Nearshore IT services offer several advantages to businesses in the USA, such as proximity, cultural similarity, time zone alignment, and cost-effectiveness.
According to a report by Grand View Research, the global IT services market size is expected to grow at a compound annual growth rate (CAGR) of 9.7% from 2023 to 2030.
Furthermore, a recent report by Statista indicates the global IT outsourcing revenue is expected to show an annual growth rate (CAGR 2024-2028) of 10.99%, resulting in a market volume of US$777.70 billions by 2028.
Therefore, selecting the right nearshore IT supplier is crucial for businesses in the USA to take advantage of these growth opportunities and remain competitive in the global market.
However, it can be challenging.
To help businesses select the correct nearshore IT supplier without breaking a sweat, we have prepared the following guide, which outlines essential points to consider.
Let’s ditch the guesswork: the guide is here!
Take your notes to stop struggling and start thriving in finding your dream nearshore team.
🌍 Geographic Location
The supplier’s geographic location is the first factor to consider when choosing a nearshore partner. Choose a location with similar or convenient time zones, such as Uruguay or South America, where many companies offer high-quality nearshore IT services.
You need a last-minute change to the script? No problem, a quick email and they’re on it. You can even schedule meetings that don’t involve you waking up at 3 AM in your PJs!!!
🛠 Technical Expertise
Ensure the nearshore IT supplier has the technical expertise to meet your needs. Look for a company with a proven track record in software development, quality assurance, and project management.
📚Experience
Finding a reliable partner is always key. You should always ask your network and check directories like Clutch, as you probably know, to find case studies, now about their reputation, etc..
According to a report by Clutch, 84% of people trust online reviews as much as personal recommendations.
Is not that different in B2B. Companies use social proof, such as online reviews and ratings, to evaluate potential suppliers.
Therefore, considering experience and social evidence can help businesses in the USA select a reliable and trustworthy nearshore IT supplier.
Verify that the nearshore IT supplier has relevant experience in your industry and has successfully delivered similar projects in the past. Look for case studies, testimonials, and client references to gauge their knowledge and expertise; it can give you an idea of their reputation, reliability, and quality of services.
Bear in mind that in many cases, the client asks to be kept confidential, so you may ask for this information during conversations with the potential partner.
🗣Language and Cultural Compatibility
Language barriers and cultural differences can lead to misunderstandings and affect project outcomes. Choose a nearshore IT supplier with employees proficient in English and a culture similar to that of the USA, it will allow to avoid misunderstandings, brainstorm effectively, and will led to smoother communication, stronger collaboration, faster project development, and ultimately, a more successful product or service in the target market.
🧩Cultural Fit
Verify that the nearshore IT supplier’s corporate culture aligns with your organization’s values and principles. A good cultural fit can foster collaboration, communication, and trust between your organization and the supplier.
👥 Communication and Project Management
Clear communication is critical to project success. Ensure the supplier has an effective communication plan, project management methodology, and tools to track progress and provide regular updates and feedback.
You should consider how transparent and predictable the overall process will be with the potential partner.
💵 Cost and Quality
While cost is a critical consideration, prioritize quality over cost. Select a supplier that provides high-quality services at a reasonable cost.
In general, you get what you pay for. Lower rates might mean less experienced staff, leading to product glitches and bugs or software vulnerable to security breaches, and finally a less-than-stellar user experience.
An investment in quality can save you time, money, and frustration in the long run. You’ll end up with a product that functions flawlessly, meets your user’s needs, and reflects well on your brand.
🆙Scalability
Choosing a nearshore IT supplier that can scale up or down to meet your business needs is essential. Ensure the supplier has the resources and capabilities to handle projects of different sizes and complexity.
☁ Technical Infrastructure
Verify that the supplier has a robust and secure technical infrastructure. Look for a company with modern technologies like cloud computing, DevOps, AI, and robust IT security measures to ensure your data’s confidentiality, integrity, and availability.
👩💻 Team Composition
Understand the team composition of the nearshore IT supplier. Verify that the team members have the relevant skills and experience to deliver your project successfully. Also, consider diversity!
👨🏫 Training and Development
Verify that the nearshore IT supplier invests in employees’ training and development. Look for a company that fosters a culture of continuous learning and development, as this can ensure that the team members have the necessary skills and knowledge to deliver quality services.
🧲Attrition rate
The low staff attrition rate is rare within the industry. Still, it is crucial for work success.
A stable team will allow you to take advantage of the continuity of knowledge and a consistent team throughout a project’s lifecycle, ensuring smooth communication and a deep, sustained understanding of your business needs.
🆕Innovation
Choose a nearshore IT supplier that prioritizes innovation and stays up-to-date with the latest technologies and industry trends. You should not minimize this as it can help you leverage new opportunities and stay ahead of the competition.
Don’t Just Read About It, Get Started
In today’s competitive tech landscape, finding the right partner can make all the difference.
With this guide, you’re well on your way to selecting your perfect nearshore IT partner to propel your tech initiatives forward.
At Switch, we build strong partnerships based on clear communication, customer intimacy, shared goals and vision, and a dedication to quality. We combine top-tier technical expertise with a collaborative spirit, ensuring your project runs smoothly and delivers exceptional results.
Look at what our clients say about their experience with us in our Clutch profile.
Ready to explore how Switch can become your trusted nearshore IT partner?
Contact us today to discuss how we can help you.
