Adding full-time personnel to a business organization is an expensive proposition. Not only will new staff draw a salary, they also represent significant costs in terms of fringe benefits. In today's fast-paced business world where investors expect firms to use every penny carefully, it makes little sense to employ additional personnel unless they will be fully needed in the long term.
This is often not the case; many businesses have short-term projects that need to be accomplished. Using existing staff for these projects pulls them away from ongoing responsibilities, which can lead to other essential workflow being disrupted. The practice of diverting regular staff to special projects, especially if it becomes an institutional practice in the organization, can also lead to staff burnout and the loss of valuable personnel.
Short-Term Staff Augmentation is the Solution
Much better is to utilize a strategy known as staff augmentation. This solution involves hiring an outside firm to supply workers to your organization; such workers are given responsibility only for short-term projects. This allows them to concentrate solely on crafting the proposal needed, for example, or on developing a new data entry system that perfectly fits the organization's needs.
Staff augmentation is cost-effective because there are no long term expenses with the method. Because the additional staff actually work for a consultancy firm, the receiving organization is not normally responsible for fringe benefits such as health benefits or a pension plan. Staff augmentation is somewhat similar to the old practice of hiring temporary workers from an agency, but it differs from that since the personnel acquired this way are highly skilled individuals in IT services.