Outsourcing vs Outstaffing, What’s the Difference?

At ProCoders, we usually ask our clients to think hard about the kind of outstaff projects needed. Will you truly have enough work to keep one or more people occupied full time, year-round? Do you have the capacity to bring that person in as a “vendor worker” or “contract worker” within your company? Do you want access to this worker as a manager, working with them and controlling their workflow daily as if they were a member of your ongoing IT staff? In outstaffing, you hire developers at a fixed rate without extra expenses for office, hardware, bonuses, or insurance.

BairesDev is the partner you need to bring unique, hard-to-find skill sets to tackle complex projects together with your in-house team. We will blend in seamlessly, working hand in hand with your staff to bring your most pressing and involved projects to fruition. Our IT professionals will work with you to understand your goals and requirements and devise customized solutions to meet your needs. This allows you to boost creativity and innovation and reduce time to market.

What is an IT Outstaffing Model?

External providers are experts in their field and can deliver high-quality results. However, this expertise might not always align perfectly with your unique requirements. You can scale your outstaffed team up due to your project requirements.

outsourcing and outstaffing

The company provided a worker of their own and they’ve been working for the company ever since. Is it easy to loop outsiders into your project management software systems? If the answer to all these questions is no, you should seriously consider outsourcing instead of outstaffing. If you’re looking for an outstaffing company to create customized solutions for you, BairesDev is the answer. A Nearshore IT Company, we are time zone-aligned with U.S. organizations and are a low-cost answer to your most pressing technological woes. Inn 2019, at least 37% of small businesses outsourced at least one business process, and this number only rises every year.

Outsourcing vs Outstaffing: How to Choose It Right?

This will allow you to seek one-time, expert opinions from the company without spending money and effort on finding advice elsewhere. Another question that causes a little misunderstanding in software development is about IT outstaffing best cloud security companies and IT outsourcing and how they differ. Both of these terms have come in the IT sphere and considered relatively new ones. Cooperation with external providers of IT services is a common way to handle growing projects.

In this article, we analyze the pros and cons of both approaches to hiring third-party specialists with a pinpointed specialization. At Softacom, we have rich expertise in providing services of both types and have gained an excellent understanding of how to opt for the most suitable model in different cases. That’s why if you are interested in working with external developers, do not hesitate to contact us for getting a consultation.


Outstaffing is all about comprehensive serving of your team-scaling needs. It is when an HR partner covers for you recruiting procedures, onboarding services and post-hiring processes. Your service provider can ensure industry standards, regulatory compliance, and technological advancements.

outsourcing and outstaffing

At Devlane, we are experts in both Outsourcing and Outstaffing models. Reach us out here, and we can help your company choose the model that best suits your needs. This is a crucial difference between models because the contracting company may not want or need to focus on managerial tasks.

Main differences between Outsourcing and Outstaffing models

Now let’s see how these compare to outstaffing to see the difference. When you have a specific plan and a dedicated team that helps you boost your product, fast growth is inevitable. After creating a favorable impression with their initial Discovery phase of Dryft’s app, ProCoders was hired for an additional activation.

  • The critical difference is that while Outsourcing is about hiring a provider to perform entire projects, processes, and team building, Outstaffing focuses on hiring individual team members.
  • In case of outstaffing, the client (or someone on their side) will manage the remote team and ensure that the SDLC goes in the right direction.
  • When outstaffing, you completely control their work; they do not receive assignments from the outstaffing company but from your company’s manager.
  • This can help with productivity and communication among employees while also providing better customer service since everyone is working together towards a common goal.
  • Full Scale provides all the experts, from software engineers to project managers and QA specialists.
  • At ProCoders, we usually ask our clients to think hard about the kind of outstaff projects needed.

On the other hand, if you have already set up some IT processes and have everything you need to manage and work with a remote team, feel free to choose outstaffing. However, do not forget that each case is unique, so we recommend that you first consult with specialists. So, the client starts looking for a software outsourcing company that provides full-cycle development and will deliver the product with minimal involvement from the client.

Outsourcing vs outstaffing: Access to the team

In this article we’ll define, compare and inspect pros and cons of outsourcing and outstaffing models. When do you know it’s time to turn to the Top Nearshore IT Outstaffing Company? There are many reasons to engage in our services and work with the best technology professionals—even if you have a quality technology team in place already. Perhaps you’re experiencing shortages on your team and need to ramp up production quickly and effectively. Maybe you’re grappling with tight deadlines and could use the support to speed things along. In very short terms, outsourcing means delegating the whole project to another company.

So, you get a software development team fully at your disposal, but some other people are dealing with all the boring stuff. To put it simply, outsourcing is delegating projects to a third-party company with the required resources, qualified team, and equipment. As the importance of IT has grown, the companies of different industries open the advantages of contractors that provide high-quality software development and other services for relatively low costs. Yet, the primary task of outsourcing is the ability to use all resources to full-scale and take directions to introduce or develop the new focal business goals. Suppose your company is not too technology-oriented and you do not have in-house specialists to oversee the work of a remote development team.

How to Find And Hire Developers for a Startup

On a regular basis, we conduct one-on-one meetings, as well as report on team motivation and feedback. Constant and close communication with the team members helps to establish rapport and to ensure they are motivated, involved, effective and keen to align with the client’s business. Waverley also provides training and mentorship programs, and creates professional development plans for every employee. Waverley Software provides accounting and legal support to the team members; our HR management system manages team member’s PTO in a way that doesn’t impede the product development.

In a series of previous articles, we’ve covered the many aspects of software development outsourcing, including offshore and nearshore approaches. When a company outsources a software development project, it usually looks to offload an entire project to a providing partner. The providing end is responsible for maintaining the team of professionals a company hires. One interesting point is that in-house managers can manage outstaffed members, but managers can also be outstaffed themselves. These two examples make it obvious that you can outsource your project to another team. However, you can’t replace your whole development cycle with outstaffed members, as these are narrow specialists who can add expertise to your in-house team on demand.

In this part, let’s take a look at the areas where outsourcing and outstaffing part ways. Outstaffing aims to swiftly bridge skill gaps in your in-house team by adding niche experts to enhance your existing workforce and achieve project goals. On the other hand, in outsourcing, you enlist a team to create, rebuild, modernize, or rescue your project. If you realize your human resources aren’t enough for a timely and quality project delivery, staff augmentation may overcome these short-term workforce challenges. Alongside the peace of mind, lower costs, and full control, outstaffing has a few drawbacks to consider.

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