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  • MSP Market Developments: Part 1

    This report identifies vendors who are actively investing and developing their MSP services. In addition, this report has identified the development of MSP service offerings in the market. Key findings include: Unsurprisingly, compliance and cost savings continue to be key drivers for managing MSP programs. As technology and technology integrations become more important in supporting business adoption and process efficiencies, MSP vendors are beginning to drive technology preferences and leadership in building technology ecosystems and data warehouses to drive more value and benchmark visibility across the client base. To support small/mid-market organizations, MSP mid-market specific services are being developed as well as talent pool consortiums. For example:  MetaProcure has started a talent consortium for the education sector. Solvus is supporting individual government entities in Belgium in a similar way. As sourcing hard to find talent and retention become a greater challenge, contingent worker satisfaction surveys are an active SLA or KPI for some MSPs to support driving continuous improvement programs that relate to the contingent worker experience. MSP’s traditionally utilized procurement skills to support the sourcing aspects and vendor management aspects of the staffing supply chain. More recently, additional skill sets are enhancing MSP teams. For instance, recruitment and HR capability which relies on understanding talent quality and retention is invested in for the purposes of direct sourcing, and in particular Contingent RPO models. IT skills and change management skills are also being invested in to support the implementations and roll outs of programs. IT skills are being invested in to support the migration of staff augmentation consultants to SOW consultants. The greatest proportion of contingent workers in the MSP market by occupational category is IT. MSP’s are also investing in knowledge of IT as well as outsourcing procurement to enhance SOW selection and evaluation capability and services. MSP organizations are increasingly building specialisms and expanding delivery centers and best practices around different models. Providers are recognizing that services procurement is perceived by buyers as a specialist skill and they are accordingly investing in building specific services center of excellence teams. The buying cycle is more complicated as services contracts typically involve more risk for a party, the contracts are often longer, commercial assumptions are more complicated, there are more stakeholders as the service involves operations as well as transition, service specifications and responsibilities including associated SLA’s,  exit arrangements as well as the project transformation or transition all make contract for services typically more complicated by nature if compared to a project or transformation of the same functional and geographic scope. Supplier services are not limited to the management of staffing suppliers and MSPs continue to explore the value of online staffing through FMS platforms as well as worker tracking solutions. US based MSP vendors are showing the greatest evidence of an uptake in FMS services being embedded in an MSP supply base. MSP providers are continuing to invest in delivery centers. The most active developments in 2016 relate to increasing investments in Eastern Europe and India. Example vendors include Resource Solutions and Hays who invested in India and Poland respectively. Of the vendors researched, 65% also offer RPO solutions as a complementary offering and a selection of clients are being supported with an RPO and Contingent RPO blended offering. Over the last year, a number of organizations have performed a reorganization and merged the MSP and RPO practices under a single leader to support greater synergies and total talent offerings. Approximately 30% of MSP vendors also offer proprietary VMS technology and continue to develop products to support a technology-led MSP service. Some have built-in SLA’s to support service reporting. While most of these providers also partner with best-of-breed VMS technologies, the ability to offer proprietary technology can create an advantage. This is mainly as it can better support continuous improvement when you own the process as well as the technology. If you accept the premise that change management only happens effectively when combining people, process and technology, process improvement is less effective where the provider does not have as close an influence on the technology roadmap. MSP providers who are using third party VMS technology are risk of managing manual work arounds to support processes where there are technology gaps. Once a proprietary technology is embedded in a client, it becomes harder for a buyer to swap out such vendors. Clearly it is in the provider interest to offer both technology and service as client retention is positively impacted, however, for this same reason, there will always be a group of buyers who prefer to keep VMS provision through a third party.  Some enterprises look to procure MSP services with the longer-term vision that they can internally manage the program at a future date. In 2016, Allegis Global Solutions, Agile•1, and KellyOCG are leveraging their traditional MSP service expertise to assist enterprises implement internally managed programs using the vendor best practices. The appetite for this type of offering is evidenced in some recent case studies below. SIA recognizes three distinct evolutionary waves of MSP services: Wave 1.0: Sourcing Leveraging Scale Wave 2.0: Sourcing through Vendor Neutral Models Wave 3.0: Sourcing for Work (Emerging) Click the link below to download the report:  MSP Market Developments - Part 1 20170424 - You do not have permission to view this object. […]

  • Contingent Workforce Professionals Guide to Human Cloud Engagements

    The Human Cloud describes companies that can facilitate direct, digitally-enabled work arrangements. Though Human Cloud companies have an important technology component and are sometimes used for that alone, when serving large contingent workforce programs they are most often used as suppliers. The goal of this report is to educate and provide best practices – in clear and simple language – for large enterprises seeking to either learn about or work with Human Cloud vendors. No prior knowledge of the space is necessary, though the report does assume some familiarity with contingent workforce management concepts. At the end of the report is a glossary of terms for reference. The report takes a “forest-to-the-trees” approach. It starts with an introduction to basic, high-level concepts, and progressively gets more granular in detail, categorizing and describing various Human Cloud vendors, examining usage in large contingent workforce programs, and ending with supply chain analyses and best practices. We’ve tried to pack enough information -- yet make it approachable enough -- to be useful for both the advanced practitioner as well as a newcomer to the industry.  Contingent Workforce Professionals Guide to the Human Cloud 20170407 - You do not have permission to view this object. […]

  • Recruitment Process Outsourcing (RPO) Pricing Template

    Our Recruitment Process Outsourcing (RPO)  pricing template is an excel file that CWS Council members can use for when issuing an RPO RFP. It incorporates a summary charges sheet, operational base charges, transition charges, third party pass through costs, project rates and commercial assumptions. It is structured to enable pricing comparisons to be made between vendors. For the full template, select the link below: Recruitment Process Outsourcing (RPO) Pricing Template 31032017 - You do not have permission to view this object. &nbs […]

  • VMS Market Developments: Part 1

    Over the last few years, Vendor Management Systems (VMS) have been expanding functionality from primarily contingent worker sourcing and billing applications supporting workers sourced through staffing suppliers, to supporting workers sourced through services contracts (Statement of Work and Outsourced services) as well as significant improvement in analytics to support sourcing decisions and supplier management. More recently, and in line with the growth of the human cloud market as a new and growing source of contingent workers, VMS providers are developing integrations with Freelance Management Systems (FMS) or building their own FMS communities.Buyers can expect to see greater Applicant Tracking System (ATS) type functionality (candidate attraction, pooling, marketing and improved matching) and, therefore, better enabling of Total Talent Management concepts which will support a talent acquisition process across different worker types. Investments in ATS, Finance and HR integrations are also continuing and buyers can also expect more certified standard interfaces to be supported.SIA recognizes three distinct waves of VMS evolutionary waves: Wave 1.0: Supplier Centric Wave 2.0: Talent Centric Wave 3.0: Marketplace & Client Centric and Data Centric Click the link below to download the report: VMS Market Developments - Part 1 20170324 - You do not have permission to view this object. […]

  • MSP Market Developments: Part 1

    This report identifies vendors who are actively investing and developing their MSP services. In addition, this report has identified the development of MSP service offerings in the market. Key findings include: Unsurprisingly, compliance and cost savings continue to be key drivers for managing MSP programs. As technology and technology integrations become more important in supporting business adoption and process efficiencies, MSP vendors are beginning to drive technology preferences and leadership in building technology ecosystems and data warehouses to drive more value and benchmark visibility across the client base. To support small/mid-market organizations, MSP mid-market specific services are being developed as well as talent pool consortiums. For example:  MetaProcure has started a talent consortium for the education sector. Solvus is supporting individual government entities in Belgium in a similar way. As sourcing hard to find talent and retention become a greater challenge, contingent worker satisfaction surveys are an active SLA or KPI for some MSPs to support driving continuous improvement programs that relate to the contingent worker experience. MSP’s traditionally utilised procurement skills to support the sourcing aspects and vendor management aspects of the staffing supply chain. More recently, additional skill sets are enhancing MSP teams. For instance, recruitment and HR capability which relies on understanding talent quality and retention is invested in for the purposes of direct sourcing, and in particular Contingent RPO models. IT skills and change management skills are also being invested in to support the implementations and roll outs of programs. IT skills are being invested in to support the migration of staff augmentation consultants to SOW consultants. The greatest proportion of contingent workers in the MSP market by occupational category is IT. MSP’s are also investing in knowledge of IT as well as outsourcing procurement to enhance SOW selection and evaluation capability and services. MSP organizations are increasingly building specialisms and expanding delivery centers and best practices around different models. Providers are recognizing that services procurement is perceived by buyers as a specialist skill and they are accordingly investing in building specific services center of excellence teams. The buying cycle is more complicated as services contracts typically involve more risk for a party, the contracts are often longer, commercial assumptions are more complicated, there are more stakeholders as the service involves operations as well as transition, service specifications and responsibilities including associated SLA’s,  exit arrangements as well as the project transformation or transition all make contract for services typically more complicated by nature if compared to a project or transformation of the same functional and geographic scope. Supplier services are not limited to the management of staffing suppliers and MSPs continue to explore the value of online staffing through FMS platforms as well as worker tracking solutions. US based MSP vendors are showing the greatest evidence of an uptake in FMS services being embedded in an MSP supply base. MSP providers are continuing to invest in delivery centers. The most active developments in 2016 relate to increasing investments in Eastern Europe and India. Example vendors include Resource Solutions and Hays who invested in India and Poland respectively. Of the vendors researched, 65% also offer RPO solutions as a complementary offering and a selection of clients are being supported with an RPO and Contingent RPO blended offering. Over the last year, a number of organizations have performed a reorganization and merged the MSP and RPO practices under a single leader to support greater synergies and total talent offerings. Approximately 30% of MSP vendors also offer proprietary VMS technology and continue to develop products to support a technology-led MSP service. Some have built-in SLA’s to support service reporting. While most of these providers also partner with best-of-breed VMS technologies, the ability to offer proprietary technology can create an advantage. This is mainly as it can better support continuous improvement when you own the process as well as the technology. If you accept the premise that change management only happens effectively when combining people, process and technology, process improvement is less effective where the provider does not have as close an influence on the technology roadmap. MSP providers who are using third party VMS technology are risk of managing manual work arounds to support processes where there are technology gaps. Once a proprietary technology is embedded in a client, it becomes harder for a buyer to swap out such vendors. Clearly it is in the provider interest to offer both technology and service as client retention is positively impacted, however, for this same reason, there will always be a group of buyers who prefer to keep VMS provision through a third party.  Some enterprises look to procure MSP services with the longer-term vision that they can internally manage the program at a future date. In 2016, Allegis Global Solutions, Agile•1, and KellyOCG are leveraging their traditional MSP service expertise to assist enterprises implement internally managed programs using the vendor best practices. The appetite for this type of offering is evidenced in some recent case studies below. SIA recognizes three distinct evolutionary waves of MSP services: Wave 1.0: Sourcing Leveraging Scale Wave 2.0: Sourcing through Vendor Neutral Models Wave 3.0: Sourcing for Work (Emerging) Click the link below to download the report: MSP Market Developments - Part 1 20170424 - You do not have permission to view this object. […]

  • Recruitment Process Outsourcing (RPO) Pricing Template

    Our Recruitment Process Outsourcing (RPO)  pricing template is an excel file that CWS Council members can use for when issuing an RPO RFP. It incorporates a summary charges sheet, operational base charges, transition charges, third party pass through costs, project rates and commercial assumptions. It is structured to enable pricing comparisons to be made between vendors. For the full template, select the link below: Recruitment Process Outsourcing (RPO) Pricing Template 31032017 - You do not have permission to view this object. &nbs […]

  • VMS Market Developments: Part 1

    Over the last few years, Vendor Management Systems (VMS) have been expanding functionality from primarily contingent worker sourcing and billing applications supporting workers sourced through staffing suppliers, to supporting workers sourced through services contracts (Statement of Work and Outsourced services) as well as significant improvement in analytics to support sourcing decisions and supplier management. More recently, and in line with the growth of the human cloud market as a new and growing source of contingent workers, VMS providers are developing integrations with Freelance Management Systems (FMS) or building their own FMS communities.Clients can expect to see greater Applicant Tracking System (ATS) type functionality (candidate attraction, pooling, marketing and improved matching) and, therefore, better enabling of Total Talent Management concepts which will support a talent acquisition process across different worker types. Investments in ATS, Finance and HR integrations are also continuing and buyers can also expect more certified standard interfaces to be supported. SIA recognizes three distinct waves of VMS evolutionary waves: Wave 1.0: Supplier Centric Wave 2.0: Talent Centric Wave 3.0: Marketplace & Client Centric and Data Centric Click the link below to download the report:  VMS Market Developments - Part 1 20170324 - You do not have permission to view this object. […]

  • IQN/Beeline Merger –What you can Expect and Key Recommendations

    The IQN/Beeline merger announced in December was the largest VMS market development during 2016. At the same time, the spin-off of Beeline from its parent company, Adecco, to private equity company, GTCR, was announced. Together, the combined organization has ~280 clients, of which ~50% of these have a total annual spend of $50m or more, representing programs of significant scale. Staffing Industry Analysts estimate the combined IQNavigator and Beeline organization now represents the second largest VMS provider in the market.For existing IQN and Beeline clients, this merger brings some opportunities as well as risks, which are analysed in more detail below.Key Risks1. Leadership changes always bring some element of uncertainty as organizational realignment takes shape. The fact that the new leadership team has been so quickly announced and is made up of a mix of IQN and Beeline veterans will help mitigate fears and clarify responsibility. The new leadership team comprises: Doug Leeby (Beeline), CEO (for more information: http://si100.staffingindustry.com/2016/02/doug-leeby-3/) Autumn Vaupel (Beeline), COO Ron Litton (Beeline), Sales Manuel Roger (Beeline) Global Markets (for more information: http://si100europe.staffingindustry.com/2016/07/manuel-roger-2/) Brian Hoffmeyer (IQNavigator) Global Marketing Sherri Hammons (IQNavigator) CTO Barry Capoot (IQNavigator) CFO Beeline’s Doug Leeby takes top spot as the new CEO. The relative size of the companies is relevant in a merger as well as who takes the leadership positions. In this case, IQNavigator’s organizational size is about half that of Beeline’s organization. Therefore, it is worth noting that, although the companies are not equal in size, the Beeline leadership does not dwarf the IQNavigator leadership with IQNavigator managers taking three out of the six leadership positions below the CEO.Dedicated client account teams will see no immediate impact, although executive sponsors may change.Recommendation: Invest in getting to know the new leadership team. To help with this, consider attending the Beeline Conference in Orlando on May 1-3, 2017 (http://www.beelineconference.com/) or enquire about the Beeline World Tour. (The existing IQNsiders event will be merged with the Beeline event; the conference will cater to the needs of both IQN and Beeline customers). Beeline + IQN are hosting an event called Meeting of Minds in London on February 2nd. If you're interested in attending please register here.You can also meet representatives of the newly merged business at SIA’s upcoming 2017 conferences: CWS Summit Europe: April 26-27, 2017 |Andel’s Hotel, Berlin www.cwssummitwe.eu CWS Summit Asia Pacific: July 18-19, 2017 |Grand Hyatt, Singapore www.cwssummitap.com CWS Summit North America: September 11-12, 2017 |Omni Dallas Hotel, Dallas, TX www.cwssummit.com 2. Management time is often overstretched during the integration phase of a merger. Whether or not this proves to be the case with the Beeline/IQNavigator merger remains to be seen, though very few mergers escape suffering from some form of distraction. As with any merger, management will need to spend time supporting staff in the transition, confirming roles and ensuring that staff understand the new organisation and continue to be motivated. This could impact the newly merged business’s ability to deal with escalations, to support new sales and to ensure roadmaps are delivered on time.Recommendation: Keep on top of your account team to ensure that your requirements are dealt with promptly. Executing additional due diligence planning and close communication around your CY 2017 priorities with your account team may yield the best results during this transition period.  Clearly document and communicate your expectations and requirements.3. Importantly, for clients, the new organization has committed to delivering on their current roadmap and has confirmed that clients will not be required to migrate to another platform. Clients will be able to leverage features from both platforms and new features will be built to work with both the Beeline and IQN VMSs. However, despite what is promised in the short-term, it is unlikely the company will continue to invest in two products in the longer term.Recommendation: Do check your contract and understand the terms and timescales. It would be a good time to check that your configuration and interfaces are well documented and that you are continuing to keep your data clean. Do a stock take on which product features you are waiting to be released on the current roadmaps and revalidate the timing of the releases with your account team. Track closely any outstanding fixes you are expecting to be addressed.Key Opportunities1. Joe Juliano, the outgoing CEO of IQN, always said technology should be about efficiency. The combined forces of IQN and Beeline certainly brings significant scale to the new organization. The ability to offer metrics, benchmarks, leverage technology investments, in particular support product localizations in over 100 countries will support greater efficiencies. The key success of this approach depends on the ability of the organizations to blend culturally. Given both organizations already operate internationally (Beeline had clients in 71 countries and IQN had clients in 125 countries), the global mind-set is already embedded in the organizations. Culturally, both organizations have been operating as fairly independent VMS divisions for a number of years and have a strong technology mind-set. IQN sold its MSP division in 2014 to MSX International Inc. Beeline had always maintained a separate management organization while owned by Adecco.Recommendation: The newly enhanced scale may be an opportunity to develop your program in new markets or, perhaps, take advantage of some additional functionality. The new management team will be very keen to promote the benefits of the new merger and looking for case studies to demonstrate that. Consider the opportunity to take your program to the next level and on some favorable terms? 2. In particular, analytics and self-sourcing work best when driven by scale. Without scale, these solutions have less credibility and lower value. Beeline’s acquisition of Freelancer Management System (FMS), OnForce, in August 2014 has enabled a number of organizations (e.g. Southwest Airlines) to achieve efficiencies in sourcing contingent workers directly. During 2015 – 2016 Beeline has developed its self-sourcing application. Meanwhile, IQN developed its own FMS partnerships with HIRED, Genesys, and Work Market. Going forward, the new organization may choose to develop relationships with multiple FMS providers.Recommendation: Understand the broader VMS/FMS ecosystem and consider the impact of the merger on partner relationships.What’s Next?Expect to see a brand name launched by March with staff email addresses likely to change as a result. No doubt the company will be making considerable efforts during 2017 and beyond to mollify any concerns their clients may have as well as ensuring potential clients appreciate the benefits and strengths of the combined business so expect a very active PR campaign to swing into action.For more information, IQN and Beeline have just launched a new website to help clients using frequently asked questions which can be accessed here . You can also reach out to your account manager or to bhoffmeyer@iqn.com Alternatively, please feel free to contact SIA’s CWS Council Team for independent advic […]

  • MSP Market Developments: Part 1

    This report identifies vendors who are actively investing and developing their MSP services. In addition, this report has identified the development of MSP service offerings in the market. Key findings include: Unsurprisingly, compliance and cost savings continue to be key drivers for managing MSP programs. As technology and technology integrations become more important in supporting business adoption and process efficiencies, MSP vendors are beginning to drive technology preferences and leadership in building technology ecosystems and data warehouses to drive more value and benchmark visibility across the client base. To support small/mid-market organizations, MSP mid-market specific services are being developed as well as talent pool consortiums. For example:  MetaProcure has started a talent consortium for the education sector. Solvus is supporting individual government entities in Belgium in a similar way. As sourcing hard to find talent and retention become a greater challenge, contingent worker satisfaction surveys are an active SLA or KPI for some MSPs to support driving continuous improvement programs that relate to the contingent worker experience. MSP’s traditionally utilised procurement skills to support the sourcing aspects and vendor management aspects of the staffing supply chain. More recently, additional skill sets are enhancing MSP teams. For instance, recruitment and HR capability which relies on understanding talent quality and retention is invested in for the purposes of direct sourcing, and in particular Contingent RPO models. IT skills and change management skills are also being invested in to support the implementations and roll outs of programs. IT skills are being invested in to support the migration of staff augmentation consultants to SOW consultants. The greatest proportion of contingent workers in the MSP market by occupational category is IT. MSP’s are also investing in knowledge of IT as well as outsourcing procurement to enhance SOW selection and evaluation capability and services. MSP organizations are increasingly building specialisms and expanding delivery centers and best practices around different models. Providers are recognizing that services procurement is perceived by buyers as a specialist skill and they are accordingly investing in building specific services center of excellence teams. The buying cycle is more complicated as services contracts typically involve more risk for a party, the contracts are often longer, commercial assumptions are more complicated, there are more stakeholders as the service involves operations as well as transition, service specifications and responsibilities including associated SLA’s,  exit arrangements as well as the project transformation or transition all make contract for services typically more complicated by nature if compared to a project or transformation of the same functional and geographic scope. Supplier services are not limited to the management of staffing suppliers and MSPs continue to explore the value of online staffing through FMS platforms as well as worker tracking solutions. US based MSP vendors are showing the greatest evidence of an uptake in FMS services being embedded in an MSP supply base. MSP providers are continuing to invest in delivery centers. The most active developments in 2016 relate to increasing investments in Eastern Europe and India. Example vendors include Resource Solutions and Hays who invested in India and Poland respectively. Of the vendors researched, 65% also offer RPO solutions as a complementary offering and a selection of clients are being supported with an RPO and Contingent RPO blended offering. Over the last year, a number of organizations have performed a reorganization and merged the MSP and RPO practices under a single leader to support greater synergies and total talent offerings. Approximately 30% of MSP vendors also offer proprietary VMS technology and continue to develop products to support a technology-led MSP service. Some have built-in SLA’s to support service reporting. While most of these providers also partner with best-of-breed VMS technologies, the ability to offer proprietary technology can create an advantage. This is mainly as it can better support continuous improvement when you own the process as well as the technology. If you accept the premise that change management only happens effectively when combining people, process and technology, process improvement is less effective where the provider does not have as close an influence on the technology roadmap. MSP providers who are using third party VMS technology are risk of managing manual work arounds to support processes where there are technology gaps. Once a proprietary technology is embedded in a client, it becomes harder for a buyer to swap out such vendors. Clearly it is in the provider interest to offer both technology and service as client retention is positively impacted, however, for this same reason, there will always be a group of buyers who prefer to keep VMS provision through a third party.  Some enterprises look to procure MSP services with the longer-term vision that they can internally manage the program at a future date. In 2016, Allegis Global Solutions, Agile•1, and KellyOCG are leveraging their traditional MSP service expertise to assist enterprises implement internally managed programs using the vendor best practices. The appetite for this type of offering is evidenced in some recent case studies covered in this report. SIA recognizes three distinct evolutionary waves of MSP services: Wave 1.0: Sourcing Leveraging Scale Wave 2.0: Sourcing through Vendor Neutral Models Wave 3.0: Sourcing for Work (Emerging) Click the link below to download the report: MSP Market Developments - Part 1 20170424 - You do not have permission to view this object. […]

  • Recruitment Process Outsourcing (RPO) Pricing Template

    Our Recruitment Process Outsourcing (RPO)  pricing template is an excel file that CWS Council members can use for when issuing an RPO RFP. It incorporates a summary charges sheet, operational base charges, transition charges, third party pass through costs, project rates and commercial assumptions. It is structured to enable pricing comparisons to be made between vendors. For the full template, select the link below:  Recruitment Process Outsourcing (RPO) Pricing Template 31032017 - You do not have permission to view this object. &nbs […]

  • VMS Market Developments: Part 1

    Over the last few years, Vendor Management Systems (VMS) have been expanding functionality from primarily contingent worker sourcing and billing applications supporting workers sourced through staffing suppliers, to supporting workers sourced through services contracts (Statement of Work and Outsourced services) as well as significant improvement in analytics to support sourcing decisions and supplier management. More recently, and in line with the growth of the human cloud market as a new and growing source of contingent workers, VMS providers are developing integrations with Freelance Management Systems (FMS) or building their own FMS communities.Clients can expect to see greater Applicant Tracking System (ATS) type functionality (candidate attraction, pooling, marketing and improved matching) and, therefore, better enabling of Total Talent Management concepts which will support a talent acquisition process across different worker types. Investments in ATS, Finance and HR integrations are also continuing and buyers can expect more certified standard interfaces to be supported.SIA recognizes three distinct waves of VMS evolutionary waves: Wave 1.0: Supplier Centric Wave 2.0: Talent Centric Wave 3.0: Marketplace & Client Centric and Data Centric Click the link below to download the report: VMS Market Developments - Part 1 20170324 - You do not have permission to view this object. […]

  • IQN/Beeline Merger –What you can Expect and Key Recommendations

    The IQN/Beeline merger announced in December was the largest VMS market development during 2016. At the same time, the spin-off of Beeline from its parent company, Adecco, to private equity company, GTCR, was announced. Together, the combined organization has ~280 clients, of which ~50% of these have a total annual spend of $50m or more, representing programs of significant scale. Staffing Industry Analysts estimate the combined IQNavigator and Beeline organization now represents the second largest VMS provider in the market.For existing IQN and Beeline clients, this merger brings some opportunities as well as risks, which are analysed in more detail below.Key Risks1. Leadership changes always bring some element of uncertainty as organizational realignment takes shape. The fact that the new leadership team has been so quickly announced and is made up of a mix of IQN and Beeline veterans will help mitigate fears and clarify responsibility. The new leadership team comprises: Doug Leeby (Beeline), CEO (for more information: http://si100.staffingindustry.com/2016/02/doug-leeby-3/) Autumn Vaupel (Beeline), COO Ron Litton (Beeline), Sales Manuel Roger (Beeline) Global Markets (for more information: http://si100europe.staffingindustry.com/2016/07/manuel-roger-2/) Brian Hoffmeyer (IQNavigator) Global Marketing Sherri Hammons (IQNavigator) CTO Barry Capoot (IQNavigator) CFO Beeline’s Doug Leeby takes top spot as the new CEO. The relative size of the companies is relevant in a merger as well as who takes the leadership positions. In this case, IQNavigator’s organizational size is about half that of Beeline’s organization. Therefore, it is worth noting that, although the companies are not equal in size, the Beeline leadership does not dwarf the IQNavigator leadership with IQNavigator managers taking three out of the six leadership positions below the CEO.Dedicated client account teams will see no immediate impact, although executive sponsors may change.Recommendation: Invest in getting to know the new leadership team. To help with this, consider attending the Beeline Conference in Orlando on May 1-3, 2017 (http://www.beelineconference.com/) or enquire about the Beeline World Tour. (The existing IQNsiders event will be merged with the Beeline event; the conference will cater to the needs of both IQN and Beeline customers). Beeline + IQN are hosting an event called Meeting of Minds in London on February 2nd. If you're interested in attending please register here. You can also meet representatives of the newly merged business at SIA’s upcoming 2017 conferences: CWS Summit Europe: April 26-27, 2017 |Andel’s Hotel, Berlin www.cwssummitwe.eu CWS Summit Asia Pacific: July 18-19, 2017 |Grand Hyatt, Singapore www.cwssummitap.com CWS Summit North America: September 11-12, 2017 |Omni Dallas Hotel, Dallas, TX www.cwssummit.com 2. Management time is often overstretched during the integration phase of a merger. Whether or not this proves to be the case with the Beeline/IQNavigator merger remains to be seen, though very few mergers escape suffering from some form of distraction. As with any merger, management will need to spend time supporting staff in the transition, confirming roles and ensuring that staff understand the new organisation and continue to be motivated. This could impact the newly merged business’s ability to deal with escalations, to support new sales and to ensure roadmaps are delivered on time.Recommendation: Keep on top of your account team to ensure that your requirements are dealt with promptly. Executing additional due diligence planning and close communication around your CY 2017 priorities with your account team may yield the best results during this transition period.  Clearly document and communicate your expectations and requirements.3. Importantly, for clients, the new organization has committed to delivering on their current roadmap and has confirmed that clients will not be required to migrate to another platform. Clients will be able to leverage features from both platforms and new features will be built to work with both the Beeline and IQN VMSs. However, despite what is promised in the short-term, it is unlikely the company will continue to invest in two products in the longer term.Recommendation: Do check your contract and understand the terms and timescales. It would be a good time to check that your configuration and interfaces are well documented and that you are continuing to keep your data clean. Do a stock take on which product features you are waiting to be released on the current roadmaps and revalidate the timing of the releases with your account team. Track closely any outstanding fixes you are expecting to be addressed.Key Opportunities1. Joe Juliano, the outgoing CEO of IQN, always said technology should be about efficiency. The combined forces of IQN and Beeline certainly brings significant scale to the new organization. The ability to offer metrics, benchmarks, leverage technology investments, in particular support product localizations in over 100 countries will support greater efficiencies. The key success of this approach depends on the ability of the organizations to blend culturally. Given both organizations already operate internationally (Beeline had clients in 71 countries and IQN had clients in 125 countries), the global mind-set is already embedded in the organizations. Culturally, both organizations have been operating as fairly independent VMS divisions for a number of years and have a strong technology mind-set. IQN sold its MSP division in 2014 to MSX International Inc. Beeline had always maintained a separate management organization while owned by Adecco.Recommendation: The newly enhanced scale may be an opportunity to develop your program in new markets or, perhaps, take advantage of some additional functionality. The new management team will be very keen to promote the benefits of the new merger and looking for case studies to demonstrate that. Consider the opportunity to take your program to the next level and on some favorable terms? 2. In particular, analytics and self-sourcing work best when driven by scale. Without scale, these solutions have less credibility and lower value. Beeline’s acquisition of Freelancer Management System (FMS), OnForce, in August 2014 has enabled a number of organizations (e.g. Southwest Airlines) to achieve efficiencies in sourcing contingent workers directly. During 2015 – 2016 Beeline has developed its self-sourcing application. Meanwhile, IQN developed its own FMS partnerships with HIRED, Genesys, and Work Market. Going forward, the new organization may choose to develop relationships with multiple FMS providers.Recommendation: Understand the broader VMS/FMS ecosystem and consider the impact of the merger on partner relationships.What’s Next?Expect to see a brand name launched by March with staff email addresses likely to change as a result. No doubt the company will be making considerable efforts during 2017 and beyond to mollify any concerns their clients may have as well as ensuring potential clients appreciate the benefits and strengths of the combined business so expect a very active PR campaign to swing into action.For more information, IQN and Beeline have just launched a new website to help clients using frequently asked questions which can be accessed here . You can also reach out to your account manager or to bhoffmeyer@iqn.com Alternatively, please feel free to contact SIA’s CWS Council Team for independent advice&nbs […]