---
title: How Does Staffing Agency Vendor Management Software Work?
description: Here’s how the functionality of staffing agency vendor management software works and how it can help your business.
image: https://www.conexisvmssoftware.com/hubfs/staffing-agency-revenue-growth-vms-1200-627-40.jpg
---

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          - [How to Choose the Best VMS](https://www.conexisvmssoftware.com/how-to-choose-the-best-vendor-management-system-vms)
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          - [Changing Your VMS Provider](https://www.conexisvmssoftware.com/how-to-switch-vendor-management-system-vms)
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          - [What is a White-Label VMS?](https://www.conexisvmssoftware.com/white-label-vms)
          - [Mid-Market VMS](https://www.conexisvmssoftware.com/vendor-management-system-vms-for-mid-market-contingent-workforce)
          - [VMS 101: How a VMS Reduces Costs](https://www.conexisvmssoftware.com/vendor-management-system-vms-cost-savings-)
          - [VMS 101: How a VMS Reduces Risk](https://www.conexisvmssoftware.com/vendor-management-system-risk-reduction)
          - [VMS 101: How a VMS Increases Workforce Visibility](https://www.conexisvmssoftware.com/contingent-workforce-visibility-vms)
          - [VMS 101: How a VMS Improves Hiring](https://www.conexisvmssoftware.com/improve-contingent-workforce-hiring-performance)
          - [VMS 101: How a VMS Improves Operational Efficiency](https://www.conexisvmssoftware.com/increasing-operational-efficiency-vms)
          - [VMS 101: How a VMS Improves Time-to-Fill](https://www.conexisvmssoftware.com/vms-improves-time-to-fill)
          - [Contingent Workforce Management | Guide](https://www.conexisvmssoftware.com/contingent-workforce-vms)
          - [VMS for Staffing Agencies | Guide](https://www.conexisvmssoftware.com/vms-staffing-agencies-guide)
          - [Managing Vendors | Guide](https://www.conexisvmssoftware.com/what-is-vendor-management)
          - [Managing Staffing Agencies | Guide](https://www.conexisvmssoftware.com/managing-staffing-agencies-with-a-vms-guide)
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          - [Grow Your Staffing Agency Revenue Guide](https://www.conexisvmssoftware.com/blog/how-to-grow-staffing-agency-revenue-with-vendor-management-system)
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25 April 2023

# How Does Staffing Agency Vendor Management Software Work?

[![Wayne Burgess](https://www.conexisvmssoftware.com/hs-fs/hubfs/Wayne100.png?width=30&height=30&name=Wayne100.png) Wayne Burgess](https://www.conexisvmssoftware.com/blog/author/wayne-burgess)

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Managing a contingent workforce can be a daunting task for any business. The recruitment process of hiring contingent workers through staffing agencies can be complex and time-consuming.  In this article, we'll explore how Staffing Agency Vendor Management Software for contingent workforce works and the benefits businesses can realize when they implement a VMS. 

## The Benefits of a Staffing Vendor Management System Software

A vendor management system (VMS) can simplify the process and improve internal efficiencies - enabling organizations to build a highly-strategic contingent workforce program in-house. 

Benefits of using a vendor management system include:

### **✔️ Improved Visibility and Control**

VMS staffing software for contingent workforce provides businesses with real-time data on their contingent workforce. This includes information on vendor performance, candidate pipelines, and workforce spend. This improves visibility and control over the contingent workforce, making it easier to manage and standardize processes across all hiring managers. 

### **✔️ Increased Efficiency and Cost Savings**

By automating the recruitment process, VMS staffing software for contingent workforce reduces administrative burden and saves time for your procurement and HR teams. This results in cost savings for the business. The software also provides a centralized platform to manage vendor relationships, reducing the risk of non-compliance and fines.

### **✔️ The Consolidation of Vendors in One Location**

To source and engage temporary workers, your organization relies on hundreds of vendors and thousands of transactions. By consolidating these vendors and transactions in one location, you will be able to make sure that you aren’t overpaying, and you’ll be able to track vendor performance through insightful analytics. 

### **✔️ Better Compliance and Risk Management**

Compliance and risk management are important considerations when managing a contingent workforce. VMS staffing software for contingent workforce ensures compliance with regulations and provides tools to monitor vendor performance. This reduces the risk of non-compliance and fraud.

## How Does Staffing Agency Vendor Management Software Work?

A vendor management system manages the entire procure-to-pay lifecycle of contingent workers, and even permanent employees, that are procured via a third-party staffing agency. 

By centralizing all non-employee workforce data in one location, your organizations can make it easy to access and automate contingent workforce data - enabling you to build a highly-strategic contingent workforce management program. 

Here are some of the processes that a VMS can help your team with:

### **1 - Request, Screen and Choose Contingent Workers**

A vendor management system allows buyers to create, approve and post requisitions to staffing agencies, allowing the agencies to submit candidates. The buyer can then screen and accept after any screening or interviews take place - if required. A VMS will then enable the completion of a contract complete with PO's, business units, cost centers and GL codes. 

### **2 - Worker Onboarding and Offboarding **

Once a worker is selected by the organization, the VMS enables and monitors the completion of all onboarding steps including background checks, any buyer training required, along with the issuance of security and technology access. Once the arrangement with the contingent worker is complete, the VMS will enable all offboarding procedures. 

### **3 - Time and Expense Tracking**

VMS staffing software for contingent workforce provides time and expense tracking features. This allows workers to go online and enter time cards, and for managers to review and approve/reject time or expense submissions. This enables the business to easily track billable hours and expenses for their contingent workers. The software provides tools for approval workflows and automated invoicing, reducing the administrative burden on the business.

### **4 - Automated Compliance Checks**

VMS staffing software for contingent workforce can also automate compliance checks, ensuring that contingent workers are authorized to work and have the necessary certifications and licenses. This reduces the risk of non-compliance and penalties for the business.

### **5 - Integration With Other Systems**

Many VMS staffing software platforms offer integration with other systems, such as applicant tracking systems (ATS) and human resource information systems (HRIS). This streamlines the recruitment process and ensures that data is accurate and up-to-date across all systems.

### **6 - Vendor Management **

Vendor management is an important aspect of managing a contingent workforce. VMS staffing software provides a centralized platform to manage relationships with staffing vendors. It allows businesses to negotiate contracts, monitor vendor performance and ensure compliance with regulations.

### **7 - Vendor Reporting **

A VMS should have a set of standard reports, as well as give buyers the ability to create custom reporting including spend, time details in addition to KPI's like time to fill, turnover and cost savings, to name a few. These give the organization insight into how their staffing agencies are performing and how they continually improve their contingent workforce program to improve talent acquisition and cost savings moving forward. 

## Additional Reading

[VMS For Staffing Agencies](https://www.conexisvmssoftware.com/vms-staffing-agencies-guide) | [Managing Staffing Agencies with a VMS](https://www.conexisvmssoftware.com/managing-staffing-agencies-with-a-vms-guide)

- <https://www.conexisvmssoftware.com/blog/how-to-choose-a-staffing-agency-for-your-companys-contingent-workforce-needs>[The Benefits of a Vendor Management System](https://www.conexisvmssoftware.com/benefits-of-vendor-management-system)
- [Staffing Agency Software: 4 Things You Need to Know](https://www.conexisvmssoftware.com/blog/what-are-the-top-benefits-of-a-vms-vendor-management-software)
- [5 Ways a VMS Reduces Staffing Costs with Smarter Rate Card Management](https://www.conexisvmssoftware.com/blog/how-a-vms-reduces-staffing-costs-with-smarter-rate-card-management)
- [How a VMS helps Manage Staffing Vendors more Effectively](https://www.conexisvmssoftware.com/blog/how-a-vms-helps-you-manage-staffing-vendors-effectively)
- [How a VMS helps Measure Staffing Agency Performance](https://www.conexisvmssoftware.com/blog/measure-staffing-agency-vendor-performance-with-a-vms)
- [4 Key Benefits of Managing Staffing Agencies with a VMS](https://www.conexisvmssoftware.com/blog/vms-the-simplest-way-to-manage-your-staffing-agencies)
- [What Key VMS Features do you really Need to Manage a Staffing Agency?](https://www.conexisvmssoftware.com/blog/how-to-identify-the-staffing-vms-bells-and-whistles-you-actually-need)

## The Conexis VMS Difference

Conexis VMS is an [award-winning](https://www.conexisvmssoftware.com/conexis-vms-awards-and-recognition) vendor management system built for organizations that want the power of enterprise software without the complexity or cost.

Leveraging the latest technology, Conexis VMS 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](https://www.conexisvmssoftware.com/company) and what makes [Conexis VMS different](https://www.conexisvmssoftware.com/best-vendor-management-system-conexis).

## Discover the Power of Conexis VMS

Conexis VMS is trusted by staffing agencies, MSPs and leading organizations to modernize and manage their contingent workforce programs. Here's why organizations choose Conexis VMS:

- [Modern VMS Technology](https://www.conexisvmssoftware.com/best-vendor-management-system-conexis) - Built on the latest AWS microservices architecture and Open API
- [Fast Implementation](https://www.conexisvmssoftware.com/blog/how-do-they-do-it-how-conexis-launches-a-vms-in-weeks-not-months) - Get up and running in under a month, free setup and training included
- [Fully Branded White-Label VMS](https://www.conexisvmssoftware.com/blog/how-do-they-do-it-how-conexis-delivers-fully-branded-white-label-vms) - Your Logo. Your Domain. Your Branded Communication
- [Flexible Pricing](https://www.conexisvmssoftware.com/pricing) - No setup fees, with free implementation, training and account management
- [Personal Attention](https://www.conexisvmssoftware.com/vms-nps-customer-satisfaction-adoption) - Experienced senior account management from implementation onward

## Switching Your VMS or Just Getting Started?

We work with teams at every stage, from first-time buyers to companies replacing outdated platforms that can't keep up. Either way, we'll show you what a modern VMS looks like, up and running in under 30 days. 

| [![Take a self-guided tour of Conexis VMS ](https://no-cache.hubspot.com/cta/default/7617376/6617fad0-9168-4a45-b474-c96a34628641.png)](https://cta-redirect.hubspot.com/cta/redirect/7617376/6617fad0-9168-4a45-b474-c96a34628641) | [![Book a private consultation with Conexis VMS](https://no-cache.hubspot.com/cta/default/7617376/838fcdf1-1e6b-4f38-94ca-546b5c3f500a.png)](https://cta-redirect.hubspot.com/cta/redirect/7617376/838fcdf1-1e6b-4f38-94ca-546b5c3f500a) | [![Book a Demo with Conexis VMS](https://no-cache.hubspot.com/cta/default/7617376/18db2c62-a34a-4454-8010-c1bfc7f5e559.png)](https://cta-redirect.hubspot.com/cta/redirect/7617376/18db2c62-a34a-4454-8010-c1bfc7f5e559) |
| --- | --- | --- |

 

[![What is a VMS | Benefits ](https://no-cache.hubspot.com/cta/default/7617376/fdcaacfe-f6d3-447c-ba77-05e0602f95e1.png)](https://cta-redirect.hubspot.com/cta/redirect/7617376/fdcaacfe-f6d3-447c-ba77-05e0602f95e1)  

![Wayne Burgess](https://www.conexisvmssoftware.com/hubfs/Wayne100.png)

#### Wayne Burgess

Wayne Burgess is the Co-Founder of Conexis VMS, a technology company focused on helping organizations get control of their Contingent Workforce.

### Popular posts

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## [How Do They Do It? How Conexis Delivers Fast VMS Open API Integrations](https://www.conexisvmssoftware.com/blog/how-do-they-do-it-how-conexis-vms-open-apis-make-vms-integration-fast)

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![How Do They Do It? How Conexis VMS Delivers a White-Label VMS](https://www.conexisvmssoftware.com/hubfs/1.%20MASTER%20MASTER%20Blog%20and%20Website%20Page%20IMAGES%202026/HOW%20DO%20THEY%20DO%20IT%20OPTIMIZED%201200/conexis-vms-white-label-vms-1200-627-60.jpg)

## [How Do They Do It? How Conexis VMS Delivers a White-Label VMS](https://www.conexisvmssoftware.com/blog/how-do-they-do-it-how-conexis-delivers-fully-branded-white-label-vms)

[![read more](https://www.conexisvmssoftware.com/hubfs/6M%20Files/read-more.svg)Read More](https://www.conexisvmssoftware.com/blog/how-do-they-do-it-how-conexis-delivers-fully-branded-white-label-vms) 24 June 2026

![How Do They Do It? How Conexis VMS Can Launch in Under 30 Days](https://www.conexisvmssoftware.com/hubfs/1.%20MASTER%20MASTER%20Blog%20and%20Website%20Page%20IMAGES%202026/HOW%20DO%20THEY%20DO%20IT%20OPTIMIZED%201200/conexis-vms-implementation-1200-627-59.jpg)

## [How Do They Do It? How Conexis VMS Can Launch in Under 30 Days](https://www.conexisvmssoftware.com/blog/how-do-they-do-it-how-conexis-launches-a-vms-in-weeks-not-months)

[![read more](https://www.conexisvmssoftware.com/hubfs/6M%20Files/read-more.svg)Read More](https://www.conexisvmssoftware.com/blog/how-do-they-do-it-how-conexis-launches-a-vms-in-weeks-not-months) 1 June 2026

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