Reducing Contingent Labor Costs and Streamlining Processes for a Global Food Retailer


  • Challenges
  • Approach
  • Results


Geography: United States


Web Developers, Point-of-Sale Analysts, Project Managers and Quality Insurance

Specific Challenges:

  • Incumbent MSP program becoming progressively less effective as the company grew – both organically and by acquisition
  • Heavily manual back office processes, including billing management for independent contractors, consultants and staffing agencies
  • Client had significant corporate focus on cost savings
  • Contractor quality was falling

Solution Type: Managed Service Provider (MSP) Program

Delivery Model: Centralized, vendor-positive contingent workforce management

Highlighted Strategies:

  • Cost Reduction:
    • Renegotiated staffing vendor contracts and consolidated staffing vendors, while implementing a standardized rate card and improving spend visibility and compliance
  • Process Standardization and Streamlining:
    • Focused on improving processes around requisition approvals, Purchase Order and Statement of Work processing, and onboarding/off-boarding
  • Reduced Administration:
    • Recommended actions to reduce administrative burden on client’s procurement team
  • Resource Augmentation:
    • Provided skilled resources as and when needed by the client to effectively meet business demands
  • Successfully launched MSP program within 90 days
  • Drove a reduction in true contingent labor costs by ~8% year-over-year
  • Reduced average time-to-fill by 50% on hard-to-fill IT positions
  • Achieved 100% contractor compliance in onboarding and off-boarding
  • Achieved MSP Net Promoter Score of 75%