One of the biggest challenges companies face today is how to cut costs while maintaining high quality services and products. Fortunately, technology has created new ways to not only increase efficiency in existing departments, but also free up employee time by increasing the capabilities of non-IT staff. Here are three IT Staff Augmentation trends that will help your company grow in 2023 and beyond
What is IT Staff Augmentation?
While the IT Staff Augmentation industry is projected to grow by a mere 4% over the next five years, it is still a growing and profitable industry. IT Staff Augmentation consultants are typically contracted for two purposes: maintenance and development. Maintenance covers tasks such as day-to-day troubleshooting, data backup, and installation of software updates, while Development covers tasks such as project management, team leadership, and developing systems from scratch.
Outsourcing these services can be beneficial because they save time, money, and resources. For example, if an offshore development center in India handles this work, US companies will be able to reduce their IT staff onsite because the offshore developers have highly-skilled engineers available at competitive rates.
Narrowing Full-time Workforce
A recent study by the Bureau of Labor Statistics indicates that IT staffing firms are expecting a narrowing of full-time workforce. Specifically, tech talent shortages will result in IT firms hiring more contingent staff (those working on contract or temporary) and relying less on full-time workers. The trend is also attributed to a focus on companies having more flexibility as they scale up and down their resources.
The Impact of Remote Workstyle
An increasing number of employees are choosing the remote workstyle. The workforce is becoming increasingly distributed and companies are moving towards a more agile, flexible, and mobile workforce. Remote workstyle allows employees to work where they want, when they want. This flexibility makes it easier for employees to balance their lives with the demands of a career.
The Increase in Data Privacy and Security concerns
As more and more businesses move their data out of the company, staff augmentation is becoming increasingly important. In addition, with the increase in data privacy and security concerns, companies are adapting new strategies in order to retain compliance with data protection regulations. India’s offshore development centers provide the flexibility and cost-savings that many companies need while they work on data security issues.
The need for more Interdisciplinary Teams
In order to meet the demands of the ever-changing market and accelerating technological advances, businesses will need to turn towards more interdisciplinary teams. For example, a software company may need a team of engineers, analysts and business development specialists. This new trend for interdisciplinary teams is about more than just adding more staff; it’s about building teams with diverse skillsets that can adapt quicker than traditional departments alone.
Importance of Value Over Cost-savings
Value-based IT staffing and outsourcing is the key to success for companies with a limited budget. Value-based IT staffing and outsourcing is essential for companies that don’t have the money necessary to hire full-time employees or purchase large contracts. Cost savings are important, but being able to provide a high level of service at a lower cost is far more important. A company will always be more successful if it can offer quality work at an affordable price than if it can provide low-quality work for a low price.
Focus on Advanced IT Skills
The IT Skills Gap is projected to widen, and the need for Advanced IT skills will increase. As of 2016, about one-quarter (24%) of organizations expected their shortages to grow worse by 2020. By 2020, more than three-quarters (78%) of organizations expect the shortage in Advanced IT Skills will worsen due to a greater demand for Advanced IT skills and a lack of qualified candidates.
The Necessity of Cybersecurity
Cybersecurity is one of the most pressing issues that organizations face today. Threats are constantly evolving, with new vulnerabilities and attacks being discovered every day. It’s not just hackers trying to steal data anymore either, but nation states targeting power grids and other infrastructure. Recently, we have seen Russia use malware to attack Ukraine’s power grid and North Korea release ransomware into South Korean computers.
Global Market Accessibility
Trends indicate that companies are increasingly moving to off-shore IT staff augmentation. This trend is driven by a variety of factors including cost savings, access to talent, and the ability for companies to have more control over their employees. The result of this trend is increased competition for global market access with major players like India and China scrambling for a piece of the pie.
For example, India accounted for less than 1% of offshore development centers as recently as 2009 but has since grown exponentially to 26%. It’s projected that by 2020, China will take over the top spot as most popular offshore development center with 52%.
Businesses must be able to adapt quickly and efficiently. To do this, you need the right staff for your business needs. This is where IT staffing comes into play. When it’s time to staff up, a company will often turn to an agency that specializes in getting employees with the necessary skill set. However, many businesses don’t know what they’re looking for when they first start hiring or how to determine if an agency will have the employees they need. The important thing to keep in mind is that different skill sets are needed for different departments within a company and finding the perfect match of skills can be tricky.
There are many trends that you need to be aware of when it comes to IT staffing. One trend is the offshore development center in India. This has been a popular choice for many companies, as it offers a low-cost option for growing companies.
As the demand for digital services continues to grow, we’re seeing more and more companies incorporating IT staff augmentation into their business models. In this post, we’ve discussed how and why IT staffing has become such a necessary part of many businesses. With new trends and best practices emerging every year, it’s crucial that you stay up-to-date on industry news so that you can implement the right solutions for your business.