Staff augmentation can mean different things to different people, but if youre in the IT field, there are probably some myths & misconceptions about this business model. Many employees fear that staff augmentation will result in layoffs, but this is not true! Instead of getting rid of existing full-time employees, companies often hire contract or part-time workers.
The workers can perform specific jobs more quickly and with fewer resources than an in-house team can provide. This can be beneficial to both the company and its contracted employee. So today, we will bust seven common myths floating around about outsourcing IT.
What Is IT Staff Augmentation?
For those who are now very familiar with this term, IT Staff Augmentation is adding new employees to an organizations IT staff to fulfill the demands of the digital world. While there are several myths surrounding IT Staff Augmentation, the following will dispel them.
Myth 1: Outsourcing Hinders Innovation
Outsourcing is often seen as a way to save money by cutting costs. However, many companies dont realize that outsourcing can lead to increased innovation. It forces businesses to think differently and develop new ways of doing things. Moreover, outsourcing allows businesses to explore new ideas and try them out before investing in them.
This flexibility and low cost allow businesses to try new concepts without risking too much. For example, Microsofts venture into Bing - a competitor of Google - was an outsourcing success story. According to CIO, Bing was outsourced to Indias Softcat and Israels Applied Systems. It wasnt a significant drain on resources, and most importantly, it was flexible enough that when it failed (which it did initially), Microsoft could just drop it and move on.
Myth 2: Outsourcing Leads To More Errors
One common concern with outsourcing is that it leads to more errors. After all, if youre working with someone unfamiliar with your company or product, how can you be sure theyll do a good job?
Outsourcing to a trusted provider will likely give you more consistency and reliability than in-house staff. Rather than constantly having to train new people, youll be able to call on a reliable outside resource who knows precisely what you expect of them.
This is especially important for smaller companies since its often challenging to hire and retain employees with highly specialized skills. Since you can draw on a company like ours, however, youll be able to focus on your core competencies rather than constantly spending time training new people.
Myth 3: Hiring Temporary Workers Slows Down Progress
Hiring temporary workers can help speed up progress on a project rather than slowing it down since you have more workforce to get things done. If someone isnt working out, you can let them go without worrying about the long-term ramifications. Temporary workers can also be a great way to test out someone before making a long-term commitment.
So much of modern business is running on short-term contracts and self-employment that its impossible to get anything done without temporary help. The beauty of hiring a temp is that you can get extra help when you need it for a specific project and then let them go when their work is done. You dont have to be concerned about payroll or long-term commitments.
Myth 4: Not Using Contractors Makes Hiring Easier
One of the biggest myths about IT staff augmentation is that avoiding contractors makes hiring easier. This couldnt be further from the truth! Working with contractors can actually make your hiring process simpler and more efficient; heres how:
- When you use a contractor for a project, you can build a small team around them with a much better chance of success
- The short-term nature of many contracts means there will never be any long-term commitments, so you can switch out team members easily when necessary
- Working with contractors also provides the ability to hire based on skill sets instead of full-time positions.
- Its easier to hire an individual who specializes in particular skill sets and pay them hourly than to hire someone full-time who might not have as many skills as you need.
Myth 5: Contractors Don’t the Last Long-term
The fifth myth is that contractors dont stay long-term, which is not true. Many contractors are interested in long-term positions. Contractors take on short-term projects mainly because they can try out different roles and companies. Once they find a good fit, theyre more than happy to stay long-term.
Myth 6: Contractors Are Overpaid
Some project managers think contractors receive more pay than their full-time equivalents, but that is not really true. While you might have to offer a higher up-front payment to attract top talent, a contractors salary is typically no more than 30% - 50% higher than their full-time counterpart. Many of our clients prefer contracting partly because it allows them to reduce labor costs and avoid paying benefits on top of salary!
Myth 7: It’s Expensive
Theres a common misconception that IT staff augmentation is expensive. In other words, the opposite is true! ! IT staff augmentation can actually save you money in the long run. With IT staff augmentation, there are no extra costs for recruitment and hiring new employees.
Additionally, there are no extra costs for benefits or any other expenses associated with onboarding new employees, such as equipment, mobile devices, and even the working space.
Myth 8: Communication Problems & Risky
One of the most common myths about IT staff augmentation is that it leads to communication problems. However, this is typically not the case. Augmenting your IT staff can actually improve communication by providing more resources & expertise.
Many believe staff augmentation is risky because it can lead to project delays or cost overruns. However, this risk can be mitigated by detailed planning and choosing a reputable augmentation partner. Ultimately, staff augmentation can be a great way to improve your organizations communication and reduce risk.
Factors To Consider While Hiring IT Staff Augmentation
When considering whether or not to augment an IT staff with additional personnel, there are a number of factors to consider. This includes the IT departments overall workload and the specific skills and experience needed for the position. Here are some of the significant factors:
IT Department Overall Workload
The first factor to consider is the overall workload for the IT department. If the workload is already high, adding additional personnel will likely only worsen it. Instead, it may be more beneficial to focus on reducing the overall workload by implementing better management practices or shifting some work to off-site servers.
Specific Skills & Experience
Another essential factor to consider is the specific skills & experience required for the position. If the job requires extensive knowledge in a particular area, adding someone with that expertise will be valuable to the team. Hiring someone who doesnt have that knowledge will only create problems. In this case, it may be better to look for a contractor or freelancer who can bridge those gaps.
Training Required For New Employees
One of the important factors to consider when considering IT Staff Augmentation is how much training new employees require. It cannot be easy to train someone without experience with the companys software or systems. Those already familiar with them may be more likely to get up to speed quickly and provide more excellent value to your company in less time.
There are various myths about IT Staff Augmentation, but the truth is that it can be a very beneficial way to improve your business. IT Staff Augmentation Services can help you save money, get better results, and improve your overall efficiency. Dont believe the myths - give IT a try! If youre still skeptical, consider it an investment in your business.Tags: custom software developmentIT Staff AugmentationMyths of IT Staff Augmentationsoftwaresoftware outsourcing