Are you tired of managing your staffing agencies and contingent workforce on manual spreadsheets, and then dealing with the consequences of poor workforce quality, rogue costs and fragmented processes among hiring managers?
Then why not consider the use of a vendor management system (VMS)? In fact, VMS software is the only real way to gain control of your non-employee workforce so that you can reduce costs, improve worker quality and drive business growth.
But what exactly is VMS software and why do you need it? In this blog we’re going to take a look at what a VMS solution is, how your business will benefit from a VMS implementation, as well as VMS pricing. If you’re looking for a VMS but don’t know where to start, we hope this blog can help you out.
What is VMS software?
VMS software, more formally known as vendor management software, is an internet-enabled platform that acts as a mechanism for your business to manage and procure contingent workers and staffing agency services.
The use of VMS software allows your organization to manage and procure contingent workers and manage your staffing agencies, and, in some cases, permanent employees sourced through a staffing agency.
VMS software enables your business to manage procurement initiatives, measure vendor performance, onboard contingent and contract workers, track payments and a range of other processes related to your contingent workforce.
What are the benefits of using VMS software?
By using a VMS system to consolidate all vendor information into one centralized location, your business will realize a broad range of benefits. Here are some of the key benefits.
✔️ Gain complete visibility of your contingent workforce: A VMS system gives you complete visibility and control over your contingent workforce program. You’ll know where you're spending money, how your vendors are performing, how you are classifying workers and where you can make changes to optimize your entire contingent workforce program.
✔️ Improved efficiencies: Move away from manual, time-consuming and simply ineffective spreadsheets to an automated platform that improves ROI. VMS software automates processes such as sourcing, onboarding, time entry and approval, payments and many other tasks so you can focus on the core competencies that drive true business growth.
✔️ Classify your workers correctly: Avoid hefty fines and legal costs by classifying your non-employee workers correctly. A VMS solution gives you the tools you need to properly document your non-permanent workforce correctly, ensuring they aren’t wrongly classified as full-time employees.
✔️ Gain control of contingent workforce spend: Rogue spend is a common challenge for companies managing staffing agencies and hiring contingent workers. A VMS system brings your entire company on board with one approach, making sure hiring managers are paying standardized rates to staffing agencies when sourcing nontraditional workers.
How much does VMS software cost?
Traditional vendor management software is expensive to implement and maintain. They are typically created with huge functionalities for large enterprise organizations and are priced based on a percentage of a company’s contingent workforce spend.
That means typical VMS providers charge a percentage of every dollar that processes through the system. Those costs can quickly add up, and have a serious impact on the ROI you realize from using a VMS system.
Conexis VMS has changed that with its VMS software that uses a more traditional software licence model. Our software as a service (SaaS) model means we’re the very first vendor management system designed with no minimum spend requirements.
Want to learn more about VMS software pricing? Read our blog, How much Does a Vendor Management System (VMS) Cost?, where we answer all your VMS pricing questions.
How long does VMS software take to implement?
If you’re experiencing a visible bleed in your contingent workforce program and the management of your staffing agencies, then it’s likely your organization will want to implement a VMS system into your business as soon as possible.
VMS software implementation can be easy or it can be complex. It all depends what functionalities you need, what integration you require and which provider you decide to partner with.
Here at Conexis VMS, we’ve built a VMS software solution that’s simplified. We’ve removed the complex functionalities and features of more expensive VMS providers and only included the components that you truly need.
That means we’re able to implement our VMS system into your organization in as little as 48 hours.
Interested in learning more about VMS systems? Get in touch with Conexis VMS today. We would love to talk to you about our innovative technology and how it can help alleviate challenges within your nontraditional workforce.