We're going through an interesting time at the moment when it comes to contingent labor and procurement talent management. It's historically been the case that when we're about to rebound from a recession, contingent labor contracting picks up ahead of full-time hires. But judging from conversations with a handful of providers and practitioners in the past month, it feels to me that the demand for procurement staff augmentation services is booming, despite the fact we're still in a downturn rather than an upswing (at least from my perspective). I heard about one situation recently where one organization is looking to hire around 50 staff augmentation resources in procurement. You read that right. Fifty.
Now that's quite a large number, but perhaps it's a sign of things to come. One reason why contingent labor is on the rise is that companies are trying to do more with less and either can't get budget for permanent hires or don't have the time to go through the traditional recruiting process (in other cases, an organization might want to hire consultants, but can't free up a consulting budget, so they hire contractors instead). Earlier in the week, Spend Matters released a study looking at the rise of procurement staff augmentation services. You can access it under the Spend Matters Perspectives tab on the right hand side of the screen.
- Jason Busch