Understanding The Difference Between RPO And Staff Augmentation
When a software firm or corporate IT department needs to cut personnel costs, accelerate project timeline or push beyond the scope of in-house resources, they often opt for technical staffing services. There are a variety of staffing models of outsourcing, such as IT Staff augmentation, project outsourcing or managed services that bring required talents in-house.
These models help you gain skilled engineers, designers, or developers to help the in-house teams. But these models pose some differentiations you should understand before opting for them.
Let’s look at the difference between RPO and staff augmentation to assist you in deciding which approach is most effective and fits your present staff requirements and challenges.
What Is RPO?
The RPO services allow you to pay for a specific, prearranged function and share the burden of risk with outsourcing vendors.
An IT outsourcing company will train, recruit and manage a team of skilled professionals. The outsourced team handles the task of development that you set for them.
Staff Augmentation
Staff augmentation differs from RPO or project outsourcing in several ways. Many companies try to gain significant technical expertise in designing, IT or software departments to obtain a competitive advantage.
One of the efficient ways to do this is to keep costs low and maintain access to top-notch IT talents when required.
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Making The Right Choice: Project Outsourcing Vs Staff Augmentation
In industries all around the globe, there is a growing need for reducing expenditure while retaining operational efficiencies. The success of a business depends on being able to compete and that can only be achieved by building efficiency.
Being innovative and agile also plays a massive role in determining the success of a company. To be able to do all of the above, companies need to invest in new IT needs all the time.
The problem is that such demand is sporadic in nature. Most companies do not have static IT needs. Therefore, when innovative technologies emerge, if a business is unable to keep up, it can have disastrous outcomes. In such situations, companies need to have a well-equipped and capable workforce.
Developing the skills of employees in-house is quite expensive and usually considered high-risk. Fortunately, other alternatives are available in the industry.
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