How to Choose the Right IT Outsourcing Partner
Jason Giampetruzzi | Sep 18, 2024
Struggling to find the right people for your tech project? You’re far from alone.
An astonishing 77% of employers — particularly in the IT and data skills sector — are scrambling to close talent gaps. Many companies now use IT staff augmentation to recruit specialists in a talent-strapped market.
Everyone’s doing it — from startups to giants like Google (which famously bought Kaggle to access 600,000+ data scientists for its AI products).
And with spending in talent augmentation set to reach $81.87 billion by 2025, it’s clear that this staffing strategy is a great way to skill up, scale up, and stay ahead.
Here’s what you need to know about software staff augmentation services and how you can implement it in your business.
Staff augmentation means hiring skilled professionals to blend into your existing team for specific tasks or durations.
Whether you need a software developer to crack tough codes or a project manager to bring order to chaos, staff augmentation services can extend your in-house team with specialized skills pronto. It’s a fast and flexible fix for your immediate requirements.
The major different types of staff augmentation services are:
Companies looking to use technology staff augmentation might be looking to temporarily hire tech specialists like:
Staff augmentation is often confused with other IT outsourcing models, but it’s a different strategy.
Here’s a quick look at the differences between managed services vs. staff augmentation vs. outsourcing:
Staff Augmentation | Dedicated Teams/ Managed Services | Software Development Outsourcing | |
---|---|---|---|
What you do | You hire individual IT professionals (like developers or system admins) to fill vacancies in your existing team. | You collaborate with a whole team of IT specialists from a service provider. This team is dedicated entirely to your project. | You outsource your entire IT project to a third-party company located onshore, nearshore, or offshore. |
What you get | IT professionals who can directly plug into your existing infrastructure and projects, bringing specific skill sets. | A consistent, specialized IT team dedicated entirely to your project and follows your project requirements. For more information, check out Cheesecake Labs’ approach to dedicated teams. | An all-inclusive team of IT professionals who can take your project from ideation to deployment. |
How it works | You identify the IT skills and roles you need. The staff augmentation provider sources and helps to integrate these IT specialists into your in-house team. | You drive the requirements, and the provider oversees the team. Providers can equip the team with the tools and resources they need for the project or they can work in your environment. | You relay your requirements to the outsourcing firm. They manage the entire product lifecycle, including staffing, development, testing, and daily operations. |
Staff augmentation services can boost your team’s short-term capacity. This flexible model allows swift talent acquisition to cover skill set gaps without locking you into long-term commitments. It offers several benefits, including:
While there are many ways to get the talent you need to build your mobile or web app, staff augmentation could be the best option if:
With 54% of IT leaders unable to fill at least one vacancy — and 38% failing to fill three or more. Staff augmentation promptly addresses any deficiencies to keep you ahead of the curve.
Maybe you need blockchain services or AI expertise — both niche fields with fewer qualified candidates. Staff augmentation is a more flexible and lower-risk approach to sourcing specialists.
Did you know that being just six months late to market can slash a product’s five-year profits by 33%? Augmented staff can accelerate project timelines, so you can capture market share before your competitors.
Not an IT expert? No worries. Your in-house team can focus on what they do best while the augmented staff takes care of the tech-heavy lifting.
Need help stat? Staff augmentation is a quick way to add specialized skills that your in-house team may lack.
Even innovative companies can get stuck in a rut. An influx of fresh talent can provide new viewpoints and methodologies to invigorate your team and projects.
Staff augmentation services can position your project for timely execution and great results — all done on a leaner budget.
But that’s just half the equation. You also need effective management for a successful staff augmentation project.
How do you optimize your contract team’s performance? Here are some staff augmentation best practices to keep in mind:
First, identify skill gaps in your current team to pinpoint the ideal candidates to fill those voids. Set clear project goals, schedules, and expected tasks to make the hiring process simpler.
In a hypercompetitive tech market, confidentiality agreements can safeguard your trade secrets and intellectual property and minimize potential risks to sensitive data and proprietary information.
Well-connected teams are 20% to 25% more productive. Use tools like Slack for day-to-day interactions and video conferencing platforms like Zoom for more in-depth conversations.
Inclusion matters, even in a temporary arrangement like staff augmentation. Make augmented staff feel like part of your team by involving them in team meetings, including them in decision-making processes where appropriate, and giving them access to the same resources as your in-house team.
Share all relevant documentation and procedures with your augmented staff to put everyone on the same page. Assign a point person (usually a project manager) to oversee knowledge transfer.
Regular check-ins help align your external experts with your project goals and deadlines. If you can’t manage this yourself, delegate the responsibility to a liaison between you and the augmented staff.
When you bring in people from around the globe, you’re also inviting a range of cultural norms and time zones into your workspace. Acknowledging these differences isn’t just respectful — it’s also good for business.
Be aware of time zones, holidays, work styles, and communication preferences to prevent misunderstandings and foster a more inclusive environment.
Though your relationship may be temporary, recognition boosts morale and can lead to better work outcomes. Offer feedback both privately and publicly to motivate your augmented team and affirm their value.
Do you expect your project demands to evolve down the road? Be sure to agree on notice periods for scaling up or down.
How do they hire and vet their candidates? The answer will give you insights into the caliber of professionals you’re likely to get.
Staff augmentation companies with rigorous vetting processes are more likely to provide high-quality team members who are experts in their fields.
Make sure the company conducts multiple rounds of interviews, technical tests, and reviews candidates’ work experience and expertise to ensure competency and reliability.
Their process should take the pressure off of you — you won’t need to do in-depth interviews since it will already be done for you.
Choose a provider that has both a broad talent pool and low turnover rates. They’ll likely be better at accommodating changes in your project’s size and scope.
Look for indicators of reliability and competence, including positive client testimonials and comprehensive case studies demonstrating a track record of success.
A provider with a strong company culture and employer branding is also likely to attract and keep top talent and can offer you a stable pool of skilled candidates to minimize turnover.
Nearshore staff augmentation means outsourcing your project tasks to a country that is geographically close to your own, usually in the same or a similar time zone.
For countries in North America and Western Europe, this means Latin America. Brazil, in particular, is one of the best countries for nearshore staffing for several reasons: cost-effectiveness, cultural similarities, tech education and IT talent, high English proficiency, and minimal time difference.
Looking for world-class software development staff augmentation? Cheesecake Labs has a lot to offer. There’s a reason we’re the #1 app developer in Brazil and we’ve been certified as a Great Place to Work for eight years in a row!
Unlike other companies that hire per project, we have a pool of exceptional talent ready to jump into your project, ensuring quick scaling and staffing. Our vetted and onboarded specialists are the same high-quality professionals who work on the projects we fully manage.
Our top-tier hiring process means we always hire the right people with the right skills.
Here’s what Chief of People & Culture Officer, Caroline, has to say about our lean, laser-focused process:
At Cheesecake Labs, our hiring process is meticulously designed to ensure that we not only provide a positive experience for our candidates but also guide them through a journey that reflects what it means to be a ‘Caker.’
When we hire to fill out our talent pool, these are the steps we take:
We’ll also work with you to ensure our experts have experience with your tech stack. Here are just a few things the Cheesecake Labs team has expertise in:
Our approach to hiring means we can consistently deliver a WOW experience for our clients looking for staff augmentation.
If you want to know more about our IT staff augmentation services, let’s chat! We’ll help you build the best team for your business’s needs.
Also known as Doug Gimli, I'm a developer that works with interactive solutions facing web projects, trying every day to deliver a full and great experience to users.