Across the country and across all industries, companies are increasingly supplementing their permanent workforce through the use of contingent workers. In fact, the BLS reports that 19 percent of all new U.S. jobs created since the end of the recession were contract workers. Further, a study by Intuit predicts that temporary or contract workers will make up more than 40% of the U.S. workforce by 2020.
And there’s good reason for these rising employment numbers:
- Contract workers offer staffing flexibility and allow companies to better manage risk in an uncertain economy.
- The need for mobile contingent workforces in the construction and extraction industries.
- Cost savings by outsourcing specialized functions such as Information Technology (IT), healthcare specialties, and customer service.
- The ability to staff special projects with the requisite professionals without hiring full-time employees.
- Temporary workers are exempt from new healthcare law requirements.
How Organizations Can Prepare for the Increase in Temporary Workers
To effectively manage their permanent and contingent workforces, many organizations are finding VMS software solutions provide the best return-on-investment.
A Vendor Management System (VMS):
- Automates the sourcing and recruitment function for hiring contingent and permanent staff.
- Prequalifies candidates, secures documentation, and verifies credentials.
- Manages employee timekeeping and payroll.
- Automates vendor invoicing and payments for all parties.
Organizations that utilize vendor management software to manage their contingent workforce find they are able to:
- Build deeper talent pools through centralized access to hundreds of qualified staffing agencies nationwide.
- Create a more efficient, streamlined hiring process resulting in improved fill-rates, reduced overtime, fewer staff shortages and the ability to find specialty workers faster.
- Improve candidate quality through a comprehensive job-to-candidate matching process.
- Achieve 100% compliance outcomes through automated credentialing and electronic document management system.
- Adapt quickly to changing conditions through the centralized management of permanent and contingent staffing needs.
- Receive more favorable labor rates through increased agency competition resulting in annual savings of several thousand dollars per employee.
- Enhance management oversight through VMS dashboard analytics and reporting, including hiring manager approval, budget cost analysis, and vendor performance/costs/risks. Plus electronic notifications to your management team with updates on important staffing decisions and alerts
Changing workforce demographics must be met with innovative and strategic staffing solutions. With over 20 years of staffing experience, Stay Staffed has provided workforce management solutions and vendor management system expertise to small, medium, and large organizations nationwide.
StayStaffed workforce management software accesses The Candidate Direct Marketplace ® offering industry an all-encompassing contingent staffing solution. Contact a StayStaffed representative today, online or at 800-585-1710, to arrange a free, no-obligation online VMS product demonstration.