Every business needs excellent levels of support and assistance to effectively perform specific tasks and projects which cater to the demands of multiple clients and customers. Nowadays, it is very common for businesses to seek the help of outsourcing services to minimize the workload and ensure the quality of long-term projects that could help the business grow. However, with hundreds and thousands of outsourcing companies offering various types of services, it could be difficult to identify the right model of business development that matches the scope of work that needs to be done on time.
In project management, there are two most common models that entrepreneurs consider when outsourcing services, the dedicated team model, and the shared resources model. Both models have a specific team structure and teams of staff with specific skill sets that could match the type of project that needs to be finished in a specific time period but the differences fall along the level of focus, cost, and the staff’s area of expertise.
What is a dedicated team?
A dedicated team is a group of workers who are assigned to work exclusively on one project or for one client. This model is beneficial because it allows for a high level of communication and collaboration between team members. Additionally, dedicated teams are typically more efficient and can produce higher quality work than shared teams. However, this model can also be more expensive and may not be feasible for all businesses.
Benefits of a Dedicated Team
There are several benefits of using a dedicated team, including:
- Dedicated teams are usually able to get more done in the same amount of time because they don’t need to spend their time on other projects.
- Being part of a dedicated team often means you’re part of a smaller, more cohesive unit. This can be a big advantage in terms of morale and productivity.
- Dedicated teams are less likely to suffer from conflict between team members because they are focused on the same goals.
- Increased efficiency and productivity.
- High levels of communication and collaboration between team members.
- Greater quality of work.
Challenges of a Dedicated Team
However, there are also some challenges that come with using a dedicated team, such as:
- Limited availability.
- Increased cost.
- Less flexibility.
- Ensuring team members are properly utilized
If you’re considering using a dedicated team for your business, it’s important to weigh the pros and cons to decide if this model is right for you.
A shared team is a group of workers who are assigned to work on multiple projects or for multiple clients. This model is beneficial because it allows businesses to save money by sharing resources. Additionally, shared teams can be more flexible and adaptable than dedicated teams. However, this model can also lead to less communication and collaboration between team members.
There are several benefits of using a shared team, including:
- Lower Costs – Since a shared team is comprised of people who are working on multiple projects, you can save money by only hiring one person for the job. This allows businesses to have more capital available for other projects.
- A Flexible Team – Since members of a shared team are working on several different projects, they can be more flexible and adaptable than dedicated teams. This allows businesses to respond to changes quickly.
- Team Members are More Productive – Since members of a shared team are working on several different projects, they can become more productive as they learn from each project and apply what they have learned to future projects. This can improve the quality of work and reduce costs in the long run.
- A Shared Team is Easier to Hire – If you are looking for a dedicated team, you will have to spend time and money finding the right people. However, if you need a shared team, members of your existing teams can be assigned to different projects as needed.
However, there are also some challenges that come with using a shared team, such as:
- Shared Teams Require More Communication – As members of the shared team work on different projects, you will need to stay in touch with them and make sure that they are aware of all their responsibilities.
- Shared Teams Require More Time Management – You need to make sure that the team members are not overwhelmed with their workloads. Having too many projects can cause stress and affect productivity, so you will need to make sure that your employees have enough time for each project.
- The Number of Projects Can Affect Team Efficiency – When you have a small number of projects, the team members can work on them individually. But when there are too many projects, they will need to work together. This will affect the efficiency of the team and make it difficult to get things done on time.
- Communication: When team members are located in different physical locations, communication can be difficult. This is because it may be hard to have face-to-face conversations or meetings when workers are in different locations. In addition, team members may not be available at the same time or they may have conflicting schedules.
As an owner, you need to evaluate your business goals and determine whether or not a dedicated team is a right choice for your business. If you have a small number of projects or want to keep things simple, then a shared team will be sufficient. But if you are looking to grow your business and want to increase your revenue, then a dedicated team is the answer.
Team members in a shared environment are typically not as productive as those who work independently on their own projects. This can be attributed to the fact that they are working on several projects at once and have to divide their attention.
Team members in a dedicated environment, however, can focus all of their attention on one project and are therefore able to achieve more.
In a shared environment, team members have little or no autonomy over the projects that they work on. They may not be given the authority to make decisions about the project or to develop their own ideas.
Team members in a dedicated environment are able to take responsibility for the projects that they work on and have more control over them. They can use their own initiative to develop their ideas and make decisions.
Team members in a shared environment will have to share information with the other team members on other projects that they are working on. This can lead to a lack of confidentiality and a lower level of trust.
Team members in a dedicated environment can focus on their own projects without having to worry about the other project that they are working on. They will have fewer distractions and will be able to complete their projects more efficiently.
In terms of attention and the amount of time spent in completing tasks, selecting the type of team for your project is crucial. Shared and dedicated teams stay true to their names. When you choose shared resources, consider the fact that teams will not be available 24/7. Thus, available time should be negotiated and schedules might change anytime. For dedicated teams, it is the complete opposite. Dedicated teams are exclusively dedicated to working with your business and for your project, following the workflow and framework of your corporate goals and objectives, with more flexible availability and potential for long-term planning and collaboration.
If your business process consists of technical tasks that will require experienced and licensed professionals, hire a dedicated team to get the job done. Dedicated teams consist of highly skilled experts that can produce quality outputs and improve the services required by your business. Whether you need a team of developers and business analysts for business automation and optimization or a creative and efficient software development team for web development, the dedicated model always has a specialist ready to work with you. Software outsourcing also falls in this type of project management model if you plan to adopt custom software solutions and strategies created and maintained by a pool of software engineers and backend developers.
For shared resources, teams also perform similar tasks and multiple projects for other businesses. Many companies opt for shared teams and resources during peak seasons and for tasks that require non-technical skills and minimal training needs. Call centers offering sales support and client services through inbound and outbound calls are ideal examples of how a shared resource works. Telesales operations are not entirely “technical” and each staff is not required to focus on a specific area of expertise, but your business can achieve its monthly and annual objectives with visible results such as accomplished sales targets and increasing quota made possible by constant upselling.
Type of Company
Startup companies tend to rely more on short-term contracts and project collaborations to save money and time. For example, a startup event organizing company that wants to experiment with different content marketing strategies to fit the trend can hire event bloggers working with other blog marketing companies to create the best content that resonates with the client’s needs.
If your company is well-established, your client and the development team should be more experienced and skilled so a fully dedicated team can help you manage many clients. A dedicated team can work harmoniously with your in-house team and is capable of adjusting according to the needs of the project.
One of the benefits of dedicated teams is the openness to customization and long-term collaboration. A project may change its objectives due to planned or unplanned reasons but if you are dealing with a dedicated team, you can relay these changes without compromising the project’s quality. Brainstorming and planning sessions are easier with a dedicated team since it consists of individuals that are trained and certified to solve technical difficulties and troubleshoot weak points of the process.
Shared resources and teams can be quite stiff when it comes to the scope of work that your company sets. For example, a particular client complains about system bugs and the slow loading of your company website. Keep in mind that in shared resources and teams, they do not work on one project alone and you actually share the same development tools with other businesses so you cannot require your software team to provide immediate solutions at your preferred time since they could be performing tasks for other projects and businesses with high priority levels at a different time.
Every project manager wants excellent project results. Proper utilization of resources can help a project manager analyze the scalability of a project. Speed and stability are two determinants of an effective project management strategy. If your business aims for stability, using the dedicated team model is ideal. If you want speed in hitting targets and accomplishing tasks, a shared team offers a competitive approach to help you achieve your organizational goals. Moreover, if you want to build a stable reputation in the industry (e.g communications and technical support), consider the best services that dedicated teams offer.
Both models can help you minimize overhead expenses but many companies prefer and consider shared resources and teams to be more cost-effective. Shared teams charge using the transactional billing model but hourly rates of each employed resource can be negotiated. Dedicated teams have fixed rates for all resources and charge through monthly billing. Keep in mind that all rates are subject to increment.
If you are curious about the differences between the tasks, flexibility, and rates of agents for shared teams and dedicated teams, this comparison table answers some important FAQ that can help you decide on the perfect project management approach for your business:
|Dedicated Team||Shared Team|
|Staffing||– Team members work exclusively for your project.|
– Experts and specialists are hired.
|– Team members work on other similar projects for other companies and agencies.|
– Freelancers and generalists are hired.
– Relevant training and seminars are required.
– Brief training phase.
|Quality||– KPI and metrics dependent.|
– Focused on quality.
– Quality is ensured by staff working in different areas of expertise.
– Quota > Performance quality.
– Quality of the project or task will depend on the staff assigned.
– Changing and unstable.
|Cost||– Fixed rates paid on monthly basis.|
– Expensive yet beneficial for long-term organizational goals and planning.
|– Transactional billing (hourly rates)|
– More affordable and beneficial for short-term goals.
|Flexibility||– Flexible SLAs ideal for urgent modifications in planning and brainstorming.||– SLA dependent.|
– Modifications are assigned to skilled staff.
Another model that is becoming popular nowadays is the Hybrid Team Model. If you are mainly thinking of shared vs dedicated teams, you can adopt this creative yet practical approach. This model is a combination of the two when you can actually hire a dedicated team to do highly technical tasks with shared members to perform tasks that your operations team may require. This type of team model is a viable approach that allows constant collaboration among professionals and develops strong communication within the team.
How do you decide which model is right for your business?
The decision of whether to have a dedicated or shared team depends on a number of factors, including the size of your business, the nature of your products or services, and your budget.
If you have a small business with a limited budget, a shared team may be the best option. This model allows you to pool resources and share the cost of overhead expenses.
If you have a large business or a complex product or service, a dedicated team may be a better fit. This model allows you to have a team of experts who are focused solely on your business.
The decision of which model to choose should be based on your specific needs and goals. There is no one-size-fits-all solution.
Carefully assess the needs of your business and create an excellent project management plan through the following:
- Prepare a detailed and realistic critical path. Start with realizing one strong point and one weak point.
- Align your organizational goals according to the current services that outsourcing firms offer
- Determine your client’s needs.
- Look for a reliable and competent service provider.
- Outsourcing companies work under varying SLAs, analyze before you commit.
- Evaluate your company’s financial capacity.
- Consider investing in project management software.
How much does it cost to outsource a dedicated team?
The cost of outsourcing a dedicated team depends on the size of the team, the complexity of the project, and the location of the team. Generally, a dedicated team will cost more than a shared team, but the benefits may outweigh the costs. At Digital Minds BPO we offer a dedicated team at $5 to $10 per hour depending on the project.
How to get the most out of a dedicated team?
A dedicated team is a group of people who work together to accomplish something. It might be for the purpose of a project, event, or campaign. Dedicated teams are effective when there is a clear goal, specific tasks, and a timeline. To get the most out of your dedicated team, first, you need to understand what they can bring to the table.
How do dedicated teams work?
You hire a group of people who are experts in their field, and you give them clear instructions on what needs to be done. You also give them a timeline and let them get started on their project.
How do you make sure they are successful?
You need to set clear expectations for your team. You need to outline the project and be as detailed as possible about what you expect from your dedicated team.
What makes the dedicated team model better than others?
You will have a dedicated team of experts working on your project. They are not distracted by other projects and can focus solely on the task at hand.
You will also have a fixed price for the work that is being done. This is very beneficial because you know exactly how much the project will cost and can plan accordingly.
How do you keep a dedicated team motivated?
Motivation for a dedicated team comes from the work itself. They are working on something that they believe in and want to be successful at. If you set clear expectations for them, then your team will be motivated and have a higher probability of success.
With a dedicated team, you will have the best of both worlds. You can control costs and timelines and still get top-quality work done.
What is dedicated team customer support outsourcing?
Dedicated teams customer support outsourcing is when a company contracts with an outside firm to provide customer support on a 24/7 basis. The team is composed of customer service representatives who are specially trained to handle the company’s customer inquiries, complaints, and other needs.
The main advantage of this model is that it allows businesses to focus on their core competencies while leaving the customer support function to a team of experts. This can lead to improved customer satisfaction and loyalty, as well as increased efficiency and cost savings.
There are some potential disadvantages to this model as well, such as the need for a higher level of communication and coordination between the company and the outsourcing provider, and the potential for a loss of control over the customer support function.
Where to hire a dedicated team?
If you’re considering hiring a dedicated team for your business, there are a few things to keep in mind. First, you’ll need to identify the specific skills and expertise that you need for the project. Then, you’ll need to find a team that has the right mix of skills and experience. Finally, you’ll need to set clear expectations and objectives for the team.
Digital Minds BPO offers a dedicated team model that’s perfect for businesses of any size. Our team members have years of experience in a variety of industries and are ready to help you accomplish your goals. If you’re interested in learning more about our dedicated team model, contact us today.
Having outstanding business operations and service quality control starts with choosing the best teams to perform the required tasks and produce the expected outputs. Keep in mind that in every business, work arrangements should benefit both the business and the employees. Know your business well and determine the needs, set expectations, and hire the best people to achieve those. Make the best business solutions and build meaningful relationships with your clients and partners through outstanding project management. Best of luck with your venture!
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