The Benefits of Using IT Staff AugmentationMarwa Hassan
In a Fortune feature on hiring new talent, 49% of respondents claimed that it was the salary that was the leading factor in accepting a job offer. Hiring practices now focus on salaries or bonus schemes to attract better-trained IT individuals. In today’s hiring crisis, competition for talent is prevalent. Skilled IT workers are attracted to higher compensation and, as such, are leaving their existing jobs. The result? More and more companies are experiencing staffing shortages. One way these have been circumvented was by increasing base salaries. Amazon, for instance, raised salaries for corporate and technical employees from $160,000 to $350,000. However, the costs of retaining top talent can prove detrimental in the long run.
Fortunately, businesses can adopt IT staff augmentation. This recruitment principle essentially enlists support from third-party providers to augment in-house staff. In doing so, companies obtain key talent (like software engineers) that can fill empty positions on a project basis.
That being said, we’ll present the four benefits of using IT staff augmentation.
1. Wider talent pool
Businesses can access a wider talent pool through staff augmentation solutions. In permanent hiring, to adapt to the market’s demands, you’ll need to invest in training to bridge skills gaps. One demand is largely associated with better customer experience. In a Bloomberg survey, 86% of senior IT leaders stated they need to improve customer-facing technologies to compete with other companies. With staff augmentation, you can hire talent already equipped with intensive skill training. These individuals can improve company-wide processes through automation. Otherwise, being knowledgeable about big data and analytics can help foster better user experiences. Permanent roles aren’t necessarily required to support those improvements, making staff augmentation ideal for IT companies.
2. Reduced hiring costs
According to the Bloomberg survey, 91% of corporate leaders reported that existing IT processes hinder productivity. However, opening more permanent roles can negatively impact their savings. To jump off the previous point, staff augmentation services can reduce the costs of hiring. Because you’re recruiting individuals with specific skill sets for a short project, long-term payment commitments can be avoided. Using a staff augmentation model means less worries about additional costs like employee benefits, social security, and taxes. Aside from those, the new Affordable Care Act imposes hefty health insurance fees on businesses. If your company has 50 or more employees, you can also incur fines when full-time employees aren’t given the proper benefits. IT staff augmentation solutions eliminate those potentially expensive outcomes for companies.
3. Fresh objectivity
New experience and expertise can increase a company’s productivity. Generally, objectivity is required to adapt to current business trends and leverage new ideas. Of course, fixed employee networks are not without their contributions. However, IT staff augmentation providers can help diversify perspectives within a company. The Bloomberg survey displayed how business leaders seek innovations in IT and solutions architecture (60%) and cloud and infrastructure management (45%). More than that, struggles with embracing automation and self-serve initiatives have been widespread across organizational levels. IT staff augmentation can empower older employees to utilize automation tools, especially when additional talents are there to guide them.
4. Enhanced flexibility
As relayed by the Bloomberg survey, 87% of corporate executives agree that investing in people is necessary. This desire depends on the technology they want to invest in and produce — which is why strategic flexibility is important in an organization. Research published on Springer states that hiring practices should be scalable. This way, skilled workers can dynamically contribute to the uncertainty of business ventures. After all, it isn’t uncommon for market conditions to fluctuate. Obstacles in generating revenue can make it difficult for firms to scale up their workforce. With IT staff augmentation, companies can hire on a project basis to test new markets. This attempt can refer to developing either cloud-based offerings or advanced security solutions. You can scale the development team as you see fit by utilizing IT staff augmentation.
We offer staff augmentation services at Nile Bits that deliver end-to-end custom technology solutions. Because of these, we can consistently adapt to your internal team’s processes and share accurate reports to management.