What is beneficial IT Staff Augmentation or Outsourcing?

Blog IT Staffing & recruitments 29-Nov-2016


The complexities in current IT Industry has grown to such a level that it is getting tough for the delivery team to execute the projects on time with customer satisfaction, even after the usage of Agile Methodology in the project the timelines are always surpassed, which hampers the project delivery and indirectly impacts the brand image of software firm.

Most critical aspect of projects is resource, since they are the ones who drive the progress, it is very imperative to have enough resource back-up when project is executed, so the delivery count and bench count has to be enough to sustain any kind of contingency from resource perspective, this situation is challenging for any HR Manager and puts lots of pressure to maintain the smooth execution of project.

To evade this situation the management can take help of third party service providers and conveniently share their work in form of Outsourcing IT project or hire temporary skilled resources to enhance the internal expertise, at the same time can save considerable cost. In spite of the similar benefits derived out of Outsourcing and Staff Augmentation they cannot be used as the synonym as they have their own DNA differentiators.

IT Staff Augmentation

In layman’s language terms, IT Staff Augmentation can be explained as onboarding particular technology specialists for a short period of time on a contractual basis, Organization can utilize their services on lease for a specific project/assignment or duration, they are considered as part of the team but moreover they work remotely.

Outsourcing

Whereas Outsourcing is handing over a project/assignment to third party operator who is an expert in that particular project, the Management sets the requirement and modus-operandi for them but they don’t really get involved in the execution, hence it is a more indigenous task. Let us understand the Differentiators-

Project Outcome VS Team

Staff Augmentation is focused on getting specific technology specialist to be a part of the internal team for executing the project, here the concentration is on getting a correct resource with the technical skill set and know-how since the project is under the direct supervision and provides management to have full control of its functioning. On the other hand, Outsourcing is done with the focused approach of desired Project Outcome or delivery from external teams by trusting their expertise and leveraging it.

Command

Staff Augmentation gives you the option of training the temporary staff; they are bound by company rules and regulation to follow the operational process for project execution which gives Management full command over the situation which at times is critical for completion of complex tasks. Outsourcing doesn’t have room for such command as the task is outsourced to the third party, yes one can set guideline and review checks to overlook execution but in Outsourcing the command is comparatively less.

Accountability

Staff Augmentation results in chain of tasks to be executed once the resource is onboard, process like training, meetings with internal stakeholders, team meetings, bringing resource at a platform where he/she can contribute to the project in better manner, all these and many others are responsibilities of organization, In outsourcing since Project is outsourced all responsibility s are now headache of Third Party, and as a headache is lesser, so is the control.

The crux of this discussion is that both staff augmentation and outsourcing are great tools for business owners. They are comparable yet have their own significance. It’s logical to have both options at your disposal and use discretion to choose the most sought-out option for the exact processes.


Author - A.S.