A complete guide to effectively extending and managing your IT team

Team extension is a relatively new approach to workforce management. It is a strategy that is designed to supplement the existing workforce with flexible work arrangements and remote work opportunities. This strategy allows businesses to utilize their current employees more efficiently, while also expanding their talent pool.

Some of the benefits of the team extension models are:

  • Streamlining project delivery
  • Accessing the best talent pool
  • Improving project management
  • Cost savings
Team extension services are ideal when you need to delegate a task that requires skillsets that existing members of your team do not have. This way, you will get help from someone who has the skills and expertise needed without having to hire an expert full-time or train employees.
Still wonder whether extension of your team is the right option for your business? Let’s figure it out together.

What is team extension?

According to Deloitte, global spending on outsourcing may reach $731 billion in 2023. In today’s business world, more and more companies are turning to different outsourcing models to get a strong team of dedicated professionals working on their behalf.

However, sometimes building a team from scratch is impractical or impossible. That’s where team extension comes in.

Extending your team means adding new members to an existing team to increase its size and capacity. This is typically done to meet the demands of a new project or initiative. The goal of this is to provide extra support without disrupting the flow or productivity of the original team. 

Extension of a team focuses not just on short-term projects, but on long-lasting partnership and cooperation between your technicians and the hired specialists from an offshore development company.

The goal of IT team extension is to fill skill gaps in an existing team or to complement it with some unique technical qualifications.

Team extension vs dedicated/managed/outsourced teams

Let’s begin by discussing what an extended team does, and then compare this cooperation model with other equally popular models: managed, dedicated, and outsourced teams.

Team extension model

Although different companies offer their own unique approaches to team extension, three key pillars of this model are always as follows:

Managed team model

This is a model in which the company provides all the resources to the freelancer such as office space, equipment, and training. The freelancer must work for the company for a fixed period.

The idea behind this model is that it will give new freelancers more time to focus on their skills and make sure that they are not distracted by other things while they work to improve their performance. It also allows them to learn from experienced professionals who can share their knowledge with them.

This model is perfect for long-term projects. You get a development team assembled by your vendor, who is also responsible for project management. So you, as a product owner, are responsible for all the critical decisions, consistent communication with the team, and regular feedback from your side. The rest of the job is done by your managed team.

Dedicated team model

A dedicated team model is an organizational structure in which a group of developers is focused on a client’s project with the guarantee that no team member will be switched to another project. This is what the “dedicated” part implies. This model promotes efficient communication between team members, which enables faster decision-making, problem-solving, and innovation. 

Speaking of dedicated teams, this model can be a good choice if you are not ready to host a new team on your premises and want to get the job done from a distance. Thus, you can enjoy the benefits of an in-house team without the extra expense.

Outsourced team model

Outsourcing is the business practice of hiring a party outside the company to perform services or create goods that were traditionally performed in-house by the company’s employees and staff.

With this model, the software development company you hire is in charge of composing your team, managing your project, preserving deadlines, and delivering a final solution. All processes starting with the discovery stage and ending with project integration are under the control of your vendor.

Five benefits of the team extension model

Extending your team provides many benefits for both the company and its employees. For example, it gives businesses the ability to increase production without adding permanent staff or incurring overtime costs. The extended team also provides flexible work arrangements for employees who need them, such as remote working, telecommuting, and part-time employment.

Since there are various benefits of team extension, we will pay attention to some of the most notable ones, which are as follows:

Faster time-to-market


A company that wants to stay ahead of the competition needs to come up with fresh and innovative ideas. It must be able to create them and bring them to market as quickly as possible.

The need for speed is becoming more important all the time. We need new products and services, and we want them yesterday. A company that can’t keep up with this demand will be left in the dust. Startups require fast project delivery even more than mature businesses. And that is exactly when extended team services can come in handy. Hiring a professional who will be able to find the flaws in your project and find the most efficient ways to fix them is the main component of ensuring faster time-to-market product delivery.

Access to the best talent pool


In today’s globalized world, the best talent pool is not limited to a single location. IT outsourcing with team extension is perfect for those who do not want to choose only local workers and who strive to get access to the best talents from the international market. You can augment your team with employees from any corner of the world without going over budget.

Access to an international talent pool will help you find employees who not only meet your product development requirements and expectations but also match your remuneration opportunities.


Dedicated developers


Dedicated developers are an essential resource for any organization that needs to create high-quality products and services. With a commitment to continual learning and skill development, they can quickly understand complex problems and develop efficient solutions.

Extension of your team allows you to hire developers who will help organizations meet tight deadlines by applying their knowledge in new and innovative ways, as well as taking on projects that require deep technical proficiency or custom coding requirements. Additionally, dedicated developers often bring with them years of experience in their respective fields, which gives companies access to the latest technologies and trends without having to make expensive investments.


Transparency of pricing


Salaries may appear to cover all of an employee’s expenses, but there are hidden costs beyond the wage they receive. From office supplies and travel reimbursements to miscellaneous charges and benefits, these unexpected outlays can add up quickly and quietly. This is particularly true for small business owners who must often rely on their own resources to pay such bills.

While hiring an extended development team, you agree on hourly rates and monthly fees covering all development expenses. This helps you easily track your expenses and plan further steps or project improvements.


Improved project management


Without proper planning and coordination, tasks may be duplicated or forgotten, resulting in wasted time and energy. Additionally, unrealistic expectations can cause projects to drag on far longer than anticipated, potentially leading to cost overruns and missed deadlines. Without clear communication between stakeholders, teams can fall out of sync, with one party believing they’ve met their objectives while the other is still waiting for them to finish.

The most exciting aspect of the extended team model is that you can choose whether you would like to manage the project from your side or delegate this task to a project manager on your extended team partner. Whatever your decision, the management will be flexible, transparent, and smooth.



When to use team extension services?

You may be wondering if extending your team is the right fit for your project and company. 

Here are some of the common cases when companies and startups should take advantage of this model:


You are a startup company and you don't want to risk building an in-house team


Your project requires expertise or knowledge that your team members lack


The rates on the software development market seem unreasonable


You need seamless integration of development specialists at any stage of your software development lifecycle


You plan to expand and improve your project in the future using newer technologies


The project is large and complex, and you need extra hands to speed up development


You struggle to find and hire the right technicians within the set timeframe and budget


You have a small team and strict project deadlines

The extended team provides an extra pair of hands, often with greater expertise and more efficient methods than what you currently have available, to work faster and with higher quality results.

How to successfully integrate an extended team

Successful integration of an extended team requires the application of thoughtful strategies, with an emphasis on communication and flexibility.

For example, to ensure a smooth transition from existing operations to new processes, businesses need to develop mutually beneficial working relationships with external providers. Doing so requires intentional engagement; encouraging open dialogue between partners and focusing on mutual understanding can help teams create shared goals and devise collaborative solutions. 

Additionally, having well-defined protocols in place for feedback, addressing disputes, and resolving conflicts are essential for successful team extension integration. Ultimately, successful team extension relies on investing in both organizational culture and technology to form long-lasting partnerships that deliver real value.

However, as usual, everything starts with analysis and planning which are followed by:

Defining what specialists you require

Start by defining the scope of your project and the main roles. It is important to clearly understand what technicians your team lacks and what part of the project should be delegated to them.

Evaluating the experience level of potential candidates and their ability to tackle any potential challenges should be your main priority when deciding who to hire. By considering both their technical skills, and their communication abilities and willingness to collaborate, you can find the right people to bring your vision to life. Additionally, having a good understanding of the roles each developer will play in the team is paramount in selecting the best fit for your needs.

This part is one of the most important ones to have a successful start. That’s why it is better to have help with pre-planning, i.e. contact the service provider directly. For example, StartupSoft provides you with a Business Analyst to help you with your extended team composition and selection of developers of necessary qualifications. We can analyze your department’s needs and create an ideal team to meet them.

Setting requirements and goals

To ensure the technical team is on track and focused, it is imperative to set clear requirements and goals. An effective way to do this is to articulate expectations and benchmarks at the beginning of each project, with ongoing reviews and check-ins throughout its life cycle. This helps to foster an environment of mutual trust between all stakeholders while holding everyone accountable for their contributions. Additionally, utilizing visual aids such as flowcharts, diagrams, or presentations can help engage everyone involved, conveying complex information in a simplified manner. By taking these measures, you will be able to successfully overcome potential misalignments, thus expediting the delivery of quality results that meet your objectives.

To streamline the process, ask our Business Analyst to help you with market research. Our specialist will also help you with writing specifications, or any other technical documentation you may need for your project.

Screening candidates

Once you have formulated all your project requirements and specifications, it’s time to proceed with selecting suitable candidates to augment your team. The developers you choose should be skilled in the required tech stack and possess all necessary technical and soft skills to cooperate with your team members.

Screening technical candidates is an essential part of the recruitment process, as it allows employers to distinguish between talented and experienced candidates from those who lack technical skills. To ensure the successful completion of this task, hiring managers should use a variety of methods such as assessing resumes, conducting interviews, administering tests, and observing candidates in action. Additionally, scrutiny of each applicant's background information can provide insight into their past experiences and successes, giving employers an idea of how they may perform on the job.

With StartupSoft you can save a lot of time and effort on this since we take care of selecting developers who will become a valuable addition to your team. Our software development team has software engineers of middle and senior qualifications who have worked on many projects.

Besides developers, we can help you with hiring:

  • Software engineers
  • Data scientists
  • UX/UI designers
  • QA engineers
  • Business analysts
  • Project managers
  • Product managers
  • Digital marketing managers
  • SEO managers

After screening and selecting candidates, you will need to complete technical interviews and soft skills evaluation. Our team will help you with this and get all the necessary technicians to expand your team and start working on your project as soon as possible.


Integrating the team

Onboarding is one of the most crucial stages of implementing team extension services.

Onboarding employees is a complex process that requires careful attention to detail and precise execution. For a successful onboarding experience, it's essential to ensure each new hire has all the information they need to be productive from day one. This includes providing them with an overview of organizational policies, an introduction to the in-house team and colleagues, access to the required technology, and a basic understanding of their role in the process.

Integration of the extended team is not an easy task. Fortunately, you will not do it alone when working with StartupSoft. Our team is always ready to step in and handle any challenges you may face while uniting the two teams.

Why choose StartupSoft for extending your team?

One of the most important things for a company to consider when opting for a team extension is to make sure you choose a partner who understands your business, brand, and unique requirements. With seven years of experience in the industry, StartupSoft can help you find the best talents and make sure you’re surrounded by specialists who understand your product and care about it.

What do we cover for you:

  • Sourcing, interviewing, and recruiting services
  • Office scouting, rentals, administration
  • Cybersecurity and Infrastructure
  • Legal support, taxes, and operations
  • Equipment, tools, and software 
  • HR and team
StartupSoft provides customized team extension services for startups and tech companies of all sizes and natures. 
Here's how working with StartupSoft can compare to other staffing solutions...

With StartupSoft your business will be able to:

  • Hire the best talents to fit your product and company culture
  • Hire people with diversified experience
  • Get a team who chooses long-term commitment
  • Delegate legal and operational complications
  • Save costs

This is how It team extension with StartupSoft works:

  • We provide you with a free-of-charge staffing evaluation. During the call with our co-founder Andrew, you tell him your story, and describe your requirements and expectations. He collects all data relevant to your hiring strategy and goals and passes it on to the team.
  • Our team starts working. If you are ready to confirm the kick-off, then we start looking for the perfect candidates to join your team. During this step we source, pre-screen, and interview candidates so that only the best talents finally augment your team.
  • You meet our candidates. You will be able to interview and test the candidates we have chosen for you to ensure they meet your expectations.  
  • It’s time to celebrate your hire! Once you are sure you have found the one, we congratulate you on that and pass to the next level of cooperation. During this stage we take care of all the boring and tedious stuff while you start onboarding your new team member.
The best projects happen when your best people are focused on their own job. Free your best people and yourself from the work you shouldn’t be focusing on.
StartupSoft helps you to create your team so that you can accomplish your business goals and create products that matter.


What is an extended team?


Extending your team is the process of adding new members to an existing team to increase its size and capacity. This is usually done to meet the demands of a new project or initiative. The goal of team extension is to provide extra support without disrupting the flow or productivity of the team.

How do you understand that extending an IT team perfectly matches your business goals?


Extension of a team is a perfect choice for the following cases:

  • You are a startup company and don’t want to risk building an in-house team
  • Your project requires expertise or knowledge that your team members lack 
  • The rates in the software development market are unreasonable
  • You need seamless integration of development specialists at any stage of your software development lifecycle 
  • You plan to expand and improve your project in the future using new technologies
  • The project is large and complex, and you require extra hands to speed up the development 
  • You struggle to find and hire the right technicians within the set timeframe and budget
  • You have a small team and strict deadlines for your project 

How much does extending your team cost?


Team extension services are a very budget-friendly option for those companies that want to outsource their software development tasks. StartupSoft services are three times cheaper than traditional or freelance hires.

How to manage your extended team effectively?


Companies may face a few challenges while managing their extended teams. These challenges include time-zone differences, language barriers, lack of clear communication, cultural differences, etc. StartupSoft is aware of all the nuances and considers them when hiring specialists for your company.

How to hire the most qualified employees?


Before considering hiring anyone for your team, you must clearly understand your skill gaps and workforce needs. Define how many specialists you need to finish your project and what professional knowledge they need to complement your in-house team.


After that, prepare the job description. The next step will be to find the matching outsourcing partner and check out what professionals they can offer for your company. 


StartupSoft helps you find dedicated and experienced workers who care about your projects and share your company values.

Shall we try?

If you’re looking for a reliable partner that would hand-pick top tech talent for you, we’d recommend checking out StartupSoft. We know we might
be biased, but we’re quite confident we’ll be able to make that perfect tech match for you.

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