Managing IT projects in a fast-paced and agile environment is challenging. A major trouble faced by IT enterprises is ensuring enough technical staff to meet dynamic project demands and varying customer expectations. Hiring a permanent resource is not a viable option always. Some projects are time-based and could only last a few months.

In such situations, enterprises often seek third-party support to acquire the required technical competence. The two most popular approaches of filling this gap are IT staff augmentation and Managed Services model. While staff augmentation mainly refers to bringing in additional resources from outside, Managed Service model refers to outsourcing the technical requirements to an external IT services provider.

Both these approaches are defined by some specific features suitable for different projects. It is therefore essential to understand your business requirements well and make the right choice between the two. With this article, we try to help you make a well-informed decision while selecting a solution to fulfill the growing IT demands of your enterprise.

IT Staff Augmentation – What are the benefits?

Staff augmentation is a common strategy used by IT companies to bring temporary workforce to assist with certain operations or projects. This potentially has several benefits.

Cost-effective

Staff augmentation helps you cut company expenses in several areas. By bringing in resources to meet project specific demands, you can reduce recruitment expenses like employee benefits, taxes etc. Since these resources are usually hired based on their technical competence and know-how it also helps cut down technology and process training costs.

Fills special roles

Finding skilled and experienced IT resources for special roles is not easy. Staff Augmentation helps you fill special roles in IT projects like DevOps Engineers, Scrum Masters, Business Analysts etc. quicker and with less effort.

Gives you control on project

Augmented staff could work from your office or sometimes remotely. But they have their duties, roles and responsibilities well-defined just like your regular staff. It therefore ensures that you have complete control on your project so you can monitor and execute the project effectively.

Helps meeting strict deadlines

Staff augmentation is especially beneficial when you’re bound with time constraints and strict deadlines. In such crunch times, it is a good option to hire extra hands or temporary resources through staff augmentation. It helps you meet deadlines on time and implement the project smoothly.

Helps building a strong team

Software projects are dynamic in nature and customer expectations are always on the rise. You need skilled resources to carry out these IT projects. Staff augmentation helps you find and hire skilled technicians for a temporary basis. This allows you to evaluate their performance over time and retain good resources for future projects, building a strong team in the long-run.

Managed Services – Why outsource?

On the other hand, outsourcing IT services to third-party solution providers, aka Managed Service vendors also has its own benefits.

Convenient pricing models

Managed Service providers usually offer their services on a subscription model. Also, there are varied pricing models to suit your unique project requirements and you just have to pay for the services you utilize. Some popular managed service pricing models include tiered pricing, pay per device, pay per user, al a carte etc.

Expert services

One of the best advantages of outsourcing essential IT processes to a Managed Service provider is that activities are carried out by professionals who are trained and experienced experts in software delivery. You can stay assured that they will perform their tasks efficiently, leading to the success of your project.

No infrastructure and maintenance costs

Outsourcing IT processes releases you from the burdens of building an IT team, investing in IT infrastructure and maintaining it regularly. All you have to do is outsource it to a third party vendor and they will manage and maintain your processes remotely as well as upgrade you to newer technology as needed. You can trust these experts and entirely focus on your business goals.

Security and Compliance

The software industry is vulnerable to security attacks and you must adhere to the industry security and compliance standards to keep your information and business processes safe. Managed service vendors have the expertise to prevent and control such security threats and follow industry regulations and compliance procedures to keep your data, networks and systems secure reducing the risk of cyber-attacks at your enterprise.

Scalability

As your business grows and projects become more complicated, you need to scale your resources up and down as time demands. MSPs offer flexibility and extend support and to handle growth spurts or emerging IT problems. Additionally, you can increase your engagements with your managed service vendor when the demand for expert services rises.

Which is better for you?

It could be tricky to understand which solution suits you the best. Both Managed Services and Staff Augmentation have their own pros and cons, so it is important to make a wise decision. If you’re a small enterprise carrying out time-based IT projects where lesser number of skilled resources are required for a short duration, staff augmentation is the best option for you. You can hire resources on a temporary basis and even retain them in future if needed.

However, if you’re a growing business that needs skilled teams to work on a regular basis on multiple projects, it is best to hire a Managed Service provider and gain technical expertise from dedicated professionals without having to worry about building and maintaining your own teams.

Prem Shankar Patel
Senior Manager
Prem brings nearly three decades of analytics and information management experience to Estuate. He is a recognized expert who has received several awards over the years. In 2003, he was awarded the Center of Excellence (CoE) Champion Award for introduction of advanced training and certification for BIDW architects and consultants. In FY03-04 and FY04-05, he received the Best Faculty of the Year Award for his significant and effective contribution as a faculty member in the delivery of BIDW training. Previously in 2005, he received the Feather in My Cap (FIMC) Award for defining metrics for BIDW projects and establishing organizational norms. Prior to joining Estuate, Prem worked in various strategic positions at Wipro Limited and R S Software (India) Ltd. He holds an M. Tech in Computer Science from the Indian Statistical Institute, Kolkata.
Nagaraja Kini
Founder and Chief Financial Officer
Nagaraja has more than two decades of engineering, business development, consulting, alliances and management experience in software development, integration and implementation. He has worked extensively with global teams to consistently simplify ERP implementations for businesses. Nagaraja brings with him the commitment, willingness, and capability to anticipate and act on the continually evolving needs of a business.
Prior to founding Estuate, Nagaraja served at Oracle as Director in Application and Industry Solutions group within Global Sales Support. Nagaraja holds a Master of Technology in Industrial Electronics from the National Institute of Technology, Surathkal, and a Bachelor’s in Engineering from the SJ College of Engineering, Mysore, India.
Marc Hebert
Chief Operating Officer
Marc joined Estuate in December, 2008 as its first Chief Operating Officer. Marc is a recognized expert on offshore outsourcing. He has appeared on CNN’s Lou Dobbs Tonight, was interviewed in Investor’s Business Daily, and has been widely quoted in major media publications, including the Wall Street Journal, Forbes, Fortune, Financial Times, New York Times and Boston Globe on offshore outsourcing. He is recognized as an “IBM Champion” for his role in expanding the market for IBM’s Information Lifecycle Governance product line.
Prior to Estuate, he served in leadership roles at large global corporations, including as the CMO at Virtusa Corporation; EVP, Marketing and Alliances for Sierra Atlantic; and Vice President for eight years at Oracle Corporation. Marc holds a Bachelor of Science degree in experimental psychology from Harvard University, and an MBA from Stanford University.
Seemakiran Upadhya
Global Delivery Head and Managing Director, India
Seemakiran brings to Estuate more than 25 years of experience in the IT industry. She has been successful in building high-performing teams for the Delivery, Sales, and Operations departments. She was instrumental in setting up Estuate’s India center. Prior to joining Estuate, Seemakiran worked at Satyam, where she developed, tested, and implemented software projects in Oracle Technologies across multiple domains. She is highly proficient at working with a global client base.
Seemakiran holds a Bachelor’s degree in Electronics & Communication Engineering from Karnataka University.
Prem Shankar Patel
Senior Manager
Prem brings nearly three decades of analytics and information management experience to Estuate. He is a recognized expert who has received several awards over the years. In 2003, he was awarded the Center of Excellence (CoE) Champion Award for introduction of advanced training and certification for BIDW architects and consultants. In FY03-04 and FY04-05, he received the Best Faculty of the Year Award for his significant and effective contribution as a faculty member in the delivery of BIDW training.
Previously in 2005, he received the Feather in My Cap (FIMC) Award for defining metrics for BIDW projects and establishing organizational norms. Prior to joining Estuate, Prem worked in various strategic positions at Wipro Limited and R S Software (India) Ltd. He holds an M. Tech in Computer Science from the Indian Statistical Institute, Kolkata.
Sreekantha B. S.
Head Strategic Projects
Sreekantha brings to Estuate more than 33 years of experience in IT. He has successfully sold and delivered over 130 turnkey software projects worldwide for various clients across a variety of sectors - from software, finance, manufacturing, utilities, services, and more.
Prior to joining Estuate, Sreekantha led Buzznet (a Malaysian software company) for 17 years and Inventa Corporation (a US-based software company having an office in Malaysia) for 6 years. Through his experience, Sreekantha brings in-depth knowledge of software engineering, delivery, and implementation of software projects across all technology sectors that have emerged over the last 30+ years. Sreekantha holds a Bachelor of Engineering in Electronics & Communications from Mysore University and a Master of Business Administration in Marketing from Newport University, USA.
Naveen Shankar
Associate Director – Talent Acquisition
Naveen is a seasoned professional in the field of Human Resources and brings to Estuate a rich experience of 14 years. He holds more than 12 HR-related certifications, including some in the space of Diversity & Inclusion. Over the years, he has been consistently recognized as a change maker in his respective organizations.
Before joining Estuate, Naveen led ForthPage as the Director-Cofounder. He has also worked with organizations such as General Electric, Time Inc., and Lumen Technologies in critical HR-centric roles. Naveen holds a Master of Business Administration from XLRI - Xavier School of Management, Jamshedpur.
Piyush Singh
Practice Head - Insurance
Piyush has fifteen years of work experience, including one year with Estuate. Piyush holds a Master of Computer Applications degree from Bharati Vidyapeeth University, Pune. Piyush is a highly accomplished professional with a wealth of experience in IT services and product engineering. Piyush has worked with PwC and Accenture in the past and his last positions were Delivery Manager and Dev Lead respectively.
He has received the Great Performance award from PwC and the ACE award from Accenture. Piyush has also delivered many end-to-end projects on a medium to large scale.
Subbarao Satyavolu
Vice President - Service Delivery, Americas
Subbarao is a results oriented Senior Leader with 30+ years experience in Enterprise Solution Consulting, Enterprise Program Management, Digital Enterprise Transformation/IT Modernization, Product Engineering, Governance, Risk & Compliance (GRC), IT Service and Operations Management (ITSM/ITOM) and Strategic Account management. Global experience in building & managing high performing teams in solving complex business & technological challenges for the clients
Subbarao is a proven problem solver with extensive experience in the IT industry. He has been recognized as an outstanding performer by his employers, Hitachi/Sierra Atlantic and Computer Sciences Corp (CSC). Subbarao has also been certified in Six Sigma and Project Delivery Excellence by CSC University. In addition, Subbarao is certified in Supply Chain Management and IT Infrastructure Library (ITIL). He holds an M. Tech in Computer Aided Engineering from Indian Institute of Technology (IIT) Kharagpur.
Satya Bobba
SVP, Global Head of GRC and Customer Success
Satya Bobba brings more than 20+ years of experience in building market-leading enterprise SaaS products and solutions. Her experience spans engineering, cloud strategy, business development and customer success. Her passion is to help customers achieve GRC goals while simplifying their processes and reduce implementation costs. She brings more than 14 years of domain experience in building and delivering GRC solutions to top enterprise customers across Financial Services, Life sciences, Hi-Tech, Healthcare and Quality verticals.
Prior to joining Estuate, she worked at MetricStream as AVP Cloud Strategy, Global Head of Platform Engineering and Head of Advanced Engineering GRC Products and Services. Earlier in her career, at AOL and Netscape she held technical roles in enterprise server technologies and personalization frameworks. She has a bachelor degree in Computer Science from Andhra University.
Prasanna Kulkarni
Vice President - Sales and Marketing
Prasanna is a seasoned Technology & Sales leader with over two decades of valuable global experience. Prasanna has been with Estuate for the past 5 years, leading the Sales and Marketing department with excellence. Prasanna holds a Bachelor of Engineering from GCoE, Amravati and a Stanford Advanced Program Management qualification from Stanford Center for Professional Development. Before joining Estuate, Prasanna held various leadership roles at HCL, Wipro, Nihilent Technologies, and Godrej.
Stanley Perumal
Global Practice Delivery Lead
Stanley Perumala is the Global Practice Delivery Lead with 8.6 years at Estuate. He holds a Masters degree in Computer Science from International Technological University, which is his area of specialization. Stanley has 16 years of experience and has held various positions at Netpace, Cognizant and Hewlett-Packard.
He has received multiple accolades for his achievements such as building an innovation segment with zuora and leading the BRM practice. Stanley is a key contributor for the BRM practice, having built the team from the ground up and building the core team for the same.
Prakash Balebail
Founder and Chief Executive Officer
Prakash brings more than two decades of software development & implementation experience, including over 16 years in several key roles in Oracle Corporation. His management principle has been to provide commitment to continuously improve how he serves all of his customers, partners, and employees by anticipating their needs and exceeding their expectations through a culture of creativity & forward thinking.
Prior to founding Estuate, Prakash was the Senior Director in Oracle Applications Global Sales Solutions team, which built complex Oracle E-Business Suite application demonstrations for Sales activities. Additionally, he had leadership roles in the development of Oracle’s much-acclaimed Business Flow Accelerator (BFA) for the E-Business suite. During this time, Prakash also built the highly-regarded India operations team from the ground up. Prakash holds a BS in Electrical Engineering from Karnataka University in India.