Companies looking for savings but worried about the risks and cultural barriers involved in offshore outsourcing, whose business processes have a strong customer focus or regulations-driven reporting element, could benefit from nearshoring. Nearshoring involves outsourcing work to companies with the economic benefits of an offshore location, but a closer cultural, linguistic, and geographic fit with the user organisation.
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a basis for a call centre, it is perfectly acceptable, he says. But then, it is relatively easy to find English speakers in India. If you are a German company, you are likely to do it in the Czech Republic or Poland and take the transactional stuff further out. Companies will find cost reduction less of an advantage when working in nearshore operations, says Virdi. Project costs are still much lower than in the UK, but it may be difficult for nearshoring operations to match the very low labour costs