The contemporary scope of contingent labor dictates that enterprises seek a new wave of strategies, solutions, and approaches to manage all avenues of the Contingent Workforce Management Framework. Programmatic attributes that will take CWM into the next generation, such as social media reliance and an increased focus on talent management, are surefire means to drive ultimate value out of contract talent utilization.

However, enterprises must not ignore the simpler, tactical measures that have helped to manage contingent labor in a more effective manner for years. Research findings from the State of Contingent Workforce Management research study have discovered that although companies must keep a keen eye towards the future by leveraging next-gen strategies, the “classic” means of managing contingent labor must still be critical components of any CWM program.

We’ve identified three tactical capabilities that matter as enterprise work towards contingent workforce management success:

• The ability to forecast the future utilization of contract talent. The ability to see into the future isn’t quite the simplest capability to develop and hone, but with the right tools and enterprise attitude, the average CWM program can enable their executives with an educated purview of future use of talent. Past data related to projects, services and staffing suppliers can be leveraged to “predict” how the future may look from a talent perspective, allowing stakeholders to define resources and funds as a means of being better-prepared.
• Clearly-defined objectives, goals and milestones for all types of contingent labor. The measurement of quality and effectiveness is a top priority for enterprises in regards to contingent workforce management, on par with “cost” and “visibility” as areas of focus. However, most enterprises lack the capabilities to accurately measure the quality of their contract talent. One starting point is to assign clearly-defined objectives, goals and milestones for all contingent workers, regardless of scope or talent level. This will allow any CWM program to gauge the effectiveness of their contingent workforce and utilize that information to make educated decisions in the future (Ardent’s Quality Index Score should also be leveraged to measure the total performance of all contingent workers).
• Collaborative reviews of SOWs and similar agreements. In an age of risk and compliance concerns, it is critical for the typical CWM program to institute any measure it can to accurately gauge and mitigate various labor risks, including independent contractor-related risks and issues connected to underperformance and identity management. Collaborative reviews of SOWs and similar labor agreements, utilizing stakeholders in procurement, legal, HR and finance, can ensure that standardized terms are leveraged to protect the greater organization.

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Tagged in: Chief Procurement Officer, Christopher Dwyer, Contingent Workforce