Outsource Software Development - IT Nearshoring | WebCreek Staff Augmentation

Outsource Software Development

While there are increasingly fewer boundaries to the global economy and many large companies are no longer confined to doing business in their own country, it still requires some specialized skills to make the process as seamless as we have imagined. There are difficulties in turning theoretical to practical when it comes to outsource software development.

As the regulations related to AI technology, a shortage in technical positions, and an increased need for companies to collaborate and work together, there is also a growing emphasis on U.S based nearshoring software development as a way for growing companies to achieve their business goals.

Companies are exploring outsourcing software development, as they are finding that the traditional model of offshoring their software projects, has brought them a lot of difficulties. In some cases, the lower cost of developers also translates into a less educated and skilled workforce. There are often cases where the frameworks and technologies are outdated, which can result in lower quality standards and possible security risks. With the rapid pace that business can take place, distance and response times can present complications to the project.

With all that considered, how are these new market factors creating a renewed interest in U.S. based nearshoring?

Data privacy and other regulatory controls.

The increase of Big Data and the ability to collect data from various devices and for virtually anyone, has brought an understandable call for stricter data privacy regulations worldwide. The U.S. telecom industry has developed rules and regulations controlling the sharing of data and digital properties overseas. This can affect how easily a business can send data to software development providers. Since most of the new AI apps require a lot of training data and rely on the quick and unencumbered transfer of the data, any delay in sending the data to the vendor can damage the success of the project and development. Outsourcing to U.S. based software developers removes this problem by providing a seamless transfer of the integral data that AI apps need.

Complex AI-based technologies.

With technology advancing at a furious pace, many businesses are under extreme pressure to provide and improve the value they provide through their web applications. The quicker you can work through the development process, the sooner you can provide market differentiation and give your business a competitive edge. As the software becomes more complicated with integrated machine learning, chatbots, and various smart apps, they also bring with them the need for long-term training of AI algorithms. Because maintenance is no longer “set it and forget it”, specialized expertise in the form of software engineers and data scientists is a requirement for the full length of the project. The specialists not only need to understand the technical requirements, but also the need to understand the specific business needs of the client. Working with the right outsource software development team can relate to the specific challenges, and help guide companies to find the valuable insights they need.

A shortage of data scientists.

LinkedIn estimates that as of August 2018, there were 151,717 more data scientists were searched for than were available in the U.S. market. Demand is only expected to rise as we approach 2020. This indicates that there will be a major talent shortage when it comes to filling the data science positions that are needed. But even without those indications, it still might not be cost-effective to keep a data scientist on full-time staff to maintain and increase your AI solutions. These factors are areas where nearshoring partners can help, both in providing a specific skill-set and an understanding of the specific business needs.

The need for collaboration.

Close communication is crucial between the customer and outsource software teams as the development of complex AI-based apps moves through the development process. One of the most common threats to any project is a breakdown in communication. Having a team that is located several time zones away, complicates the communication process. Nearshoring to a U.S. based company can typically improve communication, integration, and feedback.

Nearshoring is clearly on the rise when it comes to today’s business needs for advanced software development. But to help ensure that they have a positive engagement, companies should consider the following in their software development outsourcing strategy:

Nearshoring is significantly on the increase when it comes to today’s business needs for outsourcing software development. But to make sure you have a positive experience with your next software project, you should consider the following points in their software development outsourcing strategy:

  • The education and skill of the workforce – with emphasis on quality commitments
  • Specialized expertise and resources – especially when it comes to machine learning, deep learning, and other specialties
  • Language and cultural barriers
  • Alignment between your approaches
  • Proximity and the need for ongoing communication
  • Regulatory issues.

With today’s fast pace of technology innovation, driven by AI solutions that need to think like the people they are supporting, companies know they can’t do it alone and are realizing the benefits of outsourcing in its many forms. Yet, we can expect to see the nearshoring segment of the market take off at lightning speed as companies begin to more fully grasp the added value of having a software partner closer to home, abiding by the same regulations and business practices and ultimately becoming a real extension of the business, as well as contributor to its overall success.

Conclusion

With today’s fast-paced technology innovation, companies are learning that they can’t do everything they need alone. Outsourcing with WebCreek can provide many benefits to the software development process. Not only can a software outsourcing partner help improve your bottom line, but it will also help your communication and in general make the whole software development process the success you need it to be.

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