A Vendor Management Systems (VMS) acts as a mechanism for business to manage and procure staffing services (usually temporary staff) as well as outside contract or contingent labour. VMS solutions have been proven effective in replacing manual systems and processes.
The penetration of VMS is significant, with over US$120B revenue through VMS systems annually and continuing strong growth rates.
VMS solutions have gone beyond primary contingent workers, sourcing and billing applications to supporting workers through services contracts. The changing focus is welcoming and continues to address business concerns. Staffing Industry Analysts has recognized three VMS evolutionary waves viz. supply centric, talent centric and marketplace centric.
There are many benefits of VMS. The increase in management efficiency with automated management and billing of SOW has helped save many working hours and saved expenditure. The retention and quality of employees has also improved. Client organisations are also able to improve assess contractor performance before re-engagement where they maintain a closer network
The continuing market penetration of VMS and the evolution of solutions has caused Staffing Industry Analysts to undertake research published in “VMS Market Development Summary”. Review this report to understand the growth of the VMS global market to identify dominant work arrangements.
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