3 Reasons Why Mexico Is a Better Option for Software Development [Updated 2019]

Why is Mexico a better option?

Software outsourcing has become a necessary trend for companies needing to scale up their business, but finding it difficult to find the talent they need. In recent years, demand for software developers has skyrocketed, resulting in a lack of talent, and a premium for the talent that is available.These factors have forced companies to look outside their borders in order to find talent. However, with so many geographical options, the decision on who to collaborate with is not an easy one. However, companies in the US who value quality of code, accountability, and ease of integration with internal teams, nearshore is often the best choice for a successful outsource engagement.

People often ask why Tiempo Development chose Mexico as the location for its development hubs. The answer is that Mexico provides the best in nearshore accessibility, cultural relevance and cost advantages, as described below.

Accessibility

Conveniently located right next to the U.S. and within the same time zone, Mexico offers more flights than other outsourcing locations. According to Mexico’s Department of Communications and Transportations, their largest airport, Benito Juarez International’s top ten busiest locations of 2012 included seven US destinations, number one being Los Angeles. Mexico’s second largest airline, Volaris, known for its cheap fares, had a 24% growth of US traffic through the first 11 months of 2012 to 1.1 million passengers (Centre for Aviation). Transborder operations have shown to be growing more and more between Mexico and the United States.

The proximity of Mexico to the United States poses as one of the greatest benefits for companies looking to outsource their software development. A short commute to an outsource partners facility can provide a wide range of advantages, from being able to physically meet and evaluate your partner before beginning an engagement, to creating a culture of collaboration between internal teams and those of the outsource partner. Nearshore also presents the advantage of shared time zones. Gone are the days of waking up early to interact with an offshore team. Nearshore teams work on your schedule, making them available when it is most convenient for you and your team.

As an outcome of having such close proximity to the U.S., Mexico has had the advantage of English speaking professionals. PROMexico justifies this through a KPMG study entitled Nearshore Attraction: Latin America Beckons as a Global Outsourcing Destination, pointing out that “as regards to English, it makes sense that the more we come close to the North of Latin America, the more the level of English improves. Mexican cities such as Monterrey and Querétaro are a good source of bilingual graduates.” Opposed to an offshore engagement to some European or Asian countries, the English skills present in Mexico’s software development community has proven time and time again to facilitate effective communication, and assist with the integration of the outsource team with those working internally.

Cultural Relevance

The importance of cultural similarity is often overlooked in the outsourcing of software development. Yet many development initiatives, particularly those using agile methodology, require daily interaction amongst team members. The proximity and cultural overlap, particularly between Northern Mexico and Southwestern US, facilitate communication and relationship building between developers in the two areas. The benefits of shared culture are twofold. With similar cultures, and shared experiences, team members on both sides of the border are able to relate, and in turn bond with their counterparts, easing the initial integration. Also, unlike some other countries who often follow directions to a “T,” often fail to contribute to higher level planning like the design and implementation of a solution. Nearshore resources, especially those in Mexico, share many of the cultural tendencies of their American counterparts, and excel at voicing concerns, and providing valuable feedback, adding their skills and experiences to the value of the engagement.

Cost Advantages

Nearshoring to Mexico has become increasingly popular over the past few years, and growth is expected to continue. This can be attributed to the sheer number of engineering and tech graduates joining the workforce each month. Forbes reports on the growing quality and quantity of tech talent in Mexico as, “Mexico had over 113,000 engineer graduates in 2015, which was the eighth highest in the world,” and, “produce highly educated, technology savvy individuals,” that, “United States and Europe are recognizing the talent of software engineers, and acknowledging them as peers.”

While locations such as China and India are still being heavily utilized, Mexico appears to be just as cost effective for US customers, when you factor in the quality of code, ease of integration, and productivity enabled by perfect symmetry between internal teams and Mexican talent.

In recent years, Mexico has rapidly making progress in its commercial districts. For example, the Mexican government invested $100 billion to improve their telecom and transfer infrastructure (NearShoreAmericas). Aspects of the investments included four new airports, seven seaports, and roughly 3,350 miles of highways (Associated Press). In essence, this plan was designed to expand and upgrade telecommunications and infrastructures. Mexico’s president, Enrique Peña Nieto explains, “The government’s plans are aimed to modernize, expand and maintain communications and transport infrastructure. Having a quality infrastructure in the transport and communications sector is crucial to accelerating economic activity and social development.” These investments have made outsourcing software to Mexico more reliable and accessible.

“Since 2007, we have been developing great software utilizing I.T. resources in Mexico. We’ve experienced firsthand the benefits of working with a group of people in the same time zone with a growing economy and whom we can visit conveniently next door, literally.” -Cliff Schertz Founder and CEO Tiempo Development

Note: Forbes also recently published this article – Mexico Takes On New Roles In Outsourcing. It speaks to size of the IT workforce and other benefits.

Use this helpful guide to determine if nearshore outsourcing is helpful for your company.


About Tiempo Development

Tiempo’s nearshore business model has become hugely successful because we have been able to leverage the talent Mexico is fostering, making software development easier and more affordable. Our Mexico software development teams engineer powerful technologies that align with the goals and strategies of our customers for both their internal and public-facing development initiatives using our product lifecycle management framework called Tiempo Quality System or TQS. This proven combination of resources, process, technology knowledge, industry expertise, and strong leadership provides our customers with cost-effective solutions delivered quickly from a pool of highly successful Mexican STEM graduates and experienced engineers. Our technical focus includes Microsoft infrastructure and security such as .NET and MSSQLJavaLAMP and mobile application development. Find out more about outsourcing software development by contacting Tiempo today.