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Facts that can Empower Your Staffing Services

April 10 2019
Author: V2Soft
Facts that can Empower Your Staffing Services

No Economy can succeed without a high-quality workforce, particularly in an age of globalization and technical change.”-Ben Bernake

V2Soft specializes in making sure our clients and their businesses are supported by the technology and people they need to overcome their challenges. We listen and communicate with our client partners to understand their needs, both in budget and experience. Our industry experience covers Information Technology, Engineering, Healthcare and other administrative staffing services.

Workforce Management solution is an integrated range of activities such as labor forecasting and creating staff schedules for individual tasks on a daily or hourly basis.

Workforce Management Includes the Following Steps:

  • Labor forecasting
  • Scheduling labor according to the forecast
  • Intraday management of the labor requirements in cases such as absenteeism or sudden increase in demand for labor, etc.
  • Creating a Business Continuity Plan

Workforce Management has undergone numerous changes as society has advanced through various stages.

How Workforce Management has Evolved Over the Ages:

In its initial stages, workforce management entailed simple steps such as organizing, pooling, and managing labor.

A need for the transformation of conventional workforce management was felt in the industrial age when disruptive changes were experienced. At this time, the focus shifted on productivity and creating safe working conditions for employees. In fact, it was during this period that a legal ecosystem was established which exists even today!

After this, the next major change began in the 1950s as we entered the Information age. It was during this period that computers and technology made a foray into the arena of workforce management.

As technology surged ahead in all other fields, workforce management became more complex than ever before.

With moving times, the era of specialization emerged and organizations preferred to hire experts in their respective fields. Individuals with qualifications in a particular field with relevant experience were selected.

However, the digital disruption impacting various sectors made inroads in the field of workforce management as well. It became imperative that the employees selected, keep themselves updated with the latest technologies. Also, there was a gap between the skill-sets of prospective employees and the prevalent technologies. Finding employees with the appropriate skill-sets became a daunting task for employers.

This made workforce management a challenge for employers. It meant channelizing their time, efforts, and funds towards staffing.

This is when the need for specialized staffing outsourcing emerged.

And, thus came into force “staffing services!”

What are Staffing Services?

Staffing services envisage searching, evaluating, and matching temporary and direct hire professionals with employers.

Organizations turn to professional staffing services when they are in need of employees. Staffing services provides companies professionals with relevant skill sets and experience for specific job roles.

Staffing Services may provide employees on the following basis:

Contract to Hire

Contract to hire or contract staffing services is a means of hiring an employee on a temporary basis. The employee is hired for a fixed term by the company. After the completion of the specified term, the company decides whether to retain the employee or not. The benefit of this arrangement is that offers both the employee and the employer to gauge the fitment and take a decision. In fact, American staffing companies hire a whopping 17 million temporary and contract employees yearly! Although most employees seek permanent jobs, temporary or contract jobs are slowly becoming popular due to the flexibility they offer.


Many times, companies hire the services of a consultant. A consultant has expertise in a required field and can offer advice to the client through his/her professional knowledge in the subject area of specialization.

Hiring consulting services offer the following benefits:

  • They do not require an in-house expert.
  • They can utilize the services for a temporary period.
  • Usually, external consulting services are less expensive than hiring an in-house consultant.
  • If an in-house expert is hired, the company will have to invest in training the individual in order to keep him/her updated with technology.

Onshore/Offshore Hiring

Sometimes companies outsource certain tasks to other companies. Depending on the nature of the tasks the hired company could perform them onshore(on the premises of the company hiring them) or offshore (outside their premises, maybe on their own premises).

Direct Hires

Direct Hire is when an organization directly recruits an employee for recruiting permanent employees instead of temporary or contract-to-hire employees.

Staffing Services Offer Numerous Benefits to Organizations:

  • Organizations can save time spent on finding the right employees.
  • Expenses towards hiring can be minimized.
  • Companies providing staffing services are adept at matching the skill-sets to the job role. Therefore, they offer you specialized services in minimal time.
  • They offer managed capacity services which entail providing the right portfolio of skills to support peak demand.
  • They offer the flexibility to organizations to hire on a temporary basis and gauge the performance of the employee and hire him/her on a permanent basis.
  • By outsourcing hiring to staffing agencies you are free of the stress of hiring and can channelize your resources towards the growth of the organization.

Due to the myriad of advantages, these companies offer, engaging staffing services has become quite popular among organizations. Staffing services are sought by diverse sectors.

As per staffing industry statistics:

  • Industrial 37%
  • Office, Clerical, and Administrative 28%
  • Professional and Managerial 13%
  • Engineering, Information Technology, and Scientific 13%
  • Health Care 9%
  • In fact, 2018 witnessed revenues for staffing rising by 4%!

Staffing Services are Impacted by a Number of Factors:

Economic Factors

According to Barry Asin, CEO of Staffing Industry Analysts(SIA), “Our industry’s fates and fortunes are largely tied to the broader economy.” A look at the current economic conditions reveals a highly volatile stock market coupled with friction over tariffs and trades. These will definitely impact staffing trends. The impact of economic factors on staffing can be best understood by a simple example-For instance, when the economic climate is good, jobs will flourish and retaining employees will become difficult and vice-versa.

Changes in Consumer Behavior

We are living in an era when there exists a customer-driven market. As such, if customer tastes change and businesses are required to stop manufacturing, it could lead to layoffs.


As we move ahead, new technologies such as AI and ML are fast making inroads in our industries. Such technologies have the power to replace humans with machines, reducing the manpower requirement.

Seasonal Factors

Employees working in industries that deal with products that are seasonal in nature may be left without work during the off-season.

Challenges for Staffing Services in 2023:

Shortage of Talent

As per Bullhorn, 73% of respondents in a survey feel that this is the topmost worry factor for staffing services. Although the shortage of talent will increase the demand for seeking staffing services, it also implies that finding talented individuals will become an uphill task for staffing agencies. The fact remains that unemployment is at a low level creating a dearth of qualified individuals seeking employment.

Outdated Skillsets

Another challenge that staffing agencies face is job seekers may lack the required skillsets for the jobs. They may have skill sets that are obsolete in the current scenario. The solution for this is to offer training to update the skills of the potential employee.

Online Platforms

Hiring temporary employees through staffing services has been prevalent for quite some time now. However, online platforms have emerged as competitors to staffing services in recent times. These platforms offer to connect job-seekers with employers totally bypassing staffing services.


Rising demand for staffing services has increased the number of agencies offering these services making it a highly competitive market. Differentiating their services is the need of the hour for staffing agencies. Staffing companies need to think out-of-the-box and come up with unique services that set them apart.

Looking Ahead

A peek into what is in store for staffing services regarding the type of employment market to help them strategize better. Bureau of Labor Statistics estimates that the economy will completely recover from the recession by 2020 and the unemployment rate will be down to 4-5%. Technical and professional jobs will lead the employment market with 2.1 million jobs in this sector. This will generate demand for jobs in computer system design, mobile technologies, scientific and technical consulting. In addition, there will a demand for jobs related to planning and logistics for the implementation of new technologies. Other areas which are expected to see a rise in the number of jobs are education, hotels, and restaurants, etc.

Under this scenario, the way ahead for staffing services is to be pro-active and train job seekers with the necessary skill-sets so as to empower them to be suitable for the emerging job market.

If you are looking for staffing services for your organization, one of the most reliable sources is V2Soft. We are a software company that has been fulfilling the staffing needs of numerous clients over the years. We have the experience of selecting employees with the right skill-sets for your organization on a temporary or permanent basis as per your requirement.

Let’s Talk! Contact Us to have one of our experts reach out and discover how we can help you with your challenges.