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How does contingent workforce management improve revenues?

Contingent Workforce Management

by Charlotte Gurney

Flexibility and agility have been vital components in business survival over the past year. The conditions of the pandemic have caused many organizations to review the way that workforce management is approached and to look at the opportunities that external talent can offer.
A contingent workforce provides options beyond full-time employees and can be a key tool for any organization when it comes to improving revenues.

Making the shift to contingent workforce management

High profile enterprizes, such as Facebook and Google, have already begun using the option of a contingent workforce to help overcome obstacles - such as skills gaps - that could be causing problems where improving revenues is concerned. Over the past year the pressures and shifts that have been created by the conditions of the pandemic have also highlighted how much more flexibility and responsiveness this can bring to the process of workforce management.

How does contingent workforce management improve revenues?

Using independent contractors, freelancers and agency workers in your business can help to improve revenues in both direct and indirect ways, including:

Filling skills gaps. Many contingent workers have a specialized skill set and are highly talented individuals who can be brought into the business to fill a direct skills gap for a short, or longer, term period. It’s difficult for any workforce to have expertise across all areas and this can create skills gaps that a contingent workforce can help to fill so that growth potential can be achieved.

Responsiveness and flexibility. Especially over the past year many organizations have had to respond swiftly to changes in circumstances, something that can be difficult to do using only a permanent staff. Investing in contingent workforce management provides a resource, available as and when required, so that the business doesn’t miss out on opportunities for revenue generation and can act quickly no matter what circumstances arise.

A more cost-effective approach. Using a contingent workforce ensures a streamlined approach where the need for skills can be exactly matched to the length of time required. There is no need to cover the cost of a permanent contract - or the associated benefit expenses that can generate - as contingent workforce management can be used to ensure that a project or period of time is covered but that this doesn’t generate an ongoing, or disproportionate, cost to the business.

An injection of insight and fresh ideas. Effective contingent workforce management also has a lot to add to the business in terms of ideas and innovation. New perspectives can be vital when it comes to improving revenue generation and that’s something that external workers often bring into an internal environment.

A streamlined approach to hiring. Especially if you’re working with an effective hiring partner, the process of contingent workforce management can be smooth and seamless. Your business will have access to the talent it needs to meet requirements and support revenue growth, as and when required.

Contingent workforce management is an effective tool and has a lot to contribute to any business when it comes to improving revenues.