The digital world is evolving faster than ever at lightning speed, with generative AI and new technologies reshaping our daily life. As businesses race to innovate, user expectations are also higher than ever, pushing software quality standards to new heights. In a time of rapid change, staying ahead means adapting faster than ever before.

Choosing the right development model is more crucial than ever for success in software development. Using solely internal staff to create a development team can be challenging due to various limitations, such as hiring time, training cost, and operational overhead.

As a result, the majority of companies are moving towards a more efficient and flexible approach—Dedicated Team Model, through which they can form a Dedicated Development Team outside of the company. The model provides companies with a team of developers dedicated to a specific project with deep integration with the in-house team, as opposed to outsourcing.

In this article, we leverage ISB Vietnam's expertise as a trusted global partner in software development to explore the Dedicated Team Model in depth. As a company specializing in providing high-quality Dedicated Development Teams, ISB Vietnam has helped businesses worldwide scale their development capabilities efficiently. We will examine why companies choose this model, its key benefits and challenges, how to implement it successfully, and the factors that drive its success.

 

What Is the Dedicated Team Model?

The Dedicated Team Model is a software development model whereby a company contracts an outside development team for its own project on an exclusive basis. It differs from traditional outsourcing since it builds a close, long-term collaborative relationship between the client and the external team of developers.

With the Dedicated Team Model, companies have the ability to establish a team of specialists with required skills instantaneously. Since the entire team is dedicated solely to the client, it works just like an in-house team.

The overall benefit of this model is that they release the client from dealing with all administrative and HR work because that is managed by the service provider. The client therefore is free from the some tasks of recruitment, payroll processing, and management. Companies enable themselves to hire a large force in no time, and scale without added operational burden.

 

What Is a Dedicated Development Team?

A Dedicated Development Team is a group of experts formed under the Dedicated Team Model. It is made up primarily of specialized software developers that operate exclusively on a project of the client company.

"Dedicated" means the team only works for that client project and does not have any other external projects to handle, assuring the team's full commitment to and alignment with the client's objectives.

A dedicated development team normally works from the service provider office while doing remote collaborations with the client. Hence, any communication or coordination that is to be carried out in the project can be done remotely.

 

Why Companies Choose a Dedicated Development Team

 

The IT Talent Shortage

With digital transformation (DX) expanding to industries, IT has become the part of almost every business. Also digital services from cloud computing to mobile apps have become an integral part of daily life. Along with this, the need for skilled software developers worldwide has been growing continuously, making it difficult for organizations to acquire the best experts. As such, many companies are choosing external Dedicated Development Teams to overcome the talent deficit.

 

Rising IT Labor Costs

The shortage of IT talent has driven salaries for software developers higher, particularly in developed countries. In order to maintain costs within bounds, most companies are setting up Dedicated Development Teams in offshore areas such as Southeast Asia and Eastern Europe, where IT talent is abundant and labor costs are relatively low.
Offshore development is explained in detail in the following articles, so please take a look at these article as well.

Onshore vs. Offshore: Definition, Differences, and Key Considerations

Pros and Cons of Onshore and Offshore Development: Choosing the Right Model for Your Business Growth

 

The Growing Importance of Scalability

Since technology and demands from the marketplace change rapidly, companies must scale their development abilities at a fast rate. Using a Dedicated Development Team, companies can rapidly expand team size as per project demands, leading to accelerated development time cycles and business agility.

 

Access to High-Level Technical Expertise

The evolution of IT technologies has accelerated, making it more difficult to hire IT experts. A Dedicated Development Team allows companies to access to global talent pool and secure professionals with specialized technical skills tailored to their needs.

 

The Rise of Remote Work

The spread of remote work removed geographical limitations and became more comfortable to work with seasoned software developers worldwide. Remote work is now a standard for software development, and contemporary communication means greatly reduced the challenges of remote cooperation. As a result, more companies are leveraging Dedicated Development Teams as a practical and effective solution for software development.

 

Benefits of a Dedicated Development Team

 

 

Cost Optimization

Compared to full-time hiring, a Dedicated Development Team diminishes salary expenses, management cost, and training cost but nevertheless hires top talent software developers. It also allows companies to adjust the team as needed to meet project needs, eliminating unnecessary costs.

 

Flexible Scalability

The Dedicated Development Team's size and skill set can be modified during the course of the project. Companies can increase their developer team when additional resources are needed and decrease it when moving to the maintenance phase, allowing for effective resource utilization.

 

Easier Access to High-Level IT Specialists

Different Dedicated Development Team providers have expertise in various fields. By selecting a provider that specializes in a particular technology, companies can secure highly skilled software developers who are difficult to hire locally.

 

Faster Time to Market

By rapidly setting up a Dedicated Development Team, companies can significantly reduce the time required to start and operate projects. Faster development cycles improve competitiveness and enable quicker response to market demands.

 

Flexibility to Changing Requirements

Dedicated Development Teams are appropriate for projects that have unclear or fluctuating requirements because the development can proceed while changing requirements in parallel. This kind of flexibility allows companies to launch projects without finalizing all the specifications, and agile development and iterative updates become more effective.

 

Challenges and Limitations of a Dedicated Development Team

 

Limited Benefits for Short-Term Projects

Since a Dedicated Development Team operates as an external team, it takes time to familiarize itself with the client’s workflows, processes, and company culture etc. As a result, productivity and quality improve over time, making this model more beneficial for long-term projects.

 

Communication Challenges

Many companies build Dedicated Development Teams in offshore locations due to cost-efficiency and abundant IT talent. However, geographical distances, time zone differences, and cultural and language barriers can pose communication challenges.

To mitigate these issues, companies should increase the frequency of meeting, establish structured communication workflows, and use modern collaboration tools to ensure seamless interaction between the client and the development team.

 

Implementation Process and Best Practices for a Successful Dedicated Development Team

 

 

 

1. Defining Business Goals and Requirements

Companies need to determine clearly the purpose of the business, technologies needed, project extent, and timeline for development before implementing a Dedicated Development Team. With a proper plan, choosing the right partner company and the right members for the team will be easy.

 

2. Selecting the Right Development Partner

When choosing a Dedicated Development Team provider, companies have to pay attention to team size, specialization, past experience, and security procedures. Having the opportunity to interview important staff members, such as project managers and lead engineers, is also advisable to learn if they have the required skills and experience and are a good cultural fit. Since this is a long-term cooperation, the main thing is selecting a quality and trustworthy partner.

 

3. Team Building and Onboarding

Once the right partner company has been selected, the team should be formed based on project requirements and company culture. To be able to leverage the team's efficacy, organizations should offer clearly defined development workflows, documentation protocols, meeting styles, and communication tools.

During the initial phase, improving the quality and quantity of communication between the client and the team can allow a smooth collaboration. Additionally, exchanging knowledge regarding the business goals, user demands, and market targets will allow the team to come up with solutions based on company needs.

For Dedicated Development Teams that are offshore, visiting the provider's site when setting up the team and communicating directly with team members can greatly enhance communication and collaboration.

 

4. Development Kickoff and Continuous Improvement

After the team has been formed, continuous improvement in development and communication needs to be prioritized in order to realize maximum long-term benefits. Agile and Scrum methodologies are usually utilized in Dedicated Development Teams to facilitate iterative improvement and more effective team relationships.

Although the team operates in a different location than companies, treating them as an integral part of the internal team promotes trust and has a positive impact on the project. Regular onsite visits and open communication with the team can be wonders in offshore teams as well and enhance collaboration.

 

Conclusion

The Dedicated Development Team Model has emerged as a highly effective approach for companies seeking scalability, cost optimization, and access to top-tier software engineering talent. By leveraging this model, companies can enhance development efficiency, accelerate project timelines, and maintain a flexible approach to evolving business needs.

For more than 20 years, ISB Vietnam has been a pioneer in providing Dedicated Development Teams to companies around the world. Backed by an exceptional team of experienced IT specialists, we hold diverse sets of technologies and sectors, ensuring our customers the professionalism they require for their particular project.

We take pride in delivering solutions that ensure the highest quality and security levels, enabling companies to achieve their business and development goals with confidence. We have the right talent required to build your ideal Dedicated Development Team.

If you are considering implementing a Dedicated Development Team, we encourage you to contact us. Our experienced consultants are ready to help you create a tailored solution that meets your business objectives.