What happens when you have a groundbreaking IT project brimming with potential, yet your internal team is stretched thin? Fear not, ambitious leader! Staffing limitations shouldn't derail your vision.

In this post, we'll dive into three powerful strategies to bridge the resource gap and unlock your project's full potential: Staff Augmentation, Project Outsourcing, and the Hybrid Approach. By exploring these options, you can assemble the dream team you need to propel your business forward and turn that innovative project into a reality.

1. Staff Augmentation

As explored by TDK Technologies in their 2020 report, this approach involves adding contract workers to your staff for the duration of a project. This can be an ideal solution if the scope of the work is something you can manage inside your building but need some additional hands to accomplish the tasks. It is also helpful if your staff lacks a particular skill set that can be filled with a temporary worker.

Benefits of this method include:

• Saves money over hiring more full-time staff and helps maintain a lean workforce.
• Offers full control over project staff.
• Provides ease of integration between contract workers and existing staff since they work at the same location.
• Gives you a competitive edge on talent when you add specialty expertise.
• Allows for upskilling of full-time staff, who can learn from your expert contractor(s) at no extra cost.
• Promotes quick completion of individual tasks since contractors don’t have extraneous tasks to distract them.
• Facilitates addition or subtraction of workers to meet changing resource needs. In fact, if you need to add workers quickly in the middle of a project in order to meet the deadline, staff augmentation is the best option and may be the only option.

Staff Augmentation is a beneficial resource, but it does have some drawbacks as well, such as:

• It leaves you dependent on your internal processes, and if they are flawed, your results will be flawed.
• It puts total responsibility for the project with your company.
• It increases management overhead due to the increased need to supervise the growing number of staff.

2. Project Outsourcing

If you have a big project that you know is not within the means of your company to complete, even with some staff augmentation, you may wish to outsource the entire project. This approach has many benefits, chief among them being less risky for you. When a project is performed internally, any project failures or liabilities are the company’s responsibility. When a project is outsourced, contracts are usually structured so that the outsourcer takes on the risk.

This method has many benefits, including:

• It is cost-effective; no new hiring is involved, and no new equipment is needed.
• It requires no payment for training costs.
• It’s highly scalable.
• It gives you leverage when negotiating large outsourcing contracts.
• It absolves you of responsibility for failures or missed deadlines. 
• It requires no management by your staff.

It’s easy to see why outsourcing has become so popular. The benefits are outstanding. Like any other solution, though, it’s not perfect. Some facets of this strategy are problematic, such as:

• Lack of control over the project and difficulty keeping tabs on quality standards
• Integration with internal processes may be more complex
• Staff may feel their jobs are threatened by having an entire project outsourced
• Since the hands on deck are not necessarily employees of the company, they may lack dedication to doing the best job possible

It’s the reason for the pause. We all want our projects to be high-quality and to live up to our standards. And it’s easy to see why staffers may feel uncertain about their job security with big projects being totally outsourced.

3. Hybrid Approach

The third approach is a mixture of the first two. With the hybrid approach, you partner with an outsourcing provider to build your own dedicated product development team using the provider’s resources. The outsourcing partner takes care of candidate selection and screening, IT hiring, project management, and deliverables. You retain as much project control as possible.

This method is used mainly for software development outsourcing where there may be a lack of local talent, but the company wants to have its own teamwork on the software to ensure a quality product. It offers more control in some areas, but you still don’t have responsibility for human resources and administrative functions regarding the employees.

The Hybrid Approach definitely has an upside. Positives include:

• You have full predictability regarding expenses, as your team's costs will be recurring from month to month. It will only change if you decide to scale it up or down, depending on your current financial situation and project needs.
• You gain access to a new pool of talent that’s unknown to local IT recruiters or agencies.
• There are various pricing models available in the market. You can pay hourly or use milestone-based pricing.

You’ll need to visit your offsite team often. Face-to-face communication and knowledge sharing are vital to this process to get the best results.

Finding the Perfect Fit: How to Select the Right Resource Partner

Take the time to choose a reputable vendor who meets deadlines and delivers a quality final product. A bad choice can doom your project from the beginning. You might want to choose a vendor who can help with both Staff Augmentation and Project Outsourcing. This allows you to use the same trusted vendor for varying projects.

Here's what you should consider to ensure a successful project:

1. Expertise and Experience: Look for a partner with a proven track record in your specific industry or project type. Review their portfolio and check for relevant certifications and awards that demonstrate their expertise

2. Communication and Transparency: Choose a partner who is responsive, proactive, and transparent throughout the engagement. Consider their communication methods and ensure alignment with your team's needs.

3. Cultural Fit: A good partnership requires a cultural fit. Look for a partner with values and practices that align with your organization.

4. Cost and Value: While cost is important, don't solely focus on the cheapest option. Look for a partner that offers competitive rates and delivers exceptional value.

Which Method is Right for Your Project?

Looking for deeper insights on building a strong HR foundation to support your needs? Explore our blog for articles on talent acquisition strategies, onboarding processes, resource allocation, and more.