Staff Augmentation vs. Project Outsourcing
Pros and Cons
Staff Augmentation
Pros
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Specialist Knowledge
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Reduced Costs
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Rapid Response to Changing Needs
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Reduce HR Costs / Burden
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Direct Control Over Resources
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Integration with Current Staff
Cons
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Company Process Training
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Management Overhead
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Not Result Based
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Must ensure contracted workers are not viewed as employees
Project Outsourcing
Pros
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Scalability
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Reduced Management Overhead
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Results Based
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Focus Remains on Core Business
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No Employee / Contractor Payroll Tax Issues
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Legal Recourse
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Reducing Training Costs
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Best Practices
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Reduced Special Skills Cost
Cons
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No Direct Control of Resources
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Current Employee Resistance
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Integration with Current Processes
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Not Cost Effective for Smaller Projects