There is always dispute regarding what team structure is best for a company, large or small. And, more often than not, budget and time limits serve as deciding factors--which may not always be the case. So, how can we choose the best technology team structure for a business?
When building your software development team, there is no such thing as a one-size-fits-all formula. Let's dig deeper to learn more about the change in how people think, and the choices organizations can consider.
There is a paradigm shift in the way organizations operate today, and technology has only strengthened the transformation process. Either the way the organizations hire or format their tech team structure, there is a marked difference between them all, thanks to the choices that are available in the market.
The hiring is not restricted to geographical boundaries or working within the office complexes. We have come a long way from the time when all work happened only within the four walls of concrete structures or meetings within the sacred confines of conference rooms. There are options now for us to venture out and explore unconventional yet fool-proof ways to enhance our tech teams and explore a more advantageous team structure.
Here are some of the most-preferred retention models for teams:
A dedicated team is a business model wherein a tech team of dedicated developers is hired to work on a project. Most often, in software outsourcing, a dedicated team structure works to ensure there are a set number of people working on a particular project, and they devote all their time and energy towards the completion of the project.
Simply put, a dedicated tech team of developers, when hired for a project, will work exclusively on that project and your organization.
A dedicated team can be an in-house team of developers or an outsourced team consisting of experts with pre-determined skillsets. With an outsourced team, you can decide on the team structure depending on project requirements.
There are two ways to do it:
Whichever way it is, you get a tech team to exclusively work on your product for faster deliveries and quick turnarounds.
Dedicated teams can work remotely and focus entirely on one client at a time, adding additional benefits.
The dedicated team structure is the most preferred business model due to the immense advantages it brings to the table.
An extended team structure works for those organizations that have a project team on their own but need to fill certain gaps in the team. So, an "extended team" is a group of people or talents who work together to reach the same goals, even if they are not from the same organization or department. These team members often come from different backgrounds, expertise, or companies, and they bring a variety of skills and views to the table.
As an example, if you have an in-house web-development team but do not have an expert UI/UX designer or, say, a quality analyst, You can outsource them to include them in your project. The individual thus hired will work for the same project but may or may not be on your regular payroll.
An extended team can add on to your present tech team, thereby enhancing the team structure and complementing it perfectly. Such extended teams work well for projects that are specialized, short-term, and need quick resolution.
So, the experts can ‘augment’ the team, making it efficient in the short term and helping organizations complete their projects without having to hire them permanently. The team augmentation process helps tech teams to sort out the gaps in their team structure and function efficiently.
Again, apart from ‘augmenting’ the team structure, the extended team model comes up with some good advantages, as below.
When it comes to your team, there are no clear demarcations as to what will work and what will not. The answer lies entirely in the projects or the situational necessities that arise at times.
When it comes to dedicated teams, both in-house and outsourced (and yes, outsourced teams can also work as your dedicated team!), they are completely committed to your project. The team size depends upon your requirements, and if they are outsourced, they can work from anywhere, globally. So, the constraints of geographical boundaries are eliminated here.
As for extended teams, they can be a great value addition to situations when you need just one or two experts for a short period of time. Since recruiting someone for, say, 1-2 months may not work for them or for you (and you may not get the best tech talent out of the lot), the best way is to outsource that role. That way, you have a win-win situation in hand, where your role is filled, and yet they go their way once the project is over, or their part of the work is done.
So, be it dedicated or extended teams, picking out the right team structure depends entirely on your project and organizational requirements. Some of the factors that can help fix the right team structure include:
Project Complexity: A dedicated team structure may be more appropriate for complex, long-term projects that call for in-depth topic expertise.
Resource Allocation: Determine whether your company has the appropriate resources for employees and tools to support a dedicated team.
Budget Constraints: Assess your financial restrictions and cost factors. An expanded team structure can offer cost benefits for specific projects.
Project Duration: An extended team structure can assist with short-term projects or activities with fluctuating demands.
Skill Availability: If your business lacks specific skills, an extended team structure can offer access to the expertise required.
Risk Tolerance: Consider how comfortable your firm is with outsourcing or partnering with external partners.
Strategic Alignment: Align your chosen structure with your company's long-term strategy and goals.
A blend of both teams may be effective in many circumstances, with a devoted core team supplemented by external specialists for specialized roles. Finding the optimal balance between internal resources, project specifications, and strategic goals will ultimately determine the fit. Regularly assessing and adapting your team structure to changing needs is critical for long-term success.
