Talent sourcing through a managed service provider
Across many state organizations and public agencies, finding the right talent to fill open roles can be an enormous hurdle to clear. For one midwestern state (the Midwest refers to the states of Ohio, Illinois, Indiana, Iowa, Kansas, Michigan, Minnesota, Missouri, Nebraska, North Dakota, South Dakota, and Wisconsin), the task of locating and hiring talent was outsourced to CAI as a managed service provider (MSP).
The challenge of shifting staffing demands for a public agency
This midwestern state agency was in search of an updated contingent workforce solution, one based on industry best practices and protocols. The state recently expanded its contingent workforce program to include medical positions and needed an MSP that could fulfill placement needs within the medical field.
They were particularly invested in finding an MSP that could provide a pay rate and markup model to increase the visibility of financial expenditures, and ensure the state’s budget was going to the resource performing the work, while also containing supplier markups.
A successful program transition and service implementation
CAI was awarded the contract and successfully transitioned the program from a previous service provider. Increased reporting and metrics were prioritized up front and delivered to the state stakeholders, resulting in greater transparency across the program.
The rate structure was also transformed from a traditional bill rate/vendor rate model to one driven off the pay rate, with defined markups for the vendors and MSP. This helps to contain supplier markups, ensuring more unified billing, ease of process, and transparency. This also means the majority of the spend goes to the resource performing the work.
Key to the program implementation was the transition of the state’s incumbent resources and suppliers. Following a plan devised by CAI and the state, CAI’s implementation team worked with critical suppliers, representing contractors identified for transition, to collect pay rate data necessary for building transition rates. From there, CAI presented the transition data to state agency leadership for review and approval. Each client and supplier was walked through the transition process plan, so all parties knew what to expect. This ensured a cohesive and efficient transition process for all parties.
CAI successfully transitioned 643 resources from over 40 different suppliers for 54 state agencies to the new program across all staffing categories. This occurred while maintaining business continuity, and concurrently implementing and supporting new contractor requests.
643
Resources
40+
Suppliers
54
State agencies
Delivering a contingent workforce to state projects
The current contract manages 944 contingent workers on active assignments across 114 cost centers, through a network of 587 approved suppliers. The areas of engagement range from administrative and clerical work, medical, IT technical work, and consulting services for state projects. In addition, the contract also allows for fixed-bid projects, quoted as statements of work (SOWs). So far, there are over 90 projects in process across this state.
The contract has also resulted in an increase in the usage of the State Earn and Learn (SEAL) program. The SEAL program, managed through the state’s Office of Technology, engages new hires in a program of work-based learning. The program provides its associates coming from non-technical backgrounds and trades with training in practical skills and certifications. This comprehensive, on-the-job training opens up new candidate pools for the public sector, while simultaneously placing state workers in highly needed and meaningful areas of growing economic value.
Achieving greater efficiency across the board
Through the CAI managed service program, we are providing the following solutions to the state:
- Staff augmentation
- IT consulting services for IT projects
- IV&V project work
- SEAL work-based learning program
- SOW and project services for non-IT projects (admin, clerical)
- A selected resource program for state-recruited resources, where CAI serves as the payroll and benefits employer of record
The lasting effect of a modernized contingent workforce program
Thanks to the work of CAI as a dedicated MSP, this state was able to optimize and transform its contingent workforce program to embrace a modern system that reflects today’s labor market. The changes put in place by CAI have achieved greater efficiency for the program, not just for the immediate future, but for years to come.
To learn about how CAI can provide contingent workforce solutions to your state agency, fill out the form below.
