A Delicate Balance: Allowing Suppliers Direct Access

184779251A recent Staffing Industry Analysts report cited 20 percent Canadian market penetration of master service provider (MSP) programs. While this number is much smaller than the 50 percent MSP penetration in the United States, the Canadian MSP market still grows each year – and is here to stay.

With that in mind, how can we make MSP programs work best for all parties involved?

MSP programs are an important and growing part of our industry, providing numerous long-term benefits ‎to clients with sizable spend, especially in professional job categories. However, some MSP programs limit, or cut off completely, the traditional relationship between the staffing vendor and the client, in effect making the MSP program office the de facto client of the supplying agency.

PREMIUM CONTENT: Trends in supplier management strategies

There are many reasons why an MSP or client may want to end or limit staffing vendor contact, including time savings and process efficiencies. However, it is our experience that the ability to retain and nourish key client contact directly – especially for tier one vendors – in addition to maintaining a strong relationship with the MSP team itself yields even greater benefits, namely the ability for the staffing vendor to be part of the ongoing strategic talent discussions with the client at an executive level. Allowing staffing vendor executives to remain at the table ensures a more comprehensive understanding of the client’s long-term vision and needs, and it ensures they are better prepared and more proactive in delivering their solution. Being at the table also enables the staffing vendor executive to foster a stronger commitment internally among their recruiter population by sharing the client’s vision, upcoming demand, corporate culture and other elements that will ensure best talent fit. This increased commitment and understanding can only lead to higher fulfillment rates and the improved chance for candidate success.

Our best MSP/client relationships are those that allow for some direct access to the client without jeopardizing the integrity of the MSP program. These relationships require a delicate balance, which is worth further discussion as MSP programs continue to develop within the Canadian marketplace.

MORE: What MSPs really do

Sandra Hokansson

Sandra Hokansson
Sandi Hokansson is a certified executive-level coach and principal of SoundLeadership. Reach her at sandi (at) soundleadership (dot) ca.

Sandra Hokansson

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