Vendor Management Best Practices | VMS Resource Library

A New Approach to VMS: How SimpleVMS Bridges the Gap Between Employer and Staffing Agency

Written by SimpleVMS | Nov 27, 2023 9:50:56 PM

In the fiercely competitive world of staffing, one agency stands out, connecting over 20,000 employees annually with job opportunities across 20 states, generating over $300 million each year. And their growth journey doesn’t stop there. Currently focused on light industrial, 3PL, and warehousing, the company has plans to expand into direct hire recruiting in the insurance, medical, IT, accounting, and finance industries.

What has fueled this success? According to one agency executive, it’s a commitment to transcend the typical vendor-client relationship. The agency doesn’t just provide services; they act as genuine strategic partners, collaborating closely with their clients to help tackle some of their biggest workforce challenges.

“What sets us apart is our people and our dedication to direct client engagement. We don't accept clients based on their logo or brand; we actively vet them to ensure a mutual fit. We make sure that every client we take on is not only a good fit for us, but, more importantly, that we can be a strong business partner for them."

 

Meeting the Challenge: How SimpleVMS Helped to Revolutionize Staffing Practices

Despite significant growth, the company saw the need to integrate valuable technological resources to modernize its practices for faster expansion. Clients were looking for ways to increase transparency and collect the real-time data needed to manage temporary labor costs, increase productivity, and speed up time-to-fill. However, the agency was still using manual and paper processes to manage their business, which made it difficult to meet their clients’ requirements quickly and easily.

Most importantly, the agency recognized the need for an effective Vendor Management System (VMS) to enhance talent placement efficiency and provide clients with real-time visibility over their contingent workforce.

“To compete nationally, having a VMS in place is vital for speeding up placements and offering real-time data, fill ratios, and other crucial information. Using a VMS portal allows our agency to quickly fill openings in high-volume more efficiently. And having a structured program ensures complete transparency during the hiring process, which is beneficial for both our agency and clients.”

 

However, getting their leaders on board with a VMS proved challenging. Most VMS solutions earned a bad reputation in the staffing industry due to the added costs for agency vendors and inherent barriers often placed between agencies and the employer. As strong client relationships were a pivotal element of the company's success, the challenge was identifying a solution that aligned with their client-centric approach.

After exploring several options, their journey brought them to SimpleVMS, a solution crafted by staffing professionals for staffing professionals, specifically tailored to address the needs of both agencies and employers to efficiently manage their contingent workforce. This solution was actually recommended by a fellow staffing vendor – and in an industry where such endorsements are rare, this unexpected recommendation prompted the agency to investigate further.

With just one phone call, they soon discovered why SimpleVMS was not just popular with clients, but also earned rave reviews as the vendor management system staffing agencies actually like to work with.

Among several vetted companies, SimpleVMS stood out for the following reasons:

  • Cultural Compatibility: SimpleVMS shared the agency's customer-centric values and approach, making it a natural fit for collaboration. The SimpleVMS team works closely with the agency and their clients to provide configurable solutions to meet their unique business requirements. SimpleVMS proved to be a strategic partner in every sense, offering constant communication and valuable insights to support the agency's mission.

  • Ease of Use: SimpleVMS offers an all-in-one, user-friendly solution that supplies real-time data sharing, making it easy for clients and vendors to collaborate seamlessly while maintaining transparency and trust. This streamlined approach improves efficiency and productivity, empowering successful vendors to respond quickly to staffing needs and handle challenges while facilitating faster placements.

  • Affordability and Revenue Sharing: The cost-effectiveness of SimpleVMS makes it an appealing choice, and SimpleVMS's unique revenue-sharing channel partner model adds value and fosters a strong partnership.

“Working with SimpleVMS was easy! We don't do things cookie-cutter style; our decisions are based around client needs. We needed a flexible solution, and SimpleVMS got it. They understand us and are always up for collaborating on our unique requirements. We even chat with their CEO regularly about challenges and strategies. We're not about transactional relationships; we wanted a VMS partner who's as committed to being a strategic ally as we are. SimpleVMS has proven to be exactly that for us and our clients."

 

How Connecting One Food Manufacturing Client with SimpleVMS Led to Game-Changing Results

With confidence in SimpleVMS's transformative potential for employers, the agency has since linked six companies with the platform – a step they wouldn’t have taken unless they were certain that the solution would be a game-changer for their clients.

Demonstrating the power of SimpleVMS, in a recent collaboration with a major player in the food manufacturing industry, the agency identified a substantial client challenge. The client had the task of managing timekeeping for seven different agencies, overseeing 300 temporary workers across four buildings, all while using outdated time clocks from their payroll provider.

These obsolete systems made it challenging to accurately track employee clock-ins and outs, leading to imprecise attendance records for payroll. This resulted in additional workload for the payroll and accounting teams, costly manual errors, and delayed payments to workers.

Recognizing the gravity of the issue and leveraging their recent partnership with SimpleVMS, the agency promptly introduced the client to Jason Oswald, the CEO of SimpleVMS. The agency was confident that SimpleVMS's innovative timekeeping solution and user-friendly reporting dashboards would make a substantial impact.

“In business, I'd never suggest a tool that I didn't believe would genuinely benefit them. In staffing, relationships are a two-way street. If I'm aware of a client's needs, I want our agency to be the go-to resource because I know they'll reciprocate as a valuable resource for us. When I learned about this client's challenges, I was certain SimpleVMS would be a game-changer for them. It took a single introduction, and they were up and running! And now they consider it one of the best solutions for their business.”

 

With the integrated solution, the client now has real-time access to time and attendance data for their entire contingent workforce through a single dashboard, eliminating the need for manual processes. Notably, all vendors fully embraced the solution, achieving a 100% participation rate.

In a brief 4–6-week implementation period, the client wholeheartedly adopted the platform and is highly satisfied with the results. SimpleVMS has enabled the client to enhance efficiency and accuracy in payroll accounting for temporary workers, reduce payroll errors, expedite payments, and enhance their appeal to talent. By providing this solution, the agency has positioned itself as a distinctive vendor partner, setting their business apart from competitors.

How SimpleVMS Redefines Success in Staffing Operations and Client Relationships

Despite initial reservations about using a VMS, SimpleVMS distinguished itself as a true and reliable partner that not only streamlined staffing operations but also positioned the agency as a better strategic resource for their clients.

With its customer-focused culture, user-friendly, highly customizable platform, and affordability, SimpleVMS has become an invaluable asset, transforming the agency's approach to staffing and fostering enhanced client relationships. This success story demonstrates that, with the right VMS solution, staffing agencies can not only meet but exceed client needs, creating a mutually beneficial and enduring partnership.

“SimpleVMS sets itself apart from others in the market. It's not just about the system; it's the team behind it that makes it transformative. Their constant partnership and willingness to configure the product to meet clients’ needs make a significant difference. While some may see using a VMS as a potential roadblock to client relationships, SimpleVMS has proven otherwise. It has, in fact, provided us with more opportunities than ever to increase market share. With SimpleVMS, we not only have better client relationships, but our recruiters can also fill positions faster using the platform.”