Dedicated Team vs. IT Team Extension

Businesses worldwide are increasingly outsourcing projects and even whole departments. This trend has especially become an option even for those who have never thought of hiring the new members outside their own city before the COVID-19 period.

In this article, we will focus specifically on software development team outsourcing. More precisely – on the two most common options: dedicated team model and the IT extension team model.

The basic difference between the two models

Hiring software developers within the team extension model means augmenting and adding to your existing software development team the developers with the specific requirements for a particular project. This way, your in-house team gets the support of the additional software engineer(s) who possess (es) specific expertise adjusted to the task.

Choosing a dedicated software development team, on the other hand, means engaging the whole team that works remotely and takes care of your project. This is to say, besides software developers themselves, there is also a project manager who will be the main touchpoint in your further communication.

After the definitions are in place, let us move on to further questions that may arise.

How to choose the right model for your current business needs?

Although there is no right or wrong per se in opting for any of the two models, it can be handy to take into consideration some advantages of each of them.

In the team extension model, you and/or your existing software engineers keep control over the newly added developers. That is to say,  they complement the structure of your in-house team and become an integral part of the established methodologies and ways of communication. Next, there is direct communication between you, your software developers, and the extended team. This means they are all equally involved in and responsible for the project.

Not to mention that in this case, you have a great impact when it comes to selecting the members who will augment your team. You have the opportunity to choose the perfect candidate who will better understand your working style, vision, and company culture

Dedicated Development Team may appeal to you because it is in many cases a quicker solution. Instead of looking for particular developers, you choose a development team that is up to your requirements and expectations. That way, you save more time for focusing on other aspects of your business. With this model, the members of the team do not interfere in your daily activities. They take the whole responsibility and guarantee with their skill set, seniority, and knowledge (as well as contracts) that your project is in the right hands.

Giving away important deadlines and relying on the quality standards with the team you have never worked for may sound intimidating. Therefore, it is of crucial importance that trust and confidence are also some of the points that should be at the top of your list to check before you seal the deal.

team extension

What to consider before you make your decision?

More often than not, the cost difference of hiring a team extension or a dedicated team can be smaller than you thought. So, perhaps there are other factors that should have more priority in your decision-making process.

  • Take into consideration your company’s values and culture, as well as probable roadblocks regarding the project.  Then, compare these with the potential partner. Are you on the same page? If yes, you can move forward thinking about cooperation.
  • Check with them if they are using the same tools and frameworks. If not, are they willing to switch to the ones you use? Unfortunately, even something that seems like a meaningless difference, might cause a headache if not defined beforehand.
  • Introduce your team, especially the members who will potentially be vital in the initial stages of the collaboration –let your partner get to know your company, too.
  • Define the what-ifs. Trust and loyalty are one of the building blocks of any collaboration, but they do not come easy and as granted. You will be able to rely on your software development partner if you set some ground rules. Agree to have clear rules about the cooperation and especially how to protect mutual interest at all times.

How to make the model you chose an integral part of your company?

Apart from choosing one or the other model based on your business needs, there may be some different steps in the process that can differ in the models.

Speaking of the Team extension, some of the steps in the pre-onboarding and onboarding process include:

  • Clear definition of the requirements and expectations.
  • Getting your team to know their potential colleague. Let them say if they are willing to give the thumbs up too.
  • As well as is the case with your in-house employees, do not expect the onboarding process to be finished after three days. The new people need to have some learning curve when it comes to your established processes. Code guidelines, tools and channels you use, and team dynamics, in general, are important to present too.

Dedicated model prerequisites maybe something different, but the basic components are still there.

  • Decide with your team what is a priority for them. Be on the same page on which part of the project they want to focus on. Discuss their expectations of what the dedicated team should bring to the table.
  • The fact that you are already thinking about this option means that you already know there are a lot of companies offering a dedicated team service. Although it may seem overwhelming at the start, there are actually lots of benefits you can rely on. When we say benefits, we primarily mean information. These include your potential partner portfolio, values, previous clients, industries they have experience in, and so forth.

Wrapping up

Regardless of the model you opt for, an online video conference meeting is a must. In this way, you get to know your potential software development partner and their attitude. Ask them about the typical time frame, check out the flexibility and ask for the price card. (Keep in mind the price card will be more specific when you are able to provide the more specific information of what you expect.)

In conclusion, outsourcing is a helpful solution for any company dealing with a long-term or complex project. This is true no matter which of the models you decide to start with. And the more time and focus both parties invest in the first steps, the more effective and successful collaboration will be.


Business Development Manager

Vesna Radović calendar

Business Development Manager


Njegoseva 45, 5th floor 11000 Belgrade




+38160 033-38-07

Our focus is on building and maintaining long-term partnerships and business relationships, while taking care of our and your business reputation.

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