Top Tips for Successful Nearshore Software Development

Written By

Raymond Osero

Remote hiring has proven to be a successful team-building model for several companies. While this hiring model has been used for a long time, the recent COVID-19 pandemic substantially accelerated its growth, with more companies looking for remote developers. This was due to the implementation of public health safety guidelines that emphasized the need to stay at home as the authorities sought ways to address the pandemic. 

Many US organizations today opt for nearshore software development and seek affordable yet talented individuals in locations such as Mexico, Brazil, and Colombia. By outsourcing the hiring procedure to nearshore software development companies, businesses are better placed to focus on developing innovative strategies and accelerating business growth.

While nearshore software development brings several advantages, working with remote teams can be challenging. This blog will discuss the best practices that you need to follow to ensure efficiency and maintain work quality. 

Table of Contents

Comparing Onshore vs Offshore vs Nearshore Software Development

Top Tips for Successful Nearshore Software Development

    Thoroughly Research Your Team's Requirements

    Get Partner References and Testimonials

    Choose Team Leads/ Managers Wisely

    Build Effective Communication Channels

    Avoid Micromanagement


Comparing Onshore vs Offshore vs Nearshore Software Development

Onshore vs Offshore vs Nearshore Software Development

What is Onshore Software Development?

Onshore software development refers to interviewing and recruiting talent within the same region or country. This is the most common hiring model since it is easier to screen candidates due to their on-site availability. 

Onshore software development is easier to manage as the majority of the developers are based in-house and there are no time zone conflicts. Moreover, it is suitable for projects that require effective communication and collaboration. However, this hiring model can be costly for employers, especially those in the US, and finding the right candidate can be challenging due to a smaller search area.

What is Offshore Software Development?

Offshore software development refers to the practice where US companies outsource their core business tasks or projects to foreign countries in characteristically low-cost regions. These employees primarily reside in Asian and European regions, including China, India, the Philippines, and Poland, to name a few. 

Essentially, this model allows organizations to pick the best candidates from a global talent pool at affordable wages. However, due to timezone differences and language barriers, communication between offshore teams is a big challenge. These challenges often lead to task delays and compromises in work quality.

What is Nearshore Software Development?

Nearshore software development offers organizations a nice balance between onshore and offshore hiring models. Under the nearshore paradigm, US recruiters look for candidates in foreign countries within the same continent or timezone. The most common nearshore locations for U.S. companies include Canada, Mexico, Colombia, Brazil, and Argentina. Nearshore development may not necessarily guarantee the most cost-effective talent when compared with offshore teams, but it addresses the critical challenges posed by offshore hiring. Primarily, with nearshore software development, you benefit from; 

  • Larger Talent Pool: Companies have access to talented resources outside the US.
  • Cultural Alignment: Similar cultures improve team building and understanding.
  • Timezone Alignment: Similar timezones mean effective collaborations and minimal delays.
  • Language Proficiency: Improves team collaboration.

Nonetheless, to fully leverage the power of nearshore software outsourcing for your business, you need to ensure that you have laid a solid foundation to support your initiatives. 

Top Tips for Successful Nearshore Software Development

Thoroughly Research Your Team Needs

Every project requires a different team size and expertise. If the requirements are unclear, you can end up with the wrong team, which can be challenging to manage. Make sure you understand the project and the kind of team required to pull it off. This would include team hierarchy e.g, Project Managers, Senior Developers, Junior Developers, etc. 

Moreover, you should also know what skills are required, e.g., Frontend Developers, Backend Developers, or Data Engineers. All these requirements should be clearly communicated to your nearshore software development service provider.

Get Client References and Testimonials

If you’re signing a contract with a nearshore software development company or agency, it is best to ask for references and testimonials from their previous clients. These are important since it can be challenging to ascertain the credibility of remote teams and partners.

A background check will grant you a good idea regarding your nearshore software development service provider’s professionalism, quality of work, and technical expertise. It will help you decide whether a certain team is worth working with.

Choose Team Leads/ Managers Wisely

As a business leader, all your communication is conveyed via the team leaders or managers. They are responsible for discussing project requirements and guiding their teams to ensure successful delivery. Moreover, they are accountable for delivering high-quality work within the established deadlines.

Your team leaders should have excellent management, communication, and technical skills. This will allow them to manage cross-cultural team members, deliver requirements, distribute tasks, and deliver all work on time.

Build Effective Communication Channels

Lack of effective communication is the biggest drawback when working with remote teams. Without proper communication, teams are unable to collaborate on projects. This results in developers focusing their time and energy in the wrong direction, which can cause delays in the project. It also impacts the team culture and hinders team members' ability to work together.

It is important to ensure strong team communication to make the best of your nearshore software development strategy. Some of the key steps you can take include:

  • Daily Meetings: Ensure that the teams have a quick daily discussion to ensure everyone is on the same page and clearly understands the deliverables.
  • An Open Culture: Create a friendly and open culture so that members are not hesitant to ask questions and clarifications. This prevents unnecessary delays in the future.
  • Utilize Collaboration Software: Use collaboration software like Slack, Git, or MS Teams. With the help of these tools, teams become aware of each other's strategies and progress and can communicate updates when necessary.

Avoid Micromanagement

There is a fine line between effective management and micro-management. Many managers are tempted to inquire about every slight work detail, especially when working with remote teams. It may seem like an effective strategy, but it does not sit well with most Developers.

Micromanagement is counter-productive as it creates an atmosphere of mistrust and builds frustration amongst developers. Frustrated employees lose faith in the management and start lacking in work. This may result in a loss of quality, productivity, and missed deadlines. Moreover, employees may even resign, halting the work altogether.

It is important to provide remote teams with adequate space to operate productively.


Nearshore software development has several benefits for organizations over conventional onshore and offshore models. With nearshore, you can access talented professionals across multiple geographical locations within the same time zones. These teams are cost-effective and easier to manage due to their geographical proximity and cultural likeness.

However, remote teams come with certain management challenges, which means you need to prepare adequately to achieve efficiency and productivity. Before working with any nearshore software development company, it is important that you gather testimonials from their previous and existing clients. Moreover, you should also take steps to strengthen communication, such as using software tools and setting meeting guidelines.

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Bluelight Consulting is a nearshore DevOps & Software Outsourcing company that helps startups, SaaS, and enterprises with cutting-edge solutions.

More cost-effective than hiring in-house, with Nearshore Boost, our nearshore software development service, you can ensure your business stays competitive with an expanded team and a bigger global presence, you can be flexible as you respond to your customers’ needs.

Learn more about our services by booking a free consultation with us today!

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