Imagine a team that can handle any project, irrespective of the technology. You have professionals who can collaborate and produce outstanding results without breaking the bank. If this scenario sounds appealing, consider an extended development team.
With IT outsourcing on the boom (annual growth rate of 8.48%), this is the best time to build a reliable extended team. Unlike in-house teams, which may lack the flexibility and specialized expertise for certain projects, extended teams offer a versatile and skilled workforce. Such a workforce can save the hassle of recruiting new full-time employees and fill the skill gap of your existing squad.
Whether you’re familiar with the concept of extended teams or not, we’ll guide you through everything you need to know. So, let’s delve into the details and start building your dream team today!
Table of Contents
Extended Development Team: The Concept
The meaning of an extended development team is quite straightforward.
Extended teams are work arrangements that include partnering with an outsourcing company to support your current staff. Generally, this setup is prominent in the software development and IT sector.
Let’s understand this concept through a hypothetical example:
You have 4 in-house developers and 1 designer
A client approaches your company to work on a project
After assessing the requirements, you realize that the project needs 5 developers and 3 designers
You contact your IT partner to meet the project demands
This vendor allocates 3 developers and 2 designers to supplement your workforce
Now, you can meet the client’s requirement and still have 2 developers who can work on other projects
The concept of an extended team model isn’t restricted to quantity. In fact, you can even fill any talent gap or lack of specialization through this setup. However, the strategy is tad different than dedicated development teams.
In-house teams, while being the core workforce, may face limitations in handling specialized projects that require expertise beyond their capabilities. For instance, if you don’t have any professional well-versed in Laravel, you can demand a specialized resource from your development team extension. It’s possible to scale the resources as per the project requirements.
With a blend of front-end, back-end, and full stack developers, our company has a vetted group of professionals. Let’s connect to build your extended team today!
The extended team model is a software development approach that combines an in-house development team with external developers from an IT outsourcing company. This model allows businesses to access top software engineers from around the world while maintaining control over their project. By integrating external experts with your internal team, you can leverage a diverse range of skills and experiences, ensuring that your project benefits from the best of both worlds.
One of the key advantages of the extended team model is its cost-effectiveness.
Small and mid-size businesses can gather the required talents in the shortest time without the overhead costs associated with hiring full-time employees.
This model also provides the flexibility to scale your team up or down based on project requirements, making it an ideal solution for dynamic and fast-paced development environments.
Common Associations of Extended Teams
There are different ways to employ an extended team. The following three models are popular in the software industry:
Dedicated Setup: The vendor assigns professionals exclusively for a single project
Staff Augmentation: You get the required professionals to supplement the existing in-house team
Managed Services: The vendor takes end-to-end responsibility from project management to quality control
You can choose the most suitable type of association depending on your business needs and status of a project. The following table simplifies this decision:
Team Model
When to Use
Dedicated Team
For complex projects, long-term initiatives, strategic partnerships, IP protection
Staff Augmentation
For short-term projects, peak workloads, specialized skills, proof of concept, and flexible staffing
Managed Services
For clients who lack internal expertise, complex projects, scalability requirements, risk mitigation, and cost reduction
Top 5 Reasons to Setup an Extended Development Team
Now, let’s come to the main question – why do you need to establish this setup? Well, cost reduction is an evident aim of building extended teams. However, there are many practical reasons for making this decision.
In-house teams often face limitations in terms of scalability and flexibility, which can hinder their ability to tackle specialized projects. Extended teams can overcome these challenges by providing additional expertise and resources.
1. Extended Teams are Scalable
Main reason: You can adjust the workforce as per the fluctuating project requirement.
Most companies save time and costs looking for resources with variable skills. Instead, they build a long-term partnership with a reliable outsourcing company. In contrast, in-house teams often face challenges in scaling up quickly to meet sudden project demands.
This way, they gain access to an extended software development team that can adapt to the changing project priorities. In addition, these teams offer the following advantages:
Cost efficiency
Risk mitigation
Heightened productivity
High flexibility
So, you can rely on an extended team to optimize resource allocation, maintain agility, and meet client needs without much hassle. Furthermore, the extended tech development team uses apt project management tools to give you a competitive edge and boost collaboration through the entire project.
2. The Extended Team Model Saves Cost
Main reason: You don’t need to hire full-time employees or invest in equipment and office space.
An extended development team saves your overhead costs significantly. For instance, you don’t need to hire a developer or a designer on a full-time or part-time basis to fill any skill gap. Under such a scenario, your IT vendor can assign their specialized professional to work with your team remotely.
Overall, extended teams working from developing countries allow you to avoid hiring local programmers who work at a higher rate. Furthermore, you don’t need to invest in the infrastructure, equipment, or other costs after establishing extended development teams.
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Main reason: The collaborative approach leads to shared responsibilities and better project outcomes.
An extended development team proves as a catalyst in joint decision-making. Your squad and the vendor’s resources work together and define the project scope. This brainstorming activity helps develop the following aspects:
Accountability
Trust
Collaboration
Shared risk and reward
All in all, the shared ownership due to the presence of extended teams pave the way for a healthy collaborative workspace. This way, the combined expertise results in efficient teamwork and practical allocation of responsibilities.
4. An Extended Team Boosts Innovation
Main reason: The diverse experience and perspectives lead to development of creative solutions.
Development team extension drives a culture of innovation due to many practical reasons:
Knowledge sharing
Varied skillset
Diverse perspectives
Geo-specific outlook
Think about it. Your in-house team has professionals living in the same city or country. On the contrary, an extended team generally functions from an overseas location.
The education syllabus, courses, skills, and experience of such developers has some variations. Also, the exposure to multiple international client projects help them develop a diverse outlook.
So, an extended development team can be a great asset to build innovative IT products or services. Consider this strategy similar to the dedicated development team tactic but with increased collaboration.
5. The In House Team Can Focus on Core Activities
Main reason: You can offload IT development tasks to the external experts.
If you have a small in-house technical team, this decision can prove valuable. An extended development team can handle all the software-oriented tasks from scratch. In-house teams often face limitations in handling all tasks due to resource constraints, and extended teams can provide the necessary support to tackle specialized projects.
Through extended teams, your core members can focus on other non-technical initiatives. Be it sourcing, client acquisition, or market research, this setup proves helpful.
So, many companies mitigate risks by developing a long-term partnership with a trusted IT vendor.
Leave the technical duties for us. Know more about our outsourcing services and form your extended team today!
The extended team model differs from an in-house team in several ways. An in-house team consists of employees who work directly for the company, within the same physical location.
In contrast, an extended team includes external developers who work remotely, from different parts of the world.
One of the main benefits of the extended team model is its flexibility and scalability. Businesses can quickly adjust the size and composition of their team based on the tasks identified within their management plan. This adaptability is particularly valuable for projects with fluctuating requirements or tight deadlines.
On the other hand, an in-house team can be more rigid, requiring more time and resources to adjust to changing project needs. By leveraging the extended team model, you can access a broader talent pool, reduce costs, and maintain the agility needed to stay competitive in the fast-evolving tech landscape.
When to Establish Your Extended Software Development Team?
As a business, you need to identify certain scenarios that require the guidance or support of external experts. In this section, you’ll find a table explaining the main conditions that prompt the necessity for an extended development team.
Scenario
Description
Project Complexity and Scope
When dealing with complex projects, large-scale initiatives, or projects requiring specialized skills
Skill Gaps and Expertise
When the in-house team lacks the necessary skills for a specific project or needs to access emerging technologies. In-house teams may face limitations in acquiring specialized skills quickly enough to meet project demands.
Scalability and Flexibility
When you experience fluctuating workloads, rapid growth, or need to adapt to changing project requirements
Cost-Effectiveness
For short-term projects, specialized skills, or peak workloads where hiring full-time employees may be expensive
Risk Mitigation
To reduce risks associated with project delays, skill gaps, or resource constraints
Strategic Alignment
When you want to focus on core activities, delegate non-core IT development tasks, or drive innovation
How to Build an Extended Development Team?
Establishing extended teams is similar to outsourcing. You began by conducting thorough research on the potential prospects. However, in this case, you should look for companies that have dedicated developers for such purpose.
See, an extended team should have resources that can work with you. On the contrary, traditional outsourcing is project-focused. The professionals don’t work with your team in such a model.
Instead, they work on your project and deliver it to you.
Follow the steps in this section to develop your own extended development team.
Step 1: Be Clear About Your Requirements
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Step 2: Research Service Providers
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Step 3: Evaluate the Vendor and Resources
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Step 4: Negotiate the Terms and Conditions
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Step 5: Onboard the Extended Team Members
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Step 6: Maintain Regular Communication
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Step 7: Focus on Cultivating a Long-term Relationship
As you can notice, all the steps are self-explanatory. Still, you might have some queries about each activity. The following table will solve any questions:
Step
Action
Define Your Needs and Goals
Define project requirements, skill needs, and team structure
Research and Shortlist Service Providers
Research reputable service providers, check references, and consider cultural fit
Conduct Interviews and Evaluations
Schedule consultations, assess technical capabilities, and evaluate communication skills
Negotiate Terms and Conditions
Discuss contractual agreements, pricing, payment terms, and intellectual property
Onboard and Integration
Introduce the extended team, establish communication channels, and start the project
Management and Collaboration
Maintain regular communication, monitor performance, address issues, and promote a collaborative environment
Continuous Improvement
Gather feedback, identify areas for improvement, and implement changes
Planning and Partner Selection
When implementing the extended team model, careful planning and partner selection are crucial. Start by having a clear vision of your software’s concept and draw up a preliminary feature list with your internal development team. This clarity will guide your search for the right external partners.
The choice of software development company significantly affects the cost and quality of the final product. To find a reliable partner, use platforms that provide information about IT vendors and display reviews from real clients. Look for companies with a proven track record in delivering high-quality software solutions and a strong reputation for reliability and professionalism.
By investing time in planning and selecting the right partner, you can ensure that your extended team will be well-equipped to meet your project’s needs and deliver exceptional results.
Managing an Extended Development Team
Managing an extended development team requires effective leadership and performance monitoring. With the extended development model, you maintain full control over your project, allowing for direct feedback from both your extended team and in-house team. This setup enables you to re-allocate members as needed to meet your project’s requirements.
Effective management involves regular communication and collaboration. Use project management tools to facilitate seamless interaction between team members, track progress, and address any issues promptly.
By fostering a collaborative environment, you can ensure that your extended team works harmoniously with your in-house team, leading to successful project outcomes.
Leadership and Performance Monitoring
Effective leadership and performance monitoring are critical to the success of an extended development team. Regular check-ins and one-on-one meetings with team members can help identify pain points and celebrate areas of success.
Implementing the SMART goals framework (Specific, Measurable, Achievable, Relevant, Time-bound) can help set clear objectives and track progress.
By monitoring performance and providing constructive feedback, businesses can ensure that their extended team is working efficiently and effectively. This approach not only helps in achieving high-quality software solutions but also fosters a culture of continuous improvement and innovation within the team.
By following these guidelines, you can build and manage an extended development team that complements your in-house team, driving your projects to success.
Wrapping Up
An extended development team can be a great modern-day asset for your business. In this setup, you hire professionals that work with your in-house team from a different location.
Generally, extended teams fill any skill gap and prevent the need to hire full-time employees. Such teams can have professionals with niche skills and work in three prominent engagement models – dedicated, augmentation, and managed services.
You can rely on extended teams due to their scalability, cost-effectiveness, accountability, and innovative capabilities. In addition, development team extension allows you to focus on your core activities.
If you are interested in establishing a reliable extended team, stop right there! We have over 150+ dedicated resources who have worked with several international clients. Even you can join the ranks of our valuable clientele and build your extended development team. Just contact us and we’ll ensure a smooth support process leveraging our 21+ years of experience.
Frequently Asked Questions
1. What is the difference between a dedicated and extended team?
The dedicated development team model has professionals who work on your project and take care of all the activities on its own. They also have a Project Manager that oversees the development process. In case of an extended development team, the professionals work with your existing team and complete the project on a collaborative basis.
2. Which professionals fall under extended teams?
Software Developers, QA Engineers, UI/UX Designers, Project Managers, Data Scientists, and DevOps Engineers fall under an extended team. The composition varies as per project requirements and your budget.
3. When to not use the extended development team model?
If you have small and simple projects, building an extended team won’t lead to fruitful utilization. Also, if you already have a strong in-house squad, it doesn’t make sense to augment the group by onboarding professionals with similar skills.
