November 01, 2017

Not Just a Solution, a Partnership

Successful companies know that to gain a competitive edge it is important to build strategic partnerships with complementary organizations. Each company essentially offers a service the other lacks and the two must align their values to build proper momentum.

 

As the staffing and consulting industry continues to evolve, many companies are now utilizing a Managed Service Provider (MSP) and/or a Vendor Management System (VMS) to assist in managing their staffing suppliers in order to streamline and optimize their contingent workforce. The MSP/VMS model where top VMS solution providers partner with the best workforce and talent acquisitions providers provides tremendous value to customers. These partnerships allow for the MSPs to service clients with an integrated solution within one ecosystem by bringing in the full scope of tools in a VMS to manage contingent workforces, freelancer workers and service procurement spend. The complementary partnership provides a faster, more efficient process for client engagements. Additionally, such partnerships serve to unify services and speed up implementations, often a big pain point for end users.

 

Today’s environment is particularly favorable for companies to take advantage of such strategic partnerships between MSPs and VMS providers. Regulatory requirements, economic uncertainty, and continued innovation are affecting contingent workforces, and companies that rely on contingent/temporary/freelance talent should consider if the timing is right to partner with a services and a software provider who can help them to address the changing contingent workforce management landscape. Some of these drivers include:

  • ACA: As Congress continues to determine what will happen with ACA, but any changes could cause cost and/or compliance issues for businesses. Partnering with a provider that has an in-depth understanding of both ACA and worker classification guidelines, including the Fair Labor and Standards Act (FLSA) and the IRS’ Categories of Evidence, could be beneficial
  • SOW Management: 2017 has brought about the continued expansion of the utilization of SOW project-based labor. If your company is planning to increase the size of your blended workforce including FTEs, temps, contractors, project-based consultants, etc., it might be worth exploring solutions with MSP/VMS partners who are able to help you gain complete control and hit key SOW project milestones while remaining in budget.
  • Private Talent Networks: Companies that are paying attention to all the future of work reports in the media understand that it is important to tap into various networks to source professional contingent talent. Partnering with MSPs and VMS providers can help you reduce costs while maintaining high-quality and pre-vetted pools of talent.
  • Mobility: By using cloud technology, many firms are optimizing their operations by allowing managers and workers to perform work and actions from virtually anywhere. Leveraging a VMS with a comprehensive mobile platform can provide companies with a technology solution that can be executed from a smart phone, a tablet, or a wearable to increase productivity and flexibility
  • 1099 IC Compliance: Every year there are new bill proposals, threats of audits, and multiple whitepapers from legal experts urging 1099 compliance. To help you with IC compliance in the coming year, collaborate with providers who demonstrate deep expertise and a robust tenure of assisting companies build and manage 1099 compliance programs
  • Staffing Supplier Management: Two of the biggest benefits from effective supplier management are cost savings and significant competitive advantage in the escalating war for talent. A vendor-neutral, integrated MSP and VMS partnership can deliver supplier management that tackles challenges such as performance measurement and optimization of the supplier pool at no additional cost by using a supplier-funded model.

 

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