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Why is it important for American Companies to nearshore outsource?

Outsourcing is a common practice for many American companies looking to increase their profit margins and cut costs. However, numerous companies are now turning to nearshore outsourcing as a way to tap into a skilled workforce while maintaining a close proximity to their operations. In this blog post, we will explore the many benefits of nearshore outsourcing for American companies, particularly in Guatemala, and why this option is becoming increasingly popular among American businesses.

One of the main advantages of nearshore outsourcing is the cultural similarities between the two countries. This makes it easier for the outsourced team to understand the needs and requirements of the American company, which leads to better communication and collaboration, without the risk of misunderstandings and mistakes. Additionally, the time zone advantage of working with a team that is in a similar time zone makes it easier for the two teams to work together and communicate effectively, especially when working on projects that require real-time collaboration.

Another benefit of nearshore outsourcing is the cost-effectiveness. The cost of living and wages in Guatemala are often lower than in the United States, allowing companies to save money on labor costs while still having access to a skilled workforce. This is especially beneficial for companies that operate in regulated industries such as finance, healthcare, and technology, as it ensures that they are compliant with legal and regulatory requirements in the outsourced country.

Furthermore, nearshore outsourcing provides American companies with access to a skilled workforce in Guatemala. The country has a large pool of talented professionals who are well-educated and have experience working in various industries, which allows companies to find the right talent for their specific needs.

In conclusion, nearshore outsourcing is a great option for American companies as it offers a range of benefits such as cultural similarities, time zone advantage, cost-effectiveness, access to a skilled workforce, and legal and regulatory compliance. It enables American companies to be more competitive and increase their efficiency, also allows them to access a larger pool of talent and resources that are hard to find in their domestic market. Additionally, it enables American companies to be more flexible and adapt to the market changes faster. As more and more American companies are seeing the advantages of nearshore outsourcing, it’s no surprise that it is becoming an increasingly popular option for businesses looking to outsource their operations.

For more information you can contact us at KIVO, we would be more than happy to give you more detailed information on how we can help you in your business.

Citation –
Picincu, A. (2020, July 6). What are the advantages of a diverse workforce? Small Business – Chron.com. Retrieved January 23, 2023, from https://smallbusiness.chron.com/advantages-diverse-workforce-18780.html

George, T., Tarun George View all posts, & posts, V. all. (2010, November 17). Country profile: Guatemala ramps up BPO services, but can it meet skilled labor demands? Nearshore Americas. Retrieved January 23, 2023, from https://nearshoreamericas.com/country-profile-guatemala-ramps-bpo-services-meetskilled-labor-demands/

Mike HernandezChief Operating Officer at Parallel Staff. (2022, August 14). 10 greatest advantages of nearshore outsourcing. ParallelStaff. Retrieved January 23, 2023, from https://parallelstaff.com/greatest-advantages-of-nearshore-outsourcing/

Pratt, M. K., & McLaughlin, E. (2022, April 27). What is business process outsourcing? – definition from searchcio. CIO. Retrieved January 23, 2023, from https://www.techtarget.com/searchcio/definition/business-process-outsourcing



Efficiency increase of 42%

Our specialized Business Process Outsourcing (BPO) service provides significant efficiency increases to our clients. We offer up to a 42% increase in efficiency through the following:

  • Cost reduction: Access to a large pool of resources and talent, enables us to handle high volumes of work at a lower cost per unit.

  • Specialization and expertise: KIVO specializes in specific business functions and invests in the necessary infrastructure, technology, and talent. This expertise allows us to perform tasks more efficiently and accurately than in-house teams, resulting in higher-quality output and a reduction in errors.

  • Technology and automation: Our cutting-edge technology and automation tools help streamline processes and reduce manual labor. Our technology not only speeds up processes but also increases accuracy, resulting in a higher level of efficiency.

  • Focus on core business: Outsourcing non-core functions to KIVO allows our client companies to focus on their core competencies and strategic goals. By reallocating resources and attention to high-value activities, our clients can improve their overall efficiency and effectiveness in the marketplace