BUILDING THE BUSINESS CASE

FOR MSP

WEBINAR

Agenda

Introductions

What is an MSP?

Why Do I Need an MSP?

3 Keys to Building & Steps

Business Case Primary Audience

Setting Expectations and Goals

Creating the RFP

Client Case Study

Questions & More MSP Content

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SPEAKERS

ERIN FORTUNATO VP ENTERPRISE SOLUTIONS

SALES

MATT RIVERA VP MARKETING

In her role at Yoh, Erin is responsible for new MSP account development. An experienced leader, Erin spent most of her career in strategic global and national account management responsible for some of the largest client programs in the industry. She holds a degree in Mathematics and has been working in the staffing industry for 20+ years.

In his role, Matt is responsible for the strategic direction of Yoh’s marketing efforts, candidate marketing and communications. We get it at Yoh and Matt helps make sure everyone sees it. Matt manages an exceptional team of content and candidate marketers who work on an integrated platform and with leading tools and marketing resources to provide content, information and engagement to our audiences.

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What is an MSP?

A provider that manages the contingent

labor processes, reporting and invoicing

for a client company.

Generally all other temporary/contingent

labor suppliers go through the MSP to

provide temporary resources to the

company. This provides a single point-of-

contact for the client. The MSP is

responsible for dealing with the suppliers,

requisition workflow, time management

and invoicing.

MANAGED SERVICE PROVIDER (MSP)

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Why Do I Need an MSP?

BENEFITS INCLUDE:

COST SAVINGS COMPLIANCE, RISK MITIGATION AND STANDARDIZATION

CENTRALIZATION PROCESS EFFICIENCY

QUALITY

HIRING MANAGER SATISFACTION

REPORTING

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1 UNDERSTAND YOUR CULTURE

Formal and informal Appetite for change and process improvement Is your company comfortable with outsourcing?

2 DEALING WITH CHANGE

Departmental interaction Questions about how and why this is happening Conflicting priorities

3 INVOLVING KEY STAKEHOLDERS

Prior to launching the initiative During the implementation IT involvement from the beginning

3 Keys to Building a Business Case

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The Steps

GATHER DATA

IDENTIFY KEY

STAKEHOLDERS

ACCOMPLISHMENTS What are you trying

to do / accomplish?

CHANGE MANAGEMENT How does it work in

your organization? How has it worked

before? Is it different in

different areas or business units?

IDENTIFY

WHAT’S IN

SCOPE

BUILD A

COMMON-

SENSE RFP

1 2 3 4 5 6

Primary Audience for Business Case

SVP HR PROCUREMENT

(CPO) NON-EXECUTIVE

SPONSOR CFO, CIO, C-SUITE

34% 28% 11%

8

27%

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Setting Expectations

WHAT LEVEL OF SERVICE

DO YOU EXPECT

OVERALL?

WHAT DO YOUR KEY

STAKEHOLDERS EXPECT? ONSITE

SUPPORT VS. VIRTUAL

GROWTH OR CONTRACTION

OF THE PROGRAM

CURRENT SUPPLIER REACTION

MANAGER ADOPTION EXECUTIVE

SUPPORT AND EXCEPTIONS

VENDOR NEUTRALITY (THE MSP)

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Goals of the Business Case Meeting

Answer the “Whys?: Why are We Doing This?

Why Do We Need This? Why Now?

Paint a Clear Picture of the Current State

State Your Intentions – What Will Change?

Paint a Compelling Future State

Results – What Can We Expect?

Resources and Timing

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BE THOROUGH IN COMPILING THE RFP

Identify what information should be provided and provide as much information as possible

Good data/detail = Good responses; Bad data/detail = Uncertain responses

Building an RFP by committee vs. taking control

Creating a Common-Sense RFP

4

1

ONGOING OPERATIONS

Support beyond implementation Program teams familiar with the

technology How will the provider help the client adapt

to changing business and legal conditions?

IDENTIFY THE SOURCING STRATEGY:

MSP only VMS only (which one to do first) MSP and VMS together What are the main goals and priorities of the

program?

IMPORTANT, OFTEN OVERLOOKED RFP ITEMS:

Have provider clearly demonstrate implementation and change management experience

What will be the governance structure to support the program’s development?

How will they handle account/relationship management and program structure?

IMPLEMENTATION

Clarify Roles, responsibilities and costs

Project plans Best-practice configurations

2

5

3

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CLIENT CASE STUDY

Centralized spend management companywide

Optimization of the supply chain driving, including negotiated discounted

rates with incumbent suppliers

Implemented mark-up and rate card standardization across supply chain

Implemented Vendor Management System (VMS)

Delivered reports, supplier performance data and spend management

BENEFITS RECEIVED

KEY CHALLENGES

Industry

Healthcare Data and

Analytics

Headquarters

Global – Danbury, CT

Client Since: 2010

Overview

$40M in spend under

management

Vendor neutral

Yoh MSP+VMS

Global Coverage

Business mix:

Technology 60%,

Clinical 15%, Call

Center 15%,

Administrative 10%

Expanded Partnership

Significant program

expansion. Started at

$10M and has evolved

to $40M

Decentralized use of contingent labor with no standardization,

tracking or accountability. Typical of mid- to large-sized

organizations. Looking for first steps to control costs and manage

suppliers.

$3M in hard dollar cost savings using multiple discount methodologies: tenure,

rebate, pay rate benchmarking, mark up reductions

Increased visibility and control for all spend types

Improved performance and skill set coverage through improved supply chain

management

Increased compliance and tracking with VMS

Added: Direct hire spend under management and SOW spend under

management

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Other MSP Content Available

BLOGS

Understanding the Voice of Your Talent Supply Chain

The 5 Questions You Need to Ask Before Self-Managing Your Contingent Labor Program

One Thing Human Resources and Procurement Can Agree On

Hidden Cost-Savings From Better Contingent Labor Management

Step-by-Step Guide

Buyer’s Guide: MSP Programs

Brass Tactics Video

Evolution of Your Managed Service Program

Template

RFP Form for MSP Services

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COMING SOON!

MSP SAMPLE BUSINESS CASE TEMPLATE ►►►►►

Questions

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Yoh Background

2013 NEAT LIST

RECOGNIZED RPO LEADER

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Yoh MSP

SOLUTIONS INCLUDE:

Optimize existing suppliers Bring new suppliers Metrics development Compliance tracking

OUR TACTICS INCLUDE:

Business case development – let us help you do the leg work.

Visibility – see where your spend is quickly and easily. Change management – worry-free implementation that

results in happy users. Get market competitive – rate optimization and analysis. An efficient staffing supply chain – managing great suppliers

by building great relationships. High program adoption rate – hiring managers that actually

use the program.

RECOGNIZED BY HRO TODAY:

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14% ANNUAL CLIENT

GROWTH

$360M+ OF SPEND

UNDER MANAGEMENT

VENDOR-NEUTRAL,

HYBRID AND MASTER VENDOR

PROGRAMS

12 COUNTRIES &

MULTIPLE LANGUAGES

SUPPORTED

DEDICATED RECRUITING

CENTERS W/ON & OFFSITE

SUPPORT

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Contact/Further Questions

SPEAKER

ERIN FORTUNATO

(412) 297-3420

Erin.fortunato@yoh.com

CONTACT US. WE CAN HELP!

Need a solution now? Have a question?

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