Outstaffing and Dedicated Team Model of Outsourcing: Differences to Consider by ViolettaTsiubyk Wetelo, Inc

Now let’s see how these compare to outstaffing to see the difference. Get outsourcing rates in Eastern Europe, Asia, Latin America, Africa as well as tips on how to choose the country for offshore development. As an autonomous, full-service development firm, The App Solutions specializes in crafting distinctive products that align with the specific
objectives and principles of startup and tech companies.

outstaffing model

Of course, it is not all perfect, so you might want to consider the following pros and cons of hiring dedicated developers. When it comes to outstaffing, clients manage their extended team themselves, as it is fully at their disposal. Your CTO, your product or project manager can be in charge of the development process – but whoever they are they come from your side.

Why Businesses Prefer Outsourcing and Outstaffing

Even if you have already decided that you need to find external developers or other tech experts, it’s necessary to choose the correct format for this cooperation. In the Yourshore model, we custom recruit a team of fully dedicated devs with the right mix of skills to meet your specifications. We also embed the developers in your company’s culture to ensure they are fully aligned with your company’s goals. For this reason, insist with your outstaffing vendor that you get to do final interviews for all candidates being proposed to you–and that you get final decision-making power. This qualitative screening will tell you if this developer will be a good fit before you have to commit to having them as team members.

Outstaffing company/vendor — a tech vendor company that searches, hires, and provides clients with various-skilled developers to work on clients’ projects with its in-house team. A dedicated offshore team consists of two or more high-quality developers involved in the development of a particular part of the project. Unlike outstaffing, a software outsourcing company manages the developers in the hired dedicated team. And, unlike the outsource cooperation model, a dedicated team is responsible for a certain part of the development process. The key difference is the level of involvement of the customer in the development process.

Benefits and Pitfalls of Outsourcing

Having managerial positions allows contractor companies to use standards and measurements and perform control over them. Furthermore, it brings an obligation to comply with standards and achieve the KPIs. Playing different roles on a different level, I have had multiple challenges regarding the differences between outstaffing vs outsourcing, as well as what differentiates Managed Services. In the end, each business practice has its advantages and disadvantages, so there’s no universal answer to the “outsourcing or outstaffing” question. In outstaffing, the customer hires a specialist or a team to integrate into his company with the right to manage, and in outsourcing, an external team independently solves issues.

outstaffing model

The main mission of an IT outstaffing company is to supply your current staff needs. Therefore, its recruitment team does its best to provide you with specialists that perfectly match your requirements. The searching process goes on until specialists with the required qualifications and experience are found.

What is Outstaffing in IT?

We’d love to talk to you about your needs today and create a proposal specifically for your business needs. One of the most prominent examples ProCoders has in our experience is the software development for Dryft. The team considered options for their versatility, outstaffing model interoperability, cost, and function. Once the right tools were identified, a work plan was assembled with an eye to speed and maximizing the budget. Sometimes, when deciding between outsource or outstaff, outsourcing will be the clear winner.

  • Managing a remote worker can be both an advantage and a disadvantage.
  • With all this information in mind, you can come to the right decision whether IT outstaffing services are indeed what you need.
  • The latter sign contracts with TalentStaffingPro, while TalentStaffingPro signs a contract with NorthDevTech.
  • All the other technical and legal aspects will be handled by the company providing the outstaffing service.
  • On the other hand, outstaffing is when you hire employees within your own company who specialize in certain areas such as marketing or sales.

Other than that, you’re more than welcome to check all the outsourcing software development pros and cons. To put it simply, an engagement model is a kind of a plan or a strategy that describes the provisions of a partnership between client and vendor. Straight off the back, there’s no single versatile engagement model that suits all types of projects, which is why you must choose the one that suits your particular project. The main difference between these two models comes down to who is in control. With Outstaffing, the client manages the outstaffed development team directly and has responsibility for hitting all key development milestones and timelines.

Outstaffing and Dedicated Team Model of Outsourcing: Differences to Consider

Outsourcing will be the right option if you have occasional bursts of IT needs, whether to build a new app or shepherd the company through major software outsourcing and outstaffing transitions. Under this model, you pay for your outstaff team member’s salary, buy their computer equipment, pay bonuses and overtime, and cost benefits. You don’t do this directly, as the outstaff team member is still an employee of your IT outstaffing provider. This allows a client to “employ” a dedicated IT outstaff team member.

An outsourced team works autonomously, i.e. you do not need to manage it. As for an outstaffed team, you are responsible for its management. Traditionally countries of Eastern Europe like Ukraine, Poland, Belarus, etc. are considered to have the best quality-price ratio.

Outstaffing vs Outsourcing – Making Your Own Choice: 4 Tips

Here’s a breakdown of the average price of software developers’ services in popular outstaffing destinations. Western companies tend to outstaff and outsource from Eastern European countries. Developers from Eastern Europe are affordable, experienced, and known for delivering top-quality work. Besides, we are fluent in English and are comfortable working with Western clients. Work with IT outstaffing companies closer to your region or one with a manageable timezone.

outstaffing model

As a rule, medium and large-size outstaffing companies can provide faster staffing. Consequently, from time to time you may face a necessity to ramp up or ramp down your team. With in-house specialists, it is not so easy, while outstaffing provides you with great flexibility in these terms. You can ask your outstaffing partner to provide additional specialists, whenever the workload is high, or you may inform an IT outstaffing company that there is no more need for certain specialists. It’s challenging to cover outsourcing or outstaffing the development process and its pros and cons fully in one piece.

Why Businesses Decide to Outsaff and Outsource: 5 Reasons

Outsourcing web development is not a solution that works for everyone. However, if you are building not a giant long-term innovative product, but rather a web platform to enhance the existing business, outsourcing might be the best choice for you. It can help you save time and money while providing high-quality results.

Leave a Comment

Your email address will not be published. Required fields are marked *