At the same time, your operational costs go down as there’s no need to buy or rent hardware and office space. Since you manage your team yourself, outstaffing is more cost-effective than outsourcing. Also, in the case of outsourcing, the contractor is looking for employees for the customer’s company and formalizes them in its state.

Moreover, sometimes you only want to expand your team temporarily, and laying off employees is likely going to damage your business’s reputation in the market. With outstaffing, you not only cut down the hiring costs but operational costs as well. Your business can save anywhere between 20-40% on operational costs with outstaffing.

Outstaffing vs. Outsourcing – Differences and Aspects to Consider

You and your contractor may have different goals, motives, and visions. The project’s objective, schedule, and budget are all crucial, and you and your contractor must agree. Get free resources to help create great software and manage high-performing teams.

This opportunity is especially significant for start-up companies. In the first case, certain tasks are delegated to one of the contractor’s teams. And in the second case, the contracting team manages a whole segment of work within the customer company. Work with IT outstaffing companies closer to your region or one with a manageable timezone. Alternatively, agree on communication rules, such as sending queries by a specific hour and provide response in 2 working days.

Outstaffing: The Pros and Cons It

Developers from Eastern Europe are affordable, experienced, and known for delivering top-quality work. Besides, we are fluent in English and are comfortable working with Western clients. Do your due diligence by reviewing client feedback and interview the outstaffed developers thoroughly before making your choice. There are brilliant software developers in every part of the world. However, not all share your language and cultural practices.

We help startups, as well as large international companies, continuously grow with the help of IT staff augmentation. This enables companies to focus purely on business and product development, leaving HR management to professionals. IT personnel outstaffing is cheaper than a full-time customer IT team. It is especially beneficial to use IT outstaffing services for small one-time projects when a team of experts is hired for a particular time or until the completion of work. Reducing costs by hiring professionals to do temporary work. Paying for an outsourcing company’s services is much cheaper than paying the salary of the specialists employed on the staff.

Step 2 – Browse Through Available Outstaffing Companies

In this article, we’ll discuss the benefits of outstaffing for business, as well as its pros and cons. We’ve talked about the pros and cons of outstaffing, and now it’s time to wrap things up. However, it can also be detrimental as outsourcing companies are often not as qualified or experienced as the company doing the outsourcing.

We needed a number of software engineers on a very short notice. We were very happy with this and your deep understanding of our company and needs. Besides that we were surprised by the high quality of the offered solutions. We were able to speak face to face , it felt like a close business relationship from the beginning.

Development Software Outsourcing and Staffing with Bestarion

However, it can be challenging due to differences in time zones, cultural norms, and language barriers. But with the proper tools and an experienced team, you can effortlessly overcome these obstacles and ensure smooth cooperation. One more reason for selecting this region is convenient location. what is outstaffing Moreover, if there is a need in face-to-face meetings, it takes only 3-4 hours to get to Poland or Romania from any European country. Eastern Europe boasts an extensive talent pool — over 1 million IT specialists, with the biggest concentration of them being in Poland and Romania .

By hiring an outside firm to handle certain business tasks, companies can save money and focus on their core competencies. Here are four benefits of outstaffing you should be aware of. As we have already found out, outsourcing and outstaffing are two popular schemes for attracting third-party personnel to perform tasks in favor of the customer company. Explain the company’s cultures, expectations, project tasks, and roles.

benefits of Outsourcing Tech Support

Nevertheless, entrepreneurs underestimate the complexity of hiring an outstaff team. They believe that they’ll be able to communicate, manage and assign tasks to the remote staff, and manage their business at the same time. With the outstaffing service model, you are in charge of managing the development process. You decide on the tasks your team is working on, schedule those tasks, and manage all the development activities.

• Whether you are an entrepreneur willing to make your company more efficient or a project manager responsible for delivering projects quickly, outstaffing is a lucrative option.
• Smart outstaffing or smart staffing is a modern approach to IT outsourcing, focused on a more efficient way to collaborate with remote teams.
• There are two ways to augment your development team with an external workforce – outstaffing and outsourcing.
• These innovative technical solutions can prove invaluable to your business down the line.
• So, if you have a particularly complicated project or one that you feel requires your direct oversight, an outstaffing company is the better option.
• Let’s briefly sum up the comparison of outsourcing and outstaffing models.
• That means a client company will entrust the outsourcing agency with an entire project, which they will then complete from A to Z.

Second, but not less important, Ukrainian developers work hard and approach deadlines very responsibly. Even now (during full-scale Russian war agains Ukraine) all our developers are working full-time, despite obstacles. We all ensure having 24/7 access to the Internet and electricity, using alternative power sources when needed. Building your team of highly qualified developers based in Ukraine is simple when dealing with a committed and competent IT outstaffing agency such as TechMagic. When looking for an outstaffing partner, you should consider if the organisation can give you the necessary technical and industry knowledge. Read through its case studies and success stories to see whether they have implemented solutions comparable to your on-premise solution if you need to transfer it to the cloud.