Is your contract with your current Managed Staffing Provider (MSP) coming to a close within the next few months? If so, it might be time to re-evaluate your MSP, even if you were considering extending your contract. As you decide whether or not to move on to a new MSP, there are several questions you should be asking yourself such as, What technology has my MSP brought to the table? Have they successfully exceeded my staffing needs and expectations? How has my organization changed since we introduced this MSP? There's a lot to consider when it comes to deciding whether to keep or expand your MSP partnership or to switch to an entirely new provider.
Here are 5 signs that it might be time for you to switch your Managed Service Provider (MSP).
1. Your MSP is Slow with Innovation
The market is constantly shifting, which means that your MSP should be constantly evolving. If your MSP has stayed the same over the last several years, it's time to try something new. The talent market has changed significantly after COVID-19, so if your MSP is still working the same as it did 2-3 years ago, that's a major red flag.
Your MSP should offer you a strategic roadmap that will give you several options for not only today but also for the future. Creating a detailed roadmap for the present and the next generation ensures continuous evolution and innovation, which will only increase your value. For DZConneX (DZX) personally, our roadmap approach has proven to be extremely successful which has led to 87% of our clients expanding their total talent services.
The roadmap also applies to technology.
Technology is always changing, so if you're still using the same technology you used years ago - that's a problem. The technology that your MSP offers should help your organization perform better by connecting 3 things that DZX finds essential for any talent strategy - people, process and technology. Your technology should be suited for your organization specifically. Consider a partner like DZX that offers a propriety technology ecosystem to efficiently streamline your talent acquisition process called Total Talent ConneX.
Total Talent ConneX curates holistic reporting and analytics that provide insight into an organization’s talent acquisition process and workforce. The analytics dashboard enables visibility into your talent lifecycle, productivity measures, spend data and analytics. It provides real-time on-demand data and a comprehensive program performance review concerning quality, efficiency and cost in order to determine areas for improvement and make strategic recommendations. You can read more about it here.
2. There Have Been Multiple Compliance Issues
It probably goes without saying, if there have been multiple compliance issues - it's probably time to move on. When it comes to managing talent, there are a lot of different aspects to consider but it's essential that every single detail from metrics reporting to supplier management and more, is evaluated and 100% compliant. One faulty part of the program can bring down the rest of it.
3. A Lack of Communication Regarding Pay Rates or Other Costs
If your MSP isn't consulting with you on what exactly pay rates should look like, it's almost certain that you're going to end up with rogue spend, possibly through Statement of Work (SOW). When it comes to services procurement, it's essential to have a partner that can effectively develop and manage an integrated process to ensure you that any SOW engagements are appropriately classified, agreements are accurately written, vendors are properly engaged and services are efficiently delivered.
It can be difficult for organizations to manage SOW or any service procurement component on their own, so working with an experienced talent team will only help your organization. When it comes to services procurement, it can be hard to identify, manage and control all services procurement spend because of misleading contracts, unaccounted for talent and more. If you're partner isn't considered the best-in-class sourcing and contracting experts, it's time to look for a new one.
4. The Relationship Feels Very Transactional
One warning sign that it's time to switch your MSP that might not come to mind right away is if the relationship is starting to feel very transactional. Meaning, there isn't a lot of communication or innovation (as mentioned above) and you're feeling like you're just another customer. Your MSP should be offering a dedicated team of talent management specialists who are willing to consistently evolve your program. They should be leveraging technology, the supply chain and your existing resources to provide the best talent possible. This goes above and beyond a simple transaction.
5. The Suppliers are More About Quantity Instead of Quality
Quality over quantity, always. As tempting as it may sound to have 30-40 suppliers, that's not always the best strategy for your organization. You should have fewer suppliers who essentially have more stake in the game. This will ensure that they're putting quality resources forward more quickly. Plus, the fewer suppliers you have, the more you can make sure that they fully understand your organization. Additionally, your MSP should be keeping their standards high and holding suppliers accountable to keep your program running smoothly. If you're noticing a high number of suppliers along with a high turnover percentage, it's time to consider another MSP.
DZConneX offers the following when it comes to Supplier Management.
You can read more about our supplier management offerings here.
As you can see, there are so many different pieces of the program to consider when it comes to deciding whether or not it's time to switch your MSP from technology to communication and more. It might be tempting to stick with your MSP if they run part of your program flawlessly but not in totality. You deserve excellence in all the different components that make up the entirety of the MSP.
If you are considering a new talent partner, DZConneX has been providing talent and complex project management solutions since 1901, which means that we have been designing processes to make things better for our customers for more than 100 years. Learn more about DZConneX and what we can offer as your Managed Staffing Provider here.