Transforming the Talent Supply

Chain with Self-Sourcing

EcolabHazzen Muñoz

Director Global Talent – Contingent Workforce

MBO PartnersBob LucasSVP

sig.org/summit

Transforming the Talent Supply Chain

with Self-Sourcing

Hazzen Muñoz – Director Global Talent – Contingent Workforce, Ecolab

Bob Lucas – SVP, MBO Partners

| 3

• Ecolab Overview

• MBO Partners Overview

• Independent Market Trends and Projections

• Transforming Your Talent Supply Chain

• Case Study - Ecolab

Agenda

| 4

Ecolab is the global leader in water, hygiene

and energy technologies and services that

protect people and vital resources.

| 5

Preserving the world’s

limited resources with

unlimited resourcefulness.

| 6

Founded in

1923Headquartered in

St. Paul, MN

FORTUNE

500COMPANY

47,000+Global employees

1 million+Customer locations

Serving customers in

170+ countries

120 $13.5 billionIn 2015 sales

Manufacturingfacilities

Global Company, Global Reach

| 7

MBO Overview

MBO Partners makes it safer and easier for independent

professionals and their clients to do business together.

Independents want:

Opportunities. Control. Value.

Enterprises want:

Compliance. Efficiency. Talent Access.

MBO Partners delivers.

Independents Enterprises

| 8

• How does your company currently view self-sourcing?

A. As an integral part of our future talent strategy

B. We are just beginning to look into how self-sourcing can work for our organization

C. We’ve heard about self-sourcing but don’t know how it would apply to us

D. We haven’t considered self-sourcing

Polling Question

| 9

Independent Workforce Trends

| 10

The New Reality

The Changing American Workforce

• Today, there are nearly 40 million independents.

• The independent workforce is expanding

5x faster than general employment.

• By 2020, the majority of workers will be

independent.

16.9 million

Full-time

12.5 million

Part-time

10.5 million

Occasional

BREAKDOWN OF INDEPENDENTS

Source: MBO Partners State of Independence 2016

| 11

The New Reality

Source: MBO Partners State of Independence 2016

Most independents

(78%) plan to stay

the course as an

independent (63%)

or build a larger

business (15%)

Six out of 10

independents say

working independently

was their choice

completely

3 million independents

earned more than

$100k, up from 2

million in 2011

The Changing American Workforce

| 12

Forces Driving Growth

Enterprises:

• Generational impact on work

arrangements

• Access to innovative talent

• Reduced costs

• Flexibility

Independents:

• Control over career path

• High job satisfaction

• Opportunity for higher income

• Flexibility

| 13

Source: Ernst & Young web site, https://gigeconomy.ey.com/Future-state/Key-insights, collected January 18, 2017

| 14

Forces Driving Growth

January 2016: PwC launches its Online Talent Exchange to join the

independent workforce platform economy, powered by MBO

MBO is the integrated transaction processing engine for

the PwC Talent Exchange managing all worker

classification, onboarding, billing, and payment activity.

| 15

Gig Economy Demand and Adoption are AcceleratingDirect sourcing/engagement of independents and their clients

• The market now recognizes independence as viable option

• Workers find more freedom, flexibility, and control working independently

• Companies embrace staffing projects without staffing/consulting markups

• Companies build pools of independents to re-engage to reduce FTEs

Innovators

Early

adopters

Early

majority

Late

majority Laggards

| 16

Self-Sourcing

| 17

Self-Sourcing, Circa 2000

| 18

Emerging Marketplaces

| 19

Evolution of Talent Sourcing

Tactical, manager level buying

Procurement driven development of preferred supplier network

Consolidation of all spend through Managed Service Programs

Advent of Talent Marketplaces

• Broader access to Talent

• Uncontrolled spend

• Lack of compliance

• Additional processes

| 20

Transforming Your Talent Supply Chain

• How self-sourcing can benefit your organization

• Reduce costs

• Re-engage known talent at reduced rates

• Broader access of talent throughout the organization

• Direct access

• Speed of acquisition

• Control spend

• Maintain compliance

• Maintain current MSP/VMS ecosystem

| 21

Case Study - Ecolab

| 22

Ecolab Program

• Rolled out program May 2016

• Transitioned active contractors July – October 2016

• Highly skilled workers (on average $100/hr+)

• Currently 75 Contractors in program (multiple hiring manager/various locations)

• IT, Supply Chain, Engineering, Marketing

• 3 primary business support locations in the U.S.

• St. Paul, MN

• Houston, TX

• Chicago, IL

| 23

Ecolab Drivers

Better utilization of ECL

IC Talent

Savings versus Preferred

Supplier Sourcing

ICs as

a talent source

ICs as

a talent strategy

Time

| 24

• Sharing of workers (speed) and cost savings speak the loudest

• Grassroots roll-out strategy

• Utilize existing data to identify high users

• Let them take you where they take you

• Track sourcing to track savings

• Preference for MBO Connect over FMS

• Risk management

• Enrollment speed

• Over time, the organization’s talent strategy will get more sophisticated

Implementation Strategy

| 25

Timeline

Jan 2017 Targeted HRBPs and Recruiters

Feb 2017 Inviting active ICs into Ecolab Talent Network

Mar 2017 Demos/Rollout to target managers

Mar 2017 Evaluate progress/identify next steps

Learnings to Follow; Stay Tuned

| 26

Questions

| 27

Thank You

Hazzen Muñoz – hazzen.munoz@ecolab.com

Bob Lucas – blucas@mbopartners.com

Evaluation How-to:

Your feedback drives

SIG Event content

By signing and

submitting your

evaluation, you are

automatically entered

into a prize drawing

Why?

Option 1: App

1. Select Schedule2. Select Schedule by Day3. Select Day4. Select Session5. Scroll to Description 6. Click on the Evaluation link

Option 2: Browser

1. Go to www.sig.org/eval2. Select Session (#22)

How?

COMPLETE &SUBMIT EVAL

Tweet: #SIGspring17

Session #22

Transforming the Talent Supply Chain with Self-Sourcing

www.sig.org/eval

Download the App: bit.ly/SIGAmelia

Hazzen Muñoz – hazzen.munoz@ecolab.com

Bob Lucas – blucas@mbopartners.com