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Monday, July 29, 2013

The Future of Service: Why Temporary Agencies Should Embrace Online Staffing

Staffing is a game of numbers. Every recruiter knows that in order to place one person on a temp-to-hire job you may need to source 15, interview 10, submit 5 resumes, and schedule 3 interviews for the client company. Only one person will get the job. Then what happens to the other 14 qualified and talented people?

According to a Staffing Industry Analyst blog post from May of last year, these additional candidates may be part of an untapped resource that temporary agencies should consider to increase placements and generate revenue. 

But preliminary findings from our recent buyer survey show that online staffing is just barely penetrating the contingent market. Imagine a world where you can get the worker of your choice via a website with minimal effort, no obligation and zero legal hassle (most online staffing companies handle the compliance issues, 1099s, year-end tax reporting, etc.).  No more grappling with high mark-ups, onboarding hassles, corporate culture misfits, supplier mismanagement, etc. Wouldn’t that make your life easier? That is what online staffing in bringing to the table.”

Beyond social recruiting, and beyond mobile optimization, online staffing may be the perfect addition to the temporary staffing companies current took kit. 

How does online staffing work?  

Companies can utilize an online service, like NextCrew, to track employee and client communication. When a client reaches out to you with a temporary project they can either search your online database for candidates who match their requirements or ask you contact your available employees. The client will include information about the schedule and the pay rate in their request. After a match is made and the assignment is completed the employee will submit their hours to the client who then sends their approval to you for payroll processing. 

The demand for temporary employees continues to increase. In July of 2013, it rose 2.1% over the same month in 2012. Your clients are looking for ways to make the process simpler to contract temporary employees for short term jobs. 

You already have the talent available, now is the time to diversify the employment model to place more of them on these projects. 

With NextCrew, this system is entirely automated. The process has been made simple for both your clients and your temporary staff. 

The current trends in online staffing seem to focus on freelance workers who contract directly with businesses and are paid through a 1099. Often these individuals are taking on additional jobs while still working full time positions or, as in the case with your pool of candidates, waiting for a full time position to become available. If you can direct their energy away from freelance projects toward temporary projects with your clients, your sales and placement dollars will increase. Just like traditional staffing, you are still responsible for their taxes and payroll. This takes additional pressure off your client companies throughout the process. 

Have you considered online staffing? Talk with us to see how we can help you automate your process and get more people out to work today!

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