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Dedicated Teams: Business Limits are Meant to be Crossed!

Posted by TH Insights Team November 2 2021

Scaling your business doesn't lead to increased ROI if the right conditions aren't met. Lofty businesses have collapsed on their way to expansion due to accelerating operating costs, overstaffing, and hard-to-find expertise.

What challenges lie between client commitment and business scaling?

The answer is, ‘precise skill sets, expansion costs, critical agility’.

What can bridge the gap?

The answer is ‘hiring of a Dedicated Team’.

Scaling your business doesn't lead to increased ROI if the right conditions aren't met. Lofty businesses have collapsed on their way to expansion due to accelerating operating costs, overstaffing, and hard-to-find expertise. Enron, the US-based energy-trading and utility company, recorded $100 billion in revenue and 29,000 employees at the beginning of 2001 and declared bankruptcy at the end of the very same year.

If you can’t feed a team with two pizzas, it’s too large.” 
The mantra, given by Amazon’s Jeff Bezos along with Peter Drucker’s advice, "Do what you do best and outsource the rest!"-has introduced a dynamic approach to staffing.

Businesses, from Alibaba to WhatsApp, have turned to employ remote dedicated developers to meet the constraints of a limited budget, long-term projects, unclear technical needs, and specialized talent gaps.

While these unprecedented times have brought many vulnerable businesses to a screeching halt in growth, the go-getting types have quickly identified remote work as the new normal. According to Technavio, "a market research and consultancy firm, the IT outsourcing industry would rise to $98 billion by 2024 allocating more and more work to remote teams". Another study states that 59% of companies consider outsourcing as an effective cost-saving tool. Indeed, companies can reduce operating costs by 50% by hiring a dedicated team.

From Start-ups to Enterprises: Companies Hiring Dedicated Teams

In today's landscape, many businesses have formed dedicated teams to work on projects for them. No wonder why the Tech outsourcing market is estimated to achieve $531 billion by 2022.

Some of the  initiatives that have hired dedicated teams are :

  • Google→ The tech giant is said to have incorporated a dedicated development team for IT management and back-end development to minimize costs. Google has elevated its outsourcing strategy by providing business to companies like Cognizant, IBM, and Accenture. In the last 10 years, it has provided software maintenance and development projects to third-party IT vendors like Genpact and Infosys.

  • WhatsApp→ In 2012, WhatsApp worked with only 30 full-timers and 5 part-timers. The world’s chat app behemoth recruited a Dedicated Development Team to aid them with the iOS app. As a result, WhatsApp was able to keep its operational costs low by outsourcing development to a third party for a fraction of the cost.

  • Mitsubishi Motors→ Mitsubishi has collaborated with a dedicated team for developing its supply chain management system.

  • Slack→ The business communication platform banked on a dedicated team for mobile app development and marketing website promotion.

  • Lebara→ The European telecom company depends upon a dedicated development team for the full-cycle development of new products and maintenance.

  • Click2Cover→ The insurance company has a dedicated team for managing end-to-end leads and implementing business analytics tools to analyze the leads’ data. 

Why is a Dedicated Team More Effective?

Jack of all trades is what a dedicated team is said to be in the world of outsourcing.

A dedicated team is a group of professionals who work dedicatedly for a client with a specific project. These experts are selected by the client on the basis of the experience and skillsets required and are then aligned as per the business goals. Hiring companies may choose whether to work directly with the Dedicated Teams in a more hands-on manner or to delegate authority to them.

Why Should a Company opt for a Dedicated Team?

A dedicated team has reasons why you should go for it and how it adds value to your business through a workforce boost. As per research, this model is well-suited for long-term projects that are at least one year long. It is said to be flexible, and you can alter the requirements, scope of the project as well as the number of team members needed. Also, the budget is decided at the beginning but can be adjusted during the project.

Reasons as to why your company should opt for a dedicated team are:

  1. Cost Curtailment:

    Commonly, the hiring cost of a dedicated team is less than that of keeping up with local experts. In addition, it can save a lot of time and money spent on recruitment. A dedicated team caters to the needs of the client according to the requirement.

    A Global Outsourcing Survey report by Deloitte says that the top reason to outsource in 2020 was cost-cutting.

    When you employ a dedicated development team, you have complete control over the team's size, the timetable for engagement, and the total budget. Most importantly, you are simply charged for the services. Study shows that there can be a savings of around 50% in cost when work is done through a dedicated team rather than in-house employees.

  2. Access to Hand-Selected Specialists:


    "No matter which project you are handling, hiring the best is your most important task”.

    A dedicated team supplier has expertise in tracking down the most elite talents from the world market as per the client’s needs. You just need to cherry-pick from the pool of professionals as per the need of the project and leave it in the hands of the vendor to get them onboarded.


  3. Complete Team Engagement and Culture:

    By selecting a 24-hour team, you can be sure that the specialists you employed will do the job solely for your tasks. A new employee must recognize your objective and contribute to the company's overall success. You would want the same from your outsourcing partner, and a devoted team is more likely to adopt your culture and root for your firm.

  4. Absolute Control:

    Numerous companies do not like outsourcing models as they are not clear. Through a dedicated team approach you are consistently in charge of your team, can view what each team member is doing, set requirements, and allot work to them. There is transparency in communication with a dedicated team which reduces miscommunication leading to greater productivity. After all, transparency is the new objectivity.

  5. 360-Degree Flexibility:

    Dedicated teams ensure maximum flexibility for a business. They have training in all leading technologies. The skill sets of shortlisted candidates are matched with the projects’ requirements to ensure you receive the optimal team for your project. One can conveniently have access to teams specializing in Enterprise Software, Legacy Systems, FinTech, Insurance, Travel & Hospitality, Retail & eCommerce, Healthcare & and other industries.

What are the different models of engaging a Dedicated Team?

Fixed Price Model

Value is more expensive than the price. 

The fixed price model is a structure where a client gives payment for a decided amount of      money nonetheless of the hours performed or work done.

This model is well-suited for companies that look for fixed budgets, rigid requirements, distinct needs, difficult deadlines as well as small to medium size projects.

The fixed price model is beneficial for those who are looking at less risk, no extra prices, and fixed deadlines.

Dedicated Development Team Model

Undivided attention is the key.

The dedicated team model is considered to be the best pricing model for long-term projects.

It presumes that the chosen specialists work only for the project for which they are dedicated. This model gives maximum flexibility to the scope of work and tasks and stable predetermined expenses.

The dedicated team model is observed to be the most convenient and cost-saving model for long-term projects. 


Fixed Price Vs. Dedicated Team

Dedicated Team: Here you have loads of adaptability as far as altering the project specifications moves along. Also, you get the opportunity to evaluate and examine what may need to be altered or added. You likewise have association all through the whole development procedure. 

Fixed Price: Cost and extent are pre-decided and stable given the particular requirement that you give to the outsourcer. There is then no adaptability for changes without re-settling the prime contract. You will have no association in the development procedure which generally happens through the waterfall process. The threat here is product quality, even though with contract terms that give for fixing problems after completion, this is up to a point alleviated.

Questions to Ask for Choosing a Model

Before selecting a model certain questions that should come to your mind should be:

  1. Type of Project:
    Analyse the kind of work and unravel if it is a simplistic MVP project or a multi-faceted and complex solution?
  2. Budget Planning:
    To deduce the cost, you must spend on the project, is it imperative for you to outline your budget?
  3. Versatility:
    Would you like to acknowledge last-minute changes or additions following working on the project?
  4. Timely Delivery:
    Is it essential to deliver it to users at the assigned time? If yes, then why?
  5. Deadlines:
    Will you get deadlines to complete the immovable project?
  6. Supervision:
    Would you be able to lead the project development?

Key Takeaways

A dedicated team model is one of the nearest collaboration schemes you can have with a software development partner. It covers the entire array of competencies you require to proceed forward with your product idea quickly. Due to its flexibility and comprehensiveness, the model is well-suited to venture capital(VC)-backed start-ups that simply begin as well as ventures with products reaching out to new businesses. 

With the manifested onboarding and development processes as well as practices suggested by awarded IT partners, you can leverage your product with new ideas coming from a team that’s simply committed.

Emerging tech nations can be very profitable for your business by building a dedicated development team. Also, you gain access to an enormous undiscovered talent pool and remarkably lessen your operational costs. 

In Closing

To summarize, a dedicated team is the most ideal alternative for projects with numerous indefinite prerequisites: budding start-ups and developing tech companies. For such businesses, which look for a long-run association, the dedicated partnership shows the perfect choice for optimal expenses and required talents.


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Lead with TransformHub:

We are TransformHub, an award-winning Global Digital Solutions Company with our presence in Singapore, the US, Middle East, and India. We pride ourselves in offering a fully reliable Dedicated Development Team hand-picking the most talented offshore and remote developers. Our hand-picked specialists are dedicated solely to our clients’ projects.

Being pioneers in delivering digital transformation services, TransformHub follows a well-defined, robust process that helps us impart quick, efficient, and quality solutions to enterprises, product companies & new-age start-ups.

So, if you are looking to hire the best specialists, look nowhere else. Trust TransformHub to help you curtail costs and make you excel in your projects with our dedicated team of professionals. Hire senior developers with advanced degrees and extensive expertise in your domain. Our engineers don't just take jobs and produce code; they consider value, solutions, and real-world issues.

Connect with our Dedicated Experts to Scale Your Business Today!


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