Many companies are considering (or have considered) bringing their Contingent Workforce program in-house. There’s a myriad of reasons behind this trend (will possibly explore this in another post); but is it right for your organization? 

In this Insights piece, I will highlight several considerations if you are thinking about this as a strategy to ensure success.

Key Considerations:

  • Program Funding – How will you pay for the program?  If a Supplier Fee structure is already in place, will you keep that?  Charge users via a shared services fee?  Make the biz case for investment as a cost center?  This is a fundamental (but important) consideration and all of the above have their own pros/cons.
  • Governance Structure – Who will “own” the program?  Who are the key stakeholders?  How will you govern the program?  One of the most important decisions (and keys for success) is where the program will sit within the organization AND that the proper constituents are engaged and considered within the governance structure.
  • Access to SMEs – An MSP brings a lot of Subject Matter Expertise and teams to the equation when outsourced to them.  If the decision is made to bring this function internally, do you have a plan for how to access this expertise?  For example, is there a plan for garnering rich transactional and market rate data/trends or for access to localization experts who can advise on legislative requirements in various countries/regions?
  • Technology Stack/Support – Another consideration is in relation to the various technology and platforms needed to support a program.  Do you have a VMS deployed?  CRM/Direct Sourcing technology?  A defined plan for EOR/AOR services?  A support team to handle Tier 1 support and triage of these systems?

These are just some of the considerations, but important to ensure you’ve thought through and have a plan to address.  It might be worth looking at an external partner to help navigate through these considerations, plan a roadmap and help produce a plan to deploy and ensure the program stays both in compliance and continuing to mature.  

There are many consulting/advisory firms out there (AMS being one of them) that can assist with all of those things AND also provide support for steady-state operations either in a one-time engagement OR as ongoing support.  A new more flexible model has emerged where firms like AMS provide ad-hoc MSP “Lite” services (kind of like an a la carte menu of options).  

For example, some services include (but certainly are not limited to):

  • Market intelligence/market rate information and rate card development/refreshes
  • Ongoing program management services including managing the requisition, selection and onboarding process
  • Supplier Management services (i.e. supply chain optimization, category management, etc)
  • Reporting/analytics buildout
  • Program assessments and maturity mapping (including development of roadmaps, build out plans, etc)
  • Advisory services including technology and platform assessments
  • Technology deployments
  • Build, Operate, Transfer (BOT) options 

Don’t journey down the path unprepared.  Make sure you thoroughly evaluate your unique internal landscape, develop a solid deployment and support plan, garner the necessary buy-in and executive support and consider engaging with an external partner who can help along the way.  

Think of it as a “phone a friend” option where you have access to contingent workforce experts to help out.

Learn more about AMS’s Contingent Workforce Solutions: https://www.weareams.com/contingent-workforce-solutions/