Any business relying on a contingent workforce benefits from partnering with a managed service provider in staffing. These staffing MSPs boast efficient processes for talent management, providing businesses with the scalability they need for success. They also help organizations reduce expenses while also being able to focus on running their company.
Additionally, choosing an MSP with a strong vendor management system ensures fast access to a diverse talent pool. A solution integrating both offers businesses an optimized approach for contingent worker management. As a result, expect efficient operations, including automated workflows and the ability for data-driven decision making.
Let’s take a closer look at how staffing MSPs and vendor management systems benefit modern businesses with contingent workers. We cover both concepts as well as their interrelationship. Use this opportunity to gain a better understanding of how they help your business thrive. It’s the right approach for any company with a significant investment in contingent employees.
Understanding Staffing MSPs and VMSs
Here is a quick comparison of MSPs in staffing and vendor management solution providers. We cover the basic functions of each as well as providing an overview of how they work together. Understanding this interaction helps your organization optimize its contingent workforce management strategies.
You ultimately want to partner with a staffing MSP with deep knowledge of your business’s operational approach and culture. This ensures they place temporary workers able to thrive in your environment, helping to boost your productivity levels. When these MSPs leverage VMS tools, expect access to a diverse collection of talent. It’s a strategy that lets your management focus on improving the business’s operational efficiency.
What is the Role of MSPs in Contingent Workforce Management?
A managed staffing services provider specializing in contingent talent helps businesses effectively leverage their temporary workers. In fact, this MSP approach parallels the benefits companies gain from outsourcing their technology infrastructure to Cloud-based providers. Once again, it lets experts handle certain aspects of your business operations, while you focus on its core functions.
A staffing MSP handles all parts of the hiring process for their clients. When that business relies on a contingent workforce, these benefits become numerous. Staffing MSPs ensure their clients have access to a diverse talent pool, typically by working with multiple talent vendors.
Leveraging modern staffing technology also results in efficient processes for sourcing and vetting temporary talent. This approach helps MSPs manage complex staffing issues for clients, including quickly filling a critical skills gap.
As staffing experts, these MSPs focus on continuous improvement and technology innovation to efficiently source talent for their clients. Once again, a partnership with an MSP in staffing means your managers don’t require a similar knowledge base. Instead, they simply focus on running your company, trusting your contingent workforce needs are handled by experts.
What are VMSs as they Relate to MSPs and Contingent Workforce Management
Now let’s explore vendor management solutions in the world of contingent workforce management. We also take a look at their relationship with staffing MSPs. Knowing how they interact helps you understand why partnering with a staffing MSP benefits your business.
At the same time, vendor management solutions at their heart rely on state-of-the-art software platforms. While some MSPs might work with multiple VMS providers, others leverage the solutions themselves as part of their operations. In fact, many forward-looking staffing MSPs use a VMS in tandem with modern applicant tracking systems (ATS). Many newer ATS solutions use AI to vet applicant résumés and handle initial candidate communication, optimizing the staffing process.
While an ATS helps staffing MSPs and talent vendors manage applicants, a VMS takes a similar approach to employees. Your managed staffing service provider uses a VMS solution to track the contingent workers placed at client sites. It provides information on salaries, skills, experience, contract details, and even local tax laws and regulations. Having this actionable data also facilitates reporting for their clients, like your business.
When considering different managed staffing service providers as a partner, choose one with a forward-looking view of technology. This includes leveraging a modern ATS for recruiting talented contingent professionals. Additionally, they also need to use a top-shelf vendor management solution. This includes working with a diverse set of VMS providers or actually using the software in-house.
What are the Benefits of Integrating MSP and VMS Solutions for Contingent Workforce Management
Now, let’s explore the most critical benefits gained when staffing MSPs integrate a top-shelf VMS provider or tool. Use these insights when comparing different staffing MSPs before choosing one for your contingent workforce management. It’s the right approach for ensuring your business regularly employs enough productive temporary workers.
Combining MSP and VMS Automates Workflows
A staffing MSP that leverages a vendor management solution – either in-house or third-party – enjoys increased efficiency. As highlighted above, these modern software tools increasingly use automation, powered by AI, to make the staffing process faster. It especially makes an impact in contingent workforce management scenarios, providing businesses with significant scalability.
When your business needs to quickly add temp talent, you want a staffing partner known for high velocity. It ensures you have the scalability to handle critical project work without risking any missed deadlines. Ask a few pointed questions when vetting potential staffing MSPs on their VMS approach.
The Combined Capabilities of MSPs and VMSs Facilitate Data-Driven Decision Making
We just mentioned how staffing providers leverage modern ATS tools to automate the process of hiring talent. These tools also provide actionable data on candidates including their skills and experience. Vendor management solutions offer similar data on those contingent workers currently employed by the staffing MSP.
Having this valuable information easily accessible lets your business easily make data-driven decisions on your contingent workforce. Partner with a staffing MSP offering this level of reporting from their VMS tool or provider. It helps your company quickly source the talent it needs to close a skills gap or complete an important project.
Automating Processes Enables Organizations to Focus on Strategic Initiatives
Once again, process automation lies at the heart of modern software solutions like a state-of-the-art vendor management system. The ability to automate contingent workforce management tasks remains an important competitive differentiator between staffing MSPs. It helps managed service providers in staffing achieve higher levels of efficiency, helping them better serve their clients.
Partnering with a forward-thinking staffing MSP lets your business concentrate on its own strategic initiatives. You gain this ability without the extra internal effort of recruiting contingent professionals or managing their HR-related needs. This ability perfectly illustrates why businesses continue to outsource various internal functions to third-party experts.
Leveraging an MSP and VMS Increases Overall Contingent Workforce Visibility
We already mentioned how using a managed staffing provider and a VMS tool facilitates data-driven decision making for businesses. This becomes possible because a staffing MSP with an integrated VMS provides significant visibility into your contingent workforce. At a glance, you see the skills and experience of your contingent team, as well as their current assignments.
These enhanced insights on your workforce also include your overall staffing spend related to contingent talent. It facilitates planning for future growth, including new project opportunities, knowing you have the right talent in place. You also quickly identify any skills gaps needing closed before bidding on these potentially lucrative initiatives.
Integrating MSPs and VMSs Create Efficient Onboarding and Offboarding
The best staffing MSPs understand effective onboarding plays a crucial role in their success, helping them better serve clients. It helps new hires quickly become productive contributors, helping them feel like a true part of the team. Not surprisingly, a meaningful onboarding process also greatly contributes to a higher retention rate for businesses.
This same concept applies to contingent workers placed by a managed staffing provider at a client site. It obviously benefits your business to have new temporary staff quickly make a positive impact. Of course, the same concept applies to your staffing MSP partner, so ask questions about their onboarding process.
Automation and Streamlined Processes Improves Cost Efficiency
In the end, modern automated staffing processes help your company save money on its contingent workforce management needs. You want to avoid partnering with staffing MSPs with outdated and inefficient methodologies for finding and managing professionals. Working with a talent provider with state-of-the-art tools and processes simply improves your cost efficiency.
Once again, you need to closely vet each potential MSP partner and their use of automation and technology. In addition to asking pointed questions when meeting with them, reach out to colleagues in your professional network. An opinion from a trusted professional ultimately helps your company make the right decision on a staffing MSP partner.
Get Started with an MSP and VMS to Revolutionize Contingent Workforce Management Today
If your company wants to leverage the advantages of a modern VMS tool for its contingent workforce, connect with Anserteam. As one of the top managed staffing service providers in the country, we can help your business achieve higher levels of success. Contact us to discuss a potential partnership!