Did You Know? Managed Service Providers Deliver Faster Access to Talent

In this “Did You Know” series, we’ll explore many ways that a Managed Services Provider (MSP) in the contingent workforce space can help your business – from streamlining processes to gaining better insights into your analytics.  

As the demand for agile workforce solutions grows, many organizations are turning to Managed Service Providers (MSPs) to streamline their contingent workforce management. By leveraging multiple suppliers, including specialists in areas such as IT, light industrial work, and other specialties, MSPs and their supplier partners offer a powerful solution for mid-market companies seeking to optimize their talent acquisition strategies. 

There are several ways that an MSP can help mid-market companies access talent faster:  

Streamlined Talent Acquisition Process

Instead of handling multiple suppliers each with their own processes, MSPs coordinate: 

• Consolidating multiple supplier relationships into a single point of contact, simplifying the hiring process for mid-market companies 
• Implementing standardized processes across all suppliers to reduce time-to-hire and improve overall efficiency in talent acquisition 
• Distributing job requirements to a wide network of specialized suppliers, increasing the chances of finding the right talent faster 
• Utilizing advanced vendor management systems (VMS) to automate many aspects of the hiring process, from requisition to onboarding and management to payment processes (known as req to check), further accelerating talent acquisition 

Cost Optimization and Transparency

By having access to both supplier and worker rates by geographic region, worker roles, etc., an MSP provides: 

• Strategic supplier management and rate negotiations to help mid-market companies achieve significant cost savings on their contingent workforce 
• Detailed reporting and analytics, offering unprecedented visibility into workforce spending and performance metrics 
• Application of their market knowledge and data-driven insights to help companies make informed decisions about workforce composition and allocation 
• Consolidated invoicing and streamlined payment processes that reduces administrative burdens and associated costs 

Supplier Relationships

As your Managed Service Provider, we handle all supplier relationships including:  

• Partnering with a diverse range of suppliers, including those specializing in niche areas such as IT, engineering, or light industrial work 
• Managing suppliers through scorecards to ensure your organization is getting top talent quickly and efficiently 
• Adding new suppliers and sunsetting non-performing suppliers when needed 
• Identifying and engaging suppliers with expertise in emerging technologies or industry-specific skills, ensuring companies stay competitive in their respective markets 
• Maintaining relationships with both generalist and specialist suppliers to quickly fulfill a wide range of staffing needs within a single program 

Compliance and Risk Mitigation

MSPs ensure that suppliers are following all the rules to ensure compliance and mitigate risk such as:  

• Overseeing robust compliance checks and background screening processes across all suppliers, reducing the risk of non-compliant hires for mid-market companies 
• Standardizing onboarding and offboarding procedures to ensure consistent application of company policies and regulatory requirements 
• Staying up-to-date with changing labor laws and regulations at the Federal, state, and local levels to help companies navigate complex compliance landscapes 
• Centralizing independent contractor management to mitigate risks associated with misclassification and co-employment issues 

Scalability and Flexibility

MSPs offer scalable solutions that can grow with a mid-market company’s needs, from supporting occasional hiring to managing large-scale contingent workforce programs. Examples include:  

• Instituting a multi-supplier model to allow companies to quickly ramp up or down their workforce in response to market conditions or seasonal demands instead of relying on a handful of suppliers 
• Supporting various engagement models, including temporary staffing (staff augmentation), statement of work (SOW) projects (also known as fixed bid projects), independent contractors, and  employment of internally sourced workers during the engagement period 
• Forecasting talent needs through advanced workforce planning tools and proactively addressing potential skill gaps 

Access to Specialized Talent Communities

MSPs may also enable mid-market companies to tap into talent that may be difficult to access through traditional hiring methods through direct sourcing. While most MSPs offer an elementary direct sourcing talent “pool”, nextSource delivers a Talent Community called TalentCalling^TM. This includes:  

• A robust and unique workforce talent channel that is best suited for high-volume, repeatable skill types who are curated into custom communities  
• Continually engaging with workers through consistent communication so they’re available to work when you need them most 
• Integrated talent platform with the Vendor Management System (VMS) so the hiring manager uses one system for requesting all types of talent  

By partnering with an MSP for contingent workforce management, mid-market companies can gain a significant competitive advantage in today’s talent-driven economy. The ability to access diverse skilled workers quickly and cost-effectively is crucial for organizations looking to stay agile and responsive to market demands. 

MSPs bring a wealth of expertise and technology-driven solutions to the table, enabling mid-market companies to optimize their workforce strategies without the need for extensive in-house resources. From streamlining the hiring process to ensuring compliance and cost control, MSPs offer a comprehensive approach to contingent workforce management that can drive business growth and innovation. 

Moreover, the multi-supplier model employed by MSPs allows companies to benefit from the specialized knowledge and networks of various staffing providers. This is particularly valuable in industries where specific technical skills or certifications are required, such as IT, life sciences, or manufacturing. By tapping into these specialized staffing partners, mid-market companies can access high-quality candidates who might otherwise be out of reach. 

As the world of work continues to evolve, with increasing emphasis on flexibility and specialized skills, the role of MSPs in supporting mid-market companies with their workforce solutions is likely to grow. By providing faster access to talent at the right price, while also addressing critical concerns such as compliance and scalability, MSPs are well-positioned to help mid-market companies thrive in an increasingly competitive business landscape.