The decision of whether to staff augment or outsource may seem easy at first, but once you think about it more, you’ll realize that it can be more difficult than you think. There are pros and cons to both options and some scenarios call for one over the other; in this article, we’ll examine what those scenarios are so that you can make the best choice possible when hiring talent on behalf of your business. Read in this article, The Pros, and Cons of Staff Augmentation vs. Outsourcing.
Advantages of Staff Augmentation
A dedicated development team – People who live, breath, eat and sleep your business. Dedicated means that you have a specialised development team working on one project for your company only (so no time is wasted with introducing new people to other projects). They should be responsible for all activities related to application development (analysis, design, programming etc.) The same people will be working on your project throughout its whole life cycle: from creation to its end of maintenance period. Having a dedicated team means that: you have always the same group of people working for you there is no need to involve other teams in case some part of project gets updated there are no hand-overs between different projects everyone knows exactly what they should do there are less meetings because work processes are fully established
Advantages of Outsourcing
An outsourcing company typically has its own dedicated team which can provide consistent performance because it does not depend on individual contributors with varying levels of availability; it may use freelancers for projects with specific skills requirements; it’s usually easier to manage an outsourced development team compared to a staff augmentation developer; communication is often simplified via Slack, Skype, email, etc.; there is little time zone difference between your country and that of your outsourced developer.
Disadvantages of Staff Augmentation
Staff augmentation can be an expensive option compared to outsourcing. Hiring dedicated staff members is a lot more expensive than hiring contractors or freelancers. You also have higher legal responsibilities if you hire staff instead of using contractors, as you’re now employing someone, which brings a whole slew of costs and extra work onto your plate. It’s important to consult with an attorney or advisor in your area before making such a decision, but it’s fair to say that hiring dedicated employees is usually going to be more expensive than using contractors or freelancers—especially if you hire a permanent member of staff rather than a contractor/freelancer who works on an hourly basis as needed.
Staff augmentation can be an expensive option compare to outsourcing. Hiring dedcated staff members is a lot more expensire than hiring contractors or freelances. You also have hihger legal responsbilites if you hire staff instead of using contractors, as you're now employing someone, which brings a whole slew of costs and extra work onto your plate. It's important to consult with an attorney or advisor
Disadvantages of Outsourcing
While outsourcing has its advantages, it also has some disadvantages that you need to be aware of before making a decision on whether to outsource or not. You should know that outsourcing can be expensive if you outsource all your development needs, but it’s definitely something that can work for your business in certain cases. Also, when you outsource software development to other companies, you’re giving away a part of your company to another company and usually have little control over their actions; however, with dedicated developers working on internal projects, they’re more accountable for their own actions as they are directly working for your business.
Choose the Best Option Based on Your Business – Staff Augmentation vs. Outsourcing
Some businesses find staff augmentation to be a more cost-effective option than outsourcing, but it’s important to note that each has its pros and cons—and there are clear benefits associated with outsourcing as well. For example, a dedicated development team can provide specialized talent for your project, but staff augmentation development companies often have a broader range of skill sets available. In addition, staff augmentation requires less overhead because you aren’t responsible for paying employees on an ongoing basis. On the other hand, you won’t have access to those same employees on an ongoing basis either. If you need someone on call 24/7 or if you need someone who is familiar with your business processes and culture, then outsourcing might be a better choice. As you weigh these options based on your specific needs, keep in mind that some types of projects lend themselves better to one approach over another.
Conclusion Between Staff Augmentation vs OutSourcing
Hiring a dedicated development team is often referred to as staff augmentation, while using an outsourced development team can be seen as outsourcing. Both have pros and cons, but they're different in key ways: Staff augmentation benefits from company continuity; outsourcing has decreased costs, since you don't need to pay for employee health insurance or payroll taxes. The choice between them depends on your specific needs for building out your in-house team—but sometimes it's about what works best for both you and your budget. It's important to choose wisely because there are long-term consequences with any decision you make when hiring a new development team.
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