The cost saving benefits of software Team as a Service, TaaS: How much money do companies save?

The modern age of software has brought about speed like never before. That is why the strategy of deploying the cost saving benefits of TaaS has become go-to for many companies. Hiring the equivalent to one or more developers to either maintain or develop a software product is what TaaS refers to. Unlike older methods, this team or individual will be backed by an entire business making sure they deliver. Like a seamless add-on, they join the team and carry their tasks when needed.  Development speeds have come a long way since the beginnings of software. Now, a company that is relatively mid-sized can be running three or more products at the same time. A far cry from the days of single product software companies. Furthermore, consumers have come to expect products that work.

Bugs or stagnation within software is far less tolerable these days. The competition is fierce and a bad experience can lead to someone simply switching. It is within these razor thin margins of error that a software product succeeds or fails. Staying with the times, means software companies need to stay efficient yet effective. Similarly, those looking to add a software solution to their mix have to abide by the same principal. However, they should also be vary of spreading their in-house team too thin. Doing so could cause burnouts and an overall decrease in quality. This is where many companies are turning to and finding out about the cost saving benefits of Team As A Service (TaaS). Of course, that is one aspect that has made the practice popular. Team as a Service has many other advantages that set it apart from other forms of outsourcing.

Advantages of TaaS

First, let us look at the immediate strategic advantages that accompany the use of Team as a Service. When you opt for a TaaS package, you are hiring the equivalent to one or more employees. One important aspect is that they already have a team dynamic. You can also look at their previous projects to ensure their chemistry in submitting deliverables and getting projects done. Then, there is the elimination of the recruitment process. This process is difficult for a myriad of reasons. Firstly, a company would have to create and put out ads or job listings to attract potential clients. Then, it is time to interview the clients that apply after sorting through the applications. Afterwards, there is the training and onboarding process. And finally after all that, you still have to manage that employee and make sure their productivity does not stagnate. How about hiring freelancers?

The problem there is first, finding them. And then it is managing their workflow to ensure that the work is completed on time. Team as a Service solves a lot of these problems. You get instant access to experts and specialists who are also backed and supported by the mobile app development company offering the TaaS package. Depending on the variety the company offers, you also have the option of switching expertise in and out based on the needs of your projects. Say, you need 40 hours of backend web development and 40 hours of UI design. Afterwards, you want to switch to a web support team for the period of three months while your core team works on your new projects. Such a transition is possible with the TaaS model. It is the fluidity and flexibility that the model offers which sets it apart from other potential outsourcing options.

cost saving benefits of TaaS

Cost saving benefits of TaaS

You have definitely heard the saying “time is money”. In today’s fast-paced global market, the ultimate goal of companies is to meet deadlines and work as effectively as possible while doing so. Let us look back on the examples provided in the previous section. The reason a company would hire an additional team to take care of certain tasks for a period of time is efficiency. Instead of overworking your permanent staff, you are dividing tasks between your core team and the TaaS resources at your disposal. Doing so allows you to keep up the same pace while also addressing additional needs that your projects have. Therefore, you can move at a similar or even accelerated speed while not sacrificing your core efficiency. Another factor that the cost saving benefits of TaaS allows you to avoid is employee burnout.

Managing the workload

More and more companies are facing the difficult managerial decisions of mitigating burnout while trying to stay competitive. The TaaS model allows companies the best of both worlds. They can stay true to their expanding roadmaps while still maintaining quality.  According to Fortunly, %78 of companies that have outsourcing partners feel positive about their relationship. The numbers do not lie. In the same article, it is mentioned that 54% of companies use third-party support teams to connect with their customers. These numbers are likely to grow as TaaS takes the business world by storm.

There is also the question of continued growth. Every IT product finds itself evolving with the market around it. That is how you can stay ahead of the competition. But in a world where you constantly require new skills, recruitment costs will not only continue to rise, the time to fill positions will do so as well. However, leaving a developer position empty can cost you your time to market. So, when it comes down to the cost saving benefits of TaaS, it is all a question of time and efficiency. There is also the question of your desired skill not being available locally. The developers you are looking for, may already be working for your direct competition. Therefore, utilizing TaaS gives you access to that without the lengthy recruitment process.

Team as a Service vs. Recruitment Agencies

We talk a lot about recruitment in this article and how TaaS takes it off your table. There is another avenue that can do that in the form of recruitment agencies. Their bread and butter lies in finding you the right candidate for the job and taking care of the HR elements. But you run into the same hurdle. While recruitment agencies may be able to pull from other employment pools and avenues, the issue of recruitment time is still there. Moreover, finding the exact fit would rely on the agency’s knowledge in the field. They could find you a backend developer but not one that is experienced in the framework your team works with. The other shortcoming, in comparison to TaaS, is the lack of direct support from a team of experts. This team would have reassuring bona fides that put your mind at ease.

TaaS eliminates recruitment time but also provides technical support

The team you would get from the TaaS company will have direct support from them. A project manager oversees the work and makes sure deadlines are met. But with a recruitment agency, all that work is still up to you. The main benefit is eliminating the recruitment process. However, Team as a Service gives you quick access to a team of professionals that have worked on projects as a team before. And their expertise as a team are proven with a body of work that precedes them.

We offer TaaS packages here at Twelfth Dream, and we have worked with many companies both in Vancouver, other provinces, and even outside Canada. Our case studies speak for themselves. If you feel like TaaS is something you want to consider for one of your projects or seasonal needs, you can book a discovery session here. You essentially cut out recruitment as we have experts on staff, and you pay for their hourly rate within the minimum monthly commitment.

cost saving benefits of TaaS

Considering your needs as a startup against the cost saving benefits of TaaS

Startups typically have a smaller pool of investment to work with than established legacy companies. That is why they have to consistently look for ways to best implement their idea all the while being vary of costs. Time to market is everything for some startups and not for others. You have to consider the core team that you are starting with. And then the rest of the core team that may or may not be missing. What skills does your initial product require? Hiring as a startup is a challenge, because in today’s fast paced work environments, a cushy corporate job at an established firm can attract more applicants. So, the startup is beginning with an already limited pool.

An interesting package that we offer here at Twelfth Dream is an alternative to the typical contract version of TaaS. We envisioned this as a means of cooperating with startups that have interesting ideas but also need expertise that is not easy to attract from the jump. In the partnership model, we charge our basic costs and in return take a revenue share of the business. This model can be attractive to startups that may not have the budget to hire a full team for a specific technical need. At the end of the day, there is also the question of the size of the project.

Some technical projects can get off the ground with simple freelancing. Others require a full-fledged team that not every startup has access to. That is why, you should definitely consider TaaS but know that at an early stage a lot of factors determine the overall ROI.

The bottom line

At the end of the day, adopting a TaaS model into your workflow can save you a lot on time and overhead costs. It also eliminates recruitment costs and time, allowing you to keep pace. If you are interested in talking to us further and seeing if a TaaS package would be right for you, do not hesitate to book a discovery call with us!

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