The US Labor Department reported in March of this year that there were 6.6 million job openings, a record high. Although most of us applaud these numbers (as opposed to high unemployment numbers), those in procurement and HR who are responsible for hiring see the situation as an obstacle to their talent acquisition efforts.
As the economy heats up, more workers have more choices for where they want to work. This competitive environment makes it more difficult for any company in hiring mode to land the best candidates. In fact, traditional methods for hiring no longer seem to be working as prospective employees are approaching the job market in very different ways.
One manifestation of these changing times is the rapid growth of what has come to be known as the contingency workforce. These are individuals who are not full-time employees but who are brought in to supplement project work on a temporary basis.
A full 25% of the workforce in the US is now made up of contingent workers. The reason this number is large and still growing is that organizations want to diversify their pool of workers without having to award full-time employee benefits such as healthcare. If full-time workers can be supplemented with contingent workers, the organizations have more flexibility from an accounting perspective, and enjoy some risk and compliance advantages.
Given the complexities inherent to the hiring process (i.e., attracting candidates, sorting through resumes, processing applications, conducting multiple interviews, assembling offer packages), many large organizations are turning to organizations who specialize in both accessing and rapidly screening potential job candidates.
Why outside help is needed
The need for an outside perspective and the emergence of technology-based recruiting now make it more financially attractive for organizations to engage in the outsourcing option. However, outsourcers are not all created equal. Some specialize in attracting white collar workers as opposed to blue collar workers, for instance. Others have access to much larger pools of candidates.
According David Trachtenberg, CMO of ZeroChaos, a leading integrated workforce management solution provider, some of the key differentiating factors include software technology and industry knowledge.
“Most organizations base performance in this domain on how quickly a job requisition can be filled and how well the person that the organization hires fits into the work environment and performs,” said Trachtenberg.
ZeroChaos does not directly recruit the workers. The company has established relationships with 15,000 supplier organizations (such as recruiters and agencies) across the globe and uses custom built software with AI algorithms to quickly sort through and identify candidates with the most appropriate hard and soft skills. “We offer our client organizations seeking recruitment a one-stop-shop approach that manages the task of searching across recruitment organizations for the right candidates,” said Trachtenberg.
“We are vendor neutral and utilize a staff-based vendor management solution (VMS) that centralizes and automates the entire recruiting and hiring process. Requests are automated, job positions are centralized and appropriate candidates are quickly identified. Most of our clients underestimate their contingent workforce spend by 25%. We provide accurate spend and compliance data. In this way, we provide our clients with the confidence they need to establish control over their requisition, spend and compliance requirements,” he said.
ZeroChaos conducts business in nearly 50-countries and leverages proprietary and patent-pending technologies, data and workflows to help its clients intelligently hire the right talent, as efficiently and quickly as possible. Today, the company manages 15,000 supplier relationships and $3 billion in spend globally. ZeroChaos is headquartered in Orlando and has global operations in the Americas, Europe, and Asia. For more information visit www.zerochaos.com.