New research from Forbes reports that the number of job seekers looking for flexible work has grown by 58% since 2015, and increasingly, that growth is made up of skilled professionals looking to take advantage of the flexibility offered by Statement of Work (SOW) engagements.
With this trend towards an increased reliance on external services providers, a recent CW Strategies 3.0 article posed the question: why do so many organizations implement an external workforce management program, but stop short of including services procurement?
Typically, centralizing statement of work management would be a logical next step as companies try and bring these contracts into their CW program. It can be assumed that the culture of the company would support such an endeavor. However, it is best if there is an underlying problem to solve that supports centralization and tighter processes around SOW contracts.
They go on to explore some of the specific challenges that services procurement technology can solve.
True transparency comes from having a complete services procurement picture. With access to real-time information, companies can drive cost-savings and make better informed decisions about external services providers.
Gaining visibility and control over the entire SOW process means fewer misclassification and co-employment risks and better security and control over the end-to-end process.
One important benefit that the author touches on only briefly is efficiency. As the overall workforce shifts to become more flexible, the ability to leverage technology to access top external talent won’t be a ‘nice to have’, but an essential business driver. Automating and standardizing key process flows, reducing time-to-hire and other key efficiencies will enable organizations to manage the external services they need to stay nimble and competitive.
To learn more about what managing the full services procurement lifecycle looks like, watch our video SAP Fieldglass Services Procurement.