Question 1

What are staff augmentation services?

Accepted Answer

Staff augmentation services are a way for companies to temporarily add extra employees to their teams. Instead of hiring new full-time employees, onboarding, and training them, a company can use these services to “borrow” professionals with specific skills for a needed period.

Staff augmentation is beneficial when a company needs more employees to complete a project, fill in for someone who is unavailable for the moment, or bring in special expertise in-house team lacks.

Depending on your unique requirements, types of staff augmentation services include:

Skill-based: Hiring staff that can bridge the skill gap in your team. For example, if you need a web developer with C++ proficiency, you can reach IT staff augmentation firms to find the expertise that aligns with your needs.
Time-based: This model applies to deliverables on a project-by-project basis. It lets you control costs while utilizing the specific skill the talent can offer.
Offshoring: Sourcing talents from a different country with a lower cost of labor. This is a cost-effective hiring model and works best for output-based projects.
Nearshoring: Hiring talents from neighboring countries. A key benefit of nearshoring is the shared time zone, which enables smoother communication, reduces delays and simplifies real-time collaboration between in-house teams and augmented staff.
Onshoring: Staff augmentation services within the same country. This model is the most suitable for projects with in-office arrangements since you can closely collaborate with the staff and monitor their progress.
Dedicated team augmentation: Hiring an external team to complement your in-house capabilities, especially in areas where your current team lacks expertise or capacity.
Hybrid: Staff augmentation companies can combine different augmentation models to meet your needs. It is suitable for projects with complex requirements that might need more than one talent or team.

Question 2

What companies offer staff augmentation services?

Accepted Answer

The companies that offer staff augmentation services typically include IT and cybersecurity firms, software and mobile app development companies, and dedicated staff augmentation companies.

They offer the following expertise:

IT companies can provide experts who can handle your project from concept to completion. These talents can be augmented with your in-house tech teams to do custom framework development, QA and testing, and AI and data science, among others, to scale your lineup based on demand.
Software development companies offer front-end and back-end staff augmentation services. You can hire them based on their programming language expertise or their industry specialization such as eCommerce, FinTech, LegalTech, or Healthcare, among others.
Mobile development companies augment mobile development staff depending on the operating system or the frameworks you need. Their expertise often includes iOS, Android, Flutter, Ionic, and Xamarin development.
UI/UX design companies provide UI/UX designers, researchers, and strategists, as well as innovation and foresight strategists. They have extensive knowledge in understanding consumer behavior and market strategies, necessary for driving website success.
Cybersecurity companies offer highly vetted staff for compliance audits, IT risk assessments, vulnerability website management, and more. 76% of employers reported difficulty in securing skilled talent for their IT and technology needs. In the USA, 78% of this talent gap is becoming prominent in the IT industry.

According to a recent survey, executives revealed that 76% of their IT functions and 52% of their business functions were outsourced from third-party models. In the coming years, this data is expected to increase further as businesses hire staff augmentation companies, not only for their cost-effectiveness but also for the leverage they add through specialized skill sets.

Question 3

Why should I hire a staff augmentation company?

Accepted Answer

You should hire a staff augmentation company because it can help you cut down on your overall costs while adding to your team’s capabilities, increasing the project’s efficiency and profitability.

A staff augmentation company can benefit your business in different ways such as:

Saving time for higher profitability: By augmenting new staff, you speed up projects to completion with a shorter turnaround time. The faster you launch a product, the more profit it generates.
Accessing global talent: Hiring a staff augmentation company allows you to choose talents from the global pool. This also grants you access to their industry knowledge and best practices that can add value to your project.
Reducing recruitment costs: From onboarding to training and retaining employees, hiring new people can get expensive. You can expect to spend $7,500 to $28,000 in hard costs, and an additional 60% of soft costs for loss of productivity, in hiring a full-time employee. Exploring other hiring options like staff augmentation can alleviate these risks since you only pay for the services you require.
Scaling efficiently: Staff augmentation allows you to easily adjust the size and strategy of the project. It gives you the flexibility to hire or lessen the people involved, saving you time and resources.

Hiring a staff augmentation company can change how you do business, as illustrated by the case of ShearShare, an application that connects users, stylists, and barbershop owners in a single platform. They partnered with CXR, a software development company that also provides staff augmentation services, to revamp their mobile application by adding new features and payment options.

Within four months their collaboration resulted in:

Increased downloads by 70% month over month (MoM) after the first full launch
Increase in download to registration rate by 60% - 80%
Positive feedback from customers about the premium feel of the UI/UX

Question 4

What is the difference between staff augmentation and managed services?

Accepted Answer

The difference between staff augmentation and managed services is the level of responsibility and control over the workforce.

Staff augmentation involves hiring professionals to extend or fill skill gaps in your in-house team for a project. You have complete control over the workforce and the tasks they complete. Managed services, on the other hand, involve outsourcing the entire project to another company, which takes full responsibility for managing and executing the project.

Staff augmentation services:

Allow you to temporarily hire the staff that matches the needs of your project, without a long-term commitment
Provide you full control in managing and integrating the augmented talent into your team and processes

Managed services:

Completely control the project
Allow internal teams to focus on core business operations while they handle all project requirements

Hiring a staff augmentation company is beneficial if you’re working on a project that requires a specific skill for a limited time. If you need ongoing maintenance service for your website or app, managed services may be a better choice.

Question 5

What is the difference between staff augmentation, consulting, and professional services?

Accepted Answer

The difference between staff augmentation, consulting, and professional services lies in the scope of services, control over the project, commitment, and cost-effectiveness.

Take a look at this table to get an overview of what sets them apart:

	Staff augmentation	Consulting	Professional services
Scope of service	Hiring temporary staff and integrating them into your workflow and processes	The practice of taking expert advice to improve business operations or specific projects	Deliver personalized end-to-end solutions
Control	Direct control by the client, with staff integrating into existing processes	Provides guidance, but implementation depends on the client	Handle the project from planning to execution, while client involvement includes regular check-ins to discuss milestones
Cost	Cost-effective based on the project scope and expertise required	Depends on expertise and project scope	Handle the project from planning to execution, while client involvement includes regular check-ins to discuss milestones
Commitment	Flexible or project-based	Engagement duration depends on the scope of the project	Long-term

Question 6

How much do staff augmentation firms charge for their services?

Accepted Answer

Staff augmentation firms typically charge between $25 and $300 per hour for their services. The final cost of their services depends on the number of positions to fill, talent expertise, and the duration of employment.

Pricing models staff augmentation companies use usually include:

Fixed price: Agreed-upon price for the entire project. Ideal for projects with well-defined scopes and timelines.
Hourly rate: Workforce is paid based on the hours they work. This model is ideal for long-term projects that have clearly defined milestones.
Retainer fee: Clients pay the agreed-upon monthly or annual fee, while the staffing agency supplies them with a pool of talent that matches their business needs.

On DesignRush, the top 50 staff augmentation companies charge an average of $42/hour. Roughly 5% of the staff augmentation services on DesignRush accept projects with a minimum budget of less than $1,000, while 7% require a $50,000+ minimum budget.

Question 7

How do I choose the best staff augmentation services for my business?

Accepted Answer

To choose the best staff augmentation services for your business, follow the steps suggested below:

Define your project goals: What specific skill set do you need for this project? Before hiring, define the role of the augmented staff and weigh whether it aligns with your business goals.
Set a budget. Staff augmentation services can be costly if not managed effectively. Unlike traditional hiring, where costs are stable, augmenting staff can incur variable expenses. Choose staffing companies that can balance cost-effectiveness and the quality of work.
Research your options: Look into industry leaders providing staff augmentation services to find the company that fits your needs.
Check for relevant experience: Request portfolios from the staff augmentation companies to grasp the range and the quality of their work. Focus on the projects within the industry or expertise you are looking for. Run a background check and read client reviews to verify website testimonials and success authenticity.
Evaluate their soft skills: Gauge their soft skills since staff augmenting requires a highly adaptive and collaborative team of individuals to learn and thrive in your company culture.
Assess the team qualifications: Ensure that each augmented team member has the expertise your project requires. For example, if you need rebranding for a clothing eCommerce website, your team must have a UI and UX designer, web developers, and copywriters.
Consider location: Does your project need a cultural context of the country’s market? If so, you might need to find staff augmentation services that are nearshore or onshore. But if you’re looking for an expert in a specific skill like AngularJS, you can hire offshore.
Ask about data security and privacy: Inquire about the data handling and security practices to protect sensitive information. Request information on compliance with data privacy regulations like GDPR or HIPAA.
Discuss project management: Talk about the workflow with your internal team before onboarding the talent. In staff augmentation, you retain the management of the team and utilize the same methodologies with the temporary staff. Assign a project manager who can brief them about company culture and project goals.
Get a clear pricing structure: Obtain a detailed breakdown of the project costs, including development, licensing, and ongoing maintenance fees. Ensure there are no hidden costs.
Shortlist the candidates and send a request for proposal (RFP): Sending RFPs gives you a wider understanding of a candidate’s expertise and lets you evaluate talent objectively and accurately.
Make the final decision based on your evaluation: Select the right staff augmentation services provider and onboard them. Introduce them to the team they will be working with and give them the resources to familiarize themselves with the project.
Seek legal and contractual clarity: Review and discuss the legal agreements and contracts with the staff augmentation company thoroughly. Ensure that the terms are fair and that both parties are protected.

If you need any assistance in choosing the best staff augmentation companies, visit the DesignRush Marketplace. We'll connect you with the most suitable service providers – for free.

Question 8

What questions should I ask before hiring a staff augmentation company?

Accepted Answer

Before hiring a staff augmentation company ask the following questions:

Its Relevant Background

Can you elaborate on the staff’s technical skills and work culture?
Do you have hands-on experience with projects like ours?
What specific accomplishments did the team have in their past projects?
What is the profile of your longest-standing client?
What industries do you specialize in?
How do you stay updated with the latest technologies and industry standards?
What training and development opportunities do you offer your staff?

Company Services and Processes

Can you walk me through your talent recruitment process?
Where do you source your candidates?
How do you validate the experience and expertise of candidates?
How can we ensure that the team complies with our data protection guidelines?
How long is the usual recruitment process for hiring an augmented staff from your agency?
How will the interview process work?
Do you offer scalable solutions?
What is your process for addressing performance issues or mismatches in staff-client expectations?
How flexible are you with contract terms and conditions?

The Project

If we hire an augmented staff or team from your agency, are they exclusive to work for us fully during the agreed timespan or will they also be assigned to other companies?
Do you negotiate the offer to candidates or do I?
What is the frequency of reporting that we can expect?
What project management methodologies do you have in place?
How do you handle intellectual property rights?

Question 9

What companies provide the best staff augmentation services in the U.S.?

Accepted Answer

The companies that provide the best staff augmentation services in the U.S. are:

DevData Tech Talent
- 5.0 stars on DesignRush (37 reviews)
- 4.9 stars on Google (64 reviews)
- Top Clients: Idealab, Inc., Cubus AS, Skycatch, Inc., Verus Analytics LLC
Suffescom Solutions Inc
- 5.0 stars on DesignRush (36 reviews)
- Top Clients: Modani Furniture, King Cubs, Lead Action, Mealed
Scopic
- 4.9 stars on DesignRush (45 reviews)
- 4.5 stars on Google (28 reviews)
- Top Clients: SDS Industries, KidsTale, Till, Oxford Immune Algorith-mics
Codup
- 4.9 stars on DesignRush (43 reviews)
- Top Clients: Unilever, Dyson, Seacost Bank, Harrods
Diffco
- 4.9 stars on DesignRush (27 reviews)
- 5.0 stars on Google (22 reviews)
- Top Clients: Food Rocket, FlashGrid, Instreamatic, Quire

Scroll up and find out more about these firms and uncover additional leading staff augmentation companies that can bridge the skill gap in your business. All of them have been chosen based on successful projects, industry reputation, customer reviews, and team expertise. If you want to further personalize your search, you can sort companies by location, budget size, hourly rates, and reviews.

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