We’re living in the midst of a workforce revolution. The 20th Century paradigm of seas of cubicles, desktops, and landlines has been replaced by a more agile workforce, remote yet connected, independent yet committed to business success. According to Deloitte, in 2018, nearly 40% of workers were in “alternative work arrangements”, those that don’t quite fit our image of the traditional 9 to 5. Today, it’s inching toward 50%. Some of these are employees working flexible schedules and locations. Others are non-employees just as important to your success. These include freelancers, temps, outside service providers, consultants and more.
They aren’t your employees and, in many cases, you’ve never met them in person. If we’re honest, that does come with its share of management, workflow, and logistical issues. But they’ve become integral within large organizations for a reason. A well-managed contingent workforce is an asset to large companies who need that agility to pivot with changing market and industry landscapes. That’s where SAP contingent workforce management comes in.
What is SAP Contingent Workforce Management?
SAP contingent workforce management is a set of Systems Applications and Products that streamline management of all areas of your non-employee workforce to get the most value from these alternative working partnerships. Also known as Vendor Management Systems (VMS), this set of technologies and surrounding workflows can eliminate much of the stress and hassles around managing non-employees.
These tools help you effectively find and connect with outside services and individuals you need to efficiently and flexibly run a big corporation. Once connected, they give you access to user-friendly tools and analytics to effectively manage this workforce from centralized, integrative, uniform, and intuitive dashboards.
They automate tedious and repetitive management tasks, so you can stay focused on maximizing the value achieved through your non-employee labor. Furthermore, they provide you with usable business intelligence to optimize everything.
This fully-integrative software works with you throughout the entire non-employee work cycle:
- Hiring, screening, recruiting, and selecting top talent
- Negotiating and finalizing work arrangements
- Onboarding, tracking, and payment
- Offboarding, evaluations, and analytics
What Are the Benefits of SAP Contingent Workforce Management?
The benefits are many. Here are a few you’re sure to notice and appreciate.
Choosing the Right People
SAP can help you connect with the right people for your project faster. Contingent workers aren’t looking for long-term employment. They like the flexibility and autonomy found in not being your employee. With that said, it takes a certain kind of person to “manage” themselves, as a non-employee must do to classify as a contractor. They need not only the skills for the job but the right mind-set — dependability, self-motivation, critical thinking, effective communication, among other skills.
As a bonus, you can gain access to hard-to-source skills more easily.
Cost-savings and Resource Management
They support cost-effective management that saves money through efficiency, not underpaying contingent labor. Thanks to useful analytics capabilities, you’ll achieve greater visibility of contingent workforce spend.
Through it, you can identify redundancies and disjointed management processes that may be costing you money. These tools manage the negotiations for you, reducing that isolated overspending that happens when each hiring manager gets to set the pay rate.
Quality Work and Productivity
Find and onboard new non-employee workers faster through streamlined recruiting and selection processes. As a result, you spend less time training. You have more time generating value for your company from non-employee arrangements. In areas where contingent labor turn-over is naturally higher, this one efficiency can completely change a project’s trajectory.
But at the same time, SAP management can help you retain non-employees because it delivers a better candidate and employee experience. When you create systems and processes that work, it shows you value the people working within those systems. They want to stay with you longer.
Ensure Compliance
Whether you have to abide by HIPAA, SOC, FERPA, or ISO, handing off protected customer data or proprietary information to someone outside your organization is a scary proposition. SAP can put safeguards, best practices, and systems in place to maintain compliance with local and state laws, regulatory bodies, internal compliance standards, and the IRS.
Better Security
In line with compliance, security features allow you to track who’s in the system and what they’re doing. You’ll never have to wonder if a non-employee had access to something they shouldn’t have.
Easy to Use
Technology and processes shouldn’t be complicated. When they are, people create workarounds and you end up with an unproductive mess. SAP workforce management tools are intuitive and easy to learn. They work like people expect them to function, in line with other quality technology solutions. On top of that, they come complete with tons of time-savers like pre-designed reports and templates you can steal to develop your own streamlined processes.
Global Expansion Capabilities
Finally, the highly configurable and integrating nature of these solutions also makes them very scalable, supporting your global expansion initiatives.
What Sets Our SAP Contingent Workforce Management Solutions Apart
As your continent workforce consultant, we can help you implement, train, and integrate SAP into other Enterprise Resource Planning (ERP) tools to optimize communication, productivity, security, compliance, and efficiency of this management system.
We work in two primary capacities to meet your large business’ needs, as either a Consultant or Managed Services Provider.
As a consultant, you retain full control over the management of your non-employees as we provide our expertise regarding implementation, training, and getting the most out of SAP solutions and contingent labor arrangements. We can guide you through security, compliance, cost-savings, and all-important correct worker classification.
As an MSP, we offer you full-service implementation, training, and day-to-day maintenance of non-employee workflow. We alleviate the burden of non-employee management while keeping you in the loop with regular analytics, showing you the effectiveness of your streamlined technology and systems.
Are you looking for a better way to manage non-employee resources and think our SAP solutions might be a good option for you? We help Fortune 1000 companies streamline and maximize non-employee labor. Contact us today to discuss Monument Consulting’s SAP management technologies and services.