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The Challenge
Initially, in the Netherlands, the IT consulting company were looking for a broker (or partner) to support their External Resource (ER) program for suppliers who aren’t on their preferred suppliers list, and provide supply chain management, along with referral ownership of identified resources by end clients and hiring managers. The view was to then incorporate the rest of the Benelux regions. This was required to help manage the IT consulting company’s risk by dealing with such high volumes of suppliers.
Solution
CXC partnered with the IT consulting company as their Broker to deliver supply-chain management services in the Netherlands to begin with, taking ownership of all non-preferred ER suppliers. This included liaising with all non-preferred suppliers, and carrying out the end-to-end onboarding process, reviewing the necessary compliance and obtaining the accurate signed agreements.
Later, this expanded to Belgium and Luxembourg to provide an External Resource (pre-ID) Solution which is where CXC would complete the full onboarding process for a previously identified candidate. In addition to this, the company contacted CXC to engage with self-employed freelancers in Poland under a similar arrangement.
Key Services we have provided to the company include:
- Supplier engagement for un-preferred suppliers not on the client preferred suppliers list.
- Dedicated services centre – a team in place to support supplier engagement and queries.
- Compliance, contract and payroll management.
- Streamlined onboarding process and dedicated resource to support suppliers and freelancers.
- Welcome packs and training manuals to assist suppliers with invoice process.
- Support for all new onboards, contract extensions, assignment revisions, rate increases and terminations.
- Streamlined contracts process for both standard agreement and master agreement.
- Risk mitigation with Netherlands, Belgium and Luxembourg legislation as appropriate.
- Access to online portals, reducing manual processes.
- Releasing open vacancies to suppliers who form part of the approved Vacancy Share programme preferred suppliers list and managing end-to-end with the company’s internal resource team.
- Management of rebate requirements with suppliers twice yearly when the minimum supplier spend threshold (€50,000) has been exceeded.
- Providing detailed KPI reports to the company’s management hierarchy.
Using the broker model arrangement, CXC manages the clients Vacancy Share Programme and onboarding of new suppliers. The Vacancy Share Programme is where roles are released to non-preferred suppliers due to the IT Consulting Company not being able to find a suitable candidate within their original preferred suppliers list.
Results
CXC’s broker solution has delivered enhanced visibility, compliance and governance controls to the company:
- Efficient process to engage new suppliers and freelancers.
- Process embedded to onboard new candidate hires through existing non-preferred suppliers.
- Streamlined and consolidated invoicing process and payment schedule for suppliers and freelancers.
- Rebate Savings of €200k+ by including contract clauses within the supplier agreements.
- Preferred Broker of Vacancy Share programme.
- Increase in CVs submitted to the company and end customers.
- Alternative payment terms offered.
- Our process provided cost savings for the company when compared to previous broker of €350,000.
Contact us today to find out how CXC can provide your organisation with complete visibility, compliance and governance for your contractor workforce, similarly to this IT company.
