Staff Augmentation vs Managed Teams. What are they and what’s the best way to apply them? Let’s find it out!
Whether your company is in IT, software development or applications, the advance of new technologies is forcing all industries to ride this wave of digitalization. From applications to digital services, to websites, management systems, and cybersecurity, among many others. The spectrum is very broad and not all organizations can handle it in the best way.
No matter if you want to accelerate an ongoing project or to start one from scratch, there are outsourcing options to facilitate the development of these ideas. In the following article we will tell you a bit about these possibilities, what they are, their advantages and the best way to apply them.
Staff Augmentation vs Managed Teams: Know everything about this outsourcing models
Staff Augmentation helps companies to make their personnel structures more flexible by letting them expand or shrink their teams as they need. It’s a type of temporary employment to increase the capacity of your team, complementing the skills and knowledge of it. This outsourcing model makes it easier for you to recruit qualified staff on an external basis to carry out projects or cover positions that are needed. Augmented staff aligns with the in-house team and works side by side with it.
Benefits of Staff Augmentation
Control of your team
You keep control of the project and you can track the progress at any time. What the outsourcing company does is to look for the best qualified candidates for the position you need to fill.
The coordinator´s project or the project manager can assign tasks to the augmented personnel as she or he does with your in-house team. They will adapt to your way of working and your companies values
Talent you need
Finding high-level IT staff can be difficult and you need to be aware of the requirements for this type of work. By choosing an augmentation staffing service you ensure you have the talent you need to successfully develop your project.
Reduce costs
You only pay for the time spent on your project, you forget about the costs of recruitment, hiring, social charges and annual taxes. You also save on office space, hardware and other costs associated with having in-house staff.
Structure flexibility
Outsourcing lets you easily adjust your workforce as needed for demand or unexpected events.
Cons of Staff Augmentation
Dependence
You depends on the services provider to find the right resources for your specifications or requirements
Managed Resources
As we said before, the control of the project remains with the company, which is why the management and administration resources for supervising the project are still in the hands of the company.
Not recommended for long term
If you need resources to stay for a long-term proces, it may be more suitable to hire permanent in-house staff that remains on your company during this long period of time.
What are Managed Services?
with the Managed Services model you outsource an entire team of experts with the most suitable skills and the expertise needed to carry out a project.
Parameters and specifications are determined between the client and the IT company, which is committed to work within these details. Once this commitment has been made, the IT company is responsible for hiring the appropriate personnel, managing the project and executing it.
This type of outsourcing is usually chosen when a specific result is sought but the resources to achieve it precisely are not available.
Pros of Managed Teams
Save Time and reduce cost
You hire a complete team to carry out your project, you save the time spent on recruitment of every developer or IT expert, hiring and trining them and get them the right equipment and space. And at the same time you save cost and efforts because you have a fixed price for the service and just changed with the amount of work
Control
The service provider is in charge of everything from time zero until the end of the project, the client can take care of other aspects of his company. In the same way the service provider monitors each and every process throughout the duration of the project, taking care of all the necessary resources.
It is important to choose a reliable and experienced supplier to ensure that the project will achieve its objectives.
Cons of Managed Services
Higher Cost
In comparison a Staff augmentation model, it would probably be more expensive as you make a contract for an entire team, from developers to a project manager, and all the resources that they would need.
Vendor Relibilty
You must be sure the vendor you choose for these kind of outsourcing strategies is of high quality and has experience in projects similar to those you want to carry out.
Final Thoughts about: Staff Augmentation vs Managed Teams
When to choose which option?
Pick Staff Augmentation:
If you need a specific position that is not easy to find, like a very experience developer or with expertise on a specific technology or language.
To reinforce your team at specific times when you know there is more demand for work but you know it will be for a certain period of time.
If you have new tasks for the in-house team that you already had, adding staff to carry out new aspects of the project you are carrying out.
Pick Managed Teams:
When you don’t have someone experienced to manage a project, outsource your idea to a supplier who knows the industry and is an expert in the field.
When you are sure of the objectives you want and you know the risks of carrying out a given project, outsourcing with your well-defined specifications will get you where you want to be.
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