IT Staff Augmentation and PANDEMIC: Why has demand increased?

Despite the fact in the first months of the pandemic, this kind of demand decreased, the IT Staff Augmentation has increased. Back in early 2020, the scenario was the opposite. Due to fear, uncertainty, and doubts generated by the pandemic, companies reduced their expenses to the minimum.

 

To manage the remote working transition and task accomplishment, many companies increased new investments in IT. This may explain why the demand for IT Staff Augmentation grew. But, what are the reasons that would explain it particularly? How this demand goes and will continue to grow around the world? In this Tecnova article, we will show you the reasons why this industry has grown.

 

 

 IT Staff Argumentation worldwide situation at the beginning of the pandemic

In the first days of the COVID-19 pandemic, things were not looking good for the IT services providers. According to Forbes, after travel restrictions and income reduction for many companies, the enterprises didn’t get IT staff augmentation service as an immediate solution.

As a result, the IT staff augmentation global sector suffered a severe blow, reducing its value by 5% according to Computer Weekly.

 

Nevertheless, once companies needed to offer a sustainable response to the crisis, the demand for IT service providers rose. As we previously stated, one of the reasons was the organizations digital transformation. In conclusion, according to Forbes: “The pandemic has strengthened the benefits of IT Staff Augmentation Services.”

 

 In fact, just in a few months, Covid-19 accelerated the digital transformation of global companies on 6 years average, according to experts. The crisis forced a heavier reliance on digital tools for online safe communication and collaboration. Accordingly, 95% of IT professionals saw organizations redefine technology priorities following the Covid-19 outbreak, and 63% of Fortune 500 CEOs expect the 2020 crisis to drive technology innovation in business.

 

According to Forbes:

“As companies re-establish business strategies to scale modern technology solutions, they are more likely to use IT Staff Augmentation to get there faster”.

 

 

Why is IT Staff Augmentation investment, even with the pandemic, expected to increase?

 The “Global managed services report 2020” from the technology firm NTT, based on a survey of 1250 executives in 29 countries asserted that “45% of companies will outsource more than they did before in the next 18 months”.

 

According to Kellton Tech, “IT Staff Augmentation service can help companies ensure quality and build resilience against disruptions such as natural disasters and pandemics”.

From this site, they point out that the hiring of offshore IT teams in the regions affected by COVID-19, “allows organizations of all industries to save and maintain strict budgets”.

 

Due to this, since Kelton Tech, it is believed that this scenario “highlights the need of flexible business models. Then companies are able to focus more on their commercial activities by outsourcing their software projects”.

 

A revealing fact of this new tendency is given by the consultancy firm Gartner. This investigation firm claims that the global expense on IT will reach US $1,19 billions in 2021. Last year global IT spending on consulting and implementation services was US $ 490 billions.

 

 

 4 reasons to hire IT Staff Augmentation Service

With this increase in demand for hiring IT Staff Augmentation services, Forbes provides a summary of the reasons for preferring this modality.

 

Efficiency in the acquisition of the service

Thanks to IT Staff Augmentation service there is a wide variety of bidders according to the needs of the company. According to the conditions of the service that the applicant company needs, this will avoid investing in personnel that will only be required for a limited period of time. For this service you will only pay for the time you require such service.

 

 Specialists in what you need

IT Staff augmentation service is a great opportunity to find specialists with specific experience and who are found only in some specific places around the globe.

 

Budget

For many companies, accessing IT staff augmentation services is important for cost savings. Particularly with offshore IT staff augmentation services.

 

Dedicated team

Leaders of all industries know how hard it is to build a team that is able to work in an effective way. The addition of intern developers one by one will require time and effort. Instead, outsourcing is a great opportunity to hire an already formed team.