Software delivery is moving faster than ever thanks to improved processes and increased IT maturity. However, faster does not always mean better. In fact, according to the 2019 “State of Agile Report,” the vast majority of respondents (84 percent) said their organizations were below a high level of competency with agile practices. It revealed that there’s significant room for improvement through agile coaching and training.
To combat this deficit, IT spending is on the rise. A recent survey published by TEKsystems found that 20 percent of IT management executives report high or unforeseen costs associated with digital transformation.
Why? Today, more and more IT companies are under significant pressure to keep up with customer expectations, application and service functionality, and security compliance — all while delivering value and keeping costs in check. As a result, many IT executives are investing in more predictable cost models.
If you’re one of those executives in the process of weighing up the pros and cons of staff augmentation versus managed services, then you’re likely among the 74 percent of IT leaders who are frustrated with their current software delivery speed.
In this article, we will provide a brief overview of the aforementioned engagement models, and explore why more organizations are shifting to this model to accelerate and evolve their IT practices.