Spring, 2002 Newsletter

Agencies as Value-Added Business Partners

As what McKinsey & Company termed a "war for talent" continues even in a slower economy, tremendous potential exists for partnerships between corporate HR departments, hiring managers and contract staffing agencies. A successful partnership will have the joint goal of finding the most qualified technical candidates in the shortest period of time to help the client meet its business goals. This partnership will have far-reaching implications throughout the organization and, most importantly, a positive effect on company profitability.

Why Partner with an Agency?

By thoroughly understanding a company’s needs, culture, and priorities, a contract agency can support HR departments and hiring managers in many ways. The agency assumes the administrative burden of finding qualified staff including; pre-screening candidates, reference checking, in-person interviewing, verifying interest in the position, and negotiating an offer. Agencies have the resources to tap into networking channels not available to clients: They spend considerable time and effort developing and nurturing these channels to maintain a network of skilled candidates. Further, the agency can provide current information on rates/salaries and availability of specific skills in the marketplace.

The agency should continue to work with both the candidate and the client after the placement to ensure the needs of both are being met. A good agency will not merely send over resumes of people who may be qualified for a given position. Rather, a good agency will continuously work with the client to make the partnership more valuable for the client, deepening its understanding of client needs, preferences and business goals.

Partnering with an agency for contract personnel provides a client with enormous flexibility. Clients can fill their most critical positions with direct employees, and staff for projects and business fluctuations with the help of a trusted agency. As contract agencies are responsible for all insurances and payroll taxes, the client is billed one simple rate inclusive of all costs associated with the contractor. Should a contractor not work out for any reason, a client may request a replacement. During business slowdowns, the client may simply terminate the contract without any payroll, insurance or unemployment claim issues to worry about. Alternatively, the client usually has the option to hire the contractor as a direct employee if desired.

While many companies focus on developing and perfecting a particular product line, an agency’s core competency is finding better jobs for contractors and better candidates for clients than can be done on their respective own. An agency’s primary business is people: A partnership allows the client to concentrate on its core competency, saving time and resources and leading to a more solid bottom line.

Keys to a Successful Partnership

The first critical step in establishing a successful relationship is choosing the right agency. A company should fully investigate an agency it is considering and check references as it would a job candidate. The company must fully understand the agency’s contract, particularly clauses regarding any guarantee and the contract-to-direct provisions. Many agencies belong to professional/industry associations; the membership lists of such associations could be helpful in identifying agencies that adhere to certain ethical and professional standards.

Once an agency is chosen, the most important element for success is communication. This begins early in the relationship and includes providing the agency with detailed company information, details and timeframe of the interviewing/hiring process, needs and expectations during the process, detailed job description, "must-have skills" vs. "nice to have skills", education and experience levels, traits needed to be successful in the position, etc. The agency will function as a salesperson for the client, so informing the agency of the factors that make the company a desirable place to work and giving the agency contact a tour of the facility are very helpful.

Triad Engineering Corp has specialized for over 32 years in helping clients fill their technical staffing needs on a contract and contract-to-direct basis. Triad is locally owned and operated and offers the most personalized service and experienced staff available. Please contact us at 800-649-1514 or visit our web site www.triad-eng.com for more information.