6 ways local government can achieve contingent workforce cost savings
Kaled El-Feturi

5 minutes

6 ways local government can achieve contingent workforce cost savings

Securing and managing contingent talent is a specialised task, particularly in the talent-scarce market confronted by local governments. Comensura, a leading Managed Service Provider (MSP), ensures access to the quality and volume of workers needed in a more cost-efficient manner.

So, how does partnering with Comensura prove more cost-effective than traditional or in-house recruitment methods? Here are six ways Comensura achieves cost savings on contingent workforces for local governments.

1. Uncovering rogue spend

By applying established bill rate management strategies, Comensura can almost entirely eliminate rogue spend — where managers engage suppliers outside of council’s pre-established procurement policies. Comensura ensures rate cards for specific roles, housed within the c.net Vendor Management System (VMS), are adhered to strictly and are based on current market research and benchmarking.

This ensures your offering is competitive in the current marketplace without being unnecessarily inflated by suppliers focused on securing their margins.

2. Eliminating invoicing errors

With traditional recruitment, invoicing errors can arise when different agencies and suppliers use various formats and fields. Comensura implements a best-practice invoicing template and approval benchmark to streamline the payment process.

Comensura also establishes and oversees a simple yet robust process to ensure all invoices are managed consistently and compliantly, with identical sign-off and approval procedures at different pay rates and thresholds. This ensures every invoice receives the same level of scrutiny and includes the same information, preventing costly errors from slipping through the net.

3. Ensuring accurate job classification

With the assistance of our proprietary c.net technology, Comensura ensures accurate and consistent alignment of job classifications to market rates, eliminating overspend.

By ensuring job descriptions and classifications are accurately benchmarked within c.net — and that all roles are aligned to the correct job category and rate — there is virtually no room for error.

This transparency allows you to see where your spend is allocated and enables more informed and cost-effective hiring decisions.

4. Implementing process enhancements

Every day without the right talent in place costs money. Comensura is measured against relevant SLAs and KPIs, designed to ensure your hiring processes operate at peak efficiency.

For example, without an MSP, a hiring manager may take two or three days to act on a hiring need. Comensura ensures new requisitions are picked up and actioned immediately.

Getting the right talent first time is important. Comensura is expert at sourcing and managing engaged recruitment supply partners, which means hiring managers quickly get a shortlist of potential candidates—all well-suited for the role.

5. Reducing unnecessary spend

c.net technology provides detailed visibility of contingent workforce activity and costs to help avoid unnecessary overspend. This includes tracking bill rates and contractor overtime hours, so any large spend with suppliers is eliminated or offset elsewhere.

For example, high levels of overtime within a contingent workforce may indicate the need for extra resources. Failing to recognise this in time could be extremely costly, especially if overtime is charged at double or triple time.

Comensura also regularly benchmarks rates to align fees charged by the same supplier and identify where discounts could be negotiated. Ideally, all workers from the same supplier should be charged at a standard rate, and margins should reflect the overall volume of workers provided.

6. Efficient hiring of referred workers

Hiring referred workers through Comensura’s payroll and contractor management solution can lead to significant cost savings which can be upwards of AU$10,000 per worker per year. Comensura becomes the single point of contact to engage referred workers as the Employer of Record (EOR), ensuring they are onboarded efficiently and compliantly. This process minimises the time and expense associated with sourcing new talent.

Additionally, referred workers often have proven track records and cultural alignment, reducing turnover and training costs. Comensura's c.net technology tracks all related expenses, ensuring transparency and cost-effectiveness. This approach not only enhances workforce quality but also drives substantial financial benefits to councils.

Realising the value of contingent workforce cost savings

As outlined, the cost savings achieved by managing contingent workforces through Comensura come from various areas, each working together to ensure your local government gets top talent at a great price.

Contact Comensura to discuss your needs and discover other ways to achieve better value for money from your contingent workforce spend.

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