A few years ago, you made the strategic decision to outsource your contingent workforce management program. You did everything right – you sought recommendations to identify potential Managed Services Providers (MSP), you issued a request for proposal (RFP), used a committee to evaluate responses, met with each shortlisted firm to ensure a cultural fit, and carefully negotiated an agreement with the selected firm. You selected a leader in the industry, and for the first year you experienced operational efficiencies and cost savings. You were confident that you made a wise choice. But then things took a turn…
We live in a rapidly changing world. Technologies that didn’t exist five years ago are defining how business is conducted and creating a demand for jobs and skills that we couldn’t have even conceived of. Government employment regulations have intensified. The pandemic requires new strategies for cost savings. You now find that the program designed for yesterday doesn’t work for today and tomorrow – and your Managed Services Provider shows no interest in providing the guidance and updates you need to remain competitive. You have been ghosted!
We hear this story from business leaders nearly every day, particularly from mid-market companies. We offer the following advice when choosing an MSP:
- In evaluating client service, the how and the who is as important as the what. Explore each vendor’s governance plan. Yes, in the RFP response they will talk about the program team that will provide daily operational support to hiring managers creating requisitions or processing timecards. Who will be working with you to address strategic issues and build an annual roadmap forward? What role will senior members of the vendor’s organization play in managing your account?
- Get it in writing. The Statement of Work associated with your contract should clearly specify all deliverables, including those associated with continued enhancements and growth. Key Performance Indicators (KPIs) should measure progress. Where appropriate, guarantees should be included.
- Consider the solution holistically. Most Managed Services Programs are enabled by a Vendor Management System (VMS). This technology automates workflows, reinforces policies, and provides reporting needed to provide needed analysis and insight. Who is managing the VMS provider – the MSP or you? What leverage do you have if a needed change requires a modification to the VMS configuration?
At nextSource, our programs are designed to meet your needs at program inception and throughout the life of each agreement. Our proprietary Progressive Program Model™ starts with an evaluation of the alignment of today’s realities with your stated goals, provides a blueprint for getting the most out of your contingent workforce program, and guarantees continuous incremental value.
Contact us to learn more.
Let us know if you’d like to automatically receive insights into the challenges of talent acquisition and management.