DETROIT, MI--US IT executives are more likely to use nearshore sourcing than offshore sourcing... if the price is right.
Nearly 130 IT executives participated in a survey entitled "Global Sourcing Trends Necessitate Considerations of Nearshore Sourcing in Canada," commissioned by Compuware Corp., Detroit, Mich. and conducted by IDC Canada. Respondents say nearshore sourcing is more favourable when the cost benefit is 65 per cent lower than the cost of a US provider.
The survey also explored the decision-making processes that are involved when a company considers outsourcing its application development projects outside of the US.
Cost was not the only factor. More than 46 per cent of respondents say the availability of experienced professionals was the most important reason, followed by the access to specific technical skills. Competency of the English language along with shared business culture and access to a local expert were also significant issues.
Jim Westcott, senior analyst for IDC Canada says Canada's community of expert IT professionals, the proximity to the US and its currency rate, positions the country as an "important component in the global sourcing strategy." print friendlyEmail this to a friend