UNWRAP THE SECRETS: BUILDING A BUSINESS CASE FOR BETTER CONTINGENT LABOR MANAGEMENT

UNWRAP THE SECRETS OF BUILDING A BUSINESS CASE FOR BETTER CONTINGENT LABOR MANAGEMENT December 3, 2014

Proprietary and Confidential to IQNavigator Inc. and Yoh – A Day & Zimmermann Company. 2

ABOUT US

Driven by our Independence, Vision, and Technology, IQNavigator delivers Vendor Management Software (VMS) to clients around the world, allowing them to better manage their non-employee workforce to best-in-class standards.

Built to Manage the Non-Employee Workforce Contingent Labor

Independent Contractors

Statement of Work

A Truly Global Company Localized for 47 Countries

Available in 16 Languages

For over 70 years, Yoh has provided the talent needed for the jobs and projects critical to our clients’ success by providing comprehensive workforce solutions. Yoh is one of the largest providers of talent and outsourcing services delivering MSP and RPO Solutions

Innovative Leader – 20+ Years MSP Experience and 10+ Years RPO Experience Independent Contractor (IC) Management

Statement of Work (SOW) Management

Payroll Management Services

2014 ranked second among MSP’s in HRO Today’s coveted 2014 Baker’s Dozen Ratings: Managed Service Programs


Brian Hoffmeyer IQNavigator VP, Product Marketing

INTRODUCTION

» 9+ years at IQNavigator » Product marketing and

management, professional services, industry solutions (consulting)

» Passionate about helping clients, partners, and suppliers use the IQNavigator VMS to achieve strategic business goals

Jim Hein Yoh VP, Enterprise Solutions

» 20+ years of industry experience in the design, development and delivery of innovative workforce solutions

» Jim’s focus is to continuously exceed Yoh's client expectations by crafting customized workforce solutions that meet each clients’ unique talent management requirements


AGENDA

» Contingent Workforce Facts and Figures

» Why Managing the Contingent Workforce is Critical to Business Success

» Problems? We don’t got no problems! (The Importance of a Company-Specific Problem Statement)

» He (MSP) Said – He (VMS) Said on Developing Your Business Case Defining starting points Core business case tenets Organizational readiness Defining scope Aggregating data RFP initiative

» The Importance of Partnership – Through an Illustrative Example

» Q&A


CONTINGENT WORKFORCE TRENDS

50% Workforce in

2020

7x Temp Labor

Growth Compared to

Total

TITLE HE » Tomorrow: TITLE HE » Yesterday & Today:

6% Workforce in

1989

25% Workforce in

2014

TITLE HE

Agency temps Freelancers Statement of Work Outsourced services

Contingent Labor Categories TITLE HE

Business need for flexibility Worker preference Expanded use of SOW Temp labor at historical high

Growth Factors


WORKFORCE CHALLENGES

What are the biggest challenges you face in Contingent Staffing Management? (check all that apply)

0

10

20

30

40

50

60

ManagedMultipleVendors

Maintainingand/or Cutting

Costs

Streamlining theRecruiting

Process

Sourcing and/orHiring

ContingentLabor

Reporting andMetrics

Compliance /ACA

Registrant Response


BUSINESS CASE DEVELOPMENT – WHAT A VMS / MSP CAN AND CAN’T DO

In general, there are FOUR KEY TENETS that drive the business case (assess your own priorities):

1. Increased access to talent 2. Reduced cost and improved efficiency 3. Reduced risk 4. Increased visibility

POLL QUESTION


THE ROAD AHEAD – MSP/VMS INITIATIVE

PROJECT ROADMAP

Total 39-60 weeks to Go Live

RFP process 13-26 weeks

Data gathering 6-8 weeks

Contract negotiations 8-10 weeks

Implementation 12-16 weeks


THE IMPORTANCE OF COMPANY CULTURE

» Understanding your culture Formal and informal Appetite for change and process

improvement Is your company comfortable with

outsourcing?

» Dealing with change Departmental interaction Conflicting priorities Questions about how and why this

is happening

» Involving key stakeholders Prior to launching the initiative During the implementation IT involvement

POLL QUESTION


SVP HR

34% NON-EXECUTIVE

SPONSOR

27% OTHER

15% PROCUREMENT

(CPO)

13% CFO

6% OTHER: CIO 3% CEO 3%

» 50% Cost Savings » 24% Risk Mitigations

MOTIVATION FOR PROGRAM:

PRIMARY AUDIENCE OF BUSINESS CASE


FUNCTIONAL STAKEHOLDERS AND WHAT’S IMPORTANT TO THEM

Case for HR Case for Procurement

Case for Finance

Case for Hiring Manager Case for IT

Finding quality candidates who

represent the right fit

Cost Delivering true cost savings

Size of candidate pool

Similar to hiring manager

Effective measurement

metrics

Reducing unnecessary spend

Ensuring quality is not compromised

Quality of candidates Security

Process effectiveness Risk and compliance Compliance Time-to-fill Architecture

Cost Recruitment supply chain management

Invoicing and payment process

Time-to-productivity Integrations

Consistency Process ease of use

Employment risk / compliance

C-SUITE


DEFINING THE SCOPE ON A SOLID STARTING POINT

» PRIORITIZING EFFORTS: It is important to understand your

total cost by category, where the most spend is, and which categories can be impacted most

You also need to identify total contingent worker spend across the organization, including all labor categories and all relevant labor-related expenses

Scope of business that is in scope.

Skill Set Business Unit

Res

ourc

e Ty

pe

Offi

ce L

ocat

ions

Outsourcer Consulting Firm Independent Contractor Temporary Worker

1 2 3 All US Canada International All

All - Professional Development, Creative, IT


RFP/IDENTIFYING POTENTIAL PARTNERS

» Be thorough in compiling the RFP Identify what information should be

provided an provide as much information as possible

Provide a solution and/or program model for your business

Identify the providers and understand how they are going to be successful in your environment

» Identify the sourcing strategy: MSP only VMS only (which one to do first) MSP and VMS together

» Important RFP items: Implementation and change management

experience Governance structure to support the

program’s development Relationship management and program

structure

» Implementation Roles and responsibilities Project plans Best-practice configurations

» Ongoing operations Onsite teams familiar with the technology Greater focus on expansion Greater focus on helping the client adapt to

changing business and legal conditions


PROGRAM GOALS:

IMPLEMENTATION EXAMPLE

SERVICES

MSP with VMS

Includes Direct Recruiting Services

500+ Contingent Hires

Technology-Specific Recruiting with Peak High-Volume Recruiting

Multiple Locations

Existing Program

• Decrease time-to-fill and improve hiring efficiency • Configure system to meet specific business requirements • Gain better visibility and reporting • Improve customer service

• Deployed multiple resources to ensure success • Met with key client stakeholders to detail processes • Documented processes and standards thoroughly – reengineered several processes • Leveraged on-line technology to gather personal data for onboarding • Held recorded live/virtual training sessions to ensure complete messaging • Communicated regularly with sponsors and stakeholders to ensure understanding • Implementation team remained engaged until steady state • Processes put in place for both high-volume hiring, and targeted hiring • Included direct hiring component with client branding

• Contingent Worker transitions over all locations in 4 weeks • 5 key integrations between VMS and Customer that required Customer resources from HRIS, IT and

Finance • Development and rollout of new enhancements requested by customer

KEYS TO IMPLEMENTATION:

DELIVERY EFFORT


THANK YOU!

Brian Hoffmeyer IQNavigator VP, Product Marketing Office: (303) 563-1587 Twitter: @chezhoff [email protected]

Jim Hein Yoh VP, Enterprise Solutions Mobile: (201) 400-1646 [email protected]

iqnavigator.com yoh.com

THANK YOU! For questions on how you can better manage your contingent labor, please visit us on the

web or contact us anytime!

mailto:[email protected]






UNWRAP THE SECRETS: BUILDING A BUSINESS CASE FOR BETTER CONTINGENT LABOR MANAGEMENT

Recruiting & HR

Transcript of UNWRAP THE SECRETS: BUILDING A BUSINESS CASE FOR BETTER CONTINGENT LABOR MANAGEMENT