The New Era of Non-Employee Workforce Management

Case Study
  • region: Australasia
  • industry: InsuranceHealthcare

The Situation

CXC provides services to Australia’s second largest integrated national healthcare company providing health insurance to over 3.7 million members.
This organisation sought to establish a standardised process for the engagement and management of contingent workers. They needed a simple solution to achieve this: one that gave better visibility, better control, and was supported by a simple, intuitive technology that delivered meaningful reporting.

They were also seeking a partner to help them better manage a diverse supply chain. Visibility of talent supply agencies was opaque, including what these agencies core offer meant to their business, and what their strengths were.

Finally, this company sought to decrease their non-employee workforce costs, or at a minimum, create cost neutrality.

“We’ve been very happy with how quickly the CXC Global on-site team have become part of our team, and how well the model has been adopted by the business. CXC Global are high-touch with our contractors, they’re responsive and available. The model really works.”

CXC's Solution

CXC was engaged by in 2015 to design and implement a non-permanent workforce program that would provide greater visibility, compliance and control.

During early discussions, CXC provided the client with a consultative approach – nothing was off the table. We gave themm a realistic view of the responsibilities of all stakeholders and provided solutions for all key business objectives. We were able to guide them through the expected business impact and anticipated savings.

Our approach was based on two phases:

  • Phase 1: Contractor management outsourcing model. Driving compliance, consistency and improved non-employee worker experience for the existing workforce
  • Phase 2: Managed service provider model. Driving visibility, efficiency, and cost savings by managing the procure-to-pay process.

Firstly, CXC implemented phase 1 to introduce standardisation through a consistent engagement contract, common pay cycles and award interpretation, and a single platform for payment and invoicing. This phase included workforce transition from suppliers to CXC and establishing a common process for on-boarding, payment, management and off-boarding for the contingent workforce.

In 2016, Phase 2 was implemented. The scope of work included establishing a procure-to-pay process (based on neutral supply chain sourcing and the Phase 1 model) supported by the implementation of SAP Fieldglass. The design and implementation of Fieldglass used CXC’s ‘white label’ configuration and the implementation expertise of our project management office.

The Results

The client has now increased the visibility of their non-employee workforce and improved its return on investment. In partnership with CXC, they have streamlined contingent workforce processes and achieved better workforce insights.

Due to the collaborative approach, any disruption caused by program implementation was minimal. During transition, CXC provided comprehensive communication and prepared for any questions or pushback.

Since implementation, the program has evolved into additional business needs such as medical recruitment as well as new company acquisitions. We have further extended our solution to include pre-employment screening and refining and assessment of the supply chain capability.

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