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Remote Hiring |
V/s |
Traditional Project Based |
| Engagement Type |
More like an extention of your office, benefits similar to having your own employees |
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More like a 3rd-party vendor/sub-contractor relationship |
| Resource Pool |
Custom build your team with specific skillset - high customer involvement in recruitment/termination |
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Limited to existing employee/team of sub-contractor, generally no involvement in employee/team recruitment/termination |
| Management Control |
Higher level of control, direct interaction, and ongoing involvement with team |
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Lower level of control, direct interaction, and ongoing involvement with team |
| Costs |
Lower costs, as the team is custom built-to-order leading to no bench time for employees |
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Higher costs to cover periodic bench-times of existing team between projects |
| Schedule |
Flexibility to have multiple shifts when building the team |
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Usually limited to the existing office hours of the sub-contractor |
| Project Management |
Customer involved in both specifications creation and deliverables |
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Usually restricted to customer writing functional specifications and handing over deliverables to vendor |
| Intellectual Property |
Generally always owned by customer by default |
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Usually negotiated between customer and vendor |
| Scope |
Ability to expand relationship into multiple practice areas ranging from R&D, sales/marketing, tech support/customer service, web design, accounting, etc. |
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Generally limited to the existing one or two practice areas offered by vendor |
| Applicable to |
For long-term, full-time company job positions (core or non-core functions) |
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For short-term, usually non-core company functions |