a global pandemic to economic downturns, businesses are being forced to adapt to survive.
First, let’s define what we mean by nearshore outsourcing. Nearshore outsourcing refers to the practice of outsourcing business processes or services to a nearby country, typically in the same time zone or within a few hours of travel time. For North American companies, this means outsourcing to countries in Latin America such as Mexico, Nicaragua, Costa Rica, or Colombia.
Latin America has emerged as a popular nearshore outsourcing destination for North American companies. The region offers a talented workforce, a favorable time zone, and cultural similarities that make collaboration easier. Additionally, Latin America is geographically close, which can facilitate travel and in-person meetings when necessary.
Several companies in the technology industry have successfully leveraged nearshore outsourcing to reduce costs and increase efficiency. One example is IBM, which has partnered with several companies in Latin America to provide IT services to clients. IBM has established delivery centers in countries such as Costa Rica, Brazil, and Mexico, leveraging the region’s skilled workforce and favorable business environment. By working with these partners, IBM is able to provide high-quality services at a lower cost than if the work were done in the United States.
Another example is Microsoft, which has established a development center in Mexico to support its global operations. The center employs software engineers, testers, and program managers who work on projects for Microsoft’s various business units. By leveraging Mexico’s skilled workforce and favorable business environment, Microsoft is able to maintain a competitive edge while reducing costs.
In addition to IBM and Microsoft, other companies in the technology industry have successfully leveraged nearshore outsourcing to reduce costs and increase efficiency. These companies include Oracle, Intel, and HP, among others.
Despite the benefits of nearshore outsourcing, there are some challenges that companies may face. For example, there may be cultural and linguistic differences that can affect communication and collaboration. Additionally, companies may need to invest in technology infrastructure to facilitate remote work and collaboration.
To overcome these challenges, companies should carefully select their outsourcing partners and establish clear communication channels.
We at Boombit help these companies to thrive in the remote era through different solutions layers. From the Sourcing of high-skilled candidates to the hardware and software setup to ensure your team is properly equipped, we support your remote team to support your company’s growth!
