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The ins and outs of hiring a dedicated software development teamDecember 19, 2023
Sweden software development companies are now beginning to rise in popularity, as they offer a remote development team to clients within the region. Compared to offshore counterparts, clients based in and around the Sweden benefit from a nearshore option, as they will be able to conduct in-person meetings if they so wish. Software companies in the Sweden realise this, thereby making their software development services stand out from the crowd – an unprecedented advantage in a highly competitive IT outsourcing landscape.
At EFutures, understanding the importance of providing a nearshore option via our remote dedicated software development teams has been front and centre, since our teams always focus on optimum quality and punctuality. Challenging the status quo of sole virtual collaboration within IT outsourcing companies is essential, as Customer Experience (CX) becomes top priority among businesses that are looking to stand out from their competitors. In such a case scenario, in-person collaboration may be a requisite – thereby making software companies rethink the virtual collaboration models they share with their clientele.
With dedicated software development teams, software companies are now beginning to offer much more than basic IT outsourcing services. Previously, clients had limited control over moderating tasks and outcomes via a basic fixed service model. Now, dedicated software development teams offer greater control and flexibility, so clients not only save on costs, but get to work with the best talent directly.
What is a dedicated software development team?
A dedicated software development team is an IT outsourcing model where resources are directly offered to a client for building long-term software products. The IT outsourcing company hires resources based on their client’s requirements, and prepares a team that works hand-in-hand with the client. In other words, a dedicated software development team functions just like an in-house software development team, but is proprietary to the IT outsourcing company. The client pays a salary to each team member via the IT outsourcing company that has arranged the team, thereby making it ‘dedicated’, as the term suggests.
What are the pros of hiring a dedicated software development team?
Long-term cost savings
As a dedicated software development team is built to support long-term projects, it can achieve the economies of scale required to reduce long-term costs, while maximising productivity. There is no pressure to pay a fixed price upfront, or only focus on costs based on the quantity of resources used. Instead, businesses are able to focus on the tasks that truly matter, such as the strategising of features, improving cybersecurity or responding to customer demands with a relevant update. With a dedicated software development team resembling an in-house arrangement, your business can focus on key goals, but without the trouble of managing employees on an administrative level as the IT outsourcing company takes care of that.
With a dedicated software development team, coordinate with your team members the way you would if they were based in-house. Keep an eye on every task and schedule, so you obtain complete insight on who is doing what, when, why and how. With software development outsourcing happening virtually for the most part, a dedicated software development team may also be available as a nearshore option, so you can meet them in-person if ever required. This isn’t the case for a fixed price model, where only the final outcomes are delivered to you, based on a predetermined deadline.
Access to the finest talent
A dedicated software development team facilitated by an IT outsourcing company can help you choose the best talent in the software development space. A lack of geographical constraint is a significant contributing factor, as businesses need not worry about hiring someone locally or going through immigration hoops to recruit someone.
Since virtual collaboration works to the favour of a dedicated software development team (and for IT software outsourcing in general), businesses are free to work with anyone, irrespective of where they are based in the world. Additionally, if businesses are looking for niche talent, sourcing the same also becomes comparatively easier, since the talent pool has now been expanded due to eliminating the geographical constraint.
The ability to scale and adapt
A dedicated software development team functions just like an in-house software development team, so businesses always have their team at their disposal for building, maintaining and upgrading their existing as well as any future software applications. It also becomes more cost-effective to scale with a dedicated software development team, since team members may already be familiar with the intricacies of your business, the calibre of your customers as well as any industry-level insights. As a result, minimal to zero training will be required in order to scale, which can reduce the time to market a new software application or the upgrade to an existing one.
The difference between a dedicated software development team and a fixed price model
A dedicated software development team primarily focuses on catering to business needs via software development on an ongoing basis, while a fixed price model functions on an outcome-based approach. Once a deliverable is complete, software development based on a fixed price model shall be relieved of its responsibilities, until and unless their services are required again (based on a set outcome).
The difference between a dedicated software development team and a time and materials model
While a dedicated software development team focuses on ongoing software development, its time and materials counterpart puts prime focus on building software based on the resources acquired for the project. Subsequently, pricing is also based on the quantity of resources used, thereby making the time and materials approach predictable in terms of how much you are due to pay at the end of the project. A dedicated software development team, on the other hand, is paid a fixed amount on a regular basis, just like an in-house team.
When should you hire a dedicated software development team?
Although a dedicated software development team presents numerous benefits, it is only a viable option under certain circumstances. Other times, a fixed price or time and materials model may be more suitable. Therefore, understanding the factors that surround your software development project is essential to figure out whether a dedicated software development team is the best option for your software development teams, or not. While one factor alone may not indicate the move to a dedicated software development team, a combination of these factors can provide a good reason to do so.
Here, we discuss some of the factors that are favourable for choosing a dedicated software development team.
A long-term and ongoing timeline
If your software development project is bound to go on for the long-term, then a dedicated software development team may be a good option owing to team members being better accessible overall. This way, product owners and business leaders can directly work with their dedicated software development team, and instil strategic guidance across every task on a granular level. The dedicated software development team feels no different than an in-house software development team – but without the hassle of searching and retaining relevant candidates.
If your software development project goes beyond basic design, development, testing and implementation to also involve DevOps, then a dedicated software development team will also be a suitable option. This is because DevOps is an ongoing process, where development and IT teams constantly need to coordinate in order to upgrade/patch software depending on security protocols, customer feedback and business demand.
It is generally accepted practice to have a clear set of goals with regards to what your newly built software should do, prior to developing it. However, it is challenging to foresee too far into the future, thereby making goal creation a vague and murky endeavour. This doesn’t mean that a set of goals aren’t required for the present; it is still essential to have a set of basic goals that reflect your current requirements and objectives, in order to pave the way forward.
If your software development project falls along similar lines, then a dedicated software development team may be viable. This way, if factors such as customer demand, business environment, or the general state of the economy changes, your dedicated software development team shall always be at hand to adapt and scale accordingly. At the same time, a dedicated software development team also helps businesses reduce the pressure of building the right calibre of objectives, since changes can always be made as you progress, with the dedicated software development team at your disposal.
It is always easier and more systematic to instil better control over the workings of your software development project, with a dedicated software development team. As your team works with you on a one-on-one basis, you, as a product or business owner, can directly supervise tasks and processes. This isn’t possible with a fixed price model, as the final outcomes are delivered to the client in exchange for a fee. The same also applies to a time and materials model, since costs are only borne based on resources used, with no insight regarding the methodology used to design, develop and test software.
All in all, long-term projects always require better control on the part of the product/business owner, so that full transparency is maintained and upgraded functionalities are always incorporated with thorough supervision. These two factors alone can build your case for hiring a dedicated software development team, so that your software is built by the best talent, but without breaking the bank over the course of a prolonged period of time.
How to work with a dedicated software development team
Regular and timely collaboration is essential for an IT outsourcing service, and a dedicated software development team is no exception. If teams are based across multiple time zones, identifying hospitable frames of time to have daily or weekly meetings is necessary so that everyone can share what they are working on, as well as discuss any concerns they may have. Remote work can also heighten feelings of isolation, so even if it feels like there is nothing to discuss, a regular meeting schedule can foster a sense of togetherness and team spirit.
Transparency and accountability
Ensuring every task is logged and assigned systematically is an important part of any remote workspace, so that every team member is aware of what needs to be done, when and how. In a dedicated software development team, ensuring the same can instil better accountability, so no task falls between the proverbial cracks.
A dedicated software development team offers clients the flexibility to have complete control of every task within the project, while not having to bear the responsibility of sourcing and hiring talent. With clients now wanting more control over the teams that build their software products, dedicated software development teams offer the ideal combination between what clients wish to supervise, and delegating auxiliary tasks such as employment formalities to the IT outsourcing company.
The advantages of a dedicated software development team render it a far better option than its fixed price counterpart, as costs can be scaled depending on the amount of work done. This is especially useful for long-term projects, where economies of scale can be achieved to reduce costs, while optimising production. A dedicated software development team also trumps time and materials outsourcing models, as there is no cap on the amount of resources that can be used in due course of software development.
However, hiring a dedicated software development team is something that should be considered provided certain favourable factors are present. If your software project is a long-term, ongoing one that doesn’t have a clear set of requirements, it is wise to hire a dedicated software development team so that you can coordinate for as long as its needed, while keeping costs at a minimum.
Ultimately, a dedicated software development team has its pros and cons, but in light of conditions that are conducive to its adoption, it can make all the difference between an average software development cycle, and an excellent one.
Table of contents
- The ins and outs of hiring a dedicated software development team
- What is a dedicated software development team?
- What are the pros of hiring a dedicated software development team?
- The difference between a dedicated software development team and a fixed price model
- The difference between a dedicated software development team and a time and materials model
- When should you hire a dedicated software development team?
- A long-term and ongoing timeline
- Unclear requirements
- Greater control
- How to work with a dedicated software development team
- In conclusion…
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