Recruiting Agency vs Outstaff Company: Comparison & How to Choose

The contractor should also have a profound understanding of your objectives and typical problems unique to your industry. Avoid hiring a team with a limited skillset if you aim to create a really sophisticated solution. Thus, you should check the companies’ portfolios and the experience their specialists have, as well as their expertise across various technologies and platforms. So now, as the benefits of IT services outsourcing are clear, let’s speak about the challenges and the mistakes to be aware of when turning to an outstaffing company. Being able to offload the software development and tech functions to the dedicated team, business owners or managers can focus on what matters the most – core business strategy and business growth. The most reasonable cooperation model nowadays is IT outstaffing, used by many businesses to keep costs low and at the same time increase business efficiency.

So, apply these tips to choose the best solution for your company, increase your team’s performance and raise profits. Responsible for providing remote employees with tasks and controlling their delivery. You can refuse workers or ask to replace them with other people without legal problems.

Step 1 – Define the project scope

Outstaffing allows you to focus on the things that matter most to your business. You can outsource those tasks that are not a part of your core competencies so that you have more time to work on other areas of your company. As the job market becomes more saturated, there is less competition for talent.

outstaff team

Employee retention is even more relevant as employees act as the extension of the customer’s core team. In a way, an employee works a triangle between customer, employee, and software developer. The cost of hiring a team of developers depends on their specialty, experiences, location, and how much money went into finding and recruiting them.

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Outsourcing in this country is regulated by federal laws, which ensures that your cooperation with your remote employees will be safe and secure. It’s a perfect choice for those looking for nearshore outstaffing options. If you take a look at the outstaffing vs recruitment comparison, you will see that the latter model allows you to keep track of the progress and make the necessary adjustments based on feedback.

  • If you aim to reach more clients, you should consider the cross-platform knowledge of your development team.
  • Besides wages, you have to pay for hardware, software licenses, social packages, etc.
  • As for an outstaffed team, you are responsible for its management.
  • Also, ensure that the vendor is reliable, experienced, and flexible to understand your requirements.
  • There are a number of reasons why companies might choose to outstaff.

The outstaff specialists will carry on working at their workplaces at the current company. It can be seen as leasing, where you can lease the entire team to fit your own development needs. Outstaffing definition is a model of team augmentation that implies hiring external specialists from another software development company to enhance your own team. Most of the time, outstaff specialists are located in other cities, countries, and even continents.

Outstaffing work model

You can rely on the outsaff team completely as if they are your in-house team. Our IT professionals will work on your project consistently to maintain high productivity and deliver high-quality results. Receive professional IT services from remote team members that can be easily accessed and managed. Outstaffing allows you to get access to high-quality talent without having to pay higher salaries.

Turning to an outstaffing agency, the customer gets an expert or a fully-formed team for software development working on his project offshore. Outsourced teams are a complex solution, which includes expertise in a specific tech stack and operating with concrete tasks. At the same time, outstaffing aims to provide a single solution for a specific assignment. For instance, it can be a niche-experienced developer, who is specialized in frontend for Blockchain-based applications.

Step 7 – Hire and Onboard Experts

But before you embrace it wholeheartedly, let’s look at some pros and cons of outstaffing development. The remote team is responsible for all the job duties for you but is officially employed by an outsourcing agency. This means that the outsourcing agency is responsible for wages, what is outstaffing bonuses, and all the necessary equipment, while the client provides an outstaffing team with tasks and assignments. A large industrial manufacturing company in Europe decided to develop a solution that could minimize or prevent serious and fatal injuries during construction.

One of the most important is how you choose to staff your company. There are two main ways to do this — outstaffing and outsourcing. While outsourcing is the practice of sending a task or project to an outside service provider, outstaffing is the use of an outside firm to provide temporary help with your operations.

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These models allow for cutting the cost of the development, as well as can become an instant solution for a wide range of possible issues, that may occur during the development process. Transparent selection of the right outstaffed employees with a guarantee of their competence and professionalism. The customer has the opportunity to recruit a team of outstaffed experts based on their reputation, experience, and professional skills. In outsourcing, communication between the customer and the contractor occurs according to the client – project manager – team of specialists model. The concept of outsourcing implies the transfer of a specific part of the duties and tasks to a third-party contractor.

outstaff team