What does your organization need in order to build a successful strategy to manage a contingent workforce? In this article, we explore how to build a successful contingent workforce strategy.
Many organizations continue to manage their expanding contingent workforce using manual spreadsheets, internal databases, or platforms similar to Share-Point. Unfortunately, these approaches are ineffective and often result in a lack of visibility into the overall contingent workforce management program, including limited insight into vendor performance and program spending.
This can lead to uncontrolled spending within your contingent workforce program, inconsistent hiring practices across your organization, varying vendor standards, poor staffing agency selections, inefficient processes, and the placement of low-quality workers within your business.
How to Develop a successful Contingent Workforce Management Strategy
Developing an effective contingent hiring strategy that guarantees your organization collaborates with suitable staffing agencies and recruits the appropriate contingent workers to fulfill your workforce needs can be challenging.
However, by implementing the right processes, management technologies, and KPIs, you can transform contingent workforce management into a streamlined program that aligns seamlessly with your company’s growth strategy.
The Essential Components of a Contingent Workforce Strategy
Business Objectives:
The overarching business objectives that your business is expecting to achieve through the use of contingent workers.
Defining Deliverables:
Deliverables that your staffing agencies must achieve.
Current Spend:
A clear understanding of current organizational spend.
Defined Key Performance Metrics (KPIs):
A defined set of KPIs to measure staffing vendor performance.
Centralized Platform:
A centralized platform to store vendor and contingent workforce data.
Performance Reviews:
Frequent reviews of your contingent workforce management program’s effectiveness.
Implementing a Vendor Management System
The most crucial step is implementing a vendor management system (VMS) to enhance the management and centralization of your entire contingent workforce program. This can lead to substantial soft and hard savings for your business.
How a Vendor Management System will Improve your Contingent Workforce Program
A VMS is a powerful cloud and web-based software solution that enables your company to automate and centralize your entire non-employee workforce data, including the staffing agencies you partner with, in one easy-to-use platform.
A vendor management system allows your business to manage the entire non-employee hiring and management process, from engaging a staffing agency, sourcing temps and independent contractors, onboarding non-employee workers, time entry, approval, invoicing and much more!
Here are just a few of the ways in which the use of a VMS will help your business to build a successful contingent workforce management strategy:
A VMS will Create a central records of vendors and contracts
To truly understand how your staffing agencies are providing your organization with ROI, it’s crucial that you consolidate your vendors as well as all other data associated with your non-employee workforce.
A VMS will consolidate all vendors and transactions into one easy-to-view location, giving you clear insight into how much you are spending on your program and how your vendors are performing. Creating a central record of vendors and contracts will ensure your business is able to minimize vendor risk and rogue spend.
A VMS will Automate time-consuming processes
Want to remove costly human errors from your contingent workforce management processes, as well as access soft savings by significantly improving how efficient your hiring managers work?
A vendor management system automates the entire vendor process associated with your non-employee workforce. That includes every step from sourcing, onboarding, analyzing vendor performance, payments and many other processes. This both saves your hiring managers time, and ensures the data in your system is accurate and up-to-date.
A VMS will Assess vendor spend
Hidden and indirect spend can dramatically drive up costs across your business and reduce how effective your non-employee management program is. A vendor management system will give you clear insight into how much you are spending on staffing agencies. You can then use this data to adjust vendor spend accordingly, ensuring your business is accessing the workforce quality it’s paying for.
A VMS will centralize your data to measure vendor performance
Since a VMS centralizes all of your staffing agency data into one platform, you can easily monitor and track staffing agency performance across your entire organization.
This complete visibility into vendor performance gives your organization the ability to analyze vendor performance metrics and data, ensuring the staffing agencies you use are helping your business to meet its workforce targets and overarching business goals.
About Conexis VMS
Conexis is an award-winning Vendor Management System built for organizations that want the power of enterprise software without the complexity or cost.
Leveraging the latest technology, Conexis delivers the expertise, reliability and security of enterprise systems, while offering the flexibility, user friendliness and tailored, personal service you require. Learn more about our Company and why organizations Choose Conexis VMS.
Why Leading Companies Choose Conexis VMS
Conexis VMS is purpose-built for organizations seeking to manage their contingent labor spend effectively. Here’s why we're the right choice:
- Our Advanced Technology: We have the most modern and advanced VMS tech stack available today starting with the latest codebase and extending to our lightning-fast AWS microservice
- Fast Deployment: Get up and running in weeks, not months
- Transparent Pricing: Flexible pricing with no hidden costs and no set-up fees
- White-Label Ready: Customize the platform with your brand
- Real-Time Insights: Make faster decisions with built-in analytics
- Audit-Ready Compliance: Store contracts, worker data, and rates in one secure hub
- Open APIs - Effortless Integrations: Connect Conexis VMS to your ATS, HRIS, Finance, or BI systems in record time. Enjoy seamless data flow and instant visibility across all your tools
Looking to Switch Your VMS or Just Getting Started?
Whether you are looking to switch your VMS, or just getting started, we are here to help. Contact Us for a Free No-Obligation Consultation, See how Easy Conexis is to use by taking a quick 2 minute Self-Guided Online Demo, or Book a Personal Demo Today!
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