Simplifying Workforce Management with MSP Staffing
Learn how one medical device manufacturer doubled its contingent workforce while improving candidate quality, minimizing costs, and enhancing compliance. Eastridge’s MSP program helped the company to attract higher performing employees , streamlined reporting and billing, cost savings of over $200k and improved staffing vendor and compliance management.Read More
Is an MSP right for my organization?
There is no set company size or headcount that would make an MSP right for your organization. Generally speaking, any company that utilizes contingent labor or temporary workers from multiple staffing vendors across one or more work locations will likely benefit from an MSP.
Here are some key questions to ask to make the decision to explore an MSP:
- Are we controlling cost and risk with our current program?
- Do we currently have a robust process to evaluate staffing partners?
- Do we currently have a process to enforce spend policies?
- Have we implemented VMS technologies that give us a wide range of data on spend and usage of contingent labor?
If your current contingent program is missing all or some of these points, examining an MSP is an important first step to increase efficiency within your organization.
How does an MSP work?
An MSP greatly simplifies the management of a contingent workforce by consolidating all temporary staff, independent contractors, freelancers, and employer of record or payrolled employees into being managed and employed by one single service provider.
A staffing MSP oversees all employer functions for its contingent workforce including requisition processing, supply chain management, transactional reporting, analytics and market insights. MSPs are continually adding to their services and solutions, increasingly helping clients with resource planning to optimize how they leverage their contingent workforce.
In a staffing MSP, many clients prefer service providers that are supplier-neutral, who only manage the contingent workforce they employ and do not source the talent themselves, or prefer that they be transparent about where and how they source their talent. This is Eastridge’s approach to MSP programs.
What is VMS in Staffing?
A Vendor Management System (VMS) is software that facilitates communication between all parties involved with workforce management including recruiters, vendors, the MSP, and clients. With a VMS, transactions related to recruiting like candidate submission, interview scheduling, offers, billing, timecards and more happen through the cloud.
A contingent workforce is a dynamic ecosystem and they require visibility and standardized processes to ensure continued cost savings, enhanced efficiency and increased productivity.
Managing your contingent workforce in a centralized, transparent system is essential. Otherwise, when different hiring managers and stakeholders use different vendors to source their talent with different processes, services, and price points, the result is chaos. Operating under a disjointed model will affect not only your bottom line but also company morale. This kind of mismanagement can also lead to weakened supplier relationships and missed opportunities for top talent.
What are the Benefits of Combined MSP/VMS Providers?
Working with a combined MSP/VMS provider offers several advantages. First, a program can be truly customized to fit your organization's needs. That flexibility can carry forward to be adaptable as the program evolves over time. Another advantage is in cost. While many VMS systems are aimed at very large organizations, a tailored MSP/VMS solution can be adapted to fit the needs of virtually any organization.
Combining MSP and VMS means combining expertise with technology. An expert with all the hiring industry knowledge and technology related to the hiring industry can make your life easier. They can use the data and metrics to make constant improvements in the talent acquisition process.