Financial services organization achieves faster hiring and significant savings with integrated talent strategies.
| 3 min read|
With strong growth over the past 20 years, much of it due to acquisitions, this financial services company has come to rely on partners as a way to find the talent it needs across multiple locations and business channels.
With a first-generation MSP in place for more than 20 years, and internal teams managing direct hires, the company realized it wasn’t getting enough visibility into its workforce to help understand the current strategy or guide decision-making for the future. In addition, with too many contingent talent suppliers, and a lack of reporting insight, the company recognized the opportunity to optimize its supply chain and better understand its workforce requirement.
Partnering with Randstad Sourceright, the organization has implemented a centralized total talent management solution that uses both recruitment process outsourcing (RPO) to manage hiring for permanent talent, and a managed services program (MSP) to handle contingent workforce management.
Since adopting integrated talent strategies, the company can better manage the hiring processes for contingent and direct hires alike. The company currently leverages RPO for high-volume call center and manufacturing positions, while using MSP for contingent roles across the organization.
The organization and its talent solution partner, however, use talent data and market insights to consider which types of work arrangements can help the company get work done more quickly. For example, in Dallas and Charlotte, the organization decided to use temporary talent to fill third-shift positions to help reduce hiring time and meet internal staffing commitments.
The company took a similar approach for high-turnover general labor positions in Dallas, shifting to contingent talent for these roles. This change allowed the organization to increase onboarding and replacement speeds by eliminating the need for internal permanent hire approvals.
For call center roles, the company improved skills acquisition speed in two challenging markets — Minnesota and California — by tapping both contingent and permanent hires as well.
The total talent management model has also been instrumental in addressing the recruitment challenges introduced by COVID-19. The company has adopted video interviewing and AI chatbots to facilitate candidate screening and hiring for both perm and contingent hires.
Overall, the company has benefited from more than $700,000 in cost savings between January and June 2020, achieved largely through contingent talent supplier optimization and rate analysis. Randstad Sourceright also introduced a new payrolling supplier to the program for all manufacturing roles, resulting in a 14% cost savings versus the previous supplier.
All employees that were hired through the previous agency relationship were successfully transitioned to the financial services company’s new talent model. The program also achieved a 100% employee transition rate when contingent workforce management was moved to Randstad Sourceright, with 92% of its suppliers onboarded.
For the first six months of the program, 144 contingent placements were made across 33 unique locations, with a time-to-fill rate of just 23 days and a 75% retention rate. Additionally, 317 permanent placements were made with a client savings of 3% cost per hire, quarter over quarter.
The company leveraged Randstad Sourceright’s expertise to revise talent marketing, incorporate market intel and strategically pipeline talent which has resulted in a reduced time to hire, and improved class fill rates. Through strategic partnership and holistic talent management, the total talent solution continues to drive cost savings for the company through both earned savings and reduced cycle times.