Thought Leadership
Nearshoring: Myths meet reality
13. March 2024
By Torsten Bielefeldt Schlägelberger, CEO at Conscensia

In today’s rapidly digitalizing business world, Danish companies face an urgent dilemma: how to overcome the growing shortage of IT talent that threatens to slow the speed of innovation and inhibit growth?
The answer for many has been nearshoring, but the path to getting there is filled with myths and misconceptions that can scare off even the most visionary leaders. Let’s explore some of these myths together and explore what reality has to offer.
Myth 1: “The economic advantage has shrunk”
In many Eastern European countries, salary development has been higher than in Denmark, so it’s true, but there is still a large economic advantage. We have customers who experience savings of close to 40% compared to having a similar team in Denmark. In addition, there are competences available in Ukraine, Poland and Portugal that are very hard to find and attract in Denmark.
Myth 2: “We can’t retain a team so we should expect frequent employee turnover”
Our 10Club, which our colleagues join when they have been with us for 10 years, is living proof of our ability to retain talent and build strong teams. With 20% of our colleagues having been with us for over a decade, we contradict the myth of frequent turnover in the nearshore industry.
Myth 3: “It won’t be possible to ensure domain knowledge is built”
Our ability to create a work environment that motivates consultants to stay with Conscensia means that you can confidently expect knowledge to be built up in the overall team. Read more about the key considerations when choosing a nearshoring partner in Conscensia CEO Torsten Bielefeldt Schlägelberger’s article “Mastering the art of nearshoring partnerships,” where we explore the depth of these relationships.
Myth 4: “Nearshoring is only a short-term solution”
Nearshoring is not just a stopgap solution; it is a sustainable cost-effective strategy that can lead to long-term partnerships and continuous growth. Contrary to the myth of short-term collaborations, Conscensia has developed deep and integrated relationships with clients like Kamstrup, Spar Nord and Saxo. These partnerships, where the developers’ long tenure demonstrates mutual satisfaction and commitment, are the foundation for trust and long-term growth.
Myth 5: “Ukraine is unsafe”
We give our customers the option to choose between several delivery hubs that have different advantages and disadvantages. The massive invasion of Ukraine that began two years ago has tested the strength and spirit of both people and businesses. But despite the difficult circumstances, our Ukrainian hub has not only survived, but thrived with a growth rate of 5%. In the article “Two Years of Resilience and Growth”, which you can read here, you get a first-hand insight into the situation in Ukraine two years after Russia’s invasion.
Myth 6: “Our business isn’t big enough for nearshore”
Some believe that nearshoring is only an option for large projects with extensive teams. In reality, nearshoring provides flexibility, allowing companies of all sizes to scale their teams up or down as needed.
Myth 7: “Quality suffers when outsourcing”
Nearshore and offshore are very different and the requirements for using one or the other are very different and important to be aware of. Nearshored teams in countries like Poland and Ukraine are highly skilled and motivated. Productivity depends on team dynamics and leadership, not geography. Many experience higher productivity with nearshored teams.
Myth 8: “Intellectual property risk”
Through clear contracts and carefully selected, reliable partners, intellectual property protection is as secure as local hiring.
Myth 9: “Cultural barriers are an obstacle”
The cultural and geographical proximity between Denmark and popular nearshoring destinations such as Poland and Ukraine helps minimize these barriers, making collaboration smooth and efficient. At Conscensia, we involve all parties in the cultural differences that exist. Cultural fit has been an important criterion when choosing our locations.
Myth 10: “Cross-border communication compromises projects”
While language and communication barriers may seem challenging, a common understanding of English and the use of modern communication tools ensures a seamless exchange of ideas and feedback.

Is a nearshore team the solution for your business?
By addressing and demystifying these common myths, we open up a new world of possibilities for you to solve your digital realities. Our customers use this as an excellent opportunity to drive innovation and growth, as opposed to a temporary solution to talent shortages. Over 18 years of experience and long customer partnerships, we have built a proven model that can guide your business through the transformation from myth to reality and help you realize the full potential of nearshoring. In my previous article, “Denmark’s digital future: Growth or Stagnation?“, I explored how Denmark can navigate the digital era.