Overview

Overview

Building a robust contingent workforce labor program requires careful planning and consideration of various factors. This section provides an overview of many of the components required for a successful contingent workforce program. Subsequent sections of this book provide more details on each component itemized here.

Typically, a Contingent Labor Program begins with creation of a business case which is utilized to obtain organizational buy-in. A first step towards building the business case is identifying key stakeholders and roles and responsibilities required for a successful program.

Prepare Business Case

A business case for a contingent workforce strategy is a crucial document that outlines the rationale, benefits, and implementation plan for utilizing a flexible workforce. A business case will typically include information about the components outlined here, and can be used as a roadmap to completing the build of your program.

Identify and Plan for Stakeholders and Project Roles and Responsibilities

• In order to support a successful contingent workforce program, it is crucial to have stakeholders who can provide guidance, support, and resources.
• It is also important to understand the required roles and responsibilities to run the program once established.

Select Vendor Management System (VMS)

• Implement a VMS that can streamline your contingent workforce management processes.
• Configure the VMS to align with your specific needs and workflows.
• Provide training and support to your team members who will be using the VMS.
• Continuously evaluate the effectiveness of the VMS and make improvements as needed.

Identify your Managed Service Provider (MSP)

• Determine if you will use a MSP or if you will manage the program in-house.
• Define your requirements and expectations for the MSP.
• Research and select a reputable MSP that can effectively manage your contingent workforce.
• Establish clear communication channels and processes with the MSP.
• Regularly review the performance of the MSP and address any issues that arise.
• If you manage the program in-house, many of these same components apply.

Determine Required Integrations

• Review Technical Stack and determine which integrations are required between your VMS and other systems and tools that you use for workforce management. Determine other 3rd Party Integrations that may be required.
• Ensure that data can flow seamlessly between different systems.
• Test the integrations to ensure they are working correctly.
• Regularly review and update the integrations as needed.

Consider Direct Sourcing

• Develop a strategy for direct sourcing contingent labor.
• Consider 3rd Party Talent Pool Technology Providers
• Create a compelling employer brand to attract top talent.
• Implement processes for screening, interviewing, and onboarding direct hires.
• Continuously evaluate the effectiveness of your direct sourcing efforts.

Review Suppliers

• Identify and onboard a diverse set of suppliers who can provide the talent you need.
• Establish clear expectations and guidelines for your suppliers.
• Regularly assess the performance of your suppliers and address any issues that arise. Your VMS will incorporate supplier performance reports and dashboards to help monitor supplier KPIs and your MSP will support ongoing supplier relationships and performance checks.
• Foster strong relationships with your suppliers based on trust and collaboration.

Incorporate Inclusion and Diversity

• Consider inclusion and diversity in your contingent workforce program.
• Analyze goals for increasing representation of underrepresented groups.
• Implement practices that promote a culture of inclusion and belonging.
• Regularly assess the diversity and inclusion metrics of your program.

Ensure Compliance

• Verify that your program complies with all relevant labor laws and regulations.
• Utilize the expertise provided by your VMS and MSP.
• Regularly audit your program for compliance.
• Provide training to your team members on compliance requirements.
• Take prompt action to address any compliance issues that arise.

Commit to Continuous Improvement

• Establish a process for collecting feedback and suggestions for improvement.
• Regularly review and analyze data on program performance.
• Implement changes and enhancements based on the findings.
• Foster a culture of continuous improvement within your team.

This is the Overview section of my AI-supported book, titled From Chaos to Control: Mastering Contingent Workforce Spend. I'll be publishing subsequent chapters over the next few weeks, each chapter diving deeper into the components outlined above. Stay tuned!