How to extend your development team with staff augmentation in 2021
Outsourcing is a favorable practice to meet business objectives with minimal resources involved to support their strategic goals. Companies that favor professional services for a reasonable price have embraced this delivery model quite fast. Outsourcing companies increased the scalability of services they provide based on the demands of the current market. It also includes such software development outsourcing types as staff augmentation and dedicated development teams.
Traditional outsourcing and staff augmentation have a significant influence on the global economy: in 2019, the outsourcing market amounted to $92.5 billion worldwide, not only because it’s considered cost-effective to outsource, but also Deloitte revealed that companies often choose to outsource to focus on their core business activities, due to flexibility, enabling speed to market, and enhancing service quality for a new project.
Remote teams prove to be a successful solution to the IT industry, which requires skilled programmers with high competencies to deliver a high-quality job for beneficial pricing. Because recruiting in-house specialists is a challenging, time-consuming task, and freelancers often happen to be unreliable, staff augmentation offers the benefits at a fraction of the cost; however, it depends if you choose a time & material or fixed price business model.
What is Staff Augmentation Model?
The augmented staffing model implies extending an in-house team with specialized skills experts on a short-term or long-term project basis. It means that you can cover a team’s skill gap by contracting dedicated specialists that will match specific IT project needs, add a competitive advantage to your business, and eliminate the liabilities of contracting in-house employees.
For example, you are developing an e-commerce website, and you already have a team of developers in-house, but to launch everything in time, you lack 2 more programmers with specialized skills. Not to lose months on recruitment, contracting issues, and selecting a person to fit your team, you can use staff augmentation service and hire a software developer in 2 – 3 weeks; when the project is launched, you are not facing legal complications for firing a team if you don’t need their services anymore.
Specialized staff augmentation firms are just the place to find such dedicated IT professionals ready to join your project in a matter of days. This staff is employed and managed by the agency. It also means a much faster onboarding process without any need to go with payroll management, administration of the office space, vacations, training, and all other admin and legal. However, you still need to onboard a new tech talent into your in-house team. The difference with a dedicated development team is that, in this case, you may not onboard new team members with full-time employees.
Outsourcing agencies keep a database of profiles with a specific skill set, and you can choose to expand your company with vetted software developers. Thanks to their talent pool of professionals scaling your teams become easy and fast. This is especially beneficial for organizations that continuously need to hire developers with different skills and competence levels on a project basis.
Staff Augmentation is a process of extending an in-house team with dedicated specialists on a short-term or long-term contract basis without liabilities of contracting employees.
Why Consider IT Staff Augmentation Services?
More companies turn to staff augmentation to fit time and budget constraints. If you already have a dev team in place with the project manager or tech responsible, staff members would be better than hiring a dedicated software development team that includes managed services from vendors.
Being adaptable to business conditions but secured by a talent sourcing vendor, staff augmentation becomes the right solution if you have a massive upcoming project. An unexpected workload isn’t something you should be bothered with since this team extension model allows you to add people with the necessary skill set at any moment. This way, companies can take up projects of any size and complexity. Relying on staff augmentation will help you cover vacant positions in a matter of days.
Less time recruiting
Recruitment is a challenging task with an often unpredictable outcome. What if you’ve spent six months trying to fill the position and the new employee quits in a few months? Should you consider relocating candidates if there’s no one in your area meeting the demands? What if you only have two weeks to recruit a specialist?
Headhunting takes up too much time and effort. If that’s something you can’t afford, staff augmentation is beneficial, especially if you work with vendors that maintain an extensive database of vetted specialists to match them to your needs quickly.
On-demand outstaffing saves on arranging a new workspace, providing equipment, hardware, software, and other office supplies. On top of that, you don’t have to bother about covering vacations, sick leaves, health insurance, and paying taxes for the employee – all of this is the staffing vendors’ responsibility.
Efficient staff management
Compared to project outsourcing, staff augmentation provides more control over the workflow and the team. When you handle the management operations yourself, it gives you more authority than leaving team management to the outsourcing provider. By monitoring the development process and team efforts, you can take action immediately. So, you won’t be caught up in a situation when the outsourced manager tells you about a problem that could have been solved three months ago.
Focus on people, not vendors
When searching for an IT outsourcing vendor, business owners pay attention to their experience and expertise. Sadly, these factors can’t guarantee the high quality of work their outsourced resources will provide. In that case, the right strategy would be to target the skills you need for the project before choosing the vendor. You can check some vendors on Clutch.co for feedbacks, rankings, and rates.
The staff augmentation model lets you pick an expert with the exact skill set you need, regardless of the vendor. You can select three different programmers from three different firms or look for a vendor that can offer all of them at once. The choice is yours. Either way, you will hire needed software developers in a week.
What Risks to Consider when Hiring Augmented Staff
Increased Management. Augmented staff most of all will not work in the office together with other developers. You need to establish in-house – augmented staff communication, align workflow, track tasks deliveries, and implement a timeline without any risks or miscommunications. It demands more attention from managers.
Privacy risks. As you hire an outsider, make sure your data protected by NDA contracts and rules.
Communication. A huge role in communication would play if you are outsourcing nearshore staff augmentation or offshore. Plan time overlaps and working hours according to time zones. Establish communication tools and their purposes of usage. Use Zoom for video calls, Gmail for the most important information, Slack for team communication.
Coordination. Except for communication, establish project tools you will use: JIRA, TeamClerk, Trello, Asana, etc. Create the outlines everyone has access to, as you may discuss the issues with an in-house team, and your remote employees will not be aware of them.
Staff Augmentation VS Dedicated Development team
Both models are very similar that can confuse you a bit. However, in a dedicated team, vendors have more responsibilities when a client hires a dedicated team. It is different in the staff augmentation model. The client manages staff directly; when in a dedicated team, mostly, it’s a vendor.
The main differences are:
Management – client
Engagement – full-time
Salary review – client
Communication – direct
Management – vendor
Engagement – full-/part-time
Salary review – vendor
Communication – direct/PM
Where to Find a Reliable IT Outstaffing Agency?
Just like any other outsourcing model, staff augmentation has its pros and cons. However, the biggest challenge is to find a reliable and trustworthy partner, especially when sourcing in offshore destinations where risks are too high and unpredictable.
YouTeam – is a marketplace that provides business owners access to a wide range of vetted outsourcing firms and their developer profiles.
The talent marketplace was designed to help business owners hire better developers and achieve maximum efficiency with the staff augmentation model. YouTeam only works with trusted vendors whose specialists have proven experience working on real-life projects around the globe. You will receive a deliberately selected CV of the suitable candidate in 48 hours.
As soon as you found the best-matching developer team profile, the vendor will take care of a smooth and seamless team integration while focusing on core business tasks.
Still, have questions about staffing or outsourcing? We’re here to answer all the questions and help if you need to enhance your current workforce.