The following article will focus on two very prominent outsourcing methods in software development, as we proceed with comparing each other. Throughout the article, we will try to answer the following questions:
What is Team Extension Model?
What is the Dedicated Development Team Model?
What are the differences between both models?
How to successfully deliver a project?
For technology-driven businesses and ones that are heavily relying on software tools, blending technology with business is of great importance. When hiring developers, companies look for specialists that can demonstrate a proven record of producing outcomes that are meaningful for enterprise clients.
On the other hand, finding experienced talent can be very challenging.
The final cost of hiring new developers could be quite high, and seemingly, outsourcing IT services could be a very good opportunity to succeed with your company’s technological advancement. Although, lower cost is never the only reason to cooperate with an external team for developing your new software tools. Successful outsourcing is heavily dependent on the final product that is born from it.
Outsourcing needs to be integrated and strategic. It has to ensure a wide choice of experts and an innovative approach to developing software. As a CTO needs to speak both business and IT vocabulary, a good development team will suggest the right technologies for approaching your business problem.
When choosing an offshore development company, this would be the “make it or break it” argument.
When working together with an external IT team, look for a way for integrating them with your in-house team.
These are two basic models that could work for you:
Going with this model means you enrich your in-house team with developers that are aiming at filling the gaps within the existing team.
This model lets you “fully outsource” your whole project. A separate dedicated team will use their management and frameworks for developing the software.
Each of the two collaboration methods brings different things you need to consider. The following text will focus on both models and how to take a project from its beginnings to its final phases.
Both collaboration methods enable you with a worldwide pool of talent. You are no longer limited to your local specialists. When it comes to outsourcing, you are allowed access to some of the best IT professionals that you can pick.
Let’s examine each of the outsourcing models, starting with TEM.
The team extension model, also known as TEM, is usually about adding a missing skillset to your in-house team. This way you keep your strategic competencies entirely within your company.
Here are some of the advantages you benefit from when going with TEM:
More control over your project while maintaining direct communication with the team.
Distribution of responsibilities could be done with both in-house and offshore teams.
Strategic competencies are staying in-house.• Focus is on effectiveness and speed while building the right team in a more timely manner.
The dedicated development team (or DDT) is characterized by collaboration with an external team that is fully engaged with your project. It is a good solution in case you have no in-house team or find difficulties with attracting good developers. On the other hand, it allows you to completely focus on your core business process as your new product is being developed.
Here are some of the main benefits of the DDT model:
Your mind is free of many challenges - finding talent, managing the project, quality control (or QC), and delivery are taken good care of outside your company.
You focus on acquiring the right team that should deliver high-quality software solutions.
In a very competitive employees' market, it will be your partner that has to satisfy the developers’ expectations and needs. If needed, they will also be the ones substituting members. You can streamline the workflow if you decide on including a DevOps role.
Independent of your choice of a cooperation mode, people come together when they feel a greater good can come out of a collaboration. Every project we work on requires close cooperation with our client. Successful outsourcing is purely about a partnership.
Here are some steps to follow to ensure the successful delivery of a project:
Prepare strategically - locate and comment on business and technology challenges.
Make a clear agreement on frameworks and toolsets.
Communicate project progress - pick up the right channels and arrange regular meetings.
Introduce your brand to the outsourced team, this way they will understand you and your business better.
Plan cross-company events to get to know each other.
Rely on transparency.