How to Choose the Right Staffing Agency for Your Contingent Workforce Program

A key partner in your contingent workforce program is your staffing agency. Staffing agencies can help you tap into skilled contingent workers, overcome industry talent shortages, establish adaptable workforces, and cut costs. Let's look at the five key tips when choosing the right staffing agency for your company's contingent workforce needs.

Entrusting your staffing needs to an external partner can be a pivotal decision. The quality of your company is intricately tied to its workforce, making it essential to select a staffing agency capable of placing the right contingent workers in the appropriate roles, at the precise time and cost. This underscores the importance of taking proactive measures to understand the services and value your chosen staffing agency will deliver.

5 Key Tips to help you Choose the Right Staffing Agency

Wondering how to assess staffing agencies and select the perfect fit for your business's specific staffing needs? Here are the top 5 key tips to help you choose the right staffing agency for your contingent workforce needs:

1- Begin by outlining your staffing needs

The initial step in selecting the ideal staffing agency is to internally outline your company's requirements for non-employee staffing. Do you require short-term assistance to adjust to fluctuating seasonal demands? Are you seeking specific expertise or skills to ensure project completion on time?

It is crucial to communicate your staffing needs clearly to the agency in order to properly evaluate how they align with your business and how effectively they can work with your company.

2- Is the staffing agency experienced in your industry?

Any staffing agency that you choose to work with should have experience working in your company’s specific industry. This will ensure the staffing agency has a better understanding of what your business needs to fulfill its workforce targets, as well as having better access to talented and experienced contingent workers.

Staffing agencies should be able to provide referrals to companies that ask. Contacting these referrals will give you some first-hand insights and opinions from businesses that have previously worked with the vendor - although keep in mind that agencies will only ever provide you with referrals who were happy with their service, not the ones that weren’t.

3- What expenses are factored into their bill rate?

The markups charged by staffing agencies can vary significantly, so it's crucial for your business to grasp the precise costs included in the stated bill rate before entering into a partnership. Take the time to understand the breakdown of how much of the bill rate goes to the worker, the portion allocated for government fees, and the percentage retained by the agency.

4- What is the vendor's response time?

A key factor driving businesses to utilize contingent workers is the need for agile workforces that can swiftly adjust to fluctuating demands. It is crucial to partner with a staffing agency that prioritizes rapid response times, ensuring they can address your inquiries within hours, not days. Choose a vendor that is highly responsive and adaptable to meet your business needs effectively.

5- Ensure effective management of the staffing agencies you select by utilizing a Vendor Management System (VMS).

Once you have identified the agencies to fulfill your non-employee staffing needs, it is essential to track and analyze their performance. Avoid inefficient manual methods like spreadsheets or in-house databases, and opt for a VMS to streamline and centralize your vendor management. This approach will enable you to monitor and evaluate vendor performance against key metrics such as time-to-fill and turnover, ensuring they align with your contingent workforce goals and budgetary constraints.

Learn more about the Benefits of a VMS

Download a copy of our free VMS Buyers Guide - it includes everything to know about a VMS and a checklist of all the questions you should ask a VMS provider.

Additional Reading on Managing Staffing Agencies

Managing Staffing Agencies with a VMS | Everything You Need to Know

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!