What are the nearshore trends in outsourcing services that will be at the top during 2021? As we step into a new year of business operations, here we have discussed the top trends that we anticipate to reform the nearshore market in 2021.
As we head into another decade of progress within the nearshore software development industry, the beginning of 2021 encourages us for taking a new and unique look at the trends that might shape the IT service sector this year.
With high levels of English efficiency, a large pool of software development expertise, cultural affinity to the US market, and feasible time zone adjustment, undoubtedly, Argentina has become an important authority in nearshore software development outsourcing over the past years.
Nevertheless, these advantages alone won’t help the industry always, as the growth of next-gen technologies, the requirement for value-added services, and turmoil from economic fluctuations will have more effect on the buying decisions of clients than ever before.
Throughout the years, we have experienced the continuous ups and downs of trends in outsourcing IT and software development services. As we step into a new year of business operations, here we have discussed the top trends that we anticipate to reform the nearshore market in 2021.
Content related: Hiring a development team: factors that scream outsource now!
From the companies side: What They Are Expecting from Their NEARSHORE outsourcing Partnerships
1. Focus on Client Mindset or Support
With both clients and nearshore software providers working with distributed teams —more accentuated during these tough times—, companies will need to pay heed to their company culture this year. Companies that have decided to outsource software services with a nearshore company expect their partners put special focus on them.
A client mindset and enhancing the customer support service will be then the priority and main objective for companies looking for making relationships with clients.
Inventing digital solutions and developing new technologies are common practices in this digital era. However, one aspect of this new brave world still skips some companies: how to promote a culture of innovation. Real innovation must maximize throughout an organization from the top-down. It needs leaders who can foster a culture of innovation by enabling teams to work and experiment freely and be responsible for their capacities while assisting those efforts with various resources.
To go with this innovation culture challenge, nearshore software development firms have been meeting the clients with their efforts, thanks to their latest technologies knowledge within the industry. Companies are willing their IT and software partners help them to achieve that innovation challenge. Although it may appear unreasonable to outsource innovation, when you work with a nearshore development company as a partner, innovation must become a key extension of the partnership. It’s a bit WIN to you!
Bear in mind that you should also look for scopes to work with reputed leaders in software development outsourcing on different projects where you both are trying to grow capability in a new methodology, technology, or more. Since more US organizations look for suitable partners that can promote new innovation levels, you can anticipate nearshore providers in the US to grow more innovation partnerships during 2021.
3. Bring New Technologies to Their Business
We can see that things are transforming very quickly in the technology world. So, when it comes to talking about nearshore trends in 2021, we must mention the technology trends apart from the innovation. Companies must embrace new technologies for their business growth.
Some of the technologies like machine-to-machine communication (a communication paradigm that facilitates ubiquitous communications with full mechanical automation), Machine Learning, IoT, wearable smart technology, 5G technology, etc. usually help different types of businesses. Businesses must look out for them and bring them to their businesses.
4. Better Customer Experience
In 2021, the success of businesses will depend on providing a quality customer experience. In fact, it is estimated that 86% of buyers would pay more for a better customer experience.
This is the ideal time for companies to look at their customer services, listen to their users, and boost their experience throughout any mobile or web application they use.
With budgets constricting regarding the pandemic, several organizations are struggling for identifying inefficiencies and pain points throughout their user journeys. Nearshore outsourcing represents an opportunity, particularly for small to medium businesses that are seeking cost-effective customer experience handling, testing, and data assessment.
From the Nearshore Providers: What They Can Provide to their companies partners
Security has always been a priority for nearshore providers. They know how delicate the data can be for companies.
When it comes to looking for outsourcing, clients are primarily concerned about data protection. So, nearshore software development companies should prove they can match in-house teams in this case. With the extensive move to remote work, this problem has arrived at the surface. Also, studies have shown doubts on the security of personal gadgets under Work-from-Home arrangements and home networks.
2. Distributed Computing
Nearshore providers will consistently and highly invest in edge and Cloud computing solutions as they seek freedom from the location. There will be more focus on business agility and continuity in 2021, as enterprises strive for being ready for future discontinuity, and also to enhance employee and client experience continuously.
Developing decentralization will be the underlying trend in 2021. Organizations are embracing a multi-Cloud strategy to a great extent, utilizing different Cloud platforms for reducing expenses and improving resiliency.
Moreover, nearshore providers are experimenting with various ways of data distribution. Rather than depending on centralized data centers, organizations are choosing more localized Cloud models. By decentralizing in this manner, IT companies can lower network blockage and the possibility of data loss.
With companies decided to reduce operational expenses, the pandemic has grown automation across several industries. Outsourcing software providers should focus on AI predictive technologies, process automation for lessening efforts, customer experience self-serve capacities, and reduction of no or low value-added work.
An assurance to automation means making employees free from repetitive jobs, instead of replacing them. The objective is to shift them on to higher value, more complicated jobs while boosting profitability. According to the prediction by Gartner, by 2024, companies will reduce their operational expenses by 30% by integrating hyper-automation technologies with restructured operational procedures.
4. Stronger Consulting Services
We strongly believe that everything within the cycle of software development must be performance-oriented. With no all-inclusive, performance-driven approach to all – from coding and releasing to staging and monitoring, quality can decrease. This has severe impacts on your application. Unfortunately, this leads to issues that can cost you more —both from the outlook of reputation and money.
Nearshore providers must provide strong consulting services at every phase of a project, and at some points, they need to permit their clients to keep up with high-performance practices freely.
In 2021, search for a software and IT solutions provider that can make your organization ready to approach software functionality from a more detailed outlook, not only provide functionality as a service. The software development outsourcing providers must be able to share their knowledge with client companies and consult them, train them in the performance culture, and boost their entire capacity in performance engineering.
Regardless of our predictions, the nearshore software development industry is showcasing powerful development and we don’t predict that transforming any time soon. The value-added through nearshore projects is enabling organizations to scale fast and rule in their industry.
In case you have not started understanding the advantages of a nearshore outsourcing company, it is the right time to start. We would love to discuss this, so stay in contact today! Do you expect to see more nearshore trends in 2021?
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