What Makes Managed Services Better Than Traditional Staff Augmentation Model

Staff augmentation, also known as team extension, is a type of outsourcing service where a software development company provides their engineers in the form of external hire. It’s a wide-spread software development outsourcing model that businesses use globally to rapidly scale up their internal teams and better cover development and technology needs. 

Why do companies consider outsourcing? Every business knows that internal resources require significant expenditure to keep onsite employees and manage them all, especially if you’re an actively growing business. Staff augmentation allows you to keep your labor costs low overall, paying for services only as you need them to avoid making significant infrastructure, software, and personnel investments. 

By extending and distributing staff, businesses can bridge the knowledge gap, significantly speed up time to market, and gain new expertise and competencies from a staff augmentation provider.

Staff Augmentation: Expectations vs. Reality

Staff augmentation allows a company to extend the in-house team with new engineers based on the specific skills required to support business initiatives. The IT service provider employs resources and selects people with particular skills to meet the client’s requirements within its company.

When considering staff augmentation services, you usually keep in mind those benefits below.

• Productivity boost. A competent augmented team can quickly blend in and boost the project’s growth by bringing new approaches and substantial expertise.
• Cost-effectiveness. Staff augmentation reduces expenses since there is no need to spend money on recruiting, employee benefits, taxes, medical benefits, and retirement savings contributions — you pay only for the time your staff works. It also reduces the cost of training new specialists as the augmentation team already has the required expertise and needs brief onboarding training.
• Enhanced adaptability and flexibility. Staff augmentation allows for scaling the workforce’s size according to the demands, diversifying services and providing sufficient tech solutions with the temporary staff’s expertise. Moreover, the team can be quickly adjusted and supplemented with the necessary specialists on demand.

But in reality, there are more pitfalls than it may seem at first glance.

Team As a Service: Enhanced Staff Augmentation Approach by NIX

At NIX, we have taken the standard approach to staff augmentation, enhanced it, and elevated it to a revolutionary delivery model that keeps all its benefits, removes all pitfalls, and provides much better value with higher quality and commitment – Team as a Service (TaaS).

We are responsible for making sure the output meets and exceeds the expectations, and form the team based on the client’s needs, priorities, organizational model, and processes. With the NIX team as a service approach our support does not stop when you sign an agreement — we identify the right people inside our company, help them on-board into your project, maximize motivation, manage retention and monitor the process to ensure success.

The NIX engineers work together with the client’s in-house team on the design and implementation of the project, committing the team to deliver results and real value.

The discussion of staff augmentation price tends to focus on rates and is not related to productivity. Conversely, in team as a service model negotiations on price tend to focus on value and aligning service levels with business requirements.

Why Choose NIX as a Tech Partner

NIX has been providing software engineering outsourcing services since 1994. Our custom approach for each client results in committed longtime partnerships and will earn our place in one of your trusted resources and technology partners, driving you towards digital transformation.

NIX has efficiently worked with large companies like Cengage, Alienware Corporation, and SmartGurlz, along with innovative companies like HumanEyes Technologies and ARTiFACTS to scale their processes and products successfully. Small companies, medium-sized companies, and large enterprises can boost productivity and save money with IT staff augmentation.

To Recap

When selecting a vendor, consider working with one which provides both staff augmentation and team as a services. This will allow your business to get the best of both worlds without the increased burden of handling multiple vendor relationships. 

Find a vendor you can trust to dive deep into your business and deliver the desired outcome, whether you need a single technician or need to outsource an entire project.

IT staff augmentation is a traditional approach but already in the past. Team as a service, by contrast, is a much more efficient and highly adaptive model. With 25 years of experience, NIX offers strategic planning and a spectrum of software development services from mobile and web development to creating large enterprise software that can bring digital transformation to your company and ensure ongoing enhancements. Many organizations have already trusted us with building market-ready products. We can either provide you with the necessary resources to build and automate your current business processes or create new products to help you remain competitive through disruptive innovation.