Outsourcing your IT projects is a great way to reduce IT spend during times of uncertainty. Consulting agencies like V-Soft offer many IT outsourcing options, including onshore, offshore and hybrid models. For more information on choosing the right external consulting partner, check out the Virtual30 episode above or read through the summary below.
What are the Different Types of IT Consulting Partnerships?
There are three main types of consulting partner relationships that a business can consider. The first type involves working with a consulting team located in the same timezone as the client. This is called an onshore team, and onshore team's members can work either in-office or remotely. The opposite of this is an offshore team, in which consultants work 100% offshore. A combination of the two is referred to as a hybrid team. In a hybrid team, management is located onshore in the client's same or similar timezone, while developers and other team members work offshore.
No matter which type of team a business can use, the teams are almost always made up of 5 key positions: Architect, Technical Project Manager, Business Analyst, Quality Assurance (QA) Tester and Engagement Manager.
Pros and Cons of Hybrid, Offshore and Onshore Teams
There are pros and cons to each retainer team model. It's up to you to determine what your priorities are to find the best fit for your IT project needs.
Onshore Team Pros
- Easy Communication
- Better Cultural Fit
Onshore Team Cons
- Most Expensive
- High Risk of Turnover
- Management Falls on Client
- Harder to Scale Up or Down
- Rigid Team Composition
While this options is the easiest to initiate and maintain, onshore teams are the most expensive and have the highest risk of turnover.
Offshore Team Pros
- More Affordable
- Not Responsible for Turnover
- Flexible Team Composition
- Can Scale Up or Down
Offshore Team Cons
- Communication Issues
- Cultural Differences
- Require Robust Processes
- Risk of Unreliable Consulting Partner
Using an offshore team is much more affordable than onshore, but that means giving up some communication and cultural advantages. The cons and timezone difference can impact project timelines if not properly managed by an experienced consulting partner.
The Hybrid Team Model
A hybrid teams combines the pros of both onshore and offshore models. Because the management is handled in the same timezone of the client, the communication and cultural fit is ideal. But since the whole team is not in the same country, it's much more affordable. The only challenge with a hybrid team model is finding an experienced trusted partner.
What to Look for When Choosing a Consulting Partner
There are a couple of points to consider when vetting consulting partners. First, make sure a consultancy can prove their experience. A good sign is if they've worked on different types of IT projects and have multiple years' experience. It's also wise to consider a "test-run" with a prospective outsourcing partner. Ask for a 30-day trial run to gauge if they meet expectations and are the right fit. Last, make sure all team members have the necessary certifications for your projects. The consulting firm should also have active partnerships with platforms you're using.
V-Soft Consulting is a trusted and experienced consulting firm that can provide onshore, offshore or hybrid teams. For information about V-Soft's capabilities, click below, or reach out to sales@vsoftconsulting.com.
