Whether your company is in IT, software development or applications, the advance of new technologies is forcing all industries to ride this wave of digitalisation. From applications, to digital services, to websites, management systems, cybersecurity, among many others. The spectrum is very broad and not all organisations can handle it in the best way.

Whether 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

This outsourcing model allows you to manage your workflow as efficiently as possible, since you can add staff when you need them most (such as surges in demand or unexpected events) and then return to your normal size very easily.

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.

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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