Outsourcing
Table of Contents
Finding the right tech talent can be challenging. The pressure rises, especially if your project is escalating, you work in a niche domain, or the budget is low. That’s where IT staff augmentation comes in — a flexible, efficient way to scale your team with the expertise you need, exactly when you need it. But how do you ensure that a new hire will succeed and you get the job done?
In this guide, our Lead Recruiter with 5+ years of experience of building distributed teams, shares her insights on making successful hires through IT staff augmentation, from finding the right cultural fit to assessing technical skills. As a bonus, we’ve included a free Request for Proposal (RFP) template for tech teams augmentation to help you kick off the process with confidence.
IT Staff Augmentation is an outsourcing model that supplements your existing team with a temporary IT specialist sourced from another company. In a nutshell, it is different from other models like project outsourcing by the following aspects:
The point of IT staff augmentation is that the specialist works as your internal employee while being hired at another company. You work directly with a developer while entering a partnership with a business entity.
IT staff augmentation goes hand in hand with human resources, and our HR lead, Alina Zavodova, is an expert in finding the right talent quickly and efficiently. We sat down with Alina to get her professional insights into what makes a successful hire. Below, she answers some of the common questions that business owners often have when considering a tech staff augmentation.
A: I would say there's no big difference between hiring a professional for an internal project or as an extension of the client's technical team. We maintain high standards for all hires. Our target is experienced senior-level professionals who can bring the most value to the project.
For IT staff augmentation, the main goal is to select candidates who not only meet the technical requirements but also align with the client's vision for a product, their environment and existing team.
As part of the process, we arrange interviews between the candidate and the client to ensure the candidate understands the product specifics, potential challenges, and what excites them about the project. This way, the client benefits from working with a highly motivated and engaged team member who can deliver real results.
A: In most cases, clients look for development team augmentation with senior and mid-level roles. The technology stack varies. It can be the most common programming languages like Java, .NET, Python, and Ruby, or niche frameworks like Flutter or Rust.
Quite often, companies that turn to IT staff augmentation are looking for relevant domain experience. So, it’s not just about a general tech match but also about understanding the specifics of the project, such as in FinTech, Healthcare, or eCommerce.
Requests for junior specialists are rare, which isn't surprising. Clients typically don't want to invest time and energy in training someone, as the goal of IT staff augmentation is to bring in talent that can hit the ground running. Otherwise, the value of team augmentation model — especially when it comes to saving time and speeding up project delivery — wouldn’t be fully realized.
A: As for IT staff augmentation in particular, I’d say the biggest concern is cultural fit. Since you’re looking for an extension of your internal team, it’s crucial that the specialist integrates fully, communicates well with other members, and shares the project's values and vision. These are the pillars of overall success.
A: It starts with understanding the client's corporate culture and core values. We actively participate in the client's briefings to understand their processes and define the key soft skills needed. We use the STAR method interviewing (Situation, Task, Action, Result) and apply situational and projective techniques to ensure the candidate aligns with the client's team dynamics.
Sometimes, the client doesn't communicate any specific cultural requirements. Then, we pay attention to the client's personality — the way they talk, their energy, openness, anything. Based on this, we define the key soft skill needed and create a candidate profile.
A: We have a 'Plan B' for this, but we hardly ever have to use it. Call it a risk-free candidate trial, although I wouldn't say I like this term much :) .
We first determine whether the issue is with technical skills or soft skills. We assess if there's a way to improve the situation with the current candidate or if a replacement is needed. If the client decides to replace the candidate, we will conduct a detailed analysis to understand what went wrong and prevent the same issue from happening again. We also add an extra interview step to ensure the next candidate is a better fit.
If the candidate isn’t a good fit or the client is not satisfied, they can replace the specialist at no charge with three days’ notice within the first month. We will find a substitute and cover all expenses.
With software outsourcing, risks are always implied, like missing the project deadline, failing to meet customer expectations, or having a slower time to market. For us, as a provider, there are risks too: letting down the candidate, downtime coverage before we can place a specialist on another project not to mention the potential reputation damage.
Paying the closest attention to candidates' communication skills from day one is crucial to avoid any trouble down the road.
A: One standout case involved building a fully remote, 40-member team for a client that started with an IT staff augmentation model. It was not just matching individual tech skills but creating a cohesive, remote working environment.
We staffed specialists of all levels including developers, QA, BA, designers, and over four years only one person left the project. 85% of team members successfully passed their probation period, and 90% had their contracts extended. Both the client and the team are happy, and despite the specialists being spread across different locations, they work seamlessly as a united team.
A: The key to smooth candidate integration starts with a well-established onboarding process. From the start, we closely monitor initial communication and address any issues early. We gather feedback from the client’s technical team and assess the candidate’s availability, understanding of tasks, and performance.
For the first three months, we conduct regular check-ins with both the client and the candidate, ensuring detailed feedback every month.
A: Communicate clear requirements for candidates and be open to collaboration. Share your goals and set clear expectations — it will help you find the right fit for them. As technical recruiters, we excel at matching skills, but that's only a part of a successful IT staff augmentation. It's equally important that candidates see clear opportunities for growth within the project. This fosters long-term motivation.
Be sure to outline any extra requirements such as educational background, certifications, or the need for travel for onsite onboarding. For niche roles, industry-relevant experience is often crucial.
Early feedback on CVs is also important — if something isn't working, we can adjust the search process quickly.
Tell us about your interview and onboarding process in detail, including how many steps there are and what to expect. This helps IT staff augmentation companies prepare the candidate and identify any potential blockers.
Here at NEKLO, we explain to candidates why these steps are necessary, share feedback with both sides and guide clients on the strengths and weaknesses of the suggested candidates. The goal is to ensure a strong match that benefits both parties.
Companies are no longer limited to local talent. Many are leveraging IT staff augmentation to tap into global tech talent pools for a good reason. Such an approach brings multiple benefits for a wide range of companies that need technical backup.
Among the most common reasons companies turn to IT staff augmentation is the urgency to fill the team gap. Hiring and onboarding the specialist in-house may take months, while an IT staff augmentation service can do so in weeks. This is because companies that outsource developers have robust HR processes and an extensive talent pool.
If you're into startup software development or don't have an extensive HR department, technical pre-selection and interviewing fall on your shoulders. And it can be really time-consuming and doesn't guarantee you'll nail down on the perfect match.
IT staff augmentation companies not just take up all the communication, interview scheduling but also provide technical screening to make sure the candidate qualifies for your job. You interview only those who most likely are a perfect fit.
IT staff augmentation is a cost-saving measure for many companies.You only pay for development time, while the service provider covers social benefits, medical insurance, equipment, taxes, and other employment-related expenses. The IT specialist remains an employee of the provider, but in practice, they function as a full member of your team.
Project outsourcing suggests you hand over a great deal of control over software development to a third party. An IT staff augmentation service, on the other hand, provides a specialist who works under your management. They become an extension of your existing team and adopt your communication process, tools, systems, and working hours.
IT Staff Augmentation is especially beneficial for temporary assignments. There may be a short-term, immediate need for a specialist to perform a certain task or a clearly defined scope of the project. The specialist may join your team for any period you need, be it a week, a month, or half a year. Or it can be a long-term assignment for complex projects. The point is that when the job is done, you part ways with no employment burden or expenses.
IT staff augmentation benefits particular companies and specific stages of your project journey. Here are the common "if's" when you might consider using IT staff augmentation:
Example: Your company needs a cloud developer to migrate your data processing system to the cloud. You can augment your team with a specialist instead of hiring full-time.
Example: Your healthcare company needs a DevOps engineer for three months to optimize cloud infrastructure.
Example: Your SaaS startup suddenly faces a spike in demand or realizes the opportunity to win the market with new features. You need more developers to roll it out, but you don't have the budget to hire in-house or time to deal with the hiring process.
Example: You're in eCommerce and need extra developers, QA, or support specialists to monitor website performance stability during peak season and increased traffic loads.
Example: You are considering a Magento to Shopify migration for your store and need to hire a Shopify specialist to handle the migration process.
Example: You need additional developers to meet the project deadline or handle a new client's request for custom software development. Staff augmentation provides the extra hands if your own team is busy.
So, what does outsourcing IT specialists from other companies look like? Let's explore the process step-by-step.
Finding a skilled IT professional who's a good technical and cultural fit and is available quickly may sound like an impossible challenge. In practice, it's not if you have a streamlined hiring process, a strong pool of talents, and a powerful HR department that puts 100% of its efforts into urgent position filling. NEKLO happens to combine all three. Here's how the tech team augmentation process looks.
We analyze your request for technical team augmentation, carefully assessing the skills and expertise required. This can include:
We check the availability of our in-house team or search for one from our developer's database network. Our Senior/Architect level developers conduct technical interviews with proper candidates and we send you CVs of those that match your request.
You interview approved candidates. For team augmentation, you get to assess candidates quickly, so you can make informed decisions without wasting time. For full outsourcing or dedicated teams, we assemble a fully managed team for you, taking the burden of team-building off your shoulders. You get the talent you need — fast and hassle-free.
Once you decide to proceed with a certain specialist, we sign the Service Level Agreement (SLA). It states the service terms, scope, timelines, and responsibilities. It legally protects both parties and covers any possible force majeure factors so you can have peace of mind and hire risk-free.
We help you onboard the hired expert and set up communication flows and tools. Our onboarding process works like clockwork, so work on your project begins almost instantly. There's no waiting around for onboarding or complex setup processes. With dedicated developers and project managers in place, we start working within the first day, ensuring your project kicks off.
Once a specialist joins your team, we monitor and support them. The team and you, as a client, exchange feedback to ensure the integration process runs smoothly. On this step we ongoingly ensure that all goals are achieved and requirements are met efficiently.
Usually, it takes 2-3 weeks to fill the request for IT team augmentation. If you are lucky, the person you need may be available on the spot when the specialist has completed an assignment for the current project and is ready to move on to the next one.
The level of technical experience influences too. Senior staff or narrow expertise may take longer times to find, however, the practice shows that any request can be fulfilled.
The price for IT staff augmentation is determined on a case-by-case basis. The rate for each tech professional is different and depends on their practical experience, seniority level, dedication timeframe, location, and tech stack.
As such, the average salary of a Software Engineer accounts for around $128K per year, and for senior levels it’s $155K according to Indeed job portal. Hourly rates in the USA range between $60-$150 depending upon the experience of the developers.
IT staff augmentation prices range between $25-$50 per hour for middle Software Engineers, which make up $4K to $8K with a full month load of 160 hours. It costs around $50K-100K per year, implying the rough 30-50% cost saving compared to hiring full-time in-house developers.
Tech team augmentation price covers:
You only get one clear invoice each month with the actual hours your developers have worked for that month.
Technical team augmentation companies can help you out with various tech roles. Your request can span software development, DevOps, cybersecurity, data science, cloud infrastructure specialist, or QA. Whether it’s a senior architect or a junior developer, you need to specify your criteria, and the company will search for them based on your needs.
When multiple people are needed to take over the project, you can assemble your dedicated development team. This model means that a company supplies a full-fledged team tailor-made to fit the unique needs of your project.
At NEKLO, we understand that successful hires are about more than technical skills — they're about ensuring a seamless fit within your team. Here's how we ensure that every hire works out for the best.
From screening and interviewing to handling all HR paperwork, holiday tracking, and payroll, we've got it covered. You won't need to worry about the administrative side of things — you'll receive a single, clear monthly invoice that reflects the actual hours your developers worked.
We have over 150 employees and are 100% a people-first company. We offer a competitive social package, organize team-building activities, and foster a work environment where our developers feel valued and motivated. Happy developers lead to long-lasting partnerships, so we go above and beyond to support them. Our employee turnover rate is just <7%.
Our developers receive ongoing internal training, attend industry courses, and engage in regular knowledge-sharing sessions. When you work with NEKLO, you're not just hiring developers — you're getting professionals who are always leveling up.
We provide additional internal management to ensure your team stays productive. Through regular check-ins and project oversight, we ensure everything is running smoothly.
We encourage in-person meetings between our developers and your team. If you feel having a developer on-site will improve collaboration, we can send specialists to your office.
Businesses are increasingly blending their core team with augmented staff. This trend helps businesses maintain core operations while rapidly expanding for new projects.
Augmented staff fills specific roles without permanent overhead costs, giving the flexibility to scale up or down as needed. If you want to explore how IT staff Augmentation can benefit your development, get in touch with us for more information.
US-based and operating globally, NEKLO spearheads digital transformation initiatives for businesses worldwide. We deliver software solutions complying with your market and legislation.
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