Expand your team or outsource a project
After a refreshment in the memory of the book by Tom DeMarco "Deadline" they sat down to simulate such cases. We have 5 programmers and a few projects that need to be done urgently. We don’t have time to do it on our own. What should we do - recruit new ones or donate excess work to outsourcing?
We have a team of 5 developers.
We model two cases:
Under the cut, we estimate the increase in cost and performance in six months and a year for both cases.
We take into account that the introduction of new people in the course of business will take 6 weeks, and at the same time their productivity will grow from 50% to 100%, plus they distract old team members. That is, we get a hole in performance. After they work together, we take the accumulating performance factor of 1.01. That is, the team effect will affect from week to week by 1%. We also consider spending time on communication in teams: the more people there are, the more time is spent.
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In the case of attracting remote developers, we take into account that from our side it will be necessary to spend an additional 35 hours a week for consultations, SCRUM rallies, demonstrations, code-review. And also the delay of the start of work for 4 weeks for the preparation of TK and other documentation, understandable to strangers, was taken into account.
The cost of full-time programmers will be taken at the rate of $ 15 / hour, and remote ones - $ 25 / hour
The conclusion we have made from this is as follows: freelancers in the short term will help speed up development. And in six months from the start of the project, they will do 13% more work than an extended own team. However, it will cost a lot. And if the projects for a year or more, it is cheaper to expand your own team.
When expanding their staff, the resulting “pit” in productivity is compensated in about half a year - that is, new employees will begin to pay for themselves.
Of course, all the figures vary and depend on many factors. So try it yourself to make a tablet in Excel, and I will be grateful if you share your observations!
Initial data
We have a team of 5 developers.
We model two cases:
- We recruit 3 new developers to our state;
- Contact a freelance team of 3 people.
Under the cut, we estimate the increase in cost and performance in six months and a year for both cases.
We take into account that the introduction of new people in the course of business will take 6 weeks, and at the same time their productivity will grow from 50% to 100%, plus they distract old team members. That is, we get a hole in performance. After they work together, we take the accumulating performance factor of 1.01. That is, the team effect will affect from week to week by 1%. We also consider spending time on communication in teams: the more people there are, the more time is spent.
')
In the case of attracting remote developers, we take into account that from our side it will be necessary to spend an additional 35 hours a week for consultations, SCRUM rallies, demonstrations, code-review. And also the delay of the start of work for 4 weeks for the preparation of TK and other documentation, understandable to strangers, was taken into account.
The cost of full-time programmers will be taken at the rate of $ 15 / hour, and remote ones - $ 25 / hour
Result
| Result in 6 months | Result after 1 year | |
|---|---|---|
| +3 developers per staff | ||
| Development cost | + 60% | + 60% |
| Completed work | + 12% | + 22% |
| +3 developers at outsourcing | ||
| Development cost | + 85% | + 92% |
| Completed work | + 25% | + 29% |
The conclusion we have made from this is as follows: freelancers in the short term will help speed up development. And in six months from the start of the project, they will do 13% more work than an extended own team. However, it will cost a lot. And if the projects for a year or more, it is cheaper to expand your own team.
When expanding their staff, the resulting “pit” in productivity is compensated in about half a year - that is, new employees will begin to pay for themselves.
Of course, all the figures vary and depend on many factors. So try it yourself to make a tablet in Excel, and I will be grateful if you share your observations!
Source: https://habr.com/ru/post/111776/
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