9 in 10 CTOs plans to embrace outsourcing, STX Next CEO recommends nearshoring

Almost nine in 10, of 89%, Chief Technology Officer (CTOs) plan to outsource software development or IT expertise in the future, despite the recent lull in the sector’s popularity, according to research by STX Next.
In its 2021 Global CTO Survey, STX Next CEO Maciej Dziergwa said that their latest findings mean that “tech leaders remain very much open to the idea and are exploring how it could work for their business in the future,”
During the previous years, the confidence in IT outsourcing diminished — with 43% of CTOs admitting to stopping — due to the low-quality of work, lack of strong relationships, communication issues, and poor cultural fit.
Dziergwa explained that nearshoring, choosing a partner in a neighboring country or in the same region, could solve this dilemma as there is a “lack of significant time differences or cultural and language barriers” within the two companies.
He added that this could potentially avoid “the pitfalls of the past” and deliver more benefits to companies worldwide.
STX Next’s survey also recorded that of those who are outsourcing their technical capabilities, 39% have done so globally and 33% have outsourced within the same continent.