To remain adaptable and agile, businesses can utilise a Managed Service Provider (MSP) to support their teams, regardless of the location. As a Managed Service Provider, we can deliver the right talent, at the right time and cost, regardless of source.
Using a Managed Service Provider is one of the most effective and cost-efficient ways for a business to manage its contingent workforce. It can lower the risks involved with recruitment and complying with local regulations, reduces your management resource requirement, optimises costs and lets you focus your own involvement at a strategic, rather than operational, level.
If you’d like to find out more about using a Managed Service Provider for recruitment and how they can support your business, keep reading. This guide explains their role, the benefits they can bring and whether or not they will be suitable for your business.
What Are Managed Service Providers
A Managed Service Provider (MSP) is a third party provider that assumes responsibility and control of temporary worker recruitment for an organisation. It is a strategic method of improving operations among businesses and corporations of all sizes while taking end-to-end responsibility for your contingent workforce.
This service is outsourced for the purpose of freeing up time internally, making it ideal for businesses looking to expand or are overwhelmed at maximum capacity and therefore looking to recruit, with minimal time.
Businesses initially make the strategic decision to outsource an MSP to handle recruitment due to expertise, convenience and efficiency that a Managed Service Provider can bring.
What Do Managed Service Providers Do?
Managed Service Providers simplify recruiting to ease the stress for businesses when building up their team. This means that the way you hire and manage your contingent workforce is entirely simplified.
Some common duties is to source a pool of qualified and talented candidates best suited to a role, creating a streamlined recruitment process, managing contingent labour, managing contracts, selecting suitable candidates for the offering of a position, managing invoices and carrying out regular business reviews. Throughout all of these duties, a Managed Service Provider also reports back to the business and provides in-depth analysis along the way.
At XML International, we work as a Managed Service Provider (MSP) as either a Master Vendor or Vendor Neutral Role. This means that, where companies have limited capabilities, we offer a service to offer expertise, deliver services and provide ongoing and regular support where needed. Our service provides full visibility and control of your contingent workforce and suppliers.As a Master Vendor, we assume full responsibility for recruitment and ensure that all candidates perfectly align with your business. Whereas, with our Vendor Neutral MSP role, candidates are not sourced by XML International and we instead handle the full management of the supplier base on your behalf. This allows us to ensure all suppliers meet with appropriate compliance standards, as well as with our benchmark standard for candidate quality.
What Are the Benefits of a Managed Service Provider?
There are countless benefits of using a Managed Service Provider. Of course, these benefits will differ depending on the nature of your businesses and where your weaknesses and strengths lie. A Managed Service Provider can offer a range of benefits, including:
Managed Service Providers, like XML International, have a local presence in a large proportion of countries around the world. With this, comes a wealth of outstanding local knowledge in all areas affecting your workforce.
Having this local knowledge gives us the unique capability to optimise processes of your contingent workforce provision.
As a business, you can never be too certain of the extent to which your business grows and adapts to changes over time. Particularly during peak times or periods of expansion, businesses are likely to hire seasonal staff or part-time staff members. They could also potentially be looking to hire drastically and therefore in need of a large volume of new employees.
A Managed Service Provider provides the scalability needed to sail through all peaks and areas of expansion to ensure that a business never struggles by feeling short-staffed.
Complying with local laws and regulations isn’t as easy as you may think. Failure to comply with these laws can result in significant fines, loss of reputation, downtime, and in some cases, imprisonment.
With our local knowledge and extensive expertise, we are fully knowledgeable on local laws and regulations surrounding the workforce and recruitment to ensure full compliance within your workplace.
Managed Service Providers also play a vital role in managing potential risks and hazards that an organisation may face. At the same time, they implement control to protect against these risks and hazards, and observe the effectiveness of existing controls on these risks.
Managed Service Providers are experts in finding and attracting the right talent to suit the best positions. While the process of recruitment can sometimes take a very long time, it can therefore cost a significant amount of money also.
Unlike traditional methods of recruitment, MSPs are able to take care of the entire recruitment process and are also able to identify suitable candidates to find the right talent in a very short period of time.
Using a Managed Service Provider’s experience can make your business more agile, allowing you to adapt to changes in the market whilst simultaneously improving efficiencies.
If you’re looking to expand globally, a Managed Service Provider is a must. Managed Service Providers typically operate on a global scale, so if you’re looking to recruit in another country, they will be able to take on the entire management on your behalf.
Of course, this also means that all local laws and regulations will be complied to, ensuring that all contracts and processes are in alignment with these local policies. MSPs apply standardised processes across all territories, wherever that may be in the world.
What Are The Different MSP Models?
If a Managed Service Provider does sound like something that could work for your business, you’ll first need to understand the different MSP models that are available.
Master Vendor MSP
A Master Vendor Managed Service Provider model uses a single supplier for managing and completing external hiring.
Master Vendors take on full responsibility for filling temporary vacancies and engage closely with your hiring managers to ensure a thorough understanding of the requirements to then recruit directly.
Natural Vendor MSP
A Natural Vendor MSP, however, does not source candidates and will instead manage several agencies to fill these requisitions.
They handle the full management of the supplier base on your behalf, ensuring that all suppliers meet with appropriate compliance standards.
Finally, a Hybrid MSP is a combination of the Master Vendor and Neutral Vendor MSP model.
Is a Managed Service Provider Right For Me?
If you’re reading this, you’re most likely wondering whether or not an MSP is right for your business.
Below, we have highlighted several occasions in which it could be suitable if you are looking for:
- Faster access to high-quality talent through suppliers that are directly sourced
- Greater compliance of non-permanent workers
- Better cost control
- Ability to make more informed contingent workforce decisions
- More detailed reporting, analytics and key insights
However, if your business isn’t comfortable with having an external Managed Service Provider managing your contingent workforce or if your workforce volume isn’t high enough to justify the use and cost, then an MSP probably isn’t the best solution for your business.
Simplify The Way You Hire
Managed Service Providers represent the next generation of workforce solutions and can alleviate the pressures of recruitment. At XML International, our Managed Service Provider offering enables you to rationalise the sourcing and management of your workforce, anywhere in the world, including maintaining relationships with existing suppliers.
Having this service in place can lower risks involved with recruiting, optimises your costs and allows you to focus your own involvement at a strategic, rather than operational, level.
Not only do we improve your current supplier relationships, but we also grant you access to new and trusted suppliers, managed by a single point of contact. Our specialist expertise brings commercial agility and unrivalled flexibility as we handle every element of your contingency hiring and employment process