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Outsourcing vs Hiring In-House Teams

Outsourcing means getting the work done from teams provided by a third party vendor, rather than hiring in-house. Before really planning to outsource or to go with in-house teams, one must evaluate the requirements of the project.

Experts recommend, outsourcing to a team that uses the Agile methodology. Distributed teams should be managed well and their productivity should be tracked, to ensure they are delivering as expected. Hiring an outsourcing company that provides a project manager is crucial.

Here are some questions one needs to ask while choosing to hire in-house or outsource to third party vendors:

  1. What is the resource required for?
  2. How much time is there, to look for and hire the resource?
  3. Can I create a comprehensive job description for my requirement?
  4. Do have the right set of tools to manage virtual teams?
  5. How important is it for the resource to be present in the office?
  6. What are the budgets for hiring the said resources?

Here are some essential reasons for outsourcing.


It is a task that is highly specialized and cannot be taken care of by internal resources, then it is recommended that it should be outsourced. One can get higher efficiency by hiring specialized resources for the task.

Requires additional/specialized infrastructure

If the process requires additional infrastructure, then it can be outsourced, for saving on that additional cost.

Seasonal requirements

If the project is seasonal or short term, outsourcing can help in saving on costs of hiring full time employees. One can hire dedicated resources that are contractual.

Limited budget

If the project budget is limited and one cannot afford to hire full time resources, for the same, it is cost effective to hire remote teams.

What are the key advantages of outsourcing?
  1. Take the help of experts for the completion of the project
  2. Cost saving in terms of annual salary and benefits
  3. Cost saving in terms of infrastructure
  4. Higher productivity and efficiency
  5. Resources can be easily hired on short term contracts
  6. Outsourcing helps in getting the tasks completed on time
  7. Outsourced employees do not get paid leaves or sick leaves
  8. Outsourcing helps in getting access to a global talent pool
  9. The resources are handpicked and the hiring process is simpler
What are the key advantages of hiring in-house teams?
  1. In-house teams provide complete control over the project and its quality
  2. The knowledge and skills that are developed while working on the project, remain in-house
  3. Full time employees are more familiar with the work environment and company culture
  4. The level of flexibility provided by in-house teams is a little higher than remote teams
What all to keep in mind while Outsourcing?
  1. While outsourcing, one must ensure that the hired resources have the requisite communication skills and are responsive to queries. This helps in healthy discussions and higher performance on the project.
  2. As a business hiring remote teams, it is important to make the teams aware about the company culture and its vision. This helps in getting the team to become familiar with the work culture and be able to deliver as expected.
  3. The outsourcing partner must be asked for a free trial before getting the resource on-board. This helps in understanding the productivity levels and then finalizing on things.

Hiring dedicated resources can be tricky and one may not find the right set of resources, very easily. Choosing an agency like ValueCoders to provide dedicated resources, is helpful in hiring resources that are best-fit for the project. Some of the key advantages hiring dedicated teams with ValueCoders includes:

  1. Free trial on dedicated resources
  2. Quick on-boarding of hand-picked resources
  3. Complete access to project management tool
  4. Dedicated and experienced resources

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