Are you struggling to keep up with managing your organization’s contingent workforce? Dealing with multiple staffing agencies, contracts and contingent workers is no doubt a complex and time-consuming task.
This is complicated even further when you are using legacy systems and a Vendor Management System (VMS) that is integrated on out-of-date IT infrastructure.
Businesses that transition to a cloud-based vendor management system, however, realize a huge number of benefits that improve contingent workforce ROI.
In this blog, we explore the five benefits of a cloud-based Vendor Management System, and how this seamless piece of contingent workforce management technology can help increase efficiency, improve cost savings, streamline processes and improve compliance within your contingent workforce program.
✔️ Benefit 1: Increased Efficiency
One of the primary advantages of a cloud-based VMS is that it can increase efficiency in managing your contingent workforce. With all vendor information and worker data stored in a centralized location, it becomes easier to monitor and manage all aspects of your workforce - even if you are managing a global contingent workforce with hiring managers spread across different departments and different locations.
This can lead to faster decision-making, more effective communication, and reduced administrative tasks.
Centralized Management
When hiring managers across an organization aren’t on the same wavelength, standardizing processes and centralizing data, the company will soon suffer from a lack of visibility and control of their non-employee workforce. A cloud-based VMS makes it easy for hiring managers to use a centralized platform to manage contingent workforce processes no matter where they are, leading to improved program visibility and control for the business.
Automated Processes
A cloud-based VMS allows for automated processes, such as onboarding and offboarding of contingent workers. With automated workflows in place, your business can reduce manual data entry, minimize errors, and ensure compliance with all regulations.
✔️ Benefit 2: Cost Savings
Another major benefit of a cloud-based VMS is that it can help you save money associated with managing a contingent workforce, including administrative expenses and vendor fees.
Reduced Bill Rates
With a cloud-based VMS, you can maximize the benefits of competitive advantage, as suppliers are aware they are competing against each other. Over time, a VMS encourages suppliers to propose the lowest possible rates to ensure they win their fair share of the business. A VMS also allows for organizations to load their negotiated rate cards which ensures any savings can be realized and tracked.
Increased Productivity
Although not direct dollars in the bank, improvements in productivity mean that hiring managers, recruiters and even your finance team can focus on their main jobs more which ultimately leads to higher revenues and profits.
Negotiated Vendor Fees
A VMS can also mitigate your business overpaying staffing agencies for talent. Vendor Management Systems will typically have embedded pre-negotiated rate cards in their functionality, meaning your business can seamlessly measure and enforce rate compliance across your organization. By centralizing all contingent data in one location, your business will have visibility into where it may be overpaying for contingent talent. Over time, this can result in significant cost savings for your business.
✔️ Benefit 3: Streamlined Processes
A cloud-based VMS can streamline processes across your organization, simplifying workflows and reducing the risk of errors.
Simplified Workflows
With a cloud-based VMS, you can simplify workflows for hiring managers, HR personnel, and vendors. By providing a single platform for all contingent worker data, you can reduce the time and effort required to manage your workforce and allow hiring managers to input data no matter where they are working from.
Reduced Errors
A cloud-based VMS can help reduce errors by eliminating the need for manual data entry and ensuring all information is up-to-date and accurate. This can help prevent errors that could lead to compliance issues or other costly mistakes.
By using a VMS that manages the entire procure-to-pay process supplier invoicing is done in a closed-loop system which means billings are based on rates and hours approved in the system. This eliminates billing errors which are a constant sore spot for organizations.
✔️ Benefit 4: Improved Compliance
Managing compliance for contingent workers can be a complex process, but a cloud-based VMS can help simplify it through:
Centralized Compliance Tracking
A VMS can provide a centralized platform for tracking and monitoring compliance requirements, such as background checks and certifications. You can also put processes in place that ensure you are complying with the specific workforce legislation in the locations you are hiring contingent workers. This will help ensure all workers meet the necessary compliance standards before starting with your company.
Automated Compliance Checks
A cloud-based VMS can automate compliance checks, reducing the risk of human error and ensuring all requirements are met before a worker starts a new project. This can help you avoid costly fines and other compliance issues.
✔️ Benefit 5: Enhanced Data Security
A cloud-based VMS can also offer enhanced data security for your contingent worker information.
Secure Data Storage
A VMS can provide secure storage for all contingent worker data, including personal information, contracts, and payment details. This can help prevent data breaches and ensure compliance with data privacy regulations.
Access Controls
A cloud-based VMS can offer access controls, ensuring only authorized personnel can access and view sensitive information. This can help protect your company from data breaches and unauthorized access.
A cloud-based Vendor Management System can provide a comprehensive solution to the challenges of managing a contingent workforce, but you must choose VMS software that is easy to use and has the functionality you need to enhance how you manage your contingent workforce program.
The Conexis Difference
Conexis VMS has been built on the latest technology and designed with the user in mind. Our innovative Vendor Management System has been designed specifically to be the world’s easiest VMS.
Interested in learning more about Vendor Management Solutions?
Whether you are looking for a new VMS Solution, or just getting started, we are here to help. See how easy Conexis is to use by taking a quick 2 minute Self-Guided Tour. Contact Us for a Free No-Obligation Consultation to discuss your workforce challenges (and get immediate actionable insights) or Book a Personal Demo Today!
 |
 |
 |
Read More
