Building An Extended Development Team in 2024

Building an extended development team in 2024 can be the key to scaling more efficiently. With 83% of global tech companies adopting remote or hybrid work models, according to recent data from Gartner, there’s really no need to stay behind and not give software outsourcing a try. Having an augmented development team offers you the opportunity to tap into a diverse pool of talent without geographical constraints for a more affordable price. At DevelopersLATAM, we have experience with the ins and outs of extended development teams. We’ve seen firsthand the different benefits, how to choose the right model, and the steps to build a nearshore team effectively. By understanding and leveraging this outsourcing strategy, your business can stay competitive, agile, and innovative. Keep reading to learn more about the potential of building an extended development team in 2024!

First, What Is an Extended Development Team?

An extended development team is a flexible model that allows businesses from all industries to augment their in-house team with external developers. Unlike traditional outsourcing, where an external team works independently either as freelancers or part of a third-party agency, an extended development team operates as a fully integrated group of your organization. This means these developers collaborate closely with your in-house team, often sharing the same goals, workflows, and tools.?

Extended development teams are particularly valuable if your business operates within the tech industry, where the demand for specialized talent often exceeds supply. According to a report by Statista, the global developer shortage is projected to reach 85.2 million by 2030 as more and more technologies emerge at a pace that feels quicker than ever before. By leveraging extended development teams, whether that is through nearshore staff augmentation or by building your own, you can access a wider talent pool, ensuring that your projects stay on track.

One of the main advantages of an extended development team is scalability. You can quickly scale your team up or down based on project needs without the overhead costs of hiring full-time employees. This model also allows for greater flexibility, as you can bring in talent with specialized skills temporarily to address specific project requirements without pricey long-term commitments. Moreover, with new remote development talent comes a new diversity of thought and experience. External team members often bring fresh perspectives and out-of-the-box ideas, boosting creativity and problem-solving within your in-house projects. This diversity can lead to more innovative and effective solutions, enhancing the overall quality of your IT results.

All in all, building an extended development team can be a strategic approach to building a more dynamic, flexible, and affordable development workforce. By integrating external talent with your in-house team, you can address skill gaps, enhance productivity, and get faster results - all while maintaining sufficient control and cohesion within your projects.

How to Build an Extended Development Team in 2024

1. Define Clear Objectives:

Having clear objectives provides direction and helps measure progress. In fact, according to PMI, projects with well-defined goals are 50% more likely to succeed. The best way to go about this is to start by defining clear objectives for your extended development team. Think about what project you need them to work on, and then outline the goals, deliverables, and timelines. Once you figure out your objectives and expectations for the projects, you can move on to discovering what the perfect development team would look like to carry it to completion.

2. Identify Required Skills:

The second key step towards building an extended development team is to determine the specific skills and expertise needed for your project. This will help to guide your entire recruitment process and ensure you bring in the right talent. You should have the project requirements, objectives, and desired timeline defined already, so it should be easy to come up with a list of must-have skills for potential candidates. Decide these based on the tech stack they’ll be working it, how fast you want the results, and how project needs might evolve over time.?

3. Select the Right Team Members:

When you move onto the recruitment phase, it’s time to carefully select team members who match your project’s technical, cultural, and language-related requirements. Look for individuals with proven experience and a track record of success in similar projects. You can use platforms like LinkedIn, GitHub, and Upwork to find qualified candidates on your own or partner with a nearshore development agency (like us, DevelopersLATAM!) to take the recruitment work off your plate entirely.?

4. Onboard and Integrate Team Members:

Onboarding is crucial for integrating new team members into your company and building the right synergy with your extended development team. Focus on providing comprehensive training on your project’s goals, tools, and processes and generating trust between your salaried employees and augmented developers. A McKinsey study found that companies with effective onboarding processes are 1.5 times more likely to improve project performance, so it’s definitely a step you shouldn’t miss.

5. Establish Communication Channels:

According to McKinsey, businesses that use advanced communication tools see a 20-25% boost in productivity, so it’s important to ensure your teams have good synergy. Set up clear communication channels to ensure smooth collaboration. Regular meetings, progress updates, and real-time messaging are essential. Tools like Microsoft Teams and Jira can help maintain transparency and keep everyone aligned.?

6. Set Up Project Management Tools:

Implement project management tools to track progress, assign tasks, and manage deadlines. The ones like Asana, Monday.com, and Basecamp can streamline workflow and improve efficiency. Clear project management practices help avoid delays and ensure timely delivery.

7. Ensure Security and Compliance:

Ensure that your extended team follows security protocols and compliance standards to avoid any leaks or issues at any point of the engagement. Protect sensitive data and maintain confidentiality by implementing secure access controls and regularly reviewing security practices. A report by PwC found that 54% of companies with strong security measures have better project outcomes, so it goes beyond protecting your existing data: your future results depend on it, too.?

8. Monitor and Adjust:

If you want to ensure a long-term partnership, you should regularly monitor the team’s performance and make necessary adjustments. Use performance metrics to track progress and identify areas for improvement. It’s also important to be open to feedback and make changes to enhance efficiency and productivity.

Choosing the Right Extended Software Development Team Model

Selecting the right extended software development team model is crucial for maximizing efficiency and achieving your project goals. Here are key factors to consider when debating which extended development team would be perfect for you:?

Project Requirements.

First, assess your project requirements. Determine the scope, complexity, and duration of your project. If your project involves highly specialized skills or is of short duration, an extended team model might be ideal. According to a report by PwC, 54% of companies that carefully align their project needs with the right team structure achieve better outcomes.

Budget Constraints.

Your budget will significantly influence your choice of developers. Extended development teams can offer cost savings compared to hiring full-time staff. Consider the total cost, including onboarding, training, and management. Deloitte found that businesses using flexible workforce models save up to 30% on operational costs, so you’re already off to a good start!

Team Integration.

Consider how well external team members will integrate with your in-house team, as this is vital for maintaining productivity and cohesion across different initiatives. Before you even start sourcing for a new augmented team, it’s best to touch base with your in-house employees who will be affected by the decision or have the most contact with the newbies. This will help you soothe any concerns and pave the way for an empathetic exchange when the two groups meet.?

Talent Availability.

Evaluate the availability of the required talent, especially if you are doing this to address skill shortages within your in-house staff. If you need niche skills that are scarce locally, an extended team can bridge this gap. Access to a global talent pool allows you to find the best experts, regardless of location, but you have to recognize what’s lacking and know where to look for it.?

Flexibility Needed.

Determine the level of flexibility you need. Extended teams are scalable, allowing you to adjust team size based on project demands. This flexibility is essential for adapting to changing project scopes and timelines, so it’s always a good odea to leverage it as much as possible. Think whether or not you want to keep the engagement as flexible as possible or if you want to think longer-term, as it will affect your hiring decisions.

Risk Management.

Consider the risks associated with different team models. Extended development teams can mitigate risks related to capacity and skill shortages. By having a diverse and scalable team, you can ensure continuity and reduce the impact of unforeseen challenges.

Cultural Fit.

Ensure there is a cultural fit between your in-house team and the extended team. Shared values and work ethics can enhance collaboration and project success, with effective communication and alignment on goals being essential for a harmonious working relationship. Analyze language, work ethics, and personal values to ensure the best fit.?

Ready to Have Your Own Extended Development Team?

Building an effective extended development team requires careful planning, clear goals, and the right talent. By following the steps outlined in this article, you should have a better idea of how to create a strong team that meets your project's needs and drives success. We also recommend partnering with us if you're looking to build a nearshore IT team. At DevelopersLATAM, we work with a pool of highly skilled developers and have a track record of successful nearshore development projects. We help you build a team that meets your specific requirements and delivers exceptional results. Contact us today to schedule a free discovery call and learn more about our services!