In today's global tech landscape, companies face the constant challenge of finding the right talent mix while balancing costs, quality and regulatory requirements. During a recent Tech Unboxed podcast, David Xavier, a long-time executive at BBD, who is chiefly responsible for overseeing operations in Portugal, shared valuable insights about the concept of "right-shoring" and how it's transforming the way businesses approach software development partnerships.
What is right-shoring?
Right-shoring represents an evolution beyond traditional outsourcing models. As Xavier explains, it's a term borrowed from manufacturing that focuses on "moving parts of your business operation to the best location" to maximise profits and lower costs. In the software development context, it's not simply near-shoring, offshoring or onsite work – but rather a strategic combination of all three approaches to create "the best mix possible". This mixed approach allows companies to compose teams with the best quality people in the most appropriate locations, creating an optimised solution tailored to each business's unique needs.
In this episode, Xavier dives into:
- How right-shoring blends cost-efficiency with top-tier quality.
- Why it’s time to move beyond the myths of outsourcing.
- The critical role of partnership over body shopping.
- Key considerations for building globally distributed teams – like regulatory compliance, time zones and on-site requirements.
- How BBD’s South African roots and European expansion position it uniquely to deliver across continent.
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Location strategy and cultural foundations
For companies contemplating where to distribute their teams, Xavier outlines several key considerations. First is the question of on-site presence – whether teams need to be physically present, and if so, how frequently. Second are data access requirements, particularly for companies subject to regulations like GDPR, which might limit where certain work can be performed. Third is time zone alignment, which becomes especially important for companies supporting customers across multiple regions. These factors help determine the optimal mix of team locations, whether that's splitting resources between Portugal, the UK, the Netherlands, South Africa or India – all locations where BBD maintains a presence.
BBD's 40-year history in South Africa has imbued the company with a distinctive work ethic that Xavier ties to the country's "gold rush" heritage. This culture of hard work, progress and customer-focused delivery provides a solid foundation for its expanding European operations. Having served clients across the globe, BBD brings decades of delivery expertise to help companies navigate the complexities of right-shoring in today's global technology landscape.
Interested in finding out more about right-shoring? Listen to the podcast now.
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