Contact us
Log in

How AI is (really)

changing talent acquisition

Have you ever booked a ride through Uber, ordered food via DoorDash, or hired a freelancer on Upwork? If so, you've interacted with gig workers (people who work independently), often on a project or task basis, instead of holding traditional full-time jobs. But what does being a gig worker really mean? Is it the ultimate freedom of work, or does it come with hidden challenges? 

The gig economy is booming, yet the experiences of gig workers are starkly divided. For some, it’s an opportunity to take control of their work-life balance and maximize earnings. For others, it’s a struggle against financial unpredictability and lack of job security. So, let’s break it down—what is a gig worker, why is gig work growing so fast, and what does the future hold for this non-traditional workforce? 

Understanding the Gig Worker: Who Are They? 

A gig worker is anyone engaged in temporary, flexible, or freelance work, often facilitated through digital platforms. These workers don’t have long-term employment contracts but instead earn money by completing individual tasks or projects. Gig work can range from high-skilled professionals, such as consultants and software developers, to on-demand service providers, like rideshare drivers and delivery personnel. 

Types of Gig Workers: 

  1. Freelancers – Writers, designers, marketers, and consultants who take on project-based work. 
  2. Contractors – Skilled professionals like IT specialists, construction workers, and business consultants who work on temporary contracts. 
  3. On-Demand Service Providers – Rideshare drivers, food delivery workers, and house cleaners who provide services through apps. 
  4. Side Hustlers – Full-time employees who take on gig work as a secondary source of income. 

According to a 2023 McKinsey report, 36% of the U.S. workforce participates in some form of gig work, up from 27% in 2016.  

But why is this trend accelerating? 

Let's get to know that too.

The Rise of the Gig Economy 

The concept of gig work isn’t new. Historically, tradespeople, artisans, and seasonal workers have existed for centuries. However, the digital revolution has redefined this model, fueled by remote work and online services.  

COVID-19 proved how adaptable gig work can be, pushing businesses and professionals toward digital platforms. This shift increased demand for project-based roles, as workers sought greater flexibility and control over their schedules. Platforms like Uber, Upwork, Fiverr, and DoorDash made it easier for businesses to connect with independent talent globally.

Technology continues to fuel this expansion, enabling seamless connections between gig workers and clients. Remote work allows workers to choose assignments that match their skills and interests, while businesses benefit from access to a specialized talent pool. For instance, in a 2022 Pew Research study, 63% of gig workers said they would take a traditional job if it offered better benefits, highlighting the instability that many face in the industry. 

The gig economy is now a key driver of economic change, offering both workers and employers new opportunities. A study by Upwork revealed that 58% of freelancers choose gig work over traditional employment for its flexibility. However, with this freedom come unique challenges, ones that businesses must address to fully integrate gig workers into their workforce strategies.

Advantages of Gig Work

Gig workers enjoy picking projects that match their interests and skills. They set their own schedules, working when it suits them best. They can work from anywhere - home, coffee shops, or wherever they prefer. 

The flexibility of gig work creates room for hobbies and side projects. People can manage multiple commitments and balance professional growth with personal life. This often leads to better work-life balance than traditional employment offers. 

Gig workers tackle diverse projects across industries. This variety helps them build new skills and expand their expertise. Each project presents fresh challenges that strengthen their abilities. This continuous learning keeps them competitive as markets evolve. 

We understand these benefits attract gig talent. Our flexible approach helps our recruiters connect better with gig workers. Our solutions simplify onboarding, create positive candidate experiences, and help organizations leverage the advantages of gig work. 

Challenges Faced by Gig Workers 

Gig workers navigate a range of financial responsibilities that can impact their professional and personal lives. As self-employed individuals, they must manage their taxes independently. This includes tracking earnings and making estimated tax payments quarterly to avoid penalties. Reporting income accurately using forms like 1099-NEC or 1099-MISC is crucial for compliance and financial health. 

The absence of employer-sponsored benefits creates additional challenges. Gig workers do not receive health insurance, retirement plans, or paid leave from an employer. This necessitates finding private solutions, which may be costly and require significant effort to manage. 

Job stability is another concern for gig workers. Unlike traditional employment, gig work often lacks long-term security. Projects can vary in length and frequency, leading to income fluctuations. Many professionals are exploring opportunities through borderless hiring models to mitigate this instability. Gig workers must constantly seek new clients and projects to maintain a steady workflow and financial stability. 

Effort in acquiring and maintaining clients is substantial. Gig workers invest time in marketing their skills, networking, and building professional relationships. This continuous effort is necessary to secure ongoing opportunities and sustain their income. The energy spent on client acquisition and retention can be demanding, affecting both personal time and professional growth. 

Understanding these advantages and challenges are essential for gig workers to navigate their careers successfully. It informs their decisions and strategies, ensuring they can thrive in the gig economy while balancing their professional and personal lives. 

The Financial Side: How Are Gig Workers Paid? 

Unlike salaried employees, gig workers earn based on completed tasks, projects, or service hours. Their earnings structure varies: 

  1. Hourly or Fixed-Rate Payments – Common in freelance and contract work. 
  2. Commission-Based Pay – Seen in ridesharing and food delivery services. 
  3. Revenue-Sharing Models – Some platforms deduct a percentage from workers' earnings as service fees. 

Gig workers must manage their finances effectively, including setting aside money for taxes and emergency savings. 

What Are the Tax Implications for Gig Workers? 

If you’re considering gig work, you’ll need to navigate self-employment taxes. Unlike traditional employees who have taxes deducted from their paychecks, gig workers are responsible for their own tax payments. Here’s a breakdown: 

Tax Type Employee Pays Gig Worker Pays
Income Tax Employer deducts Worker pays directly
Social Security Tax 6.20% 12.40%
Medicare Tax 1.45% 2.90%

Additionally, gig workers must make quarterly estimated tax payments to avoid penalties. 

The Impact of Gig Work on the Global Economy 

The gig economy is reshaping labor markets worldwide. According to the World Bank, over 1.5 billion people globally engage in gig work, contributing significantly to GDP growth. In the U.S., gig workers contribute nearly 6% of total GDP. These numbers highlight the importance of non-traditional employment in economic development. Tax implications are a significant aspect of gig work. As self-employed individuals, gig workers must independently manage their taxes. This involves tracking earnings and making estimated tax payments quarterly. Accurate reporting of income using forms like 1099-NEC or 1099-MISC is crucial. Understanding these tax responsibilities helps gig workers maintain compliance and financial stability. 

Legal & Regulatory Considerations 

The gig economy has sparked debates over worker classification. Many governments are enacting laws to ensure gig workers receive fair treatment. A key development was the 2024 U.S. Department of Labor ruling, which clarified the classification criteria between employees and independent contractors based on: 

  1. Control Over Work – How much autonomy the worker has. 
  2. Financial Investment – Whether the worker invests in equipment or materials. 
  3. Profit & Loss Opportunities – The worker’s ability to earn beyond wages. 
  4. Degree of Permanence – Whether the work relationship is ongoing or project-based. 
  5. Nature of Work – Whether the role is integral to the company’s core business. 

Future of Gig Work: Is It Here to Stay? 

While gig work offers both opportunities and risks, one thing is clear—it’s not disappearing anytime soon. Globalization, automation, and economic shifts will continue to reshape the workforce. 

Possible Trends to Watch: 

  1. More Regulation: Governments may enforce stricter labor laws to protect gig workers. 
  2. Platform Accountability: Companies like Uber and Instacart may be required to offer benefits to workers. 
  3. Increased Competition: With more people entering the gig workforce, rates may become more competitive. 

However, one uncertainty looms—is the gig economy sustainable in the long run?

Some studies suggest that growth may slow as platforms become saturated. For example, if Uber’s current driver growth continued indefinitely, every American worker would be an Uber driver within five years, an obviously unrealistic scenario. 

So, if you’re considering joining the gig economy, ask yourself: 

  1. Do I value flexibility over stability? 
  2. Can I handle inconsistent income? 
  3. Am I prepared to manage my own taxes and benefits? 

For some, gig work is a stepping stone to entrepreneurship or a way to supplement income. For others, it’s a full-time career with both rewards and risks. Either way, understanding the gig economy is crucial in today’s evolving job market. For insights into effective management of a contingent workforce, refer to our eBook on contingent workforce best practices. 

So, what do you think? Is the gig economy the future of work, or is it a bubble waiting to burst? 

At AMS, we specialize in workforce solutions that integrate gig workers effectively. Whether you're a business looking to leverage gig talent or a professional navigating non-traditional employment, our expert-driven strategies can help you optimize workforce planning, engagement, and productivity.
Contact us today!

Contact us

Want to drive talent results?

When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








    How can we help you?*

    Imagine a scenario where a sudden supply chain disruption halts your operations. Or worse, you unknowingly onboard a vendor that doesn’t comply with regulatory standards, leading to legal complications. Are you confident that your Vendor Management System (VMS) can handle such challenges? If not, it’s time to rethink how you manage vendors and external workforce solutions. 

    In today’s hyper-competitive business landscape, enterprises are relying more than ever on external vendors and contingent workers to meet operational demands. But with increasing complexity, compliance requirements, and workforce diversification, managing vendors efficiently is no longer an option—it’s a necessity. 

    A Vendor Management System is no longer just a procurement tool—it has evolved into a strategic powerhouse that helps companies optimize costs, enhance compliance, and improve workforce efficiency. But as we step into 2025, businesses must ask: Is my VMS equipped for the future? 

    Let’s explore what makes a modern VMS indispensable and how organizations can leverage it for a competitive edge in 2025. 

    What is a Vendor Management System? 

    A Vendor Management System (VMS) is a cloud-based platform designed to streamline how organizations manage external vendors, contingent workers, and service providers. It centralizes vendor relationships, automates procurement processes, enhances compliance, and provides real-time visibility into vendor performance. 

    The increasing reliance on freelancers, contractors, and third-party service providers has made VMS platforms a must-have, ensuring businesses can manage costs, mitigate risks, and drive efficiency. 

    According to a recent study, 50% of executives plan to increase their use of external labor, underscoring the need for better vendor oversight. 

    The Two Faces of Vendor Management: Goods vs. Services 

    Vendor management isn’t just about procuring office supplies or IT services. Businesses typically manage two main types of vendors:

    • Suppliers of Goods and Services

    These vendors provide tangible products or essential business services. For example, a car manufacturer needs steel and electronic components to build vehicles. Without a centralized system, tracking these suppliers and ensuring supply chain resilience can be overwhelming. 

    A VMS for supplier management helps businesses: 

    1. Assess vendor risk before onboarding. 
    2. Monitor vendor performance through data-driven insights. 
    3. Ensure compliance with sustainability and regulatory standards. 

    • Contingent Workforce & Service Providers

    In today’s gig economy, businesses are increasingly relying on contingent workers, contractors, and service firms. This workforce brings agility but also introduces compliance and cost challenges. A VMS for workforce management enables companies to: 

    1. Maintain a centralized database of external talent. 
    2. Track worker location, contracts, and pay rates. 
    3. Ensure compliance with global labor laws. 

    Why Do Businesses Need a Vendor Management System in 2025? 

    The business world is shifting, and vendor management is no exception. Here’s why a robust VMS is critical in 2025: 

    • Rising Dependency on External Talent 

    According to recent studies, over 50% of executives plan to increase their use of external labor in the next two years. Whether hiring project-based freelancers or long-term contractors, businesses need a VMS to track, onboard, and manage this flexible workforce efficiently. 

    • Compliance and Risk Mitigation 

    With evolving labor laws, compliance is a major challenge. Companies working with global vendors face varying tax regulations, employment laws, and contractual obligations. A VMS automates compliance monitoring, reducing legal risks and ensuring adherence to policies. 

    • Cost Optimization and Budget Control 

    A VMS provides detailed spend analytics and cost-saving opportunities by identifying inefficiencies, eliminating rogue spending, and optimizing vendor negotiations. 

    • AI-Powered Automation and Data Insights 

    AI-driven VMS platforms are revolutionizing vendor management with predictive analytics, automated workflows, and real-time performance tracking. Businesses leveraging AI-powered VMS solutions gain a data-driven edge in decision-making. 

    Key Features of a Modern VMS in 2025 

    Not all VMS platforms are created equal. The best systems have evolved to meet the demands of modern businesses. Here are six must-have features:

    • Total Workforce Visibility

    A VMS consolidates vendor and workforce data into one unified dashboard, giving businesses real-time visibility into spending, performance, and compliance.

    • Advanced Compliance & Risk Mitigation

    Automated alerts for policy changes, contract renewals, and security risks ensure that businesses remain compliant with global labor laws.

    • AI-Powered Vendor Selection & Matching

    Using machine learning, modern VMS solutions recommend the best vendors based on past performance, pricing trends, and contract terms.

    • Mobile Accessibility & Integration

    The ability to track vendors, approve invoices, and monitor performance from a smartphone ensures seamless operations—anytime, anywhere.

    • Automated Invoicing & Payments

    Eliminating manual paperwork, a VMS automates billing, payment processing, and financial reconciliation, reducing errors and saving administrative costs.

    • Real-Time Data Analytics

    A VMS offers customized reports and insights, helping businesses benchmark vendor performance, analyze trends, and make data-driven decisions.

    An in-depth analysis of data-driven talent strategies is available in this exploration of our data-driven approach to talent.

    By leveraging these features, a VMS supports efficient management of the contingent workforce, ensuring organizations can meet their strategic HR objectives effectively. Organizations seeking to better integrate contingent labor into their overall talent planning can gain additional insights from our detailed analysis on integrating contingent labor into strategic talent planning.

    Top Benefits of Implementing a VMS

    A VMS isn’t just a tool, but a strategic investment. Here’s why leading enterprises are implementing a modern VMS: 

    • 30% Faster Hiring Cycles – Automate approvals and shorten hiring timelines.
    • 20-40% Cost Savings – Optimize vendor spend through real-time analytics.
    • Compliance Assurance – Stay ahead of ever-changing labor laws and risk regulations.
    • Scalability – Whether hiring seasonal workers or expanding globally, a VMS scales with your needs.
    • Stronger Vendor Relationships – Transparent communication fosters long-term partnerships. 

    For additional insights into technology-driven approaches to workforce management, refer to our blogs and articles on contingent workforce strategies.

    Challenges in Vendor Management & How a VMS Solves Them 

    1. Lack of Visibility & Data Fragmentation

    Challenge: Many companies rely on outdated spreadsheets or local files, leading to data silos and inefficiencies.

    Solution: A centralized VMS provides real-time access to vendor data, ensuring transparency and control. 

    1. Compliance & Legal Risks

    Challenge: Companies face increasing legal scrutiny regarding worker classification, taxation, and contract regulations.

    Solution: A VMS automates compliance tracking, reducing the risk of legal penalties and non-compliance issues. 

    1. Uncontrolled Costs & Rogue Spending

    Challenge: Without structured procurement processes, businesses lose thousands in unapproved vendor spending.

    Solution: A VMS enforces budget controls, ensuring only authorized vendors are engaged and negotiated costs are adhered to. 

    Organizations seeking additional insights on optimizing vendor engagement and overcoming common obstacles may find value in our in-depth session on building a roadmap for direct sourcing and effective vendor management. This standardization results in stronger vendor relationships and optimized spending.

    1. Slow Onboarding & Inefficient Processes

    Challenge: Lengthy vendor onboarding leads to delays in project execution and inefficiencies.

    Solution: A VMS automates vendor onboarding, ensuring faster approvals, contract execution, and vendor integration. 

    The Evolution of VMS in 2025 & Beyond 

    1. AI & Predictive Analytics: Advanced VMS platforms will use AI to predict workforce demand, optimize vendor selection, and analyze spending patterns.
    2. Blockchain for Enhanced Security: Blockchain integration will eliminate fraud, improve contract management, and enhance vendor transparency.
    3. Gig Economy & Total Talent Management: VMS will expand to manage full-time, part-time, freelance, and gig workers under one unified system.
    4. IoT & Real-Time Tracking: With IoT integration, businesses will track real-time vendor performance, ensuring quality control and productivity monitoring.

    Industries That Use a VMS

    A VMS is widely adopted across industries that rely on external vendors, contractors, and service providers. Here are some key industries leveraging VMS platforms:

    • Information Technology (IT): Managing IT consultants, project-based contractors, and offshore teams.
    • Healthcare: Streamlining staffing for temporary nurses, physicians, and administrative personnel.
    • Manufacturing & Supply Chain: Optimizing supplier networks and tracking vendor compliance.
    • Retail & E-commerce: Handling seasonal workforce demands and supplier partnerships.
    • Financial Services: Ensuring compliance and risk management for outsourced financial services.
    • Energy & Utilities: Managing vendors for infrastructure projects, maintenance, and compliance tracking.
    • Telecommunications: Coordinating global contractor networks and service providers.
    VMS systems function differently across industries while standardizing workforce management. Organizations must also recognize that, similar to other talent technology initiatives, the successful implementation and evolution of VMS require continuous training, robust change management, and structured feedback. For further insights on overcoming technology integration challenges, please refer to our analysis on ensuring long-term success of talent technology initiatives.

    Additional perspectives on emerging recruitment trends and technology’s role in transforming talent acquisition can be found in Catalyst Magazine, which details how digital transformation is reshaping industry practices.

    Is Your Business Ready for the Future of Vendor Management?

    As businesses navigate a complex, global, and tech-driven landscape, having a powerful Vendor Management System is no longer a luxury, rather it’s a necessity. A well-implemented VMS can drive cost savings, improve compliance, and provide critical workforce insights to help companies stay ahead of the competition. 

    If your organization isn’t leveraging a next-gen VMS, you risk falling behind in a rapidly evolving market. Buckle up and get ready to transform your vendor management strategy for 2025. 

    AMS specializes in tailored workforce solutions that help businesses maximize efficiency and reduce operational risks. Let’s discuss how we can help you optimize your Vendor Management System today!

    Contact us

    Want to drive talent results?

    When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








      How can we help you?*

      By AMS

      Projects often fail—not because of a lack of effort or capability, but due to misalignment, unclear expectations, and shifting priorities. According to PMI (2023), 37% of project failures stem from poor communication, while Wellingtone (2023) reports that 52% of inefficiencies result from poorly defined scopes. A well-structured Statement of Work (SOW) process is the key to mitigating these risks, ensuring projects remain on track, within budget, and aligned with strategic objectives.

      But how can businesses develop an SOW that drives successful execution? Let’s explore the essential elements of a robust SOW process, how to avoid common pitfalls, and how AMS can help streamline this critical function.

      What Is a Statement of Work (SOW)?

      An SOW is more than just a contractual document—it is the foundation of project success. It clearly defines project scope, deliverables, timelines, and responsibilities, creating alignment among all stakeholders. Without a structured SOW, organizations risk ambiguity, scope creep, and inefficiencies that can derail even the most well-planned initiatives.

      What Does a Statement of Work Do?

      A well-defined SOW process helps businesses:

      1. Establish clear expectations and responsibilities.
      2. Minimize risks associated with scope creep and misalignment.
      3. Improve efficiency and reduce costly delays.
      4. Enhance stakeholder collaboration and accountability.

      SOW vs. Scope of Work vs. Master Service Agreement

      While these terms are often used interchangeably, they serve different functions:

      1. Statement of Work (SOW): A project-specific document detailing deliverables, timelines, and expectations.
      2. Scope of Work: A subsection of the SOW that specifically outlines tasks and responsibilities.
      3. Master Service Agreement (MSA): A broader contract that establishes long-term business relationships, with SOWs defining individual projects within the agreement.

      Key Components of an Effective SOW Process

      • Defining the Scope: Setting the Right Boundaries

      A vague scope leads to project inefficiencies and mismanaged expectations. The first step in crafting an SOW is establishing clear project objectives:

      1. What problem does this project aim to solve?
      2. What are the expected outcomes?
      3. What elements are non-negotiable?

      Organizations that fail to define their scope effectively often face budget overruns and project delays. A precise scope not only reduces risk but also improves project efficiency by 52%, according to Wellingtone (2023).

      • Establishing Clear Deliverables and Milestones

      Ambiguity in deliverables can lead to misunderstandings, missed deadlines, and misallocated resources. A strong SOW process includes:

      1. Detailed descriptions of deliverables, leaving no room for interpretation.
      2. Defined quality standards and acceptance criteria to measure success.
      3. Milestone-based timelines to track progress and ensure accountability.

      By making expectations explicit, teams can avoid confusion and improve productivity.

      • Aligning Budgets and Payment Structures

      Financial disagreements can stall projects, creating friction between stakeholders. A well-structured SOW process should include:

      1. Clear payment terms (fixed-price, time & materials, or milestone-based payments).
      2. Billing schedules and approval workflows to maintain financial transparency.
      3. Contingencies for scope changes, reducing the risk of disputes.

      Organizations that clearly define financial terms in their SOW experience fewer project delays and budgetary conflicts.

      • Defining Success Metrics

      Success is subjective unless it is clearly defined. An SOW should establish measurable KPIs, ensuring that all stakeholders align on project goals. These metrics typically include:

      1. Timeliness: Are deliverables being met on schedule?
      2. Quality benchmarks: Are deliverables meeting the agreed-upon standards?
      3. Compliance: Are all industry and regulatory guidelines followed?

      By setting quantifiable success criteria, organizations can measure performance objectively and make data-driven improvements.

      • Risk Management and Contingency Planning

      Every project encounters unforeseen challenges. The key is having a plan in place. An SOW should anticipate potential roadblocks and outline strategies to mitigate risks, such as:

      1. Identifying dependencies that could impact timelines.
      2. Establishing contingency plans to handle unexpected disruptions.
      3. Creating a structured escalation process for resolving conflicts efficiently.

      Risk mitigation ensures that projects stay resilient in the face of challenges, reducing downtime and enhancing adaptability.

      • Finalizing the Agreement and Gaining Stakeholder Buy-In

      Even the most meticulously crafted SOW is ineffective if stakeholders do not fully understand or agree to its terms. To ensure alignment:

      1. Key decision-makers must review and approve the document.
      2. There should be a clear process for managing changes to the SOW.
      3. Expectations and responsibilities should be communicated clearly before project initiation.

      Stakeholder alignment minimizes the risk of disputes and enhances project execution efficiency.

      For further insights into establishing such comprehensive frameworks in talent acquisition, please review our advanced recruitment process orchestration framework, which elaborates on integrating strategic insights and agile principles to build responsive talent infrastructures.

      Types of SOWs and Their Applications

      Not all SOWs are the same. Different projects require different approaches. The three main types of SOWs include:

      1. Design and Detail SOW: Used for projects requiring precise specifications, such as engineering or construction. These SOWs are best suited for projects where the exact processes and methods are clearly defined and required to achieve the desired outcomes.
      2. Level of Effort SOW: Best for service-based agreements where work hours and expertise define the deliverables. This approach mirrors aspects of flexible frameworks discussed in our analysis on contingent process outsourcing, which emphasizes adaptive practices in talent management.
      3. Performance-Based SOW: Focuses on the desired outcome rather than how the work is performed, offering flexibility and innovation. These SOWs are applicable in scenarios where the success of a project is measured by specific deliverables and performance metrics.

      Turning a Good SOW Into a Great One

      A standard SOW process sets the stage for project execution, but a great SOW process elevates performance. To optimize an SOW:

      1. Be precise: Vague statements like “as soon as possible” introduce uncertainty. Clearly define timelines and expectations.
      2. Use measurable outcomes: Instead of broad goals like “improve efficiency,” specify targets such as “reduce processing time by 20% in six months.”
      3. Engage stakeholders early: Collaboration with key players ensures alignment from the start.
      4. Regularly review and refine: The business environment is dynamic, keeping an SOW adaptable is crucial for long-term success.
      5. Leverage technology: Project management tools can help monitor milestones, track progress, and maintain accountability.

      Common Challenges in the SOW Process

      Even with a well-structured SOW, challenges can arise. Ambiguities in language can lead to differing interpretations of project objectives. Misaligned expectations between parties may result in conflicts. Insufficient details in the document can cause confusion regarding responsibilities, timelines, or costs

      Some of the most common include:

      1. Ambiguity in requirements, leading to misinterpretation and inefficiencies.
      2. Lack of stakeholder buy-in, resulting in execution delays.
      3. Scope creep, causing budget overruns and extended timelines.
      4. Legal and compliance risks, especially in highly regulated industries.

      Key Takeaways

      A Statement of Work (SOW) is an essential tool in project management, providing clarity and structure for successful execution. It establishes a formal agreement outlining the project's scope, deliverables, timelines, and responsibilities. This framework reduces misunderstandings and disputes, aligning all parties with the project goals.
      A well-drafted SOW process ensures clear expectations, effective risk management, and budget control. It facilitates transparency and promotes collaboration among stakeholders. Understanding the different types of SOWs and their applications is crucial for tailoring the document to specific project needs. Drafting an effective SOW involves precise language and detailed descriptions to prevent ambiguities and scope creep.
      Regularly managing and updating the SOW process is vital for accommodating changes and maintaining alignment with evolving project objectives. This dynamic approach fosters trust and supports successful project outcomes.
      AMS offers insights into comprehensive strategies for aligning contingent labor with overall talent planning, which can inform effective risk management practices in project documentation integrating contingent labor into strategic talent planning. Organizations that proactively address these challenges can significantly improve project success rates.
      At AMS, we understand that an SOW is more than just a formality, it is a strategic tool that drives project clarity, compliance, and efficiency. Our expertise in workforce solutions ensures that your projects are structured for success from inception to completion.
      From developing high-impact SOWs to optimizing existing project frameworks, AMS provides tailored solutions that align with your organization’s objectives.

      A well-defined SOW process is not just about documentation, it is about delivering projects with precision, accountability, and efficiency.

      Is your organization equipped with the right tools and expertise to optimize its SOWs? The time to act is now.

      Contact us today to enhance your project execution strategy.

      Contact us

      Want to drive talent results?

      When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








        How can we help you?*

        By AMS

        The way we work is evolving at an unprecedented pace. Traditional full-time employment is no longer the only way businesses build their teams. Instead, the rise of the contingent workforce—freelancers, contractors, consultants, and gig workers—has transformed talent strategies across industries. 

        But here’s the catch: While contingent workers bring flexibility, innovation, and specialized expertise, managing contingent workforce effectively is a whole different ballgame. Without a strategic approach, businesses risk compliance headaches, disjointed workflows, and missed opportunities. 

        The Growing Influence of the Contingent Workforce 

        Let’s talk numbers: 

        1. Nearly 50% of the U.S. workforce will be contingent by 2027 (Statista). 
        2. 75% of Chief Procurement Officers rank managing contingent labor as a top priority, yet only 35% of organizations feel they have real visibility into it (Economist Impact). 
        3. 80% of businesses already rely on contingent workers in some capacity (Dayforce, 2023). 

        If you’re not proactively managing your contingent workforce, you’re falling behind. 

        Who Makes Up the Contingent Workforce? 

        Understanding who falls under this umbrella is key to leveraging their strengths: 

        1. Freelancers – Self-employed professionals offering services across various industries. 
        2. Consultants – Subject-matter experts providing strategic guidance. 
        3. Independent Contractors – Hired for specific projects or tasks, working without long-term commitments. 
        4. Gig Workers – On-demand workers engaged through digital platforms. 
        5. Temporary Staff – Short-term employees brought in for seasonal or project-based work. 

        While these workers bring agility and expertise, they also introduce challenges in compliance, classification, and integration. However, to best manage a contingent workforce, organizations typically pair an MSP with a vendor management system (VMS). The VMS centralizes contingent workforce management into one cloud-based platform, where users can perform actions such as initiating talent or project requests, evaluating project bids and hiring workers, reviewing timecards and expenses, onboarding and offboarding workers, and much more.  

        Best Practices for Managing a Contingent Workforce 

        To unlock the full potential of contingent talent, companies need a structured, tech-driven, and people-centric approach. 

        • Define a Clear Workforce Strategy

        Think of your workforce as an ecosystem, not just a collection of full-time employees and contractors. Align contingent labor with business objectives, and ensure HR, procurement, and leadership teams are on the same page.

        • Prioritize Seamless Onboarding

        First impressions matter. A poor onboarding experience can lead to disengagement and inefficiencies. Ensure contingent workers:

        Receive clear guidelines on their roles and responsibilities. 

        Gain access to necessary tools and resources. 

        Feel connected to company culture, even if working remotely.

        • Leverage Technology: VMS & MSP Solutions

        If you’re still managing contingent workforce through spreadsheets and emails, it’s time for an upgrade.

        A Vendor Management System (VMS) helps track spending, compliance, and performance. 

        Partnering with a Managed Services Provider (MSP) provides oversight, risk mitigation, and cost control. 

        • Stay Ahead of Compliance Risks

        Misclassifying a contractor as an employee can result in fines and legal troubles. Ensure compliance by:

        Accurately categorizing workers (1099 vs. W-2). 

        Keeping up with labor laws and tax regulations. 

        Utilizing third-party payroll providers when needed. 

        For further insights on aligning contingent workforce processes with organizational compliance frameworks, refer to our detailed discussion on contingent process outsourcing. 

        • Balance Workload Between Internal & External Teams

        Which tasks should be outsourced, and which should remain in-house?

        Outsource: Data entry, design, specialized IT work, and seasonal projects. 

        Keep In-House: Core business functions and strategic leadership roles. 

        By clearly defining these boundaries, you ensure efficiency and alignment. 

        • Track Performance & Engagement

        Just because someone isn’t a full-time employee doesn’t mean performance shouldn’t be measured. Set key performance indicators (KPIs), conduct regular check-ins, and make contingent workers feel valued through feedback and recognition.

        Why Companies Are Turning to Contingent Talent 

        It’s not just about cost savings (although that’s a big factor). The contingent workforce offers: 

        • Scalability – Businesses can expand or contract their workforce based on immediate needs. 
        • Cost Efficiency – No long-term salary commitments, benefits, or pensions. 
        • Access to Elite Talent – Specialized skills in high-demand fields like AI, cybersecurity, and digital marketing. 
        • Speed & Agility – Faster hiring cycles and quicker project execution compared to traditional recruitment. 

        But with these benefits come challenges: 

        • Compliance Risks – Misclassification of workers can lead to hefty legal penalties. 
        • Lack of Visibility – Many organizations struggle to track contingent labor costs and productivity. 
        • Integration Issues – Ensuring external workers align with company culture and processes can be tricky. 
        • Engagement Gaps – Contingent workers often feel disconnected from an organization’s mission. 
        • Candidate experience: Ensuring a positive candidate experience for contingent workers. 

        Managing compliance is a significant issue, as contingent workers must be integrated legally within organizational processes. Managing a contingent workforce comes with its share of benefits and challenges, but when done right, it can be a game-changer for your business. It’s all about finding the right balance, ensuring agility while staying compliant and keeping costs in check. A well-thought-out approach to contingent labor doesn’t just fill gaps; it strengthens your talent strategy, aligns staffing with your business goals, and gives you the flexibility to scale as needed. When businesses integrate contingent workers strategically, they create a more adaptable, efficient workforce that drives long-term success.

        Why a Centralized Approach Wins 

        Managing contingent workforce in silos leads to inefficiencies and blind spots. A centralized strategy offers: 

        • Better Cost Control – No more hidden expenses. 
        • Stronger Compliance – Reduced legal risks. 
        • Seamless Collaboration – Contingent workers feel more integrated. 
        • Higher Productivity – Optimized workflows between internal and external teams. 

        Key Takeaways for Managing a Contingent Workforce 

        Effective management of a contingent workforce is crucial for aligning operational agility with business goals. It enhances organizational capability by providing access to specialized skills and flexible staffing solutions. Properly managed contingent labor ensures compliance with labor laws, optimizes costs, and supports strategic workforce planning. 

        • Flexibility and Efficiency: Contingent workforce management allows organizations to adjust staffing levels in response to project demands, ensuring business continuity and efficiency. 
        • Access to Specialized Skills: Engaging contingent workers provides access to expertise that may not be available internally, enabling innovation and the completion of specialized projects. 
        • Cost Optimization: Utilizing contingent labor can result in significant cost savings compared to traditional staffing models, especially when direct sourcing strategies are employed. 
        • Compliance Assurance: Implementing robust processes ensures adherence to legal standards, mitigating risks associated with worker misclassification and other compliance issues. 
        • Enhanced Candidate Experience: Focusing on the candidate experience for contingent workers fosters engagement and satisfaction, ultimately leading to improved performance and retention. 

        Organizations that master these practices can effectively integrate contingent labor into their broader talent strategies. This integration supports workforce flexibility and aligns with long-term objectives, ensuring that businesses remain competitive in a dynamic market. By prioritizing effective contingent workforce management, companies can enhance their talent acquisition processes, better meet the demands of evolving market conditions, and achieve sustainable success.

        At AMS, we help businesses master the art of managing contingent workforce. Our expertise in MSP solutions, vendor management, and strategic workforce planning ensures you’re not just filling gaps—but building a competitive, agile workforce. 

        🔹 Need better visibility into your contingent workforce? 

        🔹 Struggling with compliance and classification? 

        🔹 Want to maximize cost efficiency and talent quality? 

        Let’s talk. Contact AMS today to transform your workforce strategy. 

        Contact us

        Want to drive talent results?

        When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








          How can we help you?*

          By AMS

          The way we work is changing fast. Today, nearly 40% of the U.S. workforce consists of contingent workers—freelancers, contractors, and gig workers. Businesses are embracing flexible staffing solutions, but many still overlook a crucial factor: employer branding.In current times, why Employer Branding Matters in Contingent Workforce is a question that more organizations need to consider. Employer branding extends beyond the permanent workforce. It plays a crucial role in attracting and retaining contingent workers. This group, integral to many organizations, requires a consistent and compelling employer brand to ensure their engagement and productivity.

          In a competitive job market, contingent professionals evaluate potential employers based on their reputation, transparency, and alignment with personal and career goals. If companies fail to position themselves as desirable workplaces, they risk losing skilled contingent workers to competitors.

          So, how can organizations craft a compelling employer brand that resonates with contingent workers?

          Let’s explore the strategies that make a difference.

          Understanding Employer Branding in the Contingent Workforce

          What Is Employer Branding, and Why Does It Matter?

          Think of employer branding as your company’s reputation as a workplace. It reflects what current and potential employees—both full-time and contingent—think about working with you.

          Employer branding for contingent workers involves communicating an organization's culture, values, and work environment. This communication shapes how contingent workers perceive their roles and the organization itself. It is about creating an environment where contingent workers feel valued and aligned with the company's ethos. This alignment is essential in a competitive market where top talent is in high demand.

          • Reputation: Establish a positive image that resonates with contingent workers, making them eager to associate with the organization.
          • Proposition: Offer a clear value proposition that highlights the benefits and opportunities available to contingent workers.
          • Experience: Ensure a seamless and engaging experience for contingent workers, from recruitment through their tenure.

          Maintaining a strong employer brand for contingent workers enhances their satisfaction and loyalty. It ensures that they remain motivated and committed, contributing effectively to the organization's goals. A well-defined employer brand is a strategic asset that aids in attracting a diverse and skilled contingent workforce. Research shows that companies with strong employer branding reduce hiring costs by up to 50% while attracting higher-quality talent.

          Why Employer Branding Matters In Contingent Workers?

          Traditionally, employer branding has focused on full-time employees, but that approach is outdated. Contingent workers are now essential to business success, and they have high expectations for the companies they choose to work with.

          A 2024 survey found that 82% of contingent workers consider employer reputation before accepting assignments. They seek organizations that offer transparency, fair compensation, and a sense of belonging. Without a strong employer brand, businesses may struggle to attract and retain the best contingent talent.

          The Role of Employer Branding in Attracting Contingent Talent

          Employer branding significantly influences the attraction of top-tier contingent workers. Contingent workers, unlike permanent employees, often prioritize flexibility, diverse experiences, and opportunities for skill enhancement. They seek environments where they can contribute meaningfully without long-term commitments, valuing autonomy and project diversity over traditional job security. For these workers, a strong employer brand that communicates value and an appealing work culture is essential.

          So, you might now have this question, what Makes a Great EVP?

          An Employer Value Proposition (EVP) is a clear message about why people should work with your company. For contingent workers, an EVP should highlight:

          • Flexibility and work-life balance
          • Fair and transparent pay structures
          • Opportunities to develop new skills
          • A culture that values all workers, not just full-time staff

          How should you now think of communicating your EVP to Contingent Workers?

          A great EVP is only effective if it reaches the right audience. Companies can promote their EVP through:

          • Freelancer and gig platforms
          • Social media engagement on LinkedIn, Twitter, and industry-specific forums
          • Authentic employer branding videos and worker testimonials
          • Clear, transparent job descriptions

          By aligning employer branding with the motivations of contingent workers, organizations can attract a skilled and dynamic contingent workforce.

          Aligning Employer Branding with Strategic Workforce Planning

          Employer branding directly influences the retention of contingent workers. A strong employer brand that connects with target talent fosters a sense of belonging and loyalty, crucial for maintaining a stable and committed contingent workforce. This connection is vital as contingent workers seek environments where they feel valued and motivated.

          Employer branding initiatives create a supportive and inclusive work environment by clearly communicating the organization's culture and values. This transparency helps contingent workers align with the company's mission, enhancing their engagement and commitment. When contingent workers perceive an organization's brand as authentic and inclusive, they are more likely to remain with the company.

          Strategies to retain contingent workers through effective employer branding include:

          • Supportive Environment: Foster a workplace culture that values diversity, equity, and inclusion, ensuring contingent workers feel respected and integral to the team.
          • Clear Communication: Maintain consistent messaging about the company’s goals and expectations, helping contingent workers understand their role and significance within the organization.
          • Professional Development: Offer opportunities for skill enhancement and career growth, demonstrating a commitment to the long-term success of contingent workers.
          • Recognition and Rewards: Implement programs that acknowledge the contributions of contingent workers, boosting their morale and satisfaction.

          These strategies, when aligned with an organization's employer branding efforts, significantly enhance the retention of contingent workers. For further insights on advancing diversity and inclusion to improve retention outcomes, refer to our perspectives on internal career mobility strategies that drive inclusivity.

          Key Elements of an Effective Employer Brand for Contingent Workers

          An employer brand for contingent workers must speak to what they want. They look for flexibility, good pay, and a match with their values. A strong brand brings these elements together.

          Flexibility leads the list. Contingent workers need work arrangements that fit their lives. When you show you support flexible schedules and remote work, you attract better talent.

          Pay drives decisions. A fair compensation package that matches market rates demonstrates that you value the skills of contingent workers. Transparent information about pay and benefits builds trust.

          Values create connections. Contingent workers choose organizations that share their outlook. Sharing your mission, values, and social impact can help workers see themselves in your culture. For comprehensive insights on how to align recruitment strategies with organizational values and enhance candidate experience, refer to our article on innovative hiring strategies to face today’s challenges.

          An unordered list of effective employer brand attributes for contingent workers:

          • Flexibility: Promote adaptable work arrangements and remote work options.
          • Competitive Compensation: Ensure fair pay that reflects market standards and contributions.
          • Value Alignment: Communicate the organization's mission and values clearly.
          • Skill Development: Offer opportunities for learning and professional growth.
          • Inclusive Culture: Foster an environment where diverse perspectives are valued and included.

          For further discussion on addressing challenges in today's contingent labor landscape, consider exploring our insights on improving direct sourcing approaches for contingent workers.

          Building an employer brand that attracts and retains contingent workers involves showcasing these benefits effectively across your communication channels.

          Challenges and Trends in Employer Branding for Contingent Workforces

          Employer branding shapes how contingent workers view your company. Modern workforces want flexibility, independence, and diverse projects. Your brand must reflect these values.

          Bad reviews impact your reputation. Build trust through open communication and real values. Show contingent workers your commitment to fairness and inclusion through actions, not just words.

          Technology strengthens contingent worker connections. Digital platforms and AI trends in talent acquisition reveal what candidates want, helping you build better brands. This creates smoother hiring and better experiences.

          Key branding trends include:

          • Personalization: Create messages that speak to individual contingent workers and recognize their specific skills and goals.
          • Sustainability focus: Show your commitment to environmental practices and social responsibility to attract conscious talent.
          • Remote work facilitation: Showcase your remote work infrastructure and flexible scheduling options. Organizations can also benefit from insights on global remote workforce strategies, as outlined in our discussion of borderless hiring trends in the APAC region.
          • Continuous feedback: Build feedback loops to understand contingent worker experiences and refine engagement.
          • Data-driven insights: Track branding performance through analytics to guide improvements.

          This strategy attracts exceptional contingent talent to your organization.

          Recap of Why Employer Branding Matters for Contingent Workers

          Employer branding attracts and retains contingent workers by shaping how they see your organization. When workers connect with your brand, they engage more, produce better work, and feel part of the team. A strong brand shows contingent workers they matter and helps them connect with your values and mission.

          Organizations that embrace flexible work and share their purpose attract exceptional contingent talent. These workers seek environments that respect their independence while offering paths to grow their skills and advance their careers.

          A strong employer brand creates an inclusive workplace where contingent workers receive recognition for their work. This leads to satisfied workers who stay longer and deliver consistent results.

          Companies that build authentic employer brands bring in talented, driven contingent workers. The rise of the contingent workforce makes employer branding essential for success.

          • Engagement: Create a brand that connects with contingent workers and strengthens their bond with your organization.
          • Flexibility: Show how your flexible work options welcome diverse talent.
          • Value Alignment: Share your mission and values to build meaningful connections with workers.
          • Recognition: Create programs that celebrate contributions and boost worker satisfaction.

          Employer branding helps you build lasting relationships with contingent workers.

          Contact us

          Want to drive talent results?

          When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








            How can we help you?*

            By AMS

            Is your company culture evolving fast enough to keep up with the changing workforce? The evolution of Contingent Workforce Solutions is transforming how businesses attract top talent, streamline operations, and foster inclusive, agile workplaces. As you might know, in today’s economy, adaptability is key; which means, companies that embrace flexible staffing solutions can pivot quickly, optimize costs, and stay ahead of shifting market demands.

            As you might know, the shift toward contingent work isn’t just about cost savings—it’s about adaptability. With advances in staffing technologies, the rise of remote workforce solutions, and a growing emphasis on skills-based hiring, companies must move beyond outdated hiring models. AI-powered recruitment tools and workforce management platforms are making it easier than ever to engage top talent, manage compliance, and build agile, future-ready teams.

            In this blog, we’ll explore how with time, the evolution of and in return, how organizations are making use of these strategies to drive long-term success.

            The Transition From Procurement to HR-Led Management

            Did you know that contingent workers now make up nearly 36% of the U.S. workforce? (Source: Bureau of Labor Statistics). The shift toward contingent employment isn’t just about cost-cutting, but rather it’s about workforce agility as well.

            Companies that embrace flexible staffing solutions can scale their operations quickly, access specialized talent, and drive innovation faster than those tied to traditional hiring models. Organizations are increasingly shifting the responsibility for managing contingent workforces from procurement departments to HR, a trend highlighted in what’s hot in the world of talent acquisition that outlines the move toward viewing contingent workers as strategic assets.

            As the role of contingent workers evolves, so does the way organizations manage them. More businesses are moving contingent workforce oversight from procurement teams to HR.

            Why?

            Because talent is no longer just a commodity—it’s a strategic advantage. Viewing contingent workers as an essential part of the workforce rather than a cost-saving measure enables companies to align workforce strategies with overall business goals.

            An HR-led approach to contingent workforce management fosters:

            • Stronger alignment with business goals: When HR takes the lead, contingent workforce strategies support broader company objectives, ensuring the right talent is in place to drive growth.
            • Greater workforce agility: HR professionals can adjust staffing strategies based on market demands, making it easier to pivot when business needs change.
            • Improved talent management: HR-led programs focus on onboarding, engagement, and development, helping contingent workers become more productive and integrated into company culture.
            • Enhanced compliance and governance: HR teams are better equipped to navigate labor laws and internal policies, reducing risks associated with contingent labor.

            Transitioning to an HR-led model requires seamless integration between Vendor Management Systems (VMS) and HR systems. Organizations must break down silos between contingent and full-time workforce planning to create a cohesive talent strategy.

            For further insights into overcoming challenges with today’s contingent labor programs, refer to our discussion on direct sourcing challenges and solutions, which emphasizes the importance of cohesive talent acquisition processes across both permanent and contingent staff.

            How Technology is Driving Workforce Evolution

            The way businesses manage talent is undergoing a major shift, and the evolution of Contingent Workforce Solutions is at the center of this transformation. From AI-powered hiring platforms to advanced staffing technologies, digital innovation is redefining how companies attract, engage, and retain contingent workers. With 74% of U.S. companies now offering remote work (Gallup, 2023), businesses must embrace technology-driven workforce solutions to stay competitive.

            Early vendor management tools were primarily focused on procurement, tracking costs, and managing contracts. But today’s AI-driven workforce platforms do much more. They seamlessly integrate with HR and talent acquisition systems, enabling businesses to make data-driven decisions, enhance compliance, and build a more agile workforce.

            Companies are also tapping into freelance management systems, allowing direct access to highly skilled talent. AI and automation streamline onboarding, ensure skills-based hiring, and improve compliance tracking, making it easier for businesses to scale quickly. For example, AMS successfully transformed a decentralized contingent hiring process into a streamlined, compliant model for a leading engineering and advisory firm, resulting in significant cost savings and enhanced stakeholder satisfaction through a centralized contingent program.

            As the evolution of Contingent Workforce Solutions continues, companies that leverage real-time analytics, AI-driven decision-making, and automation will gain a critical edge.

            The question is—how prepared is your organization to embrace these workforce advancements?

            Detailed insights into these tools and their transformative impact on talent acquisition can be found in our talent technology translator resource.
            • Enhanced Compliance: New platforms help companies remain within regulations and reduce risk.
            • Real-Time Analytics: Leaders have immediate access to workforce data to plan more effectively.
            • Process Automation: Automated workflows reduce paperwork and save time.

            This technology enables companies to manage contingent workers more effectively and to adapt swiftly to evolving market needs.

            Strategic Benefits of Optimized Contingent Workforce Management

            The evolution of Contingent Workforce Solutions has redefined how businesses leverage non-permanent talent to drive growth, agility, and efficiency. It’s no longer just about filling short-term gaps. Companies that take a strategic approach to contingent workforce management gain a competitive edge in today’s fast-moving market.

            • Better Visibility, Smarter Decisions

            Without clear insight into contingent workforce performance, businesses risk inefficiencies, compliance issues, and missed opportunities. Data-driven workforce management changes that. With real-time analytics, organizations can spot trends, adjust workforce planning on the fly, and align talent strategy with business goals.

            Companies looking to maximize the value of their contingent workforce should explore how technology-driven insights enable better decision-making. Our roundtable discussion on leveraging technology highlights how businesses use AI and real-time data to refine workforce strategies and optimize non-permanent talent. Data shows workforce patterns in real-time, helping teams adapt quickly.

            • Stronger Compliance, Lower Risk

            Regulatory requirements for contingent labor are complex and constantly changing. Businesses that fail to track compliance effectively can face legal challenges, reputational damage, and financial penalties. Today’s workforce management systems help companies stay ahead by automating compliance processes, generating audit-ready reports, and ensuring every contingent worker meets industry standards.

            With strong governance and transparency, organizations don’t just avoid risks, they build trust and credibility among both workers and stakeholders.

            • Cost Savings & Workforce Efficiency

            An optimized contingent workforce strategy doesn’t just cut costs but it improves overall financial health. Businesses that manage contingent workers strategically see:

            • Lower hiring costs through AI-driven recruitment and direct sourcing
            • Faster project turnaround with the right mix of talent and automation
            • Higher workforce productivity by aligning skills with business needs

            Take, for example, a Fortune 500 tech company that struggled with high turnover in its software engineering division. By adopting flexible staffing solutions, implementing AI-driven hiring tools, and expanding remote workforce solutions, they achieved:

            • 30% reduction in hiring costs
            • 40% faster project completion rates
            • 25% increase in employee satisfaction

            The result?

            A resilient, future-ready workforce that adapts quickly to market demands and business shifts.

            The Cultural Impact of Contingent Work

            As companies integrate more contingent workers, cultural shifts become inevitable. How do you maintain a cohesive work environment when a significant portion of your team isn’t on payroll full-time?

            1. Collaboration Without Borders- Traditional team structures are evolving as contingent workers collaborate across time zones. Businesses must invest in digital communication tools and talent acquisition strategies that foster seamless collaboration between full-time employees and contingent staff.
            2. Diversity, Equity, Inclusion & Belonging (DEI&B)- A contingent workforce brings diverse perspectives, enhancing problem-solving and innovation. However, ensuring that contingent workers feel included in company culture requires intentional DEI initiatives. Companies with strong DEI programs report a 35% increase in financial performance (McKinsey, 2023).
            3. The Gig Economy Mindset- Contingent workers often value flexibility over traditional employment benefits. Companies that embrace workforce agility by offering project-based incentives and career development opportunities can build stronger relationships with contingent talent.

            Future Trends in Contingent Workforce Solutions

            The evolution of Contingent workforce solutions continue through technology advances, economic changes, and new workforce needs. Organizations value contingent workers as core team members and seek modern staffing approaches.

            Key trends shape the future of contingent workforce solutions:

            • Skills-Based Hiring: Organizations hire based on skills over traditional credentials. This opens access to diverse talent and creates better role matches.
            • Global Workforce Expansion: Companies hire talent worldwide through remote work. This expands available skills and expertise while reducing geographic limits.
            • AI Integration: AI tools enhance workforce solutions by streamlining processes and improving decisions. Organizations gain better insights and manage compliance with greater efficiency.
            • Direct Sourcing: Private talent pools help organizations hire faster and engage candidates better. This leads to higher quality hires and faster placement times.
            • Compliance and Risk Management: Modern systems handle compliance tasks automatically. Organizations receive detailed reports to navigate regulations with confidence.

            Organizations must embrace these changes by combining technology with strategic planning. This creates flexible contingent workforce programs ready for market shifts.

            Final Words

            The evolution of Contingent Workforce Solutions is not just a trend; it’s the future of work. Companies that proactively adapt will not only attract top talent but also build a culture that thrives on innovation and inclusivity.

            How is your organization preparing for this transformation?

            Connect with AMS to explore customized Contingent Workforce Solutions that drive agility, efficiency, and cultural transformation.

            Contact us

            Want to drive talent results?

            When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








              How can we help you?*

              By AMS

              What if the traditional 9-to-5 workforce became the exception rather than the norm? The modern workforce is undergoing a dramatic shift. As we step into 2025, traditional employment models are being redefined by flexible work arrangements, gig economy expansion, and rapid technological advancements. The rise of contingent workforces is no longer a trend, but rather a transformation. Companies are prioritizing agility, leveraging freelancers, contract employees, and gig workers to remain competitive in an evolving business landscape. This shift necessitates a new approach to talent acquisition and management, making understanding the key 8 Contingent Workforce Trends to Watch in 2025 crucial.

              With these shifts, organizations must rethink talent acquisition and workforce management strategies. The growing reliance on contingent workers creates both opportunities and challenges.

              The question is: How can businesses prepare for the changing workforce dynamics?

              8 Contingent Workforce Trends to Watch in 2025 and Beyond

              From digital transformation to evolving labor laws, businesses must anticipate workforce changes to maintain a competitive edge. Data analytics reveals workforce trends and helps create targeted programs for specific challenges. Data analytics reveals workforce trends and helps create targeted programs for specific challenges. Strong strategies adapt to market shifts and changing workforce needs, as discussed in Catalyst Magazine by AMS, which highlights significant trends shaping talent acquisition and the importance of ethical AI in recruitment.  

              Here are the 8 Contingent Workforce Trends to Watch in 2025 and what they mean for your business.

              • The Gig Economy Becomes Business as Usual

              Once viewed as a secondary income stream, the gig economy is now a core component of workforce strategy. By 2025, nearly 35% of the global workforce will be made up of gig workers, according to industry estimates. Companies are increasingly integrating freelance jobs and contract-based work into their long-term hiring plans, using some platforms to access specialized talent. Understanding contingent workforce management best practices is essential for effectively leveraging this growing segment.

              To stay competitive, businesses must develop strategic approaches to staff augmentation that allow them to tap into the gig economy efficiently while maintaining operational continuity.

              • AI-Powered Workforce Management Solutions

              AI is transforming workforce management, making it easier to predict labor needs, streamline hiring, and optimize workforce planning. By 2025, more than 50% of companies will be using AI-powered workforce management solutions to automate talent acquisition, optimize staffing levels, and improve compliance with employment regulations. Digital tools make managing contingent workers simple. Modern platforms speed up hiring and help teams work together smoothly. This keeps work flowing even when teams are spread out. For more insights on the evolution of flexible work arrangements, particularly in sectors like Pharmaceutical and Life Sciences, explore our discussion on the shift towards flexible work in talent acquisition. 

              Advanced workforce analytics tools will help businesses gain insights into productivity trends, allowing for data-driven decision-making. Predictive analytics will play a crucial role in employee engagement strategies, ensuring that contingent workers feel valued and motivated.

              • Remote Work Becomes the Default for Contingent Talent

              With over 70% of contingent workers preferring remote opportunities, remote work trends are shaping how businesses structure their workforce. The rise of digital nomads that includes professionals working remotely across different locations, further underscores the necessity of investing in robust virtual collaboration tools like Slack, Microsoft Teams, and Zoom.

              To maintain efficiency, businesses will need to implement strategies that support asynchronous communication, enhance team cohesion, and ensure seamless integration between remote and on-site workers.

              • Diversity, Equity, and Inclusion (DEI) in Contingent Hiring

              DEI initiatives are no longer exclusive to full-time employees. In 2025, companies will extend inclusive hiring practices to contingent workers, ensuring contract employment opportunities are equitable and accessible to underrepresented groups. Research shows that organizations with diverse teams experience 35% higher financial performance, making DEI a critical component of contingent workforce planning.

              To attract top-tier contingent talent, companies must establish fair compensation practices, create inclusive work environments, and leverage workforce management solutions that eliminate bias in hiring.

              • Workforce Analytics Drives Smart Decision-Making

              Data-driven talent strategies will be essential for optimizing contingent workforce management. Workforce analytics tools will enable businesses to:

              • Identify skill gaps and optimize staffing levels
              • Track contingent worker performance metrics
              • Forecast labor demands with predictive modeling
              • Enhance employee engagement strategies for better retention

              By 2025, 60% of HR leaders will use workforce analytics to enhance decision-making and workforce planning, ensuring they remain agile and competitive.

              • Stricter Regulations for Contract Employment

              Governments worldwide are tightening labor laws to protect contingent workers, making compliance a top priority for businesses. Laws like California’s AB5 and the UK’s IR35 are reshaping contract employment regulations, requiring organizations to properly classify workers to avoid legal repercussions.

              Companies must stay informed about evolving labor laws and leverage workforce management solutions to ensure compliance. Failure to do so could result in significant fines and reputational damage.

              • Employee Engagement Strategies Extend to Contingent Workers

              Contingent workers are often overlooked in employee engagement strategies, leading to decreased productivity and high turnover. In 2025, companies will prioritize engagement initiatives that include all workers, regardless of employment type.

              To retain top-tier talent, businesses will need to:

              • Provide professional development opportunities
              • Offer performance-based incentives
              • Foster a strong workplace culture that includes contingent employees

              Ensuring that contingent workers feel valued and included will improve retention and overall workforce stability.

              • The Rise of Hybrid Workforce Models

              Hybrid workforce models, blending full-time employees, contract workers, and gig professionals are becoming the standard. By 2025, 80% of large enterprises will adopt hybrid workforce strategies to enhance agility and cost efficiency.

              Hybrid models allow businesses to:

              • Scale operations quickly based on demand fluctuations
              • Access specialized skills without long-term commitments
              • Improve cost efficiency by optimizing workforce distribution

              Organizations that successfully implement hybrid workforce models will achieve greater resilience in an increasingly unpredictable business environment.

              Key Takeaways for Contingent Workforce Planning

              The shift toward a flexible workforce is accelerating, requiring organizations to rethink their talent acquisition and management strategies. By understanding and leveraging these 8 Contingent Workforce Trends to Watch in 2025, businesses can stay ahead of the competition. Effective contingent workforce solutions are no longer optional, but essential for success.

              Actionable Insights:

              • Adopt AI & Workforce Analytics: Utilize AI-powered tools to optimize hiring and workforce analytics for smarter decision-making.
              • Embrace Remote Work & Digital Nomads: Invest in technology that facilitates remote work integration and collaboration.
              • Enhance DEI in Contingent Hiring: Implement inclusive hiring practices and equitable pay structures.
              • Ensure Compliance with Labor Laws: Stay updated on contract employment regulations to avoid legal risks.
              • Strengthen Employee Engagement Strategies: Foster a workplace culture that includes and values contingent workers.
              • Implement Hybrid Workforce Models: Combine full-time, contract, and gig workers for greater agility and efficiency.

              Organizations that integrate these trends into their workforce planning will be well-positioned to attract top talent, enhance operational flexibility, and drive sustainable growth.

              The Future of Contingent Work: Are You Ready?

              The evolution of the contingent workforce presents both challenges and opportunities. Companies that proactively adapt to these workforce trends will gain a competitive edge in talent acquisition, workforce management, and operational efficiency.

              Whether you’re a business leader, HR professional, or freelancer, the future of work is contingent—and the time to prepare is now.

              Are you ready to optimize your contingent workforce strategy? Contact AMS for getting the right support you need.

              Contact us

              Want to drive talent results?

              When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








                How can we help you?*

                By AMS

                Did you know that nearly 40% of today’s workforce is made up of contingent workers? From freelancers to contract professionals, businesses are increasingly relying on flexible staffing solutions to stay competitive. But here’s the challenge; managing this workforce effectively is no small feat. That’s where understanding the benefits of using a contingent workforce solutions provider becomes crucial. These providers offer expert contingent workforce management solutions, making all the difference in navigating this complex landscape. 

                Post-pandemic, the contingent workforce has become even more significant. Businesses recognize the benefits of using a contingent workforce solutions provider for agility and cost-effectiveness. The pandemic accelerated this trend, with many companies opting for flexible workforce models to navigate uncertainty and maintain operational efficiency. Now, companies are increasingly relying on these workers to access specialized skills, maintain work quality, manage turnover, reduce labor costs, and improve hiring team satisfaction. 

                This article aims to shed light on the numerous benefits of using a contingent workforce solutions provider. It will provide insights into how contingent workforce solutions can enhance your business operations. Let’s delve into the details. 

                Understanding Contingent Workforce Solutions 

                A contingent workforce consists of independent contractors, freelancers, and temporary workers. These workers are typically engaged on an as-needed basis. 

                Contingent workforce solutions involve strategic management of these non-permanent employees. Providers in this space help businesses streamline their contingent staffing processes. They offer expertise in areas such as compliance, risk mitigation, and workforce optimization. The different categories of CWS are: 

                • Freelancers: Professionals offering expertise on a project basis. 
                • Independent Contractors: Individuals providing specialized services without long-term commitments. 
                • Gig Workers: On-demand workers for short-term tasks. 
                • Temporary Staff: Employees hired for specific periods or projects. 
                • Workers under SOW: Engaged for defined project deliverables. 

                By collaborating with a contingent workforce solutions provider, companies can efficiently manage their diverse talent pool. This strategic partnership ensures businesses meet their staffing demands while maintaining flexibility. 

                Why Are More Companies Embracing Contingent Workforce Solutions? 

                The rise of contingent workers is not just a passing trend; it's a fundamental shift in how businesses approach staffing and projections suggest that by 2050, contingent workers will make up 50% of the U.S. workforce by 2050. 

                But why this shift? What makes companies move away from traditional hiring models and embrace contingent workforce management solutions? 

                The answer is simple: agility, cost savings, and access to specialized skills. Organizations need to adapt quickly to changing market demands, and hiring full-time employees for every role is no longer the most efficient strategy. Workforce management tools and expert providers help businesses navigate these challenges seamlessly. 

                Key Benefits of Contingent Workforce Solutions 

                Organizations increasingly turn to contingent workforce solutions to address various business challenges effectively. The benefits include cost savings, enhanced diversity, and operational flexibility, which are crucial for overcoming skill gaps and meeting fluctuating project demands. Let’s discuss each of the benefits of using a contingent workforce solutions provider in detail:

                • Flexibility and Scalability 

                Imagine needing to scale up your team for a product launch but scaling down once the project is complete. With a contingent workforce, you can do exactly that, by which it means, “hire when needed, release when the work is done”. This is a core benefit of using a contingent workforce solutions provider.

                A Contingent Workforce Solutions Provider ensures you have the right talent at the right time, eliminating the costs and complexities of full-time employment. In today’s uncertain economy, this flexibility is a game-changer. Contingent workforce solutions provide unmatched flexibility. Companies can adjust their workforce size based on current project needs. This approach helps businesses maintain productivity during peak seasons without overstaffing during slower periods. 

                • Cost Savings and Efficiency 

                Cost savings are a significant benefit of contingent workforce solutions. Traditional hiring comes with long-term financial commitments like salaries, benefits, training, and severance costs. Contingent workforce solutions cut down these expenses, allowing companies to allocate resources more efficiently. 

                A Deloitte's Global Human Capital Trends Report states that 41% of companies expect to increase their use of contingent workers. Why? Because hiring contingent workers saves money while maintaining quality and productivity. 

                • Access to Specialized Skills 

                Whether you need a data scientist for a six-month AI project, or a cybersecurity expert to fortify your digital defenses, hiring full-time specialists for temporary needs isn’t always feasible. 

                Contingent workforce solutions connect businesses with highly skilled professionals on demand, ensuring projects are completed with the right expertise, without unnecessary overhead costs. 

                • Risk Management and Compliance 

                Managing independent contractors and gig workers comes with legal risks such as worker misclassification, tax implications, and regulatory compliance. Any misstep could lead to lawsuits or hefty fines. 

                A Contingent Workforce Solutions Provider handles these complexities for you, ensuring compliance with labor laws, reducing legal risks, and protecting your business from potential liabilities. 

                For more insights on how contingent hiring is evolving, especially with the shift from procurement to HR, explore our Catalyst Magazine's discussion on talent acquisition trends. 

                Leveraging Workforce Management Tools 

                Technology plays a crucial role in managing a contingent workforce effectively. Workforce management tools and Vendor Management Systems (VMS) provide businesses with: 

                1. Real-time workforce visibility: Track and manage contingent staff efficiently. 
                2. Data-driven insights: Use analytics to optimize hiring decisions. 
                3. Automated compliance tracking: Avoid legal pitfalls and misclassification risks. 
                4. Efficient talent acquisition: Streamline hiring through AI-powered matching. 

                By leveraging these tools, companies can create a well-structured, high-performing contingent workforce strategy. 

                Choosing the Right Contingent Workforce Solutions Provider 

                Selecting an appropriate contingent workforce solutions provider is crucial for success. Start by evaluating your specific business needs and objectives. Providers should align with these goals and demonstrate expertise in your industry. It's essential to assess their track record and client testimonials. 

                Also, consider their technological capabilities and how they integrate with your existing systems. Communication is key, so ensure they offer clear reporting and support. Finally, prioritize flexibility and the ability to scale with your business. An ideal partner will adapt to changing requirements and facilitate long-term growth. 

                Summarizing the Benefits of Contingent Workforce Solutions 

                Contingent workforce solutions don’t just help businesses keep up, they help them get ahead. In today’s fast-moving market, agility is everything. By integrating flexible staffing solutions, you can scale your team up or down as needed, reduce costs, and tap into specialized skills that give you a competitive edge. 

                Think of it this way: why pay for a full-time team when you can access top talent exactly when and where you need it? Contingent workers bring fresh ideas, diverse expertise, and the ability to accelerate projects without long-term commitments. It’s a win-win for businesses looking to stay lean, efficient, and future-ready. 

                Are you leveraging the benefits of contingent workforce solutions to their full potential? 

                At AMS, we help businesses like yours build agile, high-performing workforces through strategic contingent workforce management solutions. Our expertise ensures compliance, cost efficiency, and access to the best talent—so you can focus on growth. 

                Let’s build a smarter workforce together. Get in touch with AMS today. 

                Related links

                More articles

                who benefits from dei
                Blogs & Articles

                Who Benefits from DEI and Why It Matters?

                Who does DEI benefit? Discover how inclusive workplaces lift profit, innovation, and employees across every demographic, backed by McKinsey and Deloitte data.

                AMS DEI
                News

                AMS achieves Leader and Star Performer status in Everest Group’s Global RPO PEAK Matrix®

                AMS, the global talent solutions business, has announced that it has achieved Star Performer status and again been named a Leader in the Everest Group’s Recruitment Process Outsourcing (RPO) Services PEAK Matrix® Assessment 2025. This celebrated accolade marks fifteen years in a leadership position for AMS.

                Whitepaper

                Skills-based approaches in action: real world case studies

                This paper explores how five global organizations made the shift—from concept to results. Download it now and discover what’s possible with a skills-first approach.

                Talent is our world.

                Discover how we can help you build a world-class workforce.

                Talk to us
                By AMS

                The way businesses find and manage talent is evolving faster than ever. Companies today need to be agile, balancing cost-efficiency, workforce scalability, and access to top talent. This is where these two terms, Contingent Workforce Solutions (CWS) and Recruitment Process Outsourcing (RPO) becomes a crucial conversation.  

                But here’s the challenge, while they might seem similar at first glance, they serve distinct purposes and offer different benefits. Understanding the differences between CWS and RPO can help businesses make informed decisions about which solution best fits their needs. 

                So, how do you know which one fits your needs?  

                More importantly, are you using these solutions in a way that drives business success, or are you unknowingly leaving growth opportunities on the table? 

                In this article, we'll break down what CWS and RPO are, explore their key differences, and help you determine which might be the best option for your organization. 

                Overview of CWS and RPO 

                CWS and RPO are more than just hiring solutions; they are strategic approaches to workforce management that can redefine how companies operate in an ever-changing business environment. 

                • CWS Focus: Manages temporary and contract workers to keep flexibility and meet regulations. 
                • RPO Focus: Takes over permanent hiring to bring in better talent faster. 

                Companies gain a competitive edge by understanding the nuances of CWS vs RPO to handle their workforce needs. 

                Let’s break them into more detail. 

                What is Contingent Workforce Solutions (CWS)? 

                Contingent Workforce Solutions refers to the management of non-permanent employees. These workers are not part of the regular payroll but are hired on a temporary basis to meet specific business needs. You can think of them to be freelancers, contractors and consultants.  

                According to McKinsey, 36% of U.S. workers participate in the gig economy, highlighting a major shift toward non-traditional employment models.  

                Why Businesses Choose CWS 

                1. Agility & Scalability: Need a workforce that can scale up or down quickly? CWS provides that flexibility. 
                2. Cost Control: By leveraging contingent workers, businesses can reduce fixed labor costs and only pay for what they need. 
                3. Access to Niche Talent: Whether it’s a cybersecurity specialist for a short-term project or an interim CFO, CWS enables access to highly skilled professionals without long-term commitments. 
                4. Risk & Compliance Management: Managed Service Providers (MSPs) ensure that companies stay compliant with local labor laws while managing their contingent workforce efficiently. 

                Take for instance, a leading fintech company struggling to keep up with product development cycles implemented a CWS strategy. By hiring freelance UX designers and contract software engineers, they reduced time-to-market by 30%, gaining a competitive edge. 

                What is Recruitment Process Outsourcing (RPO)? 

                Unlike CWS, which focuses on temporary workers, RPO is all about permanent hiring and talent strategy. An RPO provider acts as an extension of your HR team, managing end-to-end recruitment processes to enhance hiring quality, employer branding, and long-term workforce planning. 

                A study by Aberdeen Group found that companies using RPO services reduced their time-to-hire by 25% compared to those relying solely on internal recruitment. 

                Why Businesses Choose RPO 

                1. Higher Quality Hires: With advanced sourcing strategies and AI-driven talent analytics, RPO delivers better-fit candidates faster. 
                2. Stronger Employer Branding: RPO providers help companies build a compelling employer brand that attracts top talent. 
                3. Data-Driven Recruitment: Using workforce analytics, RPO helps businesses predict hiring trends and make informed decisions. 
                4. Scalable Hiring Without Overburdening HR: Need to hire 500 employees for a new global office? RPO providers handle high-volume recruitment seamlessly. 

                For instance, a global financial firm struggling with high turnover partnered with an RPO provider. By optimizing their employer brand and implementing structured candidate assessments, they reduced attrition by 20% in just one year. 

                CWS vs. RPO: Understanding the Differences 

                Contingent Workforce Solutions (CWS) and Recruitment Process Outsourcing (RPO) fill different roles in workforce management. Here’s how they differ from each other: 

                • Nature of Employment 

                The primary difference between CWS and RPO lies in the nature of employment. CWS deals with hiring temporary or contingent workers, while RPO focuses on recruiting permanent employees. 

                • Scope of Services 

                CWS generally involves managing the contingent workforce, which includes tasks such as onboarding, compliance, and payroll management. On the other hand, RPO providers manage the recruitment process from sourcing candidates to onboarding new hires. 

                • Flexibility vs. Consistency 

                CWS offers flexibility in workforce management, allowing companies to adjust their staff numbers according to project needs. RPO, however, provides consistency in the recruitment process, ensuring that permanent roles are filled efficiently. 

                • Cost Implications 

                While both solutions can lead to cost savings, they do so in different ways. CWS reduces costs associated with employee benefits and long-term commitments, whereas RPO can lower recruitment costs by streamlining the hiring process and reducing time-to-fill. 

                These differences guide you to the right solution for your needs. CWS gives you flexible temporary staffing that follows the rules, while RPO builds your permanent workforce through better hiring.  

                For a deeper understanding of how RPO can enhance your recruitment strategy, you can explore the strategic advantages of making the business case for RPO, which includes insights into agility and scalability in recruitment. 

                Benefits of Combining CWS and RPO 

                Forward-thinking companies recognize that workforce management isn’t a one-size-fits-all approach. Integrating CWS and RPO creates a comprehensive hiring solution that blends flexibility with consistency. 

                1. Unified Management: One system handles both temporary and permanent workers. 
                2. Regulatory Compliance: Meets all global labor laws for every type of worker. 
                3. Cost Efficiency: Saves money through better resource use and simpler processes. 
                4. Enhanced Flexibility: Responds fast to market changes with smart workforce planning. 
                5. Strategic Alignment: Links workforce plans to business goals for better results. 

                The integration of CWS and RPO delivers real benefits. Companies gain the agility they need while improving how their workforce performs. For a deeper understanding of how AMS has successfully implemented RPO solutions, consider exploring our case study on the transformation of recruitment at Carrier Global Corporation, which highlights the impact of a unified approach across multiple countries. 

                CWS vs. RPO: Which One is Right for You? 

                Choosing between workforce solutions starts with your company's goals and needs. Let's look at how Contingent Workforce Solutions (CWS) and Recruitment Process Outsourcing (RPO) serve different needs. 

                When deciding between CWS vs RPO, consider these key questions: 

                • Do you need flexibility or consistency?  

                If agility is your priority, CWS is the answer. If structured, long-term hiring is essential, RPO is your best bet. 

                • What’s your workforce composition?  

                Businesses that rely on project-based work benefit from CWS, while those focused on culture and retention thrive with RPO. 

                • What’s your cost strategy?  

                CWS reduces immediate labor costs, while RPO optimizes recruitment spend for long-term savings. 

                Why Not Try Both?  

                Many companies today combine CWS and RPO to create a hybrid workforce strategy which leverages contingent workers for flexibility while using RPO to build a stable, high-performing talent pipeline. 

                The workforce solution you choose impacts how well your business performs and adapts to change. 

                Wrapping It Up 

                Both Contingent Workforce Solutions and Recruitment Process Outsourcing offer unique benefits tailored to different business needs. By understanding the key differences between CWS and RPO, you can make an informed decision that aligns with your organizational goals. 

                Whether you need flexibility through CWS or consistency with RPO, these solutions can help you build an efficient and effective workforce to drive your business forward. 

                At AMS, we understand that workforce solutions should be as dynamic as the market itself. Whether you need CWS, RPO, or a combination of both, we help organizations stay ahead in a competitive talent landscape. 

                Get in touch with us today.

                Contact us

                Want to drive talent results?

                When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








                  How can we help you?*

                  By Alistair Hay

                  Data Protection Officer and Head of AI Governance at AMS

                  In the rapidly evolving landscape of artificial intelligence, AMS is taking significant strides to establish a comprehensive AI Governance capability. This initiative is designed to ensure that AI technologies are developed and deployed responsibly, ethically, and in compliance with regulatory requirements. Here’s a closer look at what AMS is doing to build out this capability. 

                  Our AI Governance Roadmap 

                  The AI Governance roadmap at AMS is a considered strategy that outlines the key tasks and milestones from its origin in 2023 through 2026 and beyond. The roadmap contains critical components that contribute to the wider objective: to be the world’s leading technology-enabled talent outsourcing and consulting company. 

                  1. AI Policies and Inventory: Establishing comprehensive AI policies and maintaining an inventory of AI records, technologies, and client policies are foundational steps. This ensures that all AI activities are documented and aligned with our client policies, and the AMS governance standards 
                  2. Training, Communications and Awareness: A robust training program is essential to raise awareness and educate AMS team members about AI governance. This includes regular updates and training sessions to keep everyone informed about the latest developments and best practices 
                  3. AI Processes and Procedures: Implementing standardized processes and procedures for AI risk assessment, incident management and compliance monitoring is crucial. This includes conducting AI risk assessments, monitoring AI laws and regulations, and managing AI incidents effectively 
                  4. Technology Implementation: Leveraging technology to support AI governance processes and procedures is a key focus. This involves deploying tools and platforms that facilitate compliance and governance activities 
                  5. Skills and Capabilities Assessment: Regularly assessing the skills and capabilities of the AMS team ensures that the organization has the expertise needed to manage AI governance effectively 

                  Current Initiatives 

                  AMS has already made significant progress in several areas of AI governance: 

                  • Ethical AI in Talent Acquisition Board: The establishment of the Ethical AI in Talent Acquisition Board is a major milestone. This board provides thought leadership and expert guidance on the ethical application of AI in talent acquisition and consulting 
                  • AI Risk Assessment: AMS has developed a comprehensive AI risk assessment procedure to evaluate and mitigate potential risks associated with AI technologies. This includes compliance with the EU AI Act and other relevant regulations 
                  • AI Governance Office: The creation of an AI Governance Office ensures that all AI-related activities are monitored and managed effectively. This office interacts with various stakeholders, including the AI Risk Committee and the AMS Privacy Office, to ensure a coordinated approach to AI governance 

                  Future Plans 

                  Looking ahead, AMS has several ambitious plans to further enhance its AI governance capability: 

                  • Continual Improvement: AMS is committed to continually improving its AI governance framework. This includes regular reviews and updates to policies, processes, and procedures to keep pace with the evolving AI landscape 
                  • Expansion of AI Governance Activities: AMS plans to expand its AI governance activities to cover new areas and technologies. This includes integrating AI governance into all aspects of the business, from procurement and development to deployment and use 
                  • Collaboration and Partnerships: AMS will continue to collaborate with industry partners, regulatory bodies, and other stakeholders to stay at the forefront of AI governance. This includes participating in industry forums, contributing to regulatory discussions, and sharing best practices 

                  AMS is taking a proactive and comprehensive approach to building out its AI governance capability. By following a well-defined roadmap and focusing on key areas such as policies, training, risk assessment and technology implementation, AMS is well-positioned to lead the way in responsible and ethical AI development and deployment. 

                  Contact us

                  Want to drive talent results?

                  When you’re ready to attract, engage and retain the talent you need to succeed, complete this form to connect with us. Alternatively, if you’re looking to work for us, please go to Careers at AMS.








                    How can we help you?*

                    Solutions

                    Industries

                    Resources

                    Regions

                    About us

                    Connect with us

                    For expert insights, news and more

                    © 2025 Alexander Mann Solutions (AMS)