Workforce Strategies for a Post-COVID World: Some key considerations when hiring Contingent Workers
Smart companies have been making the transition for many years now. A timely move given the onset of the COVID pandemic in early 2020. It meant they were prepared, agile and flexible.
We are talking about the rise of the contingent workforce. Not just in Asia but all over the world.
Advantages of a contingent workforce
The benefits of hiring contingent workers – independent contractors, consultants, freelancers and anyone else ‘employed by your company on a non-permanent basis – are many. In addition to saving money, in these uncertain times workforce agility and the ability to upscale or downsize quickly are becoming more important than ever right across the globe.
The other great advantage of ‘going contingent’ is that you don’t have to make a wholesale transition from an office full of traditional full-time employees to contractors and consultants in one gulp. You can start with small bites and build from there. A perfect way to do business.
Important things to consider with a contingent workforce
But even though the benefits are many and the pathway there seemingly smooth, there are still a number of important things to consider before you even start to hire your first contingent workers.
One big benefit of hiring contingent workers is that you can use them to upskill your business in a certain area of activity only, or use them to plug gaps in your existing workforce. Or you could hire only the people you need to complete a specific project, be it local or cross-border.
By taking a 360 degree view of your business and assessing your requirements in a considered manner you can minimise risk and disruption. Start hiring strategically to meet specific challenges and you’ll not only gain valuable hands-on experience in managing contingent workers, you’ll also be staging your transition towards using a contingent workforce; allowing you time to properly assess how it all fits into your future planning.
Focus on management
The benefits of hiring a contingent workforce can be great, but companies must find a way to successfully manage this new aspect of their business. As your contingent workforce grows, the more difficult it becomes to manage. Contingent workers will be on different contracts, different pay rates and different pay schedules. And if any of your contingent workers are employed cross-border then compliance can become a real and dangerous issue.
Once you have identified where a contingent workforce can slot into your business, you will need to create a clear management process for them. This plan will help you to organize all aspects of your new talent pool, from payroll, onboarding and offboarding, distinguishing between permanent and contingent workers, as well as tracking performance and cost metrics.
Without the proper and specialized management of contingent workers, companies can easily find themselves in a maze, wasting time and money on inefficient, and sometimes even illegal practices.
Organizing your contingent workers can be complex and time confusing, and without the use of technology it is almost virtually impossible to avoid making mistakes. The extra work required could overwhelm a procurement or HR department.
Experience shows that technology is the core of any successful contingent workforce management program. Automation can be used on anything from resume scanning, providing a database for company documents and tracking which employee is working on which project. It provides your business with what’s needed from the start to finish of a contingent worker’s engagement – from their acquisition, management and their payment. Making the most of recent innovations in technology and management services will make managing your contingent workforce that much easier.
Bringing the management of your contingent workers into one centralized location can streamline administration, whilst an automated process will help cut out errors and mismatched payment and hiring tactics across your organization; saving time and money.
Partner with an expert
In-the-know companies wanting to move quickly once they decide to ‘go contingent’ are increasingly turning to proven outsourced solutions by engaging with an experienced Managed Service Provider (MSP) like CXC.
Partnering with an MSP enables to develop a centralized management strategy for your company’s contingent workforce management. An MSP will also ensure you have access to specialised technologies – called a vendor management system (VMS) – to support sourcing, acquisition, management and payment of your contingent workforce, all within one centralized database.
Choose the contingent workforce plan that suits you
Whether you’re looking for a completely outsourced MSP solution or an unbundled modularized MSP plan, CXC’s delivery model flexibility can help you achieve your contingent workforce management goals.
With CXC, you team up with a partner with global knowledge and experience across a wide range of contingent workforce problem areas such as recruitment, compliance, payroll and OHS, onboarding and training etc. In addition you benefit from specialised, state of the art technologies and strategies to implement and successfully manage every aspect of your contingent workforce operations, with expert efficiency.