Why Choose Offshore Staff Augmentation?
When you can get your own offshore software team in 2 months?
Basically the same, but better:
- Valley-grade team of 20+ senior developers in 3 months
- Up to 40% savings compared to traditional outsourcers
- Zero buy-out cost
- Employer of Record service – our compliant employment solution
- No intermediary in team management
Mexico
Colombia
Argentina
Chile
Poland
Romania
Ukraine
BulgariaHigh-Speed Recruiting to Build
a Senior Engineering Team
Can an offshore staff augmentation provider guarantee
2.5 years
average tenure of developers
Cultural alignment
with your company values
Pricing transparency
no hidden or buy-out fees
Legal & compliance
and other needed operational support
Exceptional dedication
it’s literally your own team
Long-term partnership
shared responsibility & commitmentKey Things about Offshore Staff Augmentation
Advantages
Staff augmentation is a gainful short-term solution because:
- you engage top-tier engineers in your project through an IT outstaffing partner without the need to set up your own legal entity
- there’s no need for hiring: it’s a quick temporary fix to supplement your team capacity
- with team extension, you can replace developers on the fly and maintain control over team management
Challenges
However, beware of offshore staff augmentation pitfalls:
- when it comes to tech team’s augmentation as a model, remote software developers don’t see you as their real employer, but rather as another passing client; as a result, they are not as loyal to your product as in-house or R&D devs
- if you decide to hire the tech gems in your team, you will have to buy them out from your software team augmentation vendor
- the staff augmentation model poses IP rights risks and may cause data security issues due to the data shared with the third party
- with no onboarding envisioned in team augmentation services, integrating the augmented team within your in-house squad is no mean feat; besides, work culture mismatch is still likely
Comparison with alternatives
To sum up, IT staff augmentation is ideal for short-term projects, especially if you don’t require perfect team loyalty and don’t mind delegating some control to your provider. Besides, you should already have a small in-house team to augment it. In this regard, outsourcing is more suitable for non-tech companies with no development teams onboard, although it does lose to staff augmentation regarding client involvement.
Managed services and a dedicated team are comparably long-term, although managed services, unlike team augmentation, are focused on consulting and demonstrate higher loyalty levels. A dedicated team has the same client-control approach as staff augmentation services but is more suitable for long-term projects and provides moderately dedicated software engineering specialists.
Another viable alternative to IT team augmentation that is long-term, offers a flexible budget, is tailored only to your product, and comes with full client control and dedication is a software R&D center.
What is software R&D center
Your own R&D center is a one-stop-shop turnkey solution for hiring from 0 to 100 programmers within a year.
Your software R&D starts with IT recruitment, and we hold to it to rigorous standards:
- 15% chance of closing the vacancy from the first CV
- 2-6 weeks to close a vacancy
- 8 CVs to get to 1 accepted offer
- 80% of candidates are approved by clients
- 98.6% of our hires pass probation
- 2.5 years — the average tenure of our hires
- 3-month warranty to substitute a candidate
Alcor’s full-cycle IT recruitment in LatAm and Eastern Europe is sleek and smooth: we consult you on the tech hiring market, draw up ideal candidate profiles, promote your employer’s brand in software engineering communities, and follow with recruiting well-matched candidates. Your feedback is worth its weight in gold, so we invite you to all tech assessments & interviews and send out hiring updates every week.
Also, we provide EoR services that cover accounting, payroll, legal & compliance. Need operational support? Alcor’s R&D all-in-one approach has multiple cherries on top: we take care of your offshore or nearshore office lease, equipment procurement, IT infrastructure setup and even WFH support, — all operations managed
Better than a third-party team augmentation
Alcor is an all-in-one place to establish and run a turnkey software R&D center:
- Employer of Record support — no need to set up your legal entity
- From 0 to 100 software developers in one key talent pool
- Establish your corporate culture with your own team. No intermediary
- No buy-out or other hidden fees
Own R&D Center vs Staff Augmentation
Staff Augmentation
- Cloudy pricing If you want to keep your extended team in-house, expect additional hefty buy-out fees that will substantially raise your overall costs.
- Frequent team changes Software engineers for offshoring or nearshoring teams are contract-loyal and won’t go the extra mile to ensure your product’s long-term success.
- Provider-centric teams An augmented team will report only to your vendor, treating you as the “secondary” employer.
- Risk of data leakage If your augmented development team provider doesn’t protect sensitive info, it leaks, and you lose valuable expertise when the contract ends.
- Barrier to investment attraction An extended software team means entrusting core competencies to developers who will eventually leave. Not the investor’s dream.
Own R&D Center
- Maximized cost savings Your own development team plus office costs 40% cheaper. Because you get no buy-out fees & markups.
- Long-term commitment Product development and the feeling of ownership draw developers like moths to a flame. Hence, more loyalty.
- Your team, your rules You get your team for ideation, innovation, and growth—without intermediaries.
- Data security and IP rights under control With direct agreements, you fully own your product and its source code, keeping unique expertise in-house.
- Easy investment attraction After establishing your own R&D center, you will not only boost your software development capabilities but also become more attractive to investors.
Our Customers
Alcor is a reliable partner that meets our hiring needs. We finally hired experienced software engineers in Eastern Europe with strong tech skills and business acumen. Account Managers are awesome!
With Alcor’s all-in-one solution, we got a software R&D office with 15 senior PHP devs and a compliant operational coverage. I really appreciated their transparent pricing structure and deep expertise.
We interviewed a lot of EoR platforms and companies, but Alcor was the only one that provides a combo package of EoR and Recruting offerings. Alcor helped us build a full stack team in 1.5 month.
We wanted to switch from our outsourcing provider, and Alcor has become really game-changing for us. Within a mere 6 months, we got a fully-fledged team of 30 engineers in our own R&D office.
Alcor’s R&D solution eclipses full-cycle recruitment, EOR service, and operational support for our offshore team. Their ‘all-in-one place’ approach is far more cost-effective than I could’ve imagined.
I value their commitment to going the extra mile. We evolved from an outstaff project into an independent company, and Alcor’s support was crucial. They hired and ondoarded 15+ professionals for us.
Thanks to Alcor, we hired four engineers and a designer that strengthened our team. Beside stellar recruitment, Alcor flawlessly handled our payroll. Their approach was seamless and swift.
FAQ about Offshore Staff Augmentation
Is it beneficial to use staff augmentation services?
You will benefit from staff augmentation services in Eastern Europe and Latin America if you seek to boost your team’s tech expertise for lower costs. However, this model is short-lived, so if you’re looking for long-term product-based models, consider other options, such as a software R&D center.
What are the common challenges or pitfalls of using IT team extension?
The main flaws of IT staff augmentation lie in cooperation through a third party. Since software engineers work for your provider, they may see your project as a passing one and not feel loyal to your particular task. Besides, you’re less engaged in their management and will have to pay buyout fees should you decide to hire them.
What are the alternatives to IT staff augmentation?
A software R&D center is your all-in-one solution to hire Valley-caliber tech professionals, manage payroll & accounting, navigate legal & compliance, get equipment procurement, and lease an office with your reliable provider like Alcor. Other models include software outsourcing, managed services, and a dedicated team.