Written by: Daniel Haurey on 11/13/23

Staff augmentation VS managed services… There are many reasons why a business might consider an outsourcing model for its IT needs. 

Perhaps the company doesn’t want to manage an in-house IT person, or maybe an organization requires expertise around a particular endeavor, such as compliance. 

Sometimes a company is facing a high-demand situation, such as opening a new office, deploying a major technology solution, or completing projects under a tight deadline. 

To resolve those challenges, organizations often face a decision: staff augmentation vs. managed services. The difference between the two options is fairly clear, and there are advantages to both, depending on your situation and objectives. 

In this article, we’ll explore the differences between the two and discuss their pros and cons.

Managed Services VS Staff Augmentation: Which is Right for Me?

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Making Sense of Staff Augmentation VS Managed Services

A managed IT services company provides full-time, comprehensive support, including helpdesk services, remote monitoring and management, and proactive maintenance. 

Typically, the managed services model includes a long-term contract, with clearly defined service level agreements and documented processes.

With staff augmentation, an organization is typically engaging in a short-term agreement that brings additional IT staff on board to work with an existing in-house team. 

The purpose is less about end-to-end IT assistance and more about specific projects, specialty expertise, and ultimately, cost savings over hiring full-time technical staff.

Pros and Cons: Managed Services VS Staff Augmentation

The right solution for your organization depends on your individual needs. If you’re interested in a proactive, enduring approach to improving your technology stack and supporting both day-to-day needs as well as strategic IT planning and management, then the managed services model is likely the best fit.

Additionally, managed IT services include well-defined levels of service, documented processes, and set pricing. That makes it a complete package. 

Costs and expectations are set in a written contract, making the engagement predictable, with high levels of accountability. The overview and management of the IT personnel sits with the managed IT services provider, relieving the business of HR and other employee-related responsibilities.

Alternatively, if you are looking for a stop-gap solution, the staff augmentation model may align better with your needs. Leveraging staffing to access expertise to close a skill gap related to a specific technology rollout or a project such as custom software development can be cost-efficient.

Some companies prefer the brief commitment of staff augmentation vs. managed services’ longer contractual agreements. Organizations may also feel they have more control over short-term staffing solutions than with a managed IT services contract. Then again, some see the need to manage IT staff as a negative.

Selecting the Right Staff Augmentation and Managed IT Services Solution 

Ultimately, most businesses find that a managed IT services partner delivers a strategic advantage if the task they face is creating an innovative, reliable technology environment for the organization. 

Typically more cost-effective and measurable in terms of clear ROI, managed IT services deliver ongoing improvements and truly step in as an expert IT guide for organizations. 

Staff augmentation is focused on the here and now; getting tasks done, filling staffing gaps, providing a temporary project manager, and other reactive needs. This approach rarely addresses strategic technology use or investments but rather serves that interim purpose. 

If your organization requires expertise, vision, and strategy or wants IT personnel who are well-versed in technology as a business tool and driver, it’s likely that managed services are the best fit. 

Managed Services VS Staff Augmentation at a Glance

Managed ServicesStaff Augmentation
DurationLong-term contractShort-term agreement
PurposeEnd-to-end IT supportProject-based tasks
Cost StructureSet pricing / flat ratesVaries by the project
HR ResponsibilitiesManaged by providerManaged by business
Strategic ValueHigh (ongoing support)Low (task-specific)
Control Over PersonnelWith the providerWith the business
Best Choice ForLong-term IT planningImmediate IT needs

Interested in learning more about managed IT services? Check out these blogs:

Staff Augmentation VS Managed Services:
Make the Right Choice for Your Business Today

Now that you understand the differences between managed services and staff augmentation, you have the information you need to make an informed decision for your organization. If you still require assistance, we are here to help.

As a leading IT services provider, Exigent Technologies offers a wide range of managed IT services designed to foster success for your business while taking the guesswork out of IT management. 

From cybersecurity and technical assistance to professional consulting services and network support, our expert team provides the managed services you need to propel your business forward.

Learn more about how our managed IT services can benefit your business by contacting us today to schedule a free consultation.

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