The Issue

A European-based, multi-billion-dollar international airline group with 16,000 employees, faced high pay rates for their contingent workforce compared to market comparisons. The company had no centralized workforce management program and relied on hiring managers to select and engage directly with suppliers, resulting in:

• Inconsistent contractual and financial terms and conditions
• No standard and approved rate cards or cost oversight
• Lack of standard operating procedures or Service Level Agreements (SLAs) for time-to-hire, compliance, or even payment terms
• Too few experienced talent suppliers for the number and specialization of skills required to meet their contingent hiring requirements

The customer realized they were expending too much time and money on their contingent workforce without the proper return on investment; they determined they needed more of a solutions provider and partner vs. a supplier/vendor relationship.

Our Approach

Workforce Logiq was engaged to perform a Rapid Business Assessment (RBA) to identify the customer’s actual global contingent labor spend, document work flow challenges and compliance risks, and calculate potential savings based on market rate comparison intelligence and benchmarks.

Based on our results, we recommended the adoption of an integrated Managed Services Provider (MSP) program and Vendor Management System (VMS), supported by a full-time, dedicated onsite team of Workforce Logiq expert advisors. Workforce Logiq’s integrated solution was purpose-built to drive operational efficiencies and bring visibility to the customer’s entire contingent workforce, including temporary workers, independent contractors, and service providers. The patent-pending solution includes workflows, tracking, reporting, and an analytics dashboard for key activities such as:

• Time keeping, expense management, and invoicing
• Market search (source to pay)
• Agreement administration
• On/off boarding service—computer, batch, non-disclosure agreements (NDA)
• Reporting and control and quarterly business reviews
• Supplier management, supplier scorecards, negotiations, rate management, and market statistics
• SLAs and Key Performance Indicators (KPIs)

The Results

Workforce Logiq placed on-site teams to simplify and streamline the overall MSP and VMS implementation, training and onboarding, and to support the ongoing management of the program across the client’s largest European offices.

As a result, together we achieved:

• 20%+ overall program savings
• Average of 7-10% savings on contract extensions/renegotiation
• Annual savings of USD $175,000+ in indirect costs from reduced client administrative functions
• Significantly improved time-to-fill, with a 2-3 week reduction from prior workflow results
• Increased quality of and competition amongst suppliers by expanding to over 150 proven partners with relevant recruiting experience and consistent, data driven rate cards
• Appropriate compliance standards with documented and mandatory “rules of engagement”
• Better performance with clear, measurable SLA and KPIs monitored in real time
• Customer-driven dashboards and advanced data analytics for better and more informed decision making to achieve ongoing program improvements

In partnership with Workforce Logiq, the customer was able to focus on running their business—and managing their 16,000-employee talent pool—with:

• Fewer administrative burdens
• More insight to make better and more cost-efficient decisions