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 The article discusses the difference between two popular options of businesses relating to outsourcing and staffing which are Staffing Augmentation and Managed Service.

What is the difference between Staffing Augmentation and Managed Services?

The Great Resignation has brought about several economic issues such as high talent shortage, staff retention and high attrition rate.

Businesses are now looking at ways to attract and retain talent, and at the same time provide the same level of quality customer support. Aside from traditional outsourcing, two popular options of businesses relating to outsourcing and staffing, Staff Augmentation and Managed Services, offer a more practical alternative to improving business operations.

Read more on the difference between two popular options of businesses relating to outsourcing and staffing which are Staffing Augmentation and Managed Services.

Staffing Augmentation

The process of largely hiring remote teams, or staff augmentation, is one way to meet the staffing demand.

Staffing Augmentation is the process of businesses hiring, building, managing a dedicated team or staff through an outsourcing partner/service provider located onshore or outside a company’s geographical location to support business processes.

In-house skills are easily addressed by outside talent in Staffing Augmentation.

When additional staff is needed for projects, a practical option of businesses is Staffing Augmentation. This option also provides scalability of staff by project need. Businesses can scale down or up depending on the project.

Remote staffing allows clients to build a customized, 100% dedicated offshore team who are basically full-time employees (FTEs). Build a team of CPAs, AP/AR personnel, or a combination of whatever you prefer.

Staffing augmentation provides maximum control and visibility. The remote staff works alongside in-house team while managers maintain control.

Clients maintain control on the operations. From staffing requirements, operating systems, tools, processes, schedules, quality checks, and pricing – these are all solely established and decided by the client.

Staffing augmentation solves aspects of employee recruitment, HR admin, and professional development.

Staffing Augmentation providers offer support in recruiting, management, IT support, and facilities, compliance and most of the systems at month-to-month, flexible contracts.

Managed Services

Business Process Outsourcing is the delegation of highly specialized skills required in internal business processes. For example, if a company wants to delegate the process of recording and organizing of day-to-day financial transactions of a business in a systematic and timely manner, the company can outsource bookkeeping services. Businesses have the option to outsource onshore, offshore, or nearshore.

Whereas outsourcing is the assignment of specific business process such as call center support, transaction management, content moderation, bookkeeping, Managed Services is an outsourcing option where you outsource a broader scope of business processes. Managed services providers (MSPs) have the technical expertise and capabilities. This option includes consultation on systems and processes.

Now that businesses and customers are realizing the relevance of the cloud computing and automation technologies such as Artificial Intelligence (AI) and Robotic Process Automation (RPA) and novel strategies regarding smart devices such as bring your own device (BYOD), the most common end-to-end processes outsourced to a managed service provider are IT-related processes such as end-to-end deployment methodologies and processes from product ideation, customization, development, deployment and upgrades.

Popular cloud computing managed services are the following: Infrastructure-as-a-Service (IaaS), Platforms-as-a-Service (PaaS), and Software-as-a-Service (SaaS).

In order to address operational demands, end-use service support involves IT Help Desk agents assisting and troubleshooting product or service-related concerns of customers. Support agents are trained in functionalities of software and systems and can provide timely support on root cause analysis, system, hardware, or software troubleshooting, technical resolution, and technical or software application concerns.

When it comes to infrastructure, the managed service provider handles and manages data backups and migration, enabling digital security systems, and setting up firewalls, and required updates and maintenance.

Although this can be done internally, businesses choose to work with an external managed service provider with the provider’s technical expertise, cloud-native data infrastructure, security protocols and data requirement capabilities.

Conclusion

Staffing Augmentation is the process of businesses hiring, building, managing a dedicated team or staff through an outsourcing partner/service provider located onshore or outside a company’s geographical location to support business processes.

Managed Services is an outsourcing option where you outsource a broader scope of business processes.

Staffing augmentation provides maximum control and visibility. The remote staff works alongside in-house team while managers maintain control.

When determining what option or strategy best suits current business operations, it is important to determine the needs, budget and the timeline.

In Staff augmentation, clients maintain control of staffing requirements, operating systems, tools, processes, schedules, quality checks, and pricing, while in Managed Services, the client outsources a range of processes.

The Connext Virtual Captive Model

Connext Global Solutions is an offshore service provider uniquely positioned to take on new projects, regardless of size and scope. With the Connext remote staffing model, clients can build a customized, 100% dedicated offshore team. The supplemental offshore staff assimilates and works alongside in-house team.

Connext Global Solutions provides flexible and scalable solutions that unlocks client growth. Typical outsourcing firms require a minimum commitment of a minimum of 5 up to 50 employees. At Connext Global Solutions we allow clients to start with as little as 1 full-time employee and scale as they see fit. Connext actively sources top talent required by the client.

The Connext Virtual Captive Model provides a higher degree of control, flexibility, scalability, and quality than the traditional outsourcing model. Proper operating controls and are in place to effectively protect the interests, confidentiality and data of clients. Get started with Connext today.

Gain deeper insights into effective healthcare staffing. Visit our blog to understand the importance of managing staffing levels in unscheduled healthcare, a key aspect that complements the differences between staffing augmentation and managed services.