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2 begins. At that point, your MSP will be the most appropriate agent of change to attain buy-in from suppliers, contractors and other SOW workers. Many organizations are also challenged by the capability and experience level of their current MSP partner. For example, your existing MSP may not be suitably equipped or experienced to integrate SOW effectively into its management model. Depending on the needs of your organization, you may need to consider the benefits of working with your MSP to switch providers, if feasible. If your MSP has the necessary capability for SOW management, your initiative will have a good head start. The next question might be around its ability to manage a global supplier base. If your company uses a large number of knowledge workers, it's possible that existing SOW vendors will be based offshore. Offshore resource management is a specific challenge MSPs increasingly are addressing. You may need to make a tough decision: do you cease working with a senior manager's favorite offshore software developer, or do you address the capabilities of your MSP? In addition to the competencies of the MSP, the technology tools at your disposal may also need review. Some VMS solutions, for example, do not yet have extensive 1099 or SOW management functionality. A number of companies implementing MSP-managed SOW have had to invest in customized VMS modules or software upgrades, so this is something you need to factor into your plans. the role of your MSP The role of your MSP provider in building a business case will largely depend upon which management model you pursue. Three key models were explained in the first article of this series: service procurement administration, extended service procurement and full life cycle service procurement. At the very least, your MSP provider should be prepared to assist in the discovery phase of your project, as well as to evaluate its own capacity, capability and technological ability to incorporate SOW into the management model. At the other end of the spectrum, if your provider offers full life cycle management, its representatives will be involved from the outset, from project scoping to cost evaluation and strategy development. More than anything else, your company's success in starting the journey to total talent management will depend upon your MSP provider's ability to manage the complexities of SOW talent. When it comes to MSP management of SOW workers and suppliers, what does success look like? The answer will differ according to your company's objectives. • Reducing risk of worker misclassification • Improving management of the overall talent pool • Reducing costs for administration and invoice processing Once you have a picture of how, where and why SOW suppliers are being used in your organization, you can begin to quantify the savings and improvement opportunities that will cement your business case for change. The first challenge is gaining support from business units in providing this initial visibility. address common misconceptions early While the picture of SOW usage might seem elusive, you can gain the support of hiring managers with the right approach to discovery. The key objective should be to satisfy managers regarding their concerns about the MSP approach. Common misconceptions include: • Incumbent talent will be retained only until projects are completed. In many cases, an MSP can continue to turn to the resource on future projects. • Hiring managers' business needs will no longer be served effectively. An MSP can provide both strategic and administrative services to ensure high user satisfaction. • Managers will lose access to SOW talent in the future. An effective MSP program optimizes the supply chain to retain valuable talent, providing hiring managers consistent access. By allaying these natural fears and clearly communicating the issues and details of what is at stake, you should have little problem getting hiring managers to provide the information you need. In addition to gaining buy-in from line leaders, you will need to involve colleagues in HR, procurement category managers and perhaps a legal specialist to look at the potential worker classification issues and compliance exposure. You might also want to include a change manager at this early stage since an impact assessment will be worthwhile to underpin change management efforts as the project progresses. gaining buy-in from SOWs SOW consultants and contractors might prove to be resistant to any change toward an MSP-managed model. Some will know that their rates will not be justifiable under this model. Furthermore, they may not like the idea of having to fund their place in the workforce ecosystem, which will be a necessity under a typical supplier-funded MSP model. However, SOW cooperation is necessary only after your business case is approved and the change process www.randstadsourceright.com

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