5 ways a contingent staffing model can save (and make) you money

Hybrid work and digital transformation have accelerated discussions around flexibility. Uncertain economic times amplify the need for cost variability. How can contingent staffing models assist in optimising people resources within this context?

• Scale up or down as needed

The flexibility to adjust staffing levels based on seasonal peaks and specific projects is a significant advantage associated with contingent staffing. Industries with fluctuating demands, such as retail during holiday seasons or agriculture during harvest periods, benefit greatly from this flexibility. Businesses that require bigger teams only at certain times of the day or week can also benefit from contingent staffing teams. Organisations can easily increase or decrease the number of employees according to current needs without the constraints of permanent employment contracts. This adaptability ensures optimal staffing levels, preventing both understaffing and overstaffing, which directly impacts cost efficiency.

• Adapt at speed

Landed a big contract or project that needs to launch immediately? The speed at which staff can be increased or decreased based on immediate needs is crucial for maintaining operational efficiency. Contingent staffing allows for rapid adjustments in workforce size, enabling organisations to respond promptly to market changes, project demands, or unexpected surges in workload. This agility helps maintain productivity and service levels without the delays associated with hiring permanent staff.

• Achieve efficiencies

The efficiencies created by a diverse workforce that includes both permanent staff and contingent staffing are noteworthy. A blended workforce can leverage the strengths of different employment types, promoting innovation and productivity. Permanent employees provide stability and institutional knowledge, while contingent staff bring specialised skills and fresh perspectives. This diversity promotes a dynamic work environment that can adapt to various challenges efficiently.

• Streamline recruitment

Streamlined recruitment processes tailored to specific roles also contribute to cost savings. Recruiting permanent employees involves a lengthy and often costly process, including advertising, interviewing, and onboarding. Contingent staffing recruitment is generally more streamlined and targeted, focusing on immediate needs and specific skill sets through a contingent staffing partner that understands your business and specific requirements. This targeted approach reduces recruitment costs and shortens the time required to fill positions, ensuring that projects and operations proceed without unnecessary delays.

• Leverage training already undertaken

Contingent staffing can significantly reduce training expenses, as these employees are often hired for their specific expertise and typically require minimal onboarding. This approach allows companies to quickly fill skill gaps and meet project demands without the lengthy and costly process of training permanent employees. By leveraging the specialised skills of contingent staff, organisations can maintain operational efficiency and productivity while avoiding the overhead costs associated with traditional employment.

Supporting South Africa’s economy

Temporary employment services create more job opportunities, especially in sectors with fluctuating demand. By employing contingent staff, businesses can quickly adapt to market changes, which can lead to increased employment rates. This flexibility is crucial in a country like South Africa, where unemployment rates are relatively high, specifically amongst the youth.

An economy with a strong contingent staffing sector can respond more swiftly to economic shifts. This agility helps South Africa better navigate global economic changes and reduces the risk of prolonged unemployment during downturns. Businesses that can scale their workforce up or down quickly are more likely to survive and thrive, contributing to overall economic stability.

The cost-effectiveness of the five points we highlighted above can translate into lower prices for goods and services, making South African businesses more competitive in the global market. A more competitive business environment can attract foreign investment, further boosting the economy.

How BLU by Adcorp can help

At BLU by Adcorp, we efficiently manage the quality of our employees, their capabilities and their skill sets. We ensure the availability of critical backup employment pools and deliver staff consistently and to specification.