Outsourcing vs. Outstaffing: Which One Is Right For Your Business?



  • What is outsourcing?
  • Advantages of outsourcing.
  • Disadvantages of outsourcing.
  • What is outstaffing?
  • Advantages of outstaffing.
  • Disadvantages of outstaffing.
  • Decision making.

What is outsourcing?

Advantages of outsourcing

  • Code quality is the vendor’s responsibility. Vendors should be in charge of quality control and making sure that the provided coding complies with your project’s specifications. You are not expected to deliver any daily management outputs at the customer level. That’s a major benefit.
  • There is no requirement for ongoing management. Vendors deliver turnkey services. They coordinate resources among all the IT specialists working on your project, including both their in-house staff and your internal team. They oversee communication, deliverables, quality control, and schedules.
  • Your vendor handles human resources. Do you need more staff members? More or less, perhaps? They are responsible for scheduling, hiring, and paying taxes, wages, and benefits for employees, among other things. Only receive the help you need when you need it.
  • There is no requirement to purchase equipment or software. Your outsourced IT employees will need gear and software to perform your projects, but these expenditures won’t show up on your expense ledger. All of those expenses will be your vendor’s responsibility and will undoubtedly be included in their estimate for working with you.
  • There is a larger, more versatile range of resources at your disposal. It is simpler for your vendor to send in a range of experts for simply an hour or two when you outsource your project. You must use the resources you have since when you outsource, the vendors you engage are subject to your company’s work in the same manner that a full- or part-time employee is. The freedom that outsourcing offers is a key selling point for many clients.

Disadvantages of outsourcing

  • The process of development is not entirely under the customer’s control.
  • As opposed to hiring outside help, outsourcing costs more. There is a price for all of that management and turnkey service. Not only the understaffed IT employees but also the project management team tasked with looking after your account as part of an outsourcing deal must be paid for by the hour. For smaller jobs, many suppliers may charge you more per hour, but if they anticipate working with you again on bigger projects in the future, they will lower their pricing.
  • Continuous quality control and monitoring of whether everything goes according to plan.

What is outstaffing?

Advantages of outstaffing

  • Outstaffing makes it possible to recruit excellent specialists without incurring excessive costs and taxes.
  • Outstaffing has full control over the software development process.
  • It has major flexibility in the number of devoted workers you recruit, either up or down.
  • Outstaffing comes with full access to any member of the team.
  • Compared to other company models, outstaffing has the lowest costs.

Disadvantages of outstaffing

  • Failure to create efficient channels of communication Because vendor employees frequently work separately, if not remotely, from the rest of your team, effective communication channels are essential.
  • Adoption procedures for new hires and micromanagement.
  • The customer and his team are responsible for the work’s quality and delivery.

Decision making




Hello 👋 my name is Shittu Olumide, I am a skilled software developer and technical writer, compassionate about the community and its members.

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Shittu Olumide Ayodeji

Hello 👋 my name is Shittu Olumide, I am a skilled software developer and technical writer, compassionate about the community and its members.