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DIRECT SOURCING CASE STUDIES
Delivering access to the right talent via a combination of direct sourcing and third-parties
Having supplied this multinational banking and financial services company for over a decade via our staffing arm we already understood their employer brand well.
In 2015 they appointed Hays to deliver an MSP service for their award based contingent workers. The solution included dedicated sourcing via a delivery team in Melbourne and the implementation of our Vendor Management System (VMS) 3 Story Software (3SS).
We went live in July 2015 with their Contact Centre business and the model was expanded to their retail branch network in October 2015.
- The services provide full lifecycle management including;
- Combination of direct sourcing of award based contingent workers and third party supplier management
- Coordinate testing of all Hays and third party sourced candidates
- Management of a group interview process
- Hiring manager education sessions on the process and the implications of award application (overtime / penalty rates)
- Probity checks for all offered candidates
- Onboarding, Induction and Offboarding of all award based contingent workers
- Delivery and management of Vendor Management System to manage workflow and capture all time and spend based data for award based contingent workers
- Integration of VMS timesheeting and payroll data to third party suppliers’ back office
- Compliance management for all award based contingent workers
- Payroll of all Hays sourced award based contingent workers and workers sourced directly
- Partnering with both indigenous and disability groups to support Diversity and Inclusion initiatives
The business outcomes
Over 125 award based contingent workers were sourced in the first quarter after the program was launched. With Hays responsible for directly sourcing more than 82 per cent of all roles today.
This has led to a multitude of benefits including:
- Reduced standard weekly roster from 40 hours to 38 resulting in a saving of AUS$125k in the first quarter through full visibility of overtime hours worked and better hiring manager education
- Standardisation of modern award interpretation, which resulted in worker pay consistency as well as cost savings
- Recorded high candidate quality and low candidate attrition
- Real-time visibility of actual cost, compliance and tenure of the non-permanent workforce allowing for cost management and risk mitigation
A direct source of £3.5 million savings in the first year
When a local government body entrusted Hays with their temporary recruitment their aim was to significantly reduce their expenditure, ensure a transparent and seamless process as well as reducing their need for in-house staff to coordinate this work.
Leveraging their brand and our staffing agency reach we directly source 99% of all their vacancies. Considering this is over 1,100 placements a year, this is no small feat. 89% of all CV submissions are within three days, and 95% of roles are filled within 15 days.
Don’t just take our word for it
Having successfully saved the client £3.5 million pounds in overall spend in temporary recruitment in the first 12 months the client was understandably pleased- and had this to say:
“Moving from over 20 suppliers to a single MSP has been a positive step. For me the most important part of the operation is the Hays onsite team and manager who have worked tirelessly both within our business and within the wider Hays organisation to ensure we have the capability we need to deliver roles from IT Enterprise Architects to Project Managers, Marketing specialists and Occupational Health Physicians, across the business, no mean feat for the third largest workforce in London. We prefer to work in partnership with Hays as we do with our other suppliers, not on a rigid contractual basis and the Hays team here have made this possible and successful.
The KPI’s have performed exceptionally well as the onsite recruiters have built up trust with line managers. We review KPI’s and SLA’s every 4 weeks and take a step back every quarter. The offsite team know the roles and requirements and are part of the team. During a difficult time of reduced funding from central government and headcount controls, we have made significant savings.”
Recruitment Manager, Non-Permanent Labour
Since then the contract has been renewed year after year- with Hays now heading into our sixth year.
Achieving 100% fulfilment with SLAs and workforce planning
It’s no secret temporary and contract workers are in demand- but add into this 75% of requirements being same day requests and you need a more innovative solution. To help a leading independent provider of IT infrastructure services tackle their same day requirements we implemented a direct sourcing approach to place 5,000 contractors a year.
We leverage one of our network of strategically located International Sourcing Centres to build and nurture bespoke talent pools for them. These range from volume requirements where we take an ‘always on’ model (sourcing the same roles for the same location each day/week) to engaging with candidates that have niche skills or qualifications across a range of industry sectors and locations.
The numbers speak for themselves
Our strict SLAs/KPIs, supplemented with mitigating/forward planning actions deliver 100% of standard and ‘same day’ requirements.
Close collaboration ensures that we understand our client’s worker demand trends and plans. This data enables us to create appropriate vetted pipelines of candidates with the right skills, in the right locations to fulfil short notice requirements.
While increased engagement with candidates has led to contractor attrition to be lower than that of permanent staff- and increased performance scores too.