Mid-Market Contingent Workforce Program

What is a VMS?

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A Vendor Management System (VMS) provides a centralized platform for managing the entire vendor or supplier lifecycle, from initial onboarding to performance evaluation and payment processing. With a VMS in place, your staffing agency can efficiently track and manage vendor relationships, ensuring that you have access to the right talent at the right time.

Utilizing a VMS, you can simplify your operations and boost efficiency. In addition, you can effortlessly handle vendor contracts, monitor performance indicators, and maintain adherence to industry standards. A VMS automates numerous manual tasks, including vendor onboarding, time tracking, and billing, allowing your staff to dedicate more time to strategic projects that bring higher value to both your business and your clients.

Moreover, a VMS empowers you to achieve enhanced insight into your contingent workforce and vendor performance. The right system delivers real-time data and analytics, enabling you to make informed decisions and refine its vendor management strategies.

Benefits of a VMS

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A vendor management system has capabilities and functionalities that result in many benefits,

Through VMS implementation, businesses can ensure they have complete control and visibility over their contingent workforce, insights into staffing agency performance and standardize processes across the entire business. This all helps ensure significant ROI on the contingent workforce.

Here are just a few of the top business benefits a VMS can bring to your organization:

The ability to obtain measurable results and advanced analytics into workforce requirements and staffing agency performance.
Increased efficiency through the automation of processes.
Reduced costs, through more strategic workforce decisions, better staffing agency partnerships and improved internal processes.
Improved processes that ensure a company’s workforce remains compliant with employment laws and regulations.
Contingent workforce management standardization across the entire business, ensuring hiring managers pay staffing agencies predetermined rates and follow standardized processes.
A better vendor onboarding process for improved staffing agency partnerships.

Benefits of a VMS for Mid-Size Contingent Workforce Programs

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The use of vendor management software brings five key benefits to an organization managing a mid-size contingent workforce program:

Cost control: Vendor management software gives an organization the company-wide visibility into its contingent workforce program that it needs to control costs. Businesses can establish vendor rates for hiring managers to follow, as well as setting standardized pay rates for specific open positions.
Visibility: Vendor management software captures all contingent workforce data in one centralized system, dramatically improving the visibility that an organization has into its contingent workers and staffing agencies. This leads to better decision making in the future.
Improved workforce quality: By better managing staffing agencies, and gaining visibility into their performance, businesses can male decision that improve the quality of their contingent workforce and lead to improved metrics such as reduces time-to-fill, reduced turnover and reduced time-to-submit.
Process efficiencies: By automating processes such as requisitions, sourcing, onboarding, time entry and approval, invoicing, and payments, a vendor management system can dramatically improve how efficient a company’s contingent workforce processes are. This frees up HR and procurement teams to work on business-critical projects.
Better compliance: Vendor management software provides businesses with the platform they need to properly document their contingent workforce and classify their temporary workers and independent contractors correctly, so that they don’t fall foul of regulatory compliance requirements.

Tips on Choosing the Right VMS for Your Mid-Market Program

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Here are the top considerations when choosing a VMS:

1 - Comprehensive Skill Category Coverage

A common challenge for companies managing contingent labor is juggling multiple systems to handle different workforce segments. Whether you’re hiring highly skilled IT contractors, warehouse associates, or healthcare professionals, your Vendor Management System (VMS) should support all skill categories. This capability eliminates the need for separate systems for white-collar, blue-collar, or specialized workers.

Look for a VMS that streamlines the recruitment, management, and payment processes across all worker types. A unified system ensures consistency, reduces administrative overhead, and provides a complete view of your workforce, regardless of the roles you’re filling.

2 -Built-In RPO and Direct Sourcing Capabilities

Recruitment Process Outsourcing (RPO) and direct sourcing are becoming essential tools for contingent workforce programs. Many VMS platforms have started incorporating these capabilities, allowing companies to access pre-curated talent pools or directly source candidates.

The ability to source, hire, and pay the search fees related to your direct employee hires enables you to manage all staffing-supported needs via one system. Meanwhile, direct sourcing allows you to engage with workers who already have a relationship with your organization. This dual approach can reduce time-to-fill and costs while improving the quality of hires. Ensure your VMS provides seamless access to these features to stay competitive and efficient.

3 - End-to-End Req-to-Check Management

Managing the entire requisition-to-check process within one system is vital for program efficiency and compliance. A VMS should support every step, including requisition creation, candidate submission, interview scheduling, onboarding, time tracking, and invoicing.

This ensures no steps fall through the cracks and offers better control over the lifecycle of contingent workers. Additionally, having everything in one system reduces the risk of errors and increases visibility into crucial program metrics, helping you manage your contingent workforce program more effectively.

4 - Robust Reporting and Analytics

For contingent workforce programs of any size, data-driven decision-making is essential. A VMS with solid reporting and analytics capabilities can provide real-time insights into program performance, such as spend tracking, supplier performance, worker quality, and compliance.

Look for a system with customizable dashboards, automated reporting, and predictive analytics. These tools will help you identify trends, measure ROI, and make informed decisions to optimize your program. With robust analytics, you can gain opportunities for cost savings and efficiency improvements.

5 - Scalability and Ease of Use

While your program may be under $70M annually, your needs may grow over time. Choose a scalable and flexible VMS to accommodate future expansion without requiring an overhaul. At the same time, ensure the platform is user-friendly for program managers, hiring managers, and suppliers.

A simple, intuitive interface minimizes the learning curve, improves adoption rates, and ensures the platform is used to its full potential. Scalability and ease of use ensure your VMS can support your program's current and future needs without becoming a bottleneck.

Summary

Choosing the right VMS is a strategic decision that impacts your contingent workforce program’s efficiency, compliance, and scalability. By prioritizing a system with comprehensive skill category coverage, built-in RPO and direct sourcing, end-to-end req-to-check management, robust analytics, and scalability, companies with mid-market programs can unlock significant value and position their programs for success.

Assess your organization's unique needs and ensure the VMS you choose aligns with your current and future goals. A well-chosen VMS isn’t just a tool; it’s a partner in managing your workforce effectively.

Why Conexis is the VMS for your Mid-Market Program

With our award-winning user interface, Conexis was built to give staffing agencies like you a better way to manage your clients, jobs, timesheets and billings. Our experienced team will provide you with dedicated white-gloves service to help you get up and running smoothly and provide ongoing dedicated support.

Here are some of the reasons why mid-market organizations choose Conexis their VMS of choice:

1 - We're Easy-to-Use

Conexis utilizes UX Design Science to ensure we provide the easiest-to-use interface in the market.

A VMS' user interface must be clean, intuitive and allow users to do their work from the main dashboard. The more clicks and lack of intuitive design, the more user frustration increases, and productivity reduces. You shouldn’t need a VMS certification to do basic tasks. Many legacy enterprise systems are infamous for complex workflows, clunky interfaces, and endless menus. Conexis delivers:

Modern and easy-to-use dashboards: Everything you care about - open orders, pending approvals, critical alerts—is on one screen.
Streamlined processes: One-click rate approvals, interviews, bulk worker uploads, and guided timesheet approvals get you through daily tasks in minutes.
Mobile-first: Managers and workers can complete actions from any device—no desktop login required.

See how easy Conexis is to navigate and use with our quick two-minute Self-Guided Tour

2 - Our Cost: Affordable & Predictable

With the latest tech stack, you get the best VMS available at the lowest possible prices.

Mid-market budgets are tight, and surprises in your IT spend are the last thing you need. Rather than paying per-transaction fees or unpredictable development charges, you should look for a VMS that offers a fixed monthly license model, so your costs are not only affordable but also predictable. You should also look for a VMS that does not charge you for set-up and implementation. Be mindful that many enterprise legacy tools charge tens of thousands of dollars to their clients just for the right to start an implementation.

Conexis offers a fixed monthly license model and no-cost implementations.

There are no hidden extras: Your fee covers all core functionality -so no surprise invoice at quarter-end.
Scale without penalties: Whether you manage 50 workers or 5,000, your cost per worker lowers as volume increases.
Better ROI: Lower total cost of ownership means you start seeing value in weeks, not quarters.

3 - Open Access | Open API

Conexis easily integrates with any ATS (Applicant Tracking System).

Conexis has an industry leading Open API (Application Programming Interface).

This makes it fast, easy and cost effective to integrate with your ATS or any other system your business uses.

4 – Used For All Job Categories

Conexis is not just for IT roles.

With our work shift and geo-fenced timesheet app, Conexis can be used for every job categories: IT, Light Industrial, Warehouse & Logistics, Government, Consulting Firms, Call Center and Healthcare.

5 - Advanced Reporting & Analytics

No more being blindsided by client QBRs.

Conexis lets you see in real-time how well you deliver to all your clients and how each account performs financially. Build scorecards or use our open API to export and create your own reports.

6 - Client Experience & Customer Care

Our Customer Care isn't dependent on the size of your Contingent Workforce Program

We lead the VMS industry with a NPS Score of 71. Clients love Conexis. Our VMS is designed to be the easiest to use, and clients are supported with our dedicated customer "We Care" Team.

Most mid-market organizations simply don’t have a team of dedicated resources, trainers, and support engineers. You need a VMS partner that will be hands-on, responsive and providing you with not only the training you need to get up and running but also ongoing customer care. Conexis delivers:

Hands-on implementation: We map your processes, import your data, and tailor your setup so you only log in once it’s perfect.
Training & hyper-care: Live webinars, on-demand videos, and one-on-one coaching ensure your team is up to speed from day one.
Responsive helpdesk: Email or chat—our US-based product experts answer your questions in hours, not days.

Find out why NPS is important and why Conexis has an NPS of 71: The Importance of NPS in choosing a VMS.

7 - We offer White Label Capability

Grow your business with a white label VMS.

With a white-label VMS, you can grow your business faster, get stickier, and differentiate yourself in the market. Your branded VMS might just be the game-changer you’ve been waiting for.

8 – Free Set-Up and Onboarding

At Conexis VMS, we do all the onboarding and set-up for you.

And unlike other VMS systems, we don't charge for this service. Our goal is to help you get up and running fast so you can benefit from our VMS immediately!

9 - Fast Set-Up and Automatic Updates

We can have you up and running in as little as a few weeks - not months!

Mid-market companies need speed when implementing a new system. Resources are tight, you need projects completed in weeks, not months and months. There’s zero time for a complex, lengthy rollout. Conexis delivers:

Rapid deployment: Standard configurations and data-import wizards mean you can go from kickoff to production in as little as a few weeks.
Iterative onboarding: Begin with core functionality, then progressively enable advanced modules as needed. This helps you drive value immediately.
Continuous delivery: New features and updates flow in automatically; there’s no “version upgrade” downtime.

10 - We're Flexible

We can Change and Grow on Your Terms

Your headcount, skill requirements, and workflows shift on a dime. Your VMS needs to be flexible and be able to grow on your terms. Legacy enterprise VMS platforms are rigid as concrete - any tweak can take months of back-and-forth and hefty change orders. Conexis delivers:

Configurable workflows: Drag-and-drop requisition templates, custom approval chains, and dynamic rate cards mean you adapt instantly.
Modular features: Turn on (or off) modules—worker credentialing, timesheet approvals, direct sourcing—without code deployments.
API-first architecture: Plug into your HRIS, ERP, payroll, or BI tools through Open APIs and get live data pumping where you need it.

How Long Does It Take to Implement a VMS?

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In the past, implementing a VMS was often a complex and time-consuming endeavor, requiring extensive planning, integration, and customization. The sheer scale and complexity of enterprise-level VMS deployments could easily stretch the implementation timeline to six months or more. However, the landscape has changed significantly in recent years, thanks to the advancements in VMS technology.

Today's VMS solutions are designed with a focus on rapid deployment and user-friendly configuration. Many providers now offer turnkey packages that can be set up and configured in weeks rather than months. These turnkey solutions often include pre-integrated software, cloud-based hosting, and streamlined processes, reducing the need for extensive on-site infrastructure and IT support.

While the longer implementation timeline may have been a valid concern in the past, the modern VMS landscape has evolved significantly. With turnkey solutions, modular design, and streamlined integration capabilities, VMS implementation can now be completed in a few short weeks!

Step-by-Step Implementation Guide

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Implementing a VMS can streamline operations, improve compliance, and enhance vendor relationships. Follow this structured roadmap to ensure a smooth and successful transition.

Step 1: Assess Your Needs and Goals

Identify the key challenges you face in vendor and workforce management.
Define the objectives you want to achieve with a VMS (e.g., cost reduction, efficiency, compliance, reporting).
Gather input from recruiters, account managers, and finance teams to understand their pain points.

Step 2: Research and Select the Right VMS

Evaluate different VMS platforms based on your size, industry, and client needs.
Look for features such as automated billing, compliance tracking, real-time reporting, and integration with existing software (ATS, payroll, etc.).
Request demos and trial versions to compare usability and customization options.
Ensure the vendor provides strong customer support and training resources.

Step 3: Secure Buy-In from Stakeholders

Communicate the benefits of a VMS to recruiters, leadership, and clients.
Address concerns about implementation challenges and highlight long-term efficiency gains.
Involve key team members in the decision-making process to foster engagement.

Step 4: Plan the Implementation Timeline

Develop a phased rollout plan to minimize disruption to daily operations.
Assign roles and responsibilities to team members for overseeing data migration, training, and system testing.
Set realistic milestones for full adoption and integration.

Step 5: Migrate Data and Integrate with Existing Systems

If you have a current VMS, work with your VMS provider to transfer essential data, including vendor details, contracts, and payment records.
Ensure integration with existing software (e.g., ATS, payroll, CRM) for seamless operations.
Conduct data audits to verify accuracy before going live.

Step 6: Train Your Team and Vendors

Provide hands-on training sessions for recruiters, account managers, and back-office staff.
Offer vendor onboarding materials to ensure smooth collaboration.
Create a knowledge base with FAQs and troubleshooting guides for ongoing support.

Step 7: Test and Optimize the System

Run a pilot program with select clients and vendors to identify potential issues.
Gather feedback from users and adjust workflows as needed.
Monitor key performance metrics, such as time-to-fill, cost savings, and compliance rates.

Step 8: Go Live and Monitor Performance

Fully launch the VMS across all vendors and client accounts.
Continuously track system performance and user adoption rates.
Schedule regular reviews to identify areas for improvement and future optimization.

Step 9: Scale and Optimize Over Time

Expand usage as you grow, adding new features or integrations as needed.
Use reporting and analytics tools to refine vendor selection, pricing strategies, and workforce planning.
Stay updated on VMS innovations to leverage new capabilities that improve efficiency.

How Much Does a VMS Cost?

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The cost of a vendor management system has typically scared organizations away from using one in the past. That’s because the traditional big vendor management system platforms required a minimum contingent workforce spend volume.

These platforms were specifically designed for the requirements of enterprise organizations with huge contingent workforce budgets. These expensive solutions might provide ROI for larger companies, but they don’t provide that same benefit for companies with smaller levels of contingent workforce spend.

Thankfully, today, there are more vendor management system options than ever before. Some innovative new platforms, such as Conexis VMS, have adopted the SaaS model - meaning the cost to implement a VMS is much more cost-efficient and affordable for your staffing agency.