How to Reduce the Cost of Staffing in 2020?

10 Steps to Reduce Staffing Costs in 2020

As you prepare your budgets for 2020, you may be considering how you can reduce your staffing costs for the year. Managing the complete staffing process is an enormous expense for your organization, especially if you work with an on-demand workforce. But here are ten steps you can take to reduce your staffing costs by at least 30% in the next year.

1. Automate Your Onboarding Process
Paperwork is the name of the game in terms of onboarding. This is true with your permanent employees as well as your contingent staff. In terms of on-demand talent, you need to have all of the paperwork in place before you can give them their first assignment.

To make the process faster and easier for everyone, the automation of onboarding documents can be invaluable. Even if you currently use e-signature documents to streamline the process, wouldn’t it be great to automate the process fully?

By utilizing a system with built-in document integration, you would save time and money throughout the onboarding process. The app could even be smart enough to trigger documents based on requirements. For example, if some of your potential employees need to sign a different document due to location or skillset, the system can send it automatically.

2. Provide Employee Self-Service Portals
Giving your workforce access to their information will also save you time and money in terms of data entry and information management. When they have access to self-manage their profile, it doesn’t just make the process more efficient for your employees, and it also connects your talent to your organization. It gives them ownership while freeing up your time to focus on revenue-generating processes.

If your on-demand workforce is comprised of a large number of people, it can be difficult to keep up with the changes that happen frequently. They may change their phone number or address or even update their skillset. By giving them access to manage their profile, they know they’ll miss out on opportunities if their information is outdated.

For example, companies in the healthcare space not only have to manage talent contact information but also up to date certifications and credentials. If your team can manage this themselves, you will be able to focus on placements and other aspects of your day-to-day workflow.

3. Reduce Time to Fill
On-demand staffing is exactly that. You have a need, sometimes even on the same day, and you assign talent to handle the job as quickly as possible. When a client makes a request, your typical process is to begin looking through a list of qualified applicants and contacting them to find out their availability.

What if the system itself could determine this for you? Based on the criteria of the specific assignment, it can identify and contact every available match. The system can filter based on a variety of different criteria such as location, skill, availability, and the client preferred lists, past reviews, and more. It reduces the time you spend on this process and engages the right people for the job.

4. Receive Automated Reminders
No shows are a frustrating but unfortunately common part of many on-demand staffing projects. It is especially true for those in the event or food and beverage staffing business. The average no-show rate can be 10% or more of the assigned crew.

This statistic can be altered simply by replacing manual tasks with automation. A system can send out notifications with job details before the assignment. It reduces the number of no-shows as well as eliminating the support you need to provide in answering the same questions repeatedly. You’ll save money in the process, make your client happy, and continue to cultivate top talent.

5. Mobile App Clock-In
The nature of some on-demand staffing assignments is that your talent may be working at different places and at different times. It isn’t always easy to keep track and ensure that people have arrived on time and are working on the job.

By allowing your crew to check in with a mobile app, you can easily track when they arrive on site. You can even add geofencing to provide peace of mind to your clients that employees are clocking in/out where and when they’re supposed to.

6. Avoid Duplicate Data Entry
You’ve probably always assumed that data entry was just part of the job when you’re working in the staffing space. There is always information to be updated or input into your system. But what if we told you that data entry no longer needed to be a major priority for your internal staff?

For high-volume staffing companies, it’s typical for clients to text or email requisitions for jobs. That information then needs to be transferred to your system for easy processing. But there may be an easier solution. An online form for your clients which integrates with your staffing software can eliminate your need for duplicate data entry. Everything is integrated into your system and ready to go.

7. Established Review System
Every recruiter has faced this issue. A crew member didn’t live up to expectations, but through a series of missed messages from the client or other internal co-workers, it was not communicated effectively. Nothing is documented and followed-up on and the employee is sent out on another assignment, often with disastrous results.

It could all have been avoided with a review system. If you have a high volume of the workforce and several people managing them, don’t underestimate the power of an online review process. A review system will allow you to share information about your crew with other staffing coordinators to help easily identify the right people for the assignment. You can also keep track of DNR by a client and provide superior and personal service.

8. Accessible Timesheet Approval
Paper timesheets are still very common within the on-demand staffing industry. But this leads to several steps and several places where a process can break down. The flow often goes like this:

1. Employee completes a timesheet
2. Employee gets the timesheet approved by their manager
3. Employee delivers a timesheet to the staffing provider
4. Staffing provider manually enters the information into the system
5. Payroll is generated

But what if the employee doesn’t remember to complete their timesheet every day and has to estimate? They may get the information wrong. Or what if the supervisor doesn’t approve it on time? What if they don’t get the timesheet to the agency in time to be processed? Or the data entered into the payroll system is inaccurate? The snowball effect can quickly cause an avalanche.

Online payroll with automated reminders for approval and integration into a payroll system will eliminate every roadblock along the way.

9. Preferred Communication Methods
In today’s highly connected but digital world, we are learning that more people have preferences in terms of communication. There was a time when picking up a phone was the only option. But now, everyone seems to have access to a smartphone, and many people prefer texting over talking on the phone.

There is no reason to fight this trend. Instead, if you embrace it, you’ll find it even easier to connect with your clients and talent. Save both time and money by selecting a communication preference within the system, so they always receive your messages.

10. Integrate with Current Payroll & Invoice systems
Probably the single biggest hesitation point for many companies to invest in a new system is the ripple effect of big changes to their workflow. But that doesn’t need to be the case. Did you know that a system like NextCrew can be integrated into your current payroll and invoice system seamlessly?

All of the relevant information from your system can be imported electronically into your payroll and invoice systems, so you no longer need to key in the data manually. The money and time saved will become invaluable and can be reinvested and refocused on your revenue-generating work. Many systems like QuickBooks or ADP offer open API which allows even the need to export and import data and information can be seamlessly integrated between systems.

If you are a high-volume staffing company, by addressing these ten-point checks in your operation, you could reduce the cost of staffing by at least 30% or higher. And it will allow your talents, internal office managers, to focus on better things than performing manual tasks.
< Back to Blog
Ready to get started?

Get in touch or request a demo

Request a Demo