Outsourcing & Nearshore

The advantages of working with your internal staff are pretty obvious. Until some time ago Outsourcing was seen as a means to reduce costs, but in recent years has proved to be a useful tool for business growth for several reasons.

Outsourcing benefits

Concentration on core business areas

Back office operations of a company require high maintenance and specialized attention. Yet most of them are critical for the company's everyday activities. By outsourcing their back office operations businesses can concentrate on their core competencies while their back office operations are being managed smoothly by a specialized third party company.

This means having the ability to focus resources and attention on core business processes. You can also free up space that can be put to alternative uses.

Skilled human resources at affordable prices

Outsourcing gives a company the ability to get access to skilled and trained human resources at low rates. This in turn leads to an increase in productivity as well as cost savings. By outsourcing a company saves on recruitment, training and other human resource costs it would otherwise have to maintain internally.

World-class technology at lower rates

Investing in new technology is often risky and expensive. As the technology market develops rapidly, it is difficult to keep up with latest innovations and solutions. Thus outsourcing to companies that have the resources, expertise and desire to continuously update their technological solutions, offers a true advantage.

Increased productivity

By employing skilled human resources in larger numbers at lower costs, companies can really increase their productivity. This, in turn, would result in better customer satisfaction, increased profitability and more predictable result-based budgeting for the outsourced function over the period of the possible outsourcing agreement.

Beat Competition

In today's fast paced global economy a company needs to provide high-quality services to its customers in order to retain them, as well as to provide the services for cheap prices. Outsourcing in this case can help the company maintain lower rates with better service solutions, thereby giving them a better market position or even a competitive advantage.

Share risks

Outsourcing can help accommodate peak loads.

8 am

Seattle

11 am

New York

12 pm

Buenos Aires

Nearshore advantages

Nearshoring derivates from the business term "offshore outsourcing", in which various business processes are relocated to foreign, lower-wage countries which are relatively closer in distance and time zone than the more traditional offshore locations.

Proximity and Time Zone

Geographic proximity and similar time-zones allowed companies to have increased face-to-face interaction allowing more complex types of projects to be done Nearshore. This filled a gap left by distant offshore locations such as India.

Cultural Affinity and Ease of Doing Business

Because of proximity, most Nearshore locations have closer cultural affinity to their primary markets than offshore locations. Argentineans for example are very familiar with U.S. lifestyles, customs and styles of communication. There is a close familiarity between the two cultures, helping to minimize communication issues due to cultural differences.

Cost Savings

Depending on the location, cost savings can be equal to that of offshore locations. For example, Argentina was able to give substantial cost savings to U.S customers that were comparable to cost savings in India because indirect costs such as contracting costs, due diligence, communication and travel were lower.