One of the most significant differences between the two models is the efforts spent on managerial tasks. When we speak about the supervision of the outstaffed tech talent, this often is a client’s responsibility. To be precise, you will have to either appoint a manager from your in-house team or spend additional money to hire somebody to do this job for you.
A dedicated team model is more convenient in this context, as it always comes with an experienced project manager, who is responsible for the project outcomes and shares the project updates with you regularly. An additional bonus of the dedicated team is that you have to sign only one contract instead of several/many individual contracts like in the outstaffing company.
Experience and expertise
The companies offering outstaffing services usually find excellently trained and committed specialists that meet the highest standards. However, outstaffed developers/testers aren’t necessarily familiar with the types of projects/products your company works with and might not have much experience in your industry.
Dedicated development teams consist of experts from the fields specified in the client’s requirements. This ensures that you receive an excellently managed team of specialists with proven experience in similar projects. Due to the high level of expertise, a dedicated team can help you to identify your real needs and be proactive contributors to your project. Their individual experiences and collective know-how can help you introduce new features.
Clarity and transparency
Since you have full control over managing the outstuffed team, your manager should have a deep understanding of the software development/testing process and ensure the necessary clarity of the workflow. If this requirement is not met, many issues can occur. In the case of a dedicated team model, the risks are lower. The transparency of the processes is considered to be one of the most significant advantages of such a model as a dedicated team. Regular reporting and the careful documentation of each step and result are an essential part of the service. The careful recording of the respective working hours and expenses provides an overview of both the tasks done and the costs incurred.