As supply and demand in the talent market edge further apart the benefits of utilising an integrated MSP or contingent RPO solution are becoming more apparent.
The way people work is changing
With the meteoric growth of the contingent labour market, businesses are starting to understand the rise in temporary talent is not just a reaction to the economic down-turn post 2008. Part of the rise of the flexible workforce can be attributed to the changing preference of millennials and Generation Z.
The ability to attract and retain the best talent is often a key challenge for many organisations. Talent shortages are a major constraint on an organisations ability to deliver on strategic objectives, with PwC’s 2017 CEO survey revealing 77% of global chief executives regarding the availability of key skills as their biggest business threat.
The contingent workforce continues to explode, with companies facing challenges from multiple directions as a result.
The competition for top talent has never been tougher and companies are having to reassess where and how they shape their contingent workforce program.
The solution?
Forward-thinking employers are re-evaluating their talent acquisition strategies, taking a more holistic approach to total talent management. They are blending programs like MSP or RPO into a cohesive and fully integrated program.
An RPO is primarily used for permanent staff, whereas an MSP is a solution that manages a business’s contingent workforce. However, integrating these programs (or at least some elements of them) provide numerous benefits.
What is an integrated MSP?
An integrated MSP solution is a single process for all talent types, contingent workforce suppliers, temps, contractors, freelancers and permanent employees.
What is a contingent RPO?
Put simply a contingent RPO takes all the benefits of the best permanent RPO solutions (such as employer branding, EVP, technology implementation and direct sourcing teams) and implements them within a contingent MSP programme.
For more in-depth information, and to find out how a contingent RPO solution can benefit your business, visit our 'What is contingent RPO' page.
Benefits of a holistic approach:
- Cost savings
Combining the programs gives you control and the ability to leverage spend. You can share resources, from your PMO team to vendor management systems, intensifying your cost savings.
- Streamlining data
There is a lot of data in workforce planning. Combining and consolidating all of the data for your contingent labour program with your recruiting program can help you see a complete picture of your total workforce.
Big data and artificial intelligence are increasingly being used to revolutionise the way we manage our workforce, and can aid better strategic decisions. It’s a strategic opportunity that’s highly valuable and the greater pool of data and the smarter the AI the bigger the benefit for the business.
- Having one company oversee your talent solutions
There are several benefits, from an administrative standpoint. It simplifies interactions with a single point of contact, offering clear and obvious business advantages. It will also give you a more robust system to keep exceptional candidates in your talent pipeline, creating great opportunities for the easy redeployment of valuable workers.
More importantly, both solutions are built strategically around a business’s unique talent needs. Because of this an organisation is able to form a strong partnership with its workforce solutions provider, improving hiring manager satisfaction with a high-touch delivery model, ensuring the best experience for hiring managers and talent alike.
To understand how a contingent RPO works in reality, read our Shop Direct case study.
An integrated MSP solution gives you greater flexibility and adaptability throughout your whole workforce program, while a contingent RPO boosts your ability to hire and retain the best contingent talent, giving you a competitive advantage in a talent-short market.
Integrated solutions can be a key competitive differentiator when forced to deal with the unpredictable changes of managing an increasingly complex workforce.
An integrated approach to talent enables an organisation to become more agile and efficient, with leaders better equipped to make strategic decisions about acquiring talent from a diverse range of sources.