Top Benefits of Agile Nearshore Development

Hardly any business nowadays can grow and thrive without some type of software solution. We live in a digital world, we serve our customers through digital channels, we do digital marketing. However, in all that digitised society we are part of, there are a couple of questions remaining for businesses looking for outsourcing their software development process: what type of vendor to trust, what location to choose and what are the pros and cons of it all?

From experience working in Dreamix, a bespoke software development company with years of experience in healthcare, banking and transportation and devoted Java experts, I come to think that there are certain contributing factors related to continuous business growth – technical talents, company culture and inner motivation to overcome challenges. Without any of these ingredients, the recipe for success wouldn’t be full. So now, let’s take a closer look at Agile nearshore development.

What is Nearshore Outsourcing?


In general, nearshore outsourcing refers to contracting a company at a near geographical distance to get a specific technical task, e.g. technical support or delegate your entire project development. For instance, if you are located in the UK, the Netherlands or Germany and opt for nearshore outsourcing, you will be looking at companies from the Eastern European region such as Bulgaria, Ukraine or Romania.

The other two types of outsourcing locations are local and offshore. The first one means to hire IT specialists from your own country to work on your custom software project, while the second one is partnering with remote teams that are usually far away from your country of origin. So, for example, offshore outsourcing would be choosing a technical team from Asia if you are located in Western Europe.

What is Agile Software Development?


Agile practices seem to be flooding the field of software development but do you still wonder what is the fuss all about? Actually, all the attention Agile philosophy is getting is well deserved. To work following an Agile framework like Scrum, Kanban, or Future-driven development (FDD) means to deliver small pieces of finished software, called increments. At the same time, you continue to adapt to ongoing changes. Agile software development originates from the Agile manifesto, published in 2001, but it is much more than following certain written principles. For example, every team member has a unique role and responsibilities, so the workflow is clearly defined, and progress can be frictionless.

Some of the central values are courage, commitment, work focus, close communication between the business people and the developers etc. The whole team learns from each other and about the software product during the actual coding, and this is the beauty of the process – it reflects the natural dynamic of life. The one thing that is constant and inevitable is change, and this is applicable to business projects. Agile methodologies help software development companies to be flexible and adaptable to incoming changes regarding business requirements.

Now, let’s look at the top three benefits of trusting Agile nearshore software development services:

Highly-Motivated & Engaged Developers


There is something different about those companies that choose to embrace Agile methodologies. You can sense a vibrant work culture made of enthusiastic young professionals that strive to serve their clients the best way possible. Being a part of the Agile community means that people are team-spirited individuals who don’t hesitate to share their ideas openly and increase team knowledge.

This is the kind of culture you want your next custom software to be developed in. The main benefits of nearshore outsourcing here are also the cultural similarities and lower language barriers. In the usual scenario, people from nearby countries speak similar languages or at least have fluent English capabilities, which is crucial for smooth communication and flawless project management. In addition, trusted Agile practices focus on frequent update reports and feedback loops, contributing to good communication flow.

Similar Time Zones for Teams


Nearby time zones can be a lifesaver if your business experiences sudden technical downtime for some reason. While many companies provide 24/7 technical support even if you work with a remote team with 7+ hours time difference, the benefit of similar time zones becomes evident during exceptional issues. Another amazing benefit of distributed teams is the silence effect. For example, Eastern European countries start off the workday at 8, or 9 am, while in Western Europe, it is still too early, which gives the first ones a couple of hours for deep focus work.

Also, the near geographical proximity hugely influences the reaction time, which is a lot quicker than if developers are across the globe. Plus, we observe how Covid-19 travel restrictions slowly start to ease up, so visiting a nearby country is much more convenient because of the shorter flights and, usually, fewer travel requirements compared to offshore destinations. And finally, let’s not forget that frequent in-person team visits boost collaboration and mutual trust.

Cost-Effective Software Development


Did you know that according to Statista, total global software costs for 2024 are estimated to be 517 billion US dollars? The surge for innovative software solutions is partially due to the pandemic but also because of changing market requirements and customer habits. Clients crave a high degree of personalisation, availability and intuitive design, making the daily use of an application seamless.

Nearshore outsourcing comes with significantly reduced development and subsequent maintenance costs. This has to do with the fact that usually nearshore technical hubs are situated in developing economies with abundant technical pools and talents. In addition, enthusiasm and work motivation alongside work ethic there tend to be exceptionally high because of the vast career opportunities within the software development sector.

About Jeanette Iglesias