Staff Augmentation Tends to Continue Expanding in the Future

March 30, 2023

The Staff Augmentation model (contracting more IT specialists) leads companies to increase their productivity by adding the right skills to integrate their existing team per project. Unlike the Outsourcing model, which consists of hiring developers for a while.

IT Staff Augmentation allows companies to add employees to their teams based on their skills to support their business and has seen significant growth in recent years due to the flexibility and scalability of teams and businesses.

The expanded team acts as an extension of the existing team. This sets employees apart from IT project outsourcing and other third-party contracting options. Consultants, freelancers and contractors are not part of the company’s employees.

IT Staff Augmentation Advantages

• Increase in personnel strengthens personnel management

• Provides effective integration with internal processes

• Increased IT staff uses existing resources

• This model has high technical expertise

• Scalable staffing needs

The challenge of finding specific IT skills

Finding the right talent is even more difficult when you are looking for specific skills, for example being an expert in a certain technology, framework or programming language.

Furthermore, it is even more labor intensive due to the rapid advancement of technology. While the rapid growth of new technologies is a boon for the IT industry, it at the same time adds a new difficulty in finding developers who specialize in new technologies when needed.

For example, find a developer specialized in REACT: with Staff Augmentation it is possible to hire developers in this technology ready to participate in any project that requires Expertise or specialization.

The Staff Augmentation Market

A market analysis by G1 says it is twice as difficult to hire tech candidates. The existence of tension in the IT labor market is also supported by other data. For example, technology roles take an average of 61 days to fill. And up to 72 days for the app developer’s subcategory. Meanwhile, non-technical roles take just 42.

According to CompTIA (the non-profit American Trade Association, which issues professional certifications for the information technology industry), at the end of 2020, employment in technology occupations in the US was about 8 million. Among these, 5.2 million were essential technical roles (non-essential roles include technician, technical engineer, installer and repairman)

Such shortages are likely to increase only in the next decade. Tech employment is expected to reach around 9 million positions by 2030. An increase of 1 million. That means in the next decade other tech jobs need to be filled with new entrants to the US job market. For comparison, the US currently produces, each year, about 65,000 students with computer science degrees.

It is clear that the demand for Staff Augmentation in technology is high.

It is mainly smaller companies that have difficulty finding solutions to the talent shortage. Especially for these companies, staff growth can be a way to gain access to good developers and build a team with them for the long term. In the pandemic, acceptance of working with remote teams has grown tremendously.

According to data released by the Association of Information and Communication Technology Companies (Brasscom), from January to August of this year, the technology sector hired 147,248 new professionals in Brazil, which corresponds to an increase of 149% in relation to the previous year — 59,000 new professionals.

Source: Exame Magazine

Challenges for Staff Augmentation

• One of the main challenges faced by companies during the dismissal of employees includes communication difficulties and time zone differences. As they work in different companies, team members are not always available for real-time communication.

• Another possible situation is when the experts’ English/other language used by the team, is not up to par. Misunderstandings, delays and sunk costs are virtually inevitable.

• In addition, it can be very difficult for a company’s managers to onboard their team remotely and establish a solid team spirit.

• While these challenges may arise from time to time, you are unlikely to face them if you find a capable provider. Ideally, they will provide experts ready to work overlapping hours with your team, having a solid command of your language and quick to adapt to new settings. The Bridge Social goes beyond simple digital recruiting. As market curators, they select and bring together the best talent and job opportunities. As specialists in outsourcing, Staff Augmentation and headhunting, for both freelance and permanent opportunities, The Bridge’s mission is to connect the best talent to outstanding companies in several LATAM countries and the USA.

Staff Augmentation acts as a bridge between qualified professionals and short-term vacancy availability. Today it is increasingly one of the most sought-after recruitment models due to its workforce flexibility and business scalability. This saves you the hassle of hiring, helps you scale and downsize your team with ease, gives you more control over quality, direct communication, and more transparency between parties.

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