Nearshore Software Development in Mexico 2024

by Feb 14, 2024Nearshore, #HomePage

Printer Icon
f

Table of Content

  1. Benefits of Nearshore Software Development
  2. Nearshore Software Development Company Partner
  3. Nearshore Outsourcing in Aguascalientes, Mexico
  4. Key Aspects to Nearshoring Software Development in Mexico


Nearshore
software development in Mexico is growing more popular with US companies. The number of companies sourcing developers in Mexico has been increasing, and they have proven to be a reliable provider of technology talent.

Many companies were forced to send their employees to work from home during the pandemic. They learned to manage remote teams and reassessed their approach to remote work.

Working conditions evolved, and together with the shortage of engineering talent in the US, they became more inclined to hire developers overseas (nearshore outsourcing).

The nearshoring model became popular, and companies began to demand nearshoring development services.

Nowadays, Mexico is well recognized as a technology hub and a preferred IT provider. In the last few years, many U.S. software developers have opened nearshore development centers in Mexico and offer permanent solutions. The country offers many benefits for nearshoring.

Benefits of Nearshore Software Development

Historically, conducting business in distant locations posed considerable challenges and risks. Navigating foreign markets demanded extensive time and resources. Hiring overseas also presented hurdles, subjecting companies to unfamiliar laws and business practices.

For US companies, seeking services closer to home, near our shores (or primary market), called nearshoring, makes strategic sense. It’s crucial to find a local partner proficient in developing technologies tailored to your products, with specialized know-how in nearshore software development.

Ultimately, nearshore software development in Mexico offers numerous advantages, encompassing lower rates, highly skilled talent, proximity, real-time communication, manageable legal standards, and cultural affinities.

Nearshore Software Development Company Partner

Even for large corporations, partnering with a local nearshore company offers significant advantages, notably in building trust. However, trusting a foreign-based company remains a challenge.

The optimal solution involves seeking a nearshore software development company headquartered in the US, complemented by Mexico-based offices and teams. This approach ensures a local partner is well-versed in your market and language and equipped to navigate the Mexican business landscape.

Opting for a local partner for nearshore software development, complete with physical offices and onsite developers, minimizes risks. This setup grants greater control over systems, effectively mitigating security threats like data breaches and cyber-attacks.

Nearshore Outsourcing in Aguascalientes, Mexico

Aguascalientes, a safe mid-sized city in the heart of Mexico with a population of 1.4 million, boasts exceptional infrastructure and a seasoned talent pool of developers over decades as an auto industry hub. This region has evolved into a thriving technology cluster.

Mexico has emerged as a global hub for technological innovation, offering highly qualified professionals with specialized skill sets. For U.S. businesses seeking nearshore software development services, its geographic advantage in central Mexico and a stable climate away from Pacific and Gulf storms make Aguascalientes an enticing option.

The two-hour-and-twenty-minute flight from DFW provides direct access to our delivery center, enabling effortless travel for team members between headquarters and the nearshore center, fostering a mutually beneficial business model.

Aguascalientes has a large and growing tech talent pool, with over 60,000 students in university STEM and IT programs. It has been recognized to produce qualified software developers to meet industry demand. The city has a cost of living 30% lower than Mexico City.

Software providers like Capgemini, Dextra Technologies, Softtek, and Krasamo have successfully leveraged skilled talent to deliver software development and digital solutions to US clients from its delivery center in Aguascalientes.

Key Aspects to Nearshoring Software Development in Mexico

Proximity and Shared Cultural Affinity

Nearshore software development empowers companies to nurture enduring teams, cultivating trust, integrity, accountability, and a strong sense of belonging—qualities amplified by proximity and shared cultural affinity.

Aligned Teams

A nearshore development partner is essential in building teams aligned with your policies, seamlessly integrating them into your home office structure.

Establishing a physical software development center provides substantial benefits. It empowers teams to operate under agile leadership and methodologies, significantly enhancing project productivity.

Moreover, these dedicated facilities allow direct interaction and real-time engagement with your developers, fostering a conducive work environment that reduces developer attrition rates and sustains productivity.

Cost Savings and Productivity Gains

Nearshore development operations in Mexico can yield substantial cost savings and productivity gains, rivaling rates from offshore locations like India. This efficient model consistently delivers higher-quality work—provided your chosen nearshore company partner possesses the requisite experience and expertise.

Reduce Communication Barriers

Communication barriers often troubled US managers overseeing teams across different time zones. Fortunately, Krasamo’s Dallas headquarters and Krasamo Aguascalientes operate within the same time zone. This synchronicity eliminates the need for early-morning or late-evening standups, which often strain teams’ schedules, impacting quality and objectives.

Safeguard Intellectual Property

Another critical aspect of nearshoring development in Mexico is selecting a local US partner well-versed in Mexican laws and legal standards. Your local partner also works to safeguard your intellectual property (IP) in compliance with the U.S.—Mexico—Canada Agreement (USMCA).

USMCA offers a comprehensive chapter with rules on digital trade that facilitates cross-border data transfer, enhances cybersecurity collaboration, and protects computer source code, among other things.

Agile Teams Flexibility

Choosing nearshore software development with a local partner affords the agility to scale agile teams according to project demands. Exploring various engagement models within the nearshore value proposition—like scope-based, fixed costs, time and materials, dedicated teams, and staff augmentation—offers enhanced flexibility to meet diverse project needs.

Moreover, outsourcing software developers allows enterprises to optimize their cost strategy and focus on core functions, conserving internal resources. This strategic shift facilitates successful business operations and drives efficiency.

 

Krasamo is a nearshore software development company located in Dallas, with operations and a delivery center in Aguascalientes, Mexico, which has provided services to US clients since 2009.

Related Blog Posts

LLMOps Fundamentals

LLMOps Fundamentals

Explore LLMOps fundamentals for generative AI applications. Learn how effective management and operations transition prototypes to real-world use cases with Krasamo’s specialized services.

Matter Smart Home: Reliable Connectivity Standard for IoT Devices

Matter Smart Home: Reliable Connectivity Standard for IoT Devices

The IoT Smart Home market currently offers numerous products that work with various different platforms, protocols, and applications, making the Smart Home setup and maintenance a cumbersome activity that requires effort and time. Therefore, users have been slow in adopting IoT Smart Home products due to decreased satisfaction or frustration produced by the complexities of incompatible protocols, specifications, and stacks.

App Crashes Disrupt User Experience

App Crashes Disrupt User Experience

Discover the common causes of app crashes, from software bugs to compatibility issues, and discover how developers can enhance app stability.

Exploring Agile Development Practices

Exploring Agile Development Practices

This paper delves into Agile development practices, focusing on their application in the fast-evolving field of mobile app development. It explores the essentials of Agile methodologies, emphasizing the need for flexibility, efficiency, and user-centric approaches in today’s technology landscape. The paper examines various Agile practices, such as Scrum and Kanban, discussing how they cater to the complexities of modern app development and the integration of new technologies. It also addresses the challenges faced in Agile environments and proposes effective strategies for their resolution, ultimately underscoring the significance of Agile practices in enhancing software development processes and outcomes.