Hiring Dedicated Development Team in 2024: The Ultimate Guide

A Dedicated Software Development Team: Concept and Use Cases

A dedicated development team comprises outsourced professionals committed to completing a project/s for a specific client. It is sourced from an external organization and commonly operates remotely.

Dedicated development teams are an ideal outsourcing model for long-term, complex projects with constantly changing requirements and parameters.

Working exclusively for you, dedicated teams can complete your projects with greater efficiency and flexibility. You won't have to worry about outsourcing teams that may neglect your project because they handle too many clients. The dedicated team will stay focused on your project/s, meeting your deadlines and allocating resources efficiently.

How is it different from in-house hiring and staff augmentation?

In-house staffing involves hiring employees who will be part of your organization for the long haul. You'll have to scour the market for candidates and vet them from scratch. Staff augmentation, on the other hand, is bringing in outsourced specialists to work temporarily with your existing team. You'll be sourcing the augmented staff from a vendor with a pre-vetted pool of developers.

Here's a helpful summary of how dedicated teams, staff augmentation, and in-house hiring differ from each other:

You may be wondering what types of IT specialists usually make up a dedicated team. The following list will give you an idea:

• Frontend web developers to create the software's user interface
• Backend developers to build the software's server-side functions
• Mobile developers to build applications for smartphones and tablets
• UI/UX designers to craft the visuals for your software solution
• QA specialists to run quality assurance tests and check the code for bugs and errors
• DevOps engineers to oversee code releases and automate processes for infrastructure management and software maintenance
• Other specialists, depending on project requirements, may include a project manager, business analyst, and solution architect

Your choice of hiring model will depend on your unique business needs. Let's now check out the market outlook for the outsourcing industry.

Dedicated Development Team for Hire: Market Review

The COVID-19 pandemic transformed the business landscape, forcing many companies to digitalize their processes. With the accelerated digital transformation came a scramble for talent, leaving 54% of organizations experiencing a shortage in tech skills. With many companies turning to IT outsourcing for a solution, it comes as no surprise that the market size for these services is expected to reach $812 billion by 2029.

Even the big names in tech are outsourcing IT work. Here are some of them:

• Google outsources IT management, backend development, and other phases of its projects to reduce expenses
• Slack commissioned a dedicated team to create the MVP for its mobile app and marketing website
• WhatsApp outsourced the development of the platform's iOS version to a dedicated development team
• GitHub trusted a dedicated development team to build a significant part of its backend website
• Alibaba outsourced the design of its website
• Expensify worked with an outsourcing company to complete its backend

When even tech giants embrace dedicated teams, it's clear that the model offers significant benefits.

Benefits of Hiring a Dedicated Development Team

Dedicated teams often include project managers and business analysts who ensure the project is well-managed and tasks are coordinated, reducing the time you need to spend supervising outsourced developers.

Dedicated teams help companies develop software solutions at a fraction of the cost of doing it in-house. But their benefits go beyond just cost savings. Here's a list:

Flexibility and scalability

Dedicated development teams can scale up and down as needed. You can quickly bring in additional specialists as your project's requirements evolve, and just as quickly, you can let them go once their work is done. You won't have to worry about hiring developers who might end up sitting on the bench once a specific part of the project is completed.

Well-suited expertise

Working with a dedicated team means partnering with an IT vendor with a rich talent pool. You get to pick specialists with exactly the skills and knowledge you need for a specific project. You gain access to hard-to-find developers and engineers capable of completing complex tasks and delivering robust solutions.

Faster time-to-market

Your project can be completed much faster since your development team has the right mix of specialists dedicated to meeting your requirements. This translates into fewer work hours and, in turn, lower costs. Accelerating the project's timeline and launch date also allows you to capture more opportunities and gain a competitive edge.

Lighter management burden

Dedicated development teams may include specialists, such as a project manager and business analyst, who take responsibility for ensuring the project is well-managed and the tasks properly coordinated. This means you won't have to spend too much time supervising the outsourced developers.

The dedicated team can still work closely with you, reporting on the project's progress and sourcing your approval for every major decision. You get to retain a degree of control without being bogged down by managerial duties.

Dedicated teams come with benefits that make them well worth it. Next, we'll discuss how to put one together.

Steps to Hiring a Dedicated Development Team

If you're convinced that a dedicated software development team is the right choice for your business, it's time to tackle the practicalities. Here are the steps you'll have to take to get the ball rolling.

Step 1. Outline your requirements for a dedicated team

The first step to ensuring successful cooperation is knowing exactly what you need. Make sure you decide on the following:

• Project Scope. Determine and document your project goals, deliverables, and deadlines. A well-prepared project scope will help ensure you meet your objectives without going overboard with the timeline and expenditures.
• Tech Expertise. Come up with an outline of the expertise and skillset you need to complete the project. The list will help you choose the right IT vendor with the talent pool to meet your requirements.
• Team size and composition. Use your project scope and required skillset to determine how many people to include in your dedicated team and what specializations you need.
• Budget and payment terms. Set a budget to prevent overspending. You should also determine the payment structure that works best for your company. For instance, you may choose to cover a fixed cost for the entire project instead of paying hourly fees throughout your cooperation.

Detailed lists of your needs and requirements will help you assemble a dedicated team to complete your project successfully.

Step 2. Search for an IT vendor

Choosing the right IT vendor will help you avoid headache-inducing and costly hitches. Ensure you work with an organization that specializes in dedicated development team services. They should have the experience, talent pool, and tech stack to guarantee successful cooperation. Check their portfolio for a proven track record.

Step 3. Interview candidates

The right IT vendor has a talent pool of highly vetted specialists. Your job is to filter out those who best match your unique project needs and requirements. Interviewing candidates is the right approach.

• Hard Skills. Don't just inquire about previous projects; ask about the specific tasks they completed. More importantly, test their skills with coding assessments and technical tests. If you lack the technical knowledge, rope in your in-house IT specialists or hire an independent consultant.
• Soft Skills. Work ethics and communication skills are just as important to the project's success. Ask people about their personal values. You should also test team dynamics by observing how the members interact as they complete group exercises.
• Project Management Skills. Learn about the team's preferred project management methodologies, such as Agile, Waterfall, and Scrum. Ask them about their experience with project management tools and overcoming challenges.
• Understanding of your brand. Observe just how engaged they get as you talk about your project goals and challenges. The right candidates approach problems as if they are their own and eager to work to meet goals.

Step 4. Form a dedicated team

After conducting in-depth interviews, it's time to make your final selection. Do get deeply involved in the process because no one knows your business better than you do. Work in tandem with the vendor. Their experience and expertise will help steer you in the right direction.

Remember that your choice of specialists will greatly impact the outcome of your project. Take as much time as you need to select the best-fitting candidates.

Step 5. Determine communication channels

You need collaboration tools to communicate effectively with the dedicated team. Choose those that both you and the outsourced staff are comfortable with. The following are great options:

• Project management tools: Basecamp, ClickUp, Asana, Trello, Jira
• Video conferencing platforms: Cisco Webex, StarLeaf, Zoom, Google Meets, Microsoft Teams
• Instant messaging: Ryver, Flock, Slack, WhatsApp, Telegram
• Version control systems: Apache Subversion, Mercurial, Perforce, GitLab, GitHub

You'll need to work closely with the dedicated team to determine the best tools for your project.

Step 6. Onboard the dedicated team

Get your team off to a good start with a well-organized onboarding process. Take the opportunity to orient them on their roles and responsibilities properly. Make sure they fully understand your expectations. Integrating them into the project's workflow and updating them on the processes and tools is also important.

Now that you have a clear idea of how to put together your dedicated team, it's time to check whether it's 100% right for your business budget-wise.

How Much Does It Cost to Hire a Dedicated Team?

The cost of hiring developers varies widely, depending on their level of expertise and location.

North American developers command the highest rates even though they don't necessarily deliver the best quality. Asian developers charge the lowest, but that doesn't mean they provide low-quality services.

Suppose you are looking for median rates, high-quality work, and a timezone that closely matches yours (nearshoring destinations for Western European countries). In that case, the CEE region (Central and Eastern Europe) may be your best bet. Ukraine and Estonia are particularly attractive locations known for their high concentrations of tech talent.

Estonia is remarkable for having one of the highest concentrations of tech talent per capita in Europe. It even has the region's largest number of billion-dollar companies per capita.

Points to Consider Before Hiring a Dedicated Development Team

Your choice of a dedicated software development team could make or break your project. Before starting the hiring process, you need to be aware of some deciding factors.

Experience in your domain

Choose IT specialists with solid domain experience. That way, you won't have to explain the best practices or introduce them to your terminology and jargon. You will also benefit greatly from their past experience solving problems and overcoming challenges that are unique to your domain.

Technical expertise

Choose IT specialists who are experts in the specific technologies you use. If you're using React Spring, for instance, make sure you hire a frontend developer proficient in this framework. The last thing you need is to waste time and resources training your outsourced staff on your tech stack. They must be up and running as soon as you onboard them.

Past client's reviews and testimonials

One of the most effective ways to gauge whether an IT vendor is capable of meeting your needs is to hear what their past clients have to say. Look up the testimonials on the company's website. Checking out third-party review sites like Clutch and GoodFirms is also helpful.

Communication approach

You need to pay particular attention to the way the IT professionals communicate. They should be willing and able to handle the distance and time zone difference. This is a must to keep the project running smoothly, even as you work with remote specialists.

As mentioned earlier, it's important to choose convenient collaboration tools for you and the outsourced staff.

Understanding of resource scalability

Select an IT vendor that can meet not only your current but also your future needs. They should be able to quickly bring in more specialists as you scale your project/s to meet the needs of a growing business.

Willingness to sign an NDA

The IT vendor must commit to protecting your confidential information. And don't just take their word for it. Use a non-disclosure agreement (NDA) to legally ensure the security of your data and intellectual property. Any unauthorized disclosure will have legal consequences, effectively deterring breaches and leakages.

Ready to start searching for a reliable software development partner? We'll show you where to start.

Popular platforms to hire a dedicated app development team

You need to work with a reliable IT vendor to successfully assemble a high-performing, dedicated team. The following review sites will help you scout for the right software development partner:

Clutch

You need to work with a reliable IT vendor to successfully assemble a high-performing, dedicated team. The following review sites will help you scout for the right software development partner:

GoodFirms

GoodFirms is also a review site that allows you to do unbiased research and find the right software development partner. It collates top companies and publishes verified reviews, double-checking that they come from real customers.

But let us make the search even easier for you by providing a good recommendation. Get to know Giraffe Software, a reliable and highly rated IT vendor.

Why Choose Giraffe Software for Hiring a Dedicated Development Team

Giraffe Software is a software development company that has been growing rapidly since its establishment in 2016. We have completed over 120 outstaffing projects, pulling high-performing IT specialists from its pool of more than 30,000 experts (80% senior and mid-level).

With over seven years in the game, we've built a solid team of skilled engineers and a vast partner network, delivering successful projects for over 60 clients across the EU and US. Have a look at just several of them:

looxis, a German company known for creating exclusive photo-etched gifts, came to us to shift their sales from offline to online and tap into new digital revenue streams. They wanted to launch an eCommerce store, but their previous tech vendor didn't meet their quality standards.

They needed top-notch tech experts with great English skills and strong expertise to complete the project on time. Plus, they wanted their store to have 2D and 3D image modeling features so customers could preview their personalized gifts before buying.

Within just three days of their request, we provided eight candidate CVs that fit their needs. The client selected and hired their desired experts in just two weeks. These specialists seamlessly integrated into the client's in-house team, and our collaboration lasted five years, during which we helped LOOXIS establish a new digital revenue source.

As a result, LOOXIS gained:

• A team of middle to senior developers skilled in 2D and 3D image modeling, all at half the rates of local developers
• A dedicated team working directly under their management
• An eCommerce store that met all their requirements
• Over 50% reduction in operational expenses, as our solution covered everything from salaries to taxes and hardware

This collaboration helped LOOXIS successfully transition to digital sales and expand its market reach.

Another project, REM Waste, was for a UK-based waste management company with over 100 partners serving 700+ customers. They needed a digital makeover to scale their business and aimed to replace their outdated CRM with a new, custom platform.

After their previous developers failed to deliver a working MVP, REM Waste turned to us for help. We provided an estimate for the MVP and quickly assembled a team of two developers, an architect, a PM, and a QA within two weeks. In just four months, we delivered a polished MVP, enabling REM Waste to secure further investments.

The results were first-rate:

• A talented development team that rescued the project
• A refactored solution with bugs fixed
• A high-quality MVP with missing features delivered
• Post-MVP functionality completed over the following 15 months, with the team growing from 4 to 8 members
• A 38% cost saving compared to local estimates

Now, REM Waste is planning to build a SaaS solution based on this CRM.