We all know the benefits that come with contingent workers - from greater business flexibility, better access to hot skills, lower workforce costs and filling the skills gap - but when this workforce isn’t managed properly, these benefits aren’t optimized.
Managing your staffing agencies comes with hundreds of data points, and can be challenging if you are using manual spreadsheets to store your data and keep track of your processes. Manually entering this data into spreadsheets is simply both ineffective and inefficient, and leads to fragmented processes and divided data across your organization.
The result? Your business will have no real visibility into staffing agency performance and hiring managers will have no idea what rates to pay agencies for workers. This all leads to rogue spend across your contingent workforce and poor staffing agency relationship decisions.
To regain control, it’s crucial that your organization consolidates all staffing agency information in one platform.
Before we get into the benefits of consolidating your vendors in one centralized location, let’s first take a quick recap of what vendor management is and why it’s such an important aspect of your contingent workforce ROI.
What is Vendor Management?
Vendor management is the process that organizations use to manage their suppliers, which in the case of a contingent workforce is their staffing agencies.
This process includes every step in the management of those agencies, from selecting which vendors to work with, negotiating contracts, onboarding, setting standardized rates for contingent workers, reducing vendor-related risks, monitoring staffing agency performance, offboarding and so much more.
Vendor management is crucial to the ROI of your contingent workforce, no matter how small or large you spend. Successful vendor management leads to soft and hard savings, improved vendor performance visibility, internal efficiency gains and more insightful workforce data.
Yet to see these benefits, it’s crucial that your business moves away from the fragmented processes and data that comes from spreadsheets, and instead focuses on vendor consolidation.
How to Consolidate your Staffing Agencies
To truly consolidate your staffing agencies into one location, it’s crucial your organization uses a vendor management system (VMS). A VMS will automate and centralize your entire vendor management process into one software platform.
By consolidating your staffing agencies in one centralized location, your business will be able to seamlessly monitor the performance of your vendors; gain clear visibility and control over vendor relationships and risks; standardized pay rates across all of your hiring managers; as well as automate each process in the vendor relationship lifecycle.
The Benefits of Vendor Consolidation
Here are just a few of the top reasons how your company’s contingent workforce will benefit from vendor consolidation through a VMS:
Internal efficiencies from the automation of processes
By consolidating your staffing agencies through the use of a VMS, your team will be able to save significant hours through the automation of processes. A vendor management system will automate all of the processes associated with managing staffing agencies, from sourcing vendors, onboarding, time entry and approval, making payments, analyzing staffing agency performance and so much more. Use that time to refocus on the tasks that truly drive profitable growth for your business.
Complete visibility into your staffing agency data & performance
Managing your staffing agencies is virtually impossible when done manually. Spreadsheets get lost and resaved, data gets sent through email and never saved in one location and hiring managers go rogue and pay whatever rate they feel is appropriate. This means you have absolutely no idea how much your business is spending, and how your vendors are performing.
Final Thoughts
By using a VMS to consolidate your vendors and transactions in one location, you’ll have complete transparency of your contingent workforce spend, as well as complete visibility and control over the performance of your staffing agencies.
Additional Reading
Learn more about the Benefits of a VMS
Learn more about the benefits of a VMS and what to look for when choosing the best VMS for your organization. Download our Free VMS Buyer's Guide
The Conexis VMS Difference
Conexis VMS 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 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 and what makes Conexis VMS different.
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 - Built on the latest AWS microservices architecture and Open API
- Fast Implementation - Get up and running in under a month, free setup and training included
- Fully Branded White-Label VMS - Your Logo. Your Domain. Your Branded Communication
- Flexible Pricing - No setup fees, with free implementation, training and account management
- Personal Attention - Experienced senior account management from implementation onward
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