How Staff Augmentation Can Unlock Success in the Next Wave of Globalization

Written by Mauricio Lopez
Outsourcing

As countries gradually ease lockdown measures, it’s increasingly clear that we won’t be returning to the world we knew before Covid-19. Some obvious behavioral changes like social distancing and mask-wearing will (hopefully) be temporary and end when the immediate health threat from coronavirus is over. But there are also more fundamental shifts underway as we collectively rethink the way we live and work, potentially laying the foundations for a new post-Covid global paradigm.

The recently named Chief Economist at the World Bank, Carmen Reinhard, said the pandemic is “the nail in the coffinof globalization, as it accelerates the recent drift towards protectionism and more inward-looking national strategies. And yet, while this may become the ‘new normal’ for the production and trade of goods, the Covid-19 crisis could be the catalyst for the globalization of services.

According to the World Bank, services represent around 65% of global GDP but only around one-quarter of the value of total global exports. However, technological advances have been driving rapid growth in cross-border services over the last decade, and the rise of remote working can be the key next step in the new service-led wave of globalization.

Technology is constantly changing and evolving, making the globalization of services even more reachable for companies. This provides the opportunity for enterprises to start teleworking and building teams that are located all around the world, being a part of the evolving globalization trend and providing cost benefits. IT globalization of services has become more and more normal but for sure in a short period of time, it will be the new norm. All of these technologies will be the motor to making outsourcing services even more manageable and cost effective for companies, so they can operate local but have and international working force.

The New Possibilities of Remote Work

While there was already a broad move towards more flexible work solutions, the Covid-19 shock has suddenly brought remote work practices into the mainstream and made digitization a primary focus for many companies. Though disruptive, this may have opened the door to new ideas and opportunities: if you can offshore manufacturing to a third-party provider in another part of the world, why not do the same for specific services? Why limit yourself to the labor that lives within a commutable distance from the workplace when you can outsource jobs and projects to talent anywhere in the world?

Offshore work relationships are already relatively common in IT and software development. Places like India, Ukraine and Latin America’s "Silicon Vallecitos" have become important hubs for offshoring tech services, with the latter emerging as a preference for North American companies due to geographical proximity, similar time zones, and minimal cultural barriers. Nearshore software teams can be efficient and cost-effective, but there is still the question of whether to hire in-house or use outsourced developers. At Jobsity, we provide an outsourcing option that we believe offers the best of both worlds: staff augmentation.

Scale-Up Your Team Capabilities With Staff Augmentation

IT staff augmentation allows a company to quickly expand its teams to deal with a spike in the workload or fill specific skills gaps. The developers are employed by a staff augmentation firm like Jobsity but managed by the client either for short-term projects or on a longer-term basis. It’s a simple and effective way to add capabilities to your existing team without exposure to the risks, costs, and liabilities of recruiting new full-time employees.

Using staff augmentation, companies can easily ramp up and down to meet changing demand - a valuable capability in an increasingly volatile world. Staff augmentation firms like us can supply a specialized team of outsourced developers that are already trained in the right technologies and can be seamlessly integrated into your business workflows, operations, and development framework. We put in the legwork to ensure our English-speaking Latin American developers are highly skilled and ready to get to work right away under your direction, while we continue to take care of the billing and HR management.

Is staff aug right for you? While the decision will depend on the unique circumstances of each company, we have a few basic guidelines for assessment when it might be most helpful:

  • You have a talent shortage but already have management in place that can provide project oversight.
  • You need limited manpower, i.e., an individual or a small group rather than a large team.
  • You are considering increasing your team but are not certain you have a long-term need.
  • You want to be able to insert outsourced developers into your existing structure.

The scramble for tech talent amid a global shortage of skilled software developers and engineers is only going to intensify as more companies transition to a 100% digital workplace. This makes now a great time to partner with a reputable staff aug firm who can provide consistent, flexible, and stable staffing solutions to fit your needs.

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Written by Mauricio Lopez
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Mauricio has been at the forefront of technology for +15 years. He is constantly integrating new technologies including frameworks, CMS, and standard industry models. He is a pragmatic problem-solver and customizes solutions based on the best schema/language/application for each project. As the CTO at Jobsity, he ensures that his team is always up to date with the latest advances in software development by researching the software ecosystem, implementing professional development initiatives, and coordinating with new and existing clients about their needs.