What Is Dedicated Team Model: Pros And Cons

dedicated team working on a project

Ever been in a situation where your project's cruising along, and suddenly you hit a wall because you need specialized skills? It happens. Most companies hire someone full-time or outsource the job in this case. But there are more variants here. The dedicated team model is one of the alternatives. We will now try to understand how it actually works and why it may replace the two aforementioned hiring options.

What Is the Dedicated Team Model?

So, what's this dedicated team? It is a group of pros, handpicked to work solely on your project. They don’t juggle other clients or divide attention — they focus on your goals and needs only. And that’s why businesses hire dedicated team. It’s not that different from an in-house team, in fact. And yet, it costs less and that’s a substantial advantage for many.

Let’s say you want to build an app. You’ll obviously need developers and designers. Maybe (most likely), you’ll need a UX expert, too. So your first thought is to hire full-time staff. But that’s expensive and slow. And then you consider dedicated teams. They gel quickly, get your vision, and boom — your project’s on track. Plus, they bring their processes and tools and may even teach your in-house employees something cool.

Benefits of a Dedicated Team Model

The dedicated project team structure is more or less clear. Now, let’s analyze in what ways it’s beneficial. 

Money

Full-time hires? Cha-ching. It’s all a bit cheaper with dedicated project teams. You skip the hefty costs — no benefits, no office space, nada. You pay for the expertise for as long as it works for you.

Just to give you an idea of the value: a full-time senior developer in the U.S. might cost you $150k annually (excluding benefits). With a dedicated project team, you work with developers beyond the USA and reduce costs by … well 30% or even 50%. The level of skills is meanwhile the same.

Super Useful for Big Projects

The dedicated team development model is, among all else, superb for big projects with complex tasks. Their main benefit here is that they’ve completed dozens of similar projects before. They know all those unobvious issues, know what can cause delays and where you can save some money.

As an example, let’s take an e-commerce platform. To build and further maintain it, you need

  • backend and frontend developers,
  • UX/UI designers,
  • and QA testers.

The dedicated team structure allows them to have all the roles filled quickly. And most importantly, these roles are filled with professionals who have experience working TOGETHER on similar projects. The project is thus launched on time, within budget, and with fewer hiccups compared to a piecemeal hiring approach.

Short-term Access to Expertise

If you’ve got a short-term need, say, a cybersecurity expert for a system audit, a dedicated IT team should be super beneficial. This approach will give you the right skills for the job without long-term contracts.

For instance, let’s take a healthcare startup. Every startup of that kind must comply with HIPAA. But, in most cases, they don’t have in-house expertise that would help when with it. They hire a dedicated team of cybersecurity and healthcare compliance experts. The latter perform a thorough audit, do what’s necessary, and hand over a secure, compliant system. Most likely, they complete it within a month or two.

Easy to Manage and Coordinate

An argument in favor of the dedicated development team model is that such teams are easy to manage (unlike outsourcing, where it feels like herding cats). Direct oversight, regular check-ins, everyone’s on the same page. You’re in control, which is super important for project management.

Imagine a mid-sized tech firm that finds itself bogged down by miscommunications with its outsourced teams. Switching to a dedicated team can change the game. Daily stand-ups, direct communication channels, and a shared project management tool can (and will) align everyone.

Flexible

Dedicated teams are likewise flexible. You adjust the size as you wish. More resources when you’re swamped, fewer when you’re not. Let’s say you need to ramp up development for a new feature. You double your team with dedicated experts. They work for three months and once the feature is live, you scale down to the core team.

When the Dedicated Team Works and When Doesn’t

Development team
Source

When It Works

You’ve probably guessed already that this model works well under two conditions. First, you need specific skills for a project (you know what they are and why you need them). Second, the project has a clear timeline (e.g., a new software launch, or an upgrade).

Imagine you’re an e-commerce business and you need to prepare for the holiday season. You need more developers to handle the increased traffic and add features. A dedicated team can handle the surge so that your platform runs smoothly during peak times.

When It Doesn’t

But it’s not ALWAYS a fit. For tiny projects, the setup might be overkill. Or, if your project direction is a moving target, a stable team might struggle to keep up. And for super short gigs, the time to onboard a team might outweigh the benefits.

For example, a startup that needs a quick logo redesign probably doesn’t need a dedicated design team. The onboarding and coordination time might be more than the actual work. Likewise, a project with constantly shifting goals might benefit more from a flexible freelance model than from a dedicated team.

Dedicated Development Team vs Fixed Price Model

So, let’s say you’re choosing between the dedicated development team versus the fixed price model right now. What should you consider in the first place? Well, a dedicated team is your go-to squad. They are ready to adapt and pivot as your project evolves. They’re in it for the long haul, immersed in your vision. On the other hand, the fixed price model is more like a contractor. They build whatever it is for you from a strict blueprint (you agree on a price, scope, and timeline upfront).

The dedicated team model thus shines when your project scope isn’t set in stone. You get flexibility. Say your e-commerce platform suddenly needs a new feature due to market demands. A dedicated team would do that fast. A fixed price agreement, in turn, would require renegotiation, there may be delays and extra costs.

However, the fixed price model can be beneficial for well-defined, smaller projects where scope creep is minimal. If you know exactly what you need and want to stick to a budget without surprises, the fixed price approach might be really good. Just remember that it lacks the agility you get with a dedicated team.

Dedicated Development Team vs Time & Material Model

Now, they also compare dedicated development teams with the time and material model. The latter implies that you’re billed for the time and resources used. You normally turn to it with projects with uncertain scope or where tasks are expected to evolve.

The dedicated team model is a lot similar but goes further. You still pay for time and materials. But only here do you get a team that is motivated to integrate into your project culture. It’s a team that wants to (and does) understand your goals, values, and approach. Of course, such a team will deliver a more consistent quality and a more cohesive end product.

To sum it up, the time and material approach works well for where you need to keep costs under control. But with a dedicated team, you get a committed group focused solely on your project so it’s a bit more stable in the long run.

How Much Does Hiring Dedicated Development Team Cost?

And now the costs. For a dedicated development team, these usually vary based on several factors:

  • the team's location,
  • the complexity of the project,
  • and the required expertise.

For example, a senior developer in the U.S. might cost something about $120-150k per year. But if you hire one from Eastern Europe or Asia, it will be 30-50% cheaper. You might expect rates like $50-$100 per hour.

What’s important is that costs don’t solely depend on hourly rate. You should consider the added value, too:

  • a dedicated team’s efficiency,
  • their experience with similar projects,
  • and the seamless integration into your processes.

These factors are all benefits that add to faster development and higher quality.

Final Thoughts

So there you have it. The dedicated team model can, indeed, help with filling those pesky employment gaps in your tech projects. Your task is to understand how it works and make it work for you. If you’ve got a project coming up, you can, at least, experiment with this approach.

FAQs

1. How do I ensure the quality of work with a dedicated team?

Quality assurance is key. Look for teams with a strong portfolio, client testimonials, and a transparent workflow. Regular communication, clear milestones, and project management tools can help here.

2. Can I scale my dedicated team up or down easily?

Absolutely. The model is super flexible.

3. How do I integrate a dedicated team with my existing in-house team?

Start with clear communication and collaboration tools. Regular stand-ups, shared project management systems, and a collaborative culture are what you should always target.

4. What kind of projects are best suited for a dedicated team model?

These are complex long-term projects in the first place. Plus, ones that require specialized skills a. Large-scale software development, major upgrades, or new product launches are all good examples.

5. What should I consider when choosing a dedicated team?

Look at their expertise, past project successes, and how well (if at all) they understand your industry. Cultural fit and communication skills are also important. Ensure they have a structured process for onboarding, project management, and regular updates to keep everything on track.

 

 
 
 
 

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