The global staff augmentation market is booming.
Reports show that staff augmentation demand will experience a compound annual growth rate (CAGR) of 6.5% in the next five years.
Staff augmentation is an excellent way for small and medium-sized businesses (SMBs) and startups to navigate competitive markets. It offers growing businesses flexible and scalable solutions that address specific project needs.
As a business owner, partnering with staff augmentation service providers allows you to achieve your goals and fulfill project demands with precision at a lower cost.
However, you might be worried that staff augmentation’s smaller team sizes may harm your business’s efficiency and productivity.
You have nothing to worry about; we’ll explain why.
This blog post will prove why small teams are better for SMBs than big teams.
Staff Augmentation: Debunking the Myths About Small Teams and Their Impact on Businesses
Staff augmentation is a hiring strategy that speeds up the process for companies based on their current project needs. It often deals with specialized services, so there is minimal need for a larger team size. Generally, augmented staff comprises only a few professionals to support a business’ existing team.
If you’re cautious about whether smaller teams have more business advantages, don’t worry. This behavior is normal and likely due to the many misconceptions associated with smaller-sized teams.
Here are some of the most common myths about small teams:
Small Teams Can’t Innovate.
One of the biggest myths about small teams is that fewer team members equate to less innovation than a larger team.
While more team members can mean having more people to contribute ideas, a smaller team environment can promote more effective and efficient business performance.
A study from Harvard Business Review concluded that small teams are more capable of innovation than larger ones.
Think about it this way: aligning the whole team on new strategies and ideas gets more challenging as the number of members increases.
Small Teams Perform Poorly Due to Increased Workload.
A common misconception about smaller teams is that their heavier workloads lead to increased burnout and stress and, thus, poor performance.
While smaller teams mean members take on more tasks, engagement is a more significant performance factor. Larger teams tend to engage less than tight-knit groups, making them less connected to project outcomes.
On the other hand, small teams feel more ownership because each member has more responsibilities, which increases accountability.
Members with a heightened sense of accountability tend to be more motivated to produce better outcomes.
Small Teams Tend To Miscommunicate.
Another false assumption about small teams is that they tend to encounter more communication problems.
On the contrary, communication is more streamlined in small teams because fewer teammates are involved. Sharing information among members becomes more simplified when the team consists of only a few members.
Relaying critical details becomes more manageable and quicker, further improving collaboration. Furthermore, many communication technologies today enable remote teams to work more efficiently despite great distances.
4 Reasons Why Staff Augmentation (Small Teams) Are Better for SMBs and Startups
Here are four reasons why managing small teams through staff augmentation is an excellent idea for your small and medium-sized business:
1. Enhanced Communication
Effective communication is the foundation of a culture of accountability among team members.
Communicating with large teams is more demanding; often, information must be relayed to smaller groups first to ensure proper dissemination.
Meanwhile, maintaining transparency is straightforward with smaller-sized teams. It’s easier to talk to the members if it’s a small team; you only need to ensure you relay the necessary information clearly and concisely.
2. Higher Engagement and Motivation
Smaller groups tend to have better engagement levels than larger ones.
According to a Gallup report, companies with fewer members have higher engagement levels than larger companies. Teams with ten or fewer employees reported 42% engagement levels, while large teams only averaged 30%.
Small teams also enhance interactions between leaders and staff, with managers having more opportunities to build connections with team members. The contributions of members become more visible in a small team.
When direct interaction among team members (and managers) increases, so do their engagement levels.
3. Greater Flexibility and Agility
Today’s business landscape is more competitive than ever.
Business demands change constantly, so adaptability is paramount if you own or manage a growing company. Managing small teams gives you more flexibility and agility than large teams.
A smaller team structure means a higher demand for operational efficiency. Members can make decisions more quickly because they don’t have to wait for the approval of multiple leaders or executives, eliminating delays often linked with larger teams.
Furthermore, small teams tend to be more adaptable because their size requires members to handle a variety of responsibilities.
4. Stronger Team Cohesion and Trust
Strong teamwork and trust are vital to your organization’s success, and smaller teams can more easily develop these elements than larger teams.
With a smaller team size, team members tend to understand objectives better. This goal alignment makes each member more committed to achieving them. In addition, the minimized environment enables members to build rapport and foster a culture of mutual respect.
Small teams perform better than large ones because they have maximized team cohesion and trust. Keeping teams small and agile is a good practice for improving overall communication, adaptability, and efficiency.
Staff Augmentation: Small Teams for Your Complex Industry Needs
Does your growing startup need a specialized talent service to help you navigate today’s increasingly competitive business markets?
ClearSource’s brand-new Staff Augmentation service (Small Teams) leverages our expertise in providing exceptional outsourcing solutions to create specialized solutions designed to address the complex and ever-evolving challenges of SMBs.
Staff Augmentation lets you extend your existing teams with outsourced small teams. You’ll gain access to a global talent pool with specialized skills and extensive field expertise.
With Small Teams, you can quickly build a team of highly qualified professionals with minimal disruption and maximized rewards–all at just a fraction of the cost.
Find out how Staff Augmentation (Small Teams) can help drive long-term success for your startup or SMB. Contact one of our experts today!
