If there’s one sector that has behaved the most dynamically in previous years– it is definitely the Information Technology (IT) sector. There are always new trends emerging, like IoT, AI, Machine Learning and Geo-targeting. As a business owner, it is crucial to stay ahead of the competitive curve and leverage these new tools to the fullest. However many businesses struggle due to lack of resources, skills, and talents, limited budget, hindering their long-term growth. IT staff augmentation can solve this problem by providing remote access to highly skilled professionals. Not only this, you can also get access to the new and advanced tech stacks.
The right usage of emerging trends in the IT sector can make your business graph go high. But not with the limited team. You can’t make the best use of technology until you have a full-blown team of professionals working for you. The evident challenges of an in-house team give another reason to deploy the benefits of IT Staff Augmentation Services.
“Revenue in the IT Outsourcing market is projected to reach USD 541.10 bn in 2024”. Still, not every business is aware of the power of staff augmentation services.
What is IT Staff Augmentation?
There is a big difference between IT staff augmentation and conventional outsourcing. In conventional outsourcing, a contract is signed with a third-party agency. These services involve hiring professionals temporarily to complete a project. For example, you have a staff of only six developers in your company. With IT staff augmentation services, you can hire additional engineers to work on your project. These augmented engineers are proficient in IT skills and help to deliver your work at a faster pace. You won’t need to conduct a hectic recruitment process to hire full-time employees. You must only connect with a reliable type of company to start your project.
Types of IT Staff Augmentation
- Commodity Staff Augmentation– In this type of staff augmentation, a company provides access to relevant professionals without focusing on their skill sets. So if you are hiring them, get ready to provide training for the required work, and integrate them within your team. This model is basically for fulfilling temporary and basic requirements. If your company needs roles like data entry or simple accounts, you can opt for a commodity staff model.
- Skilled Staff Augmentation– This is particularly useful if you want skilled professionals to complete a task. Most companies choose this model to hire professionals for short and long-term projects. In this, you don’t need to train these professionals or carry out any development activities. But it’s crucial to set your skill requirements before hiring them.
- Super Skilled Staff Augmentation- In some complex projects, it becomes crucial to hire professionals with advanced skill sets. Regardless of the type of technology, such professionals come with certifications to justify their expertise for the role.
Difference Between Staff Augmentation and Outsourcing
Staff Augmentation-
- You have more control over the team
- Cost-effective
- Flexible
- More focus on resources
- Can be adapted to changing customer needs
Outsourcing-
- Control over the staff and project activities is in the hands of the vendor
- Ideal for conventional projects
- Flexible with certain limitations
- More focus on results
- Adaptability depends on the vendor and his team’s expertise
The Benefits of Staff Extensions
Many of the significant benefits of staff augmentation include-
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- Reduction in Cost– As compared to a traditional hiring situation, where you need to provide benefits like medical allowances, conveyance, and others– staff augmentation cuts down all expenses. You don’t need to offer such lucrative hiring perks in case of staff augmentation. A genuine nearshore staff augmentation company charges you an affordable amount for the service of their workers. So you need to stay assured of any insurance, paid leaves, or other employee-associated expenses.
- Access to Certified Developers- Staff augmentation companies provide you with direct access to certified professionals. They follow a systematic approach to hiring the top talents in the IT sector. Their professionals are fluent in communication, quick learners, certified, and have in-depth knowledge in their domain. Connecting with these companies helps in reducing the hassle of finding top-notch developers.
- Increased Productivity- In staff augmentation, you extend your team to work on a specific project. You get more people working together so it’s likely that the productivity is increased and the work is delivered faster. Contrary to this, outsourcing firms are handling multiple projects at a time. So their workers have a limited attention span for your project. Staff augmentation, thus, yields more productivity overall.
- More focus on core business activities- While you hire dedicated developers to work on your project, you get more time to focus on core business activities. Staff augmentation allows your internal team and managers to work on their core tasks rather than spending time on IT projects. This results in better utilization of resources and an increase in efficiency.
Challenges of IT Staff Augmentation
- Hiring Underperforming Staff– Due to a lack of research and rushing in the process of hiring, businesses tend to choose underperforming staff. Professionals may not be certified to handle your project. Their basic knowledge leads to underperformance. And you might not get the desired results even after extending your team. So, it is advisable to put extra effort into researching and checking the records of candidates.
- Partnering With an Unreliable Staff Augmentation Company– Again, due to a lack of research, you might choose an unreliable staff augmentation vendor. Some companies may show fake reviews and projects to distract you. They also have fewer resources to provide their clients with the required number of professionals. You need to pay full attention to what they may promise at the time of signing a contract. Note these points:
- A reliable vendor never overpromises.
- A reliable vendor should comply with your hiring requests without delay.
- You can find mentions of a reliable vendor in other companies’ blogs, or social media posts.
- Trusted vendors take good measures to retain their employees.
- A trusted vendor provides you with seamless support and good scalability.
- A trusted vendor shows a diversified portfolio.
- Potential Privacy Risks– With a remote team, or an augmented team, third-party professionals get access to your sensitive data. They also become aware of your internal operations. So there’s a risk of data leak, as they might use this information in some cases. Although such situations are rare, this challenge persists in staff augmentation.
- Not Suitable for Long-Term Projects- This is a potential drawback of staff augmentation. You can leverage the benefits of IT staff for only a limited period, two years in most of the cases. It’s because the employees may switch their jobs after the completion of a project. So this turn-around time can bring a potential halt in the development process. Whether it is a mobile app development, or a website one, this hiring model is temporary.
- Time Zone Differences– There can be a time zone difference between your company and the staff augmentation one. For example, if someone from the US is hiring from India, he must look for clear communication channels considering the time difference. This may include scheduling regular review meetings at mutually convenient times. Or use some project management tools to create a smooth workflow between your internal team and the augmented team.
Why is Team Extension Popular in the IT Industry?
According to a BusinessWire report, the market revenue of the IT sector is expected to reach around $1493bn in 2025. Such tremendous growth is only possible with the help of a vast pool of software specialists and IT staff augmentation companies. These companies make it easier to hire IT workforce across businesses. Also, in-house team hiring is a time-consuming process. Right from screening candidates, to background checks, to payroll management and onboarding process–everything requires a huge deal of time and effort. On top of it, if you want urgent projects in the pipeline, conventional hiring is not feasible.
This process is quick, as your vendor handles all the formalities. They do the task of hiring skilled developers and giving them training. All you need to do is select the right candidates and onboard them for your project. This helps you to stay aligned with the project timeline while moving towards a faster launch.
To Sum Up
IT Staff Augmentation Services allows you to hire new and fresh talent in your team. It implies availing services of a few temporary professionals who are on the vendor’s payroll. With this strategy, your managerial team can focus more on the growth of the business. You can deliver projects faster. And increase the overall productivity of your team. However, the main challenges with this strategy are underperformance, data leak risks, and limited to short-term projects. A reliable vendor offers the best talent in your industry and overcomes these challenges easily. So take your time, do thorough research, and connect with vendors like Brain Inventory to benefit from staff augmentation services.