The future lies with IT. In the years ahead, IT expenditure will increase by five percent, compounded annually across the world. All this is the indicator of the incredible expansion and the request this sector will witness.
With the rapid development, there are always more challenges for businesses. Sooner or later, all companies face the need to increase their software development team or take a risk and turn to the services of third parties.
In case your current development capacity is not sufficient enough to scale fast, this is going to be a helpful guide for you as we are eager to help you with any question regarding this topic at Intellisoft. So let us dive in to learn more about the effective methods for growing the software team.Â
In This Article
Basics & Benefits
It is worth mentioning that Extended Team Model (ETM) orTea Extension Model (TEM) entails more than just taking on short-term projects. It involves building enduring partnerships and fostering collaboration between your in-house technicians and the offshore development company’s contracted specialists.
Keeping the core competencies like motivation, ethics, management style, and responsibility in the company intact, you can use the experience of an extended development team with a common goal. Direct communication and control over both teams are maintained for a synergistic effect in development. This will help to fill technical gaps or strengthen your market position.
6 Ways to Crafting an Ideal ETM For Your Business
Deliberate tactics that prioritize communication and adaptability is a vital factors that ought to be employed to achieve the smooth integration of an extended team. One crucial aspect for a company to keep in mind while expanding its team is to ensure that they select a partner who comprehends its goals, business, and distinctive needs. Here we’ve compiled the finest extension options for you to consider.
1. Dedicated Development Team
The operating principle of this option involves managing and overseeing an entire team or department rather than just a handful of individual employees. Such a team is responsible for specific aspects of a project. This approach is akin to out staffing and offers similar benefits, such as delegating issues related to taxes, team composition, and qualifications.
2. Outsourcing
Outsourcing is a common practice wherein you transfer business processes to third-party suppliers. According to a study conducted by Deloitte in 2022, 60% of companies choose to outsource purely to reduce costs.Â
The majority of the respondents are of the opinion that by doing so, their company and businesses will gain a fresh look and new opportunities this way.
As a result, resources are freed up for key areas. This makes it possible to implement innovations, find a competent approach and solve other significant tasks. While the benefits of this format are apparent, some companies may be hesitant to adopt it due to the complex management processes and communication challenges that come with a lack of control.
3. Outstaffing
The essential difference between the out staffing and the previous model is that the responsibility for the successful completion of the project rests with the client company itself since the assignment of tasks to the hired team of specialists is performed by the client.
In addition to cost-cutting and downsizing of full-time staff, the transfer of auxiliary tasks to specialized ready-made professionals enhances service quality and brings added benefits to your business.
4. In-House Hiring
Expanding a team involves incorporating new members into an established team to enhance its size and capabilities. The aim is to offer additional assistance while maintaining the original team’s momentum and efficiency.
However, if you’re considering a significant team expansion, you should be prepared for the possibility of a substantial in-house hiring budget. This fits in well when seeking exceptional talent, which is often in high demand and may come at a premium, making it challenging for small businesses and startups to afford.
5. Freelance
When it’s too costly or impractical to form a team from scratch, freelance developers can always be utilized for their services. Despite the challenges of data leakage, communication complexity, and low engagement, this way is relatively cost-effective. Most start-ups are opting for freelance owing to its cost-effectiveness.
6. R&D Center
For those requiring a team larger than 40 people, the R&D center is ideal. By partially moving operations offshore, a research center can be established with a low-cost budget. It’s advisable to set it up locally as there will be legal, tax, and management concerns to address. Nevertheless, this approach gives you the to leverage exceptional personnel with diverse experience.
Why is Software Development Team Important?
Selecting a model appears to be a decisive and critical stage, but the true difficulties emerge when you’ve already extended the software development team. Establishing a process for continuous development, motivation, and enhancement becomes necessary. As the scale increases, so does the responsibility. Don’t hesitate to alter the approach or model because the ultimate formula for perfect collaboration lies in experimentation and the right mix.
Wrapping Up
There is no direct answer to the question of why one should extend a software development team. So you ought to be careful with the scaling and enable it only when it becomes necessary. Whether you choose to outsource or establish an in-house team, either option can be pertinent as long as you’ve identified the company’s requirements.
We, on our part, recommend three evaluation criteria, namely cost, expertise, and flexibility, to help guide your decision. Remember, Intellisoft’s expertise and experience will make it a valuable resource for any business seeking assistance with need!
