Back to Success Stories
Situation
The client was awarded a contract to deliver EMEA-wide RPO services to support a new client – a multinational medical technology company. Their solution included migrating an existing preferred supplier list (PSL) of contingent and executive search recruitment agencies across nine European countries to support their RPO programme.
They faced a number of challenges in achieving this:
- The existing PSL suppliers were not signed up to consistent terms and conditions or placement fees.
- They didn’t have the necessary legal entities in place across the in-scope EMEA countries, hampering their ability to negotiate and contract with the suppliers.
- They weren’t able to transact invoice payments when PSL suppliers made placements
The CXC Solution
The client turned to CXC who had the expertise to solve these challenges. With our proven supplier management and invoice handling experience, CXC was perfectly placed to deliver the task of engaging and onboarding the diverse range of recruitment agencies, featuring specialist boutique suppliers to global brands and executive search agencies on to the RPO PSL.
To achieve this, CXC worked with the client to develop standardised terms and conditions which each PSL agency was required to sign up to. We then engaged with the suppliers to agree aligned commercial terms. Finally, we completed detailed compliance management to ensure that the companies being engaged were correctly set up and held the requisite trading and tax statuses as well as held the necessary insurance policies to meet the programme’s requirements.
In addition to this CXC are responsible for processing invoice payments across EMEA where our client doesn’t have the legal entities to do so. This includes executive search retainers.
CXC were tasked with transitioning 40-50 incumbent permanent PSL recruitment agencies across 9 EMEA countries to CXC onboarding, contract, invoice and payment. Specific deliverables included:
- Developed standardised T&Cs for both permanent recruitment and executive search suppliers.
- Agreed contractual terms with suppliers as well as negotiated commercial terms to ensure suppliers operated within a consistent benchmarked range.
- Ensured they were fully compliant in terms of business and tax registration, held the necessary insurance policies and where required, possessed all the correct recruiting licences.
- Issued and signed contracts.
- Managed invoicing process when suppliers successfully placed a worker ensuring they are paid on time every time.
Results
Through our partnership, CXC and the talent acquisition client have made substantial improvements in the management of their suppliers. The immediate benefits include:
- Consistent terms and conditions.
- Placement fees negotiated and agreed within agreed benchmarked rates.
- A PSL capable of delivering their client’s permanent and executive search requirements across EMEA.
- Expansion from 9 countries to 11 in the programme with 60+ PSL suppliers onboarded.
- CXC’s expertise to manage supplier onboarding and query management.
- Streamlined invoicing process ensuring suppliers are paid on time once they have successfully made a placement.
- Standardised the supplier selection, evaluation, and monitoring process.
- Streamlined contract management to enhance negotiation outcomes and mitigate risks.
The success of the initial phase of the supplier management programme meant that CXC were able to again support the client when their RPO programme expand to incorporate two new EMEA countries and a selection of new suppliers.
Today, CXC has onboarded and manages over 60 permanent recruitment suppliers supporting 11 EMEA countries and has processed the payment of almost 350 placements invoice on the client’s behalf.
