There are many advantages to using an Enterprise Resource Planning (ERP) model in several industries, including technology and manufacturing. Likewise, there can be some setbacks that can occur. There are two typical methods of supplying large numbers of skilled staff: one is by partnering with a specialty staffing agency, the other is by working with a systems integrator or consultancy firm.
When considering using an ERP system for bringing on quality staff, it’s natural to use the approach of trying to manage this on your own with your meager HR team. However, it becomes quickly apparent that your company needs the support of a technology or manufacturing staffing agency to bring on qualified candidates to fill key assignments.
In this article, we will review some of the pros and cons of the ERP model, so you can make the best decision for your company.
Pros of the ERP
An ERP system can give you fast access to a larger candidate pool of pre-screened talent who are ready to fill critical positions within your company. This can give you the ability to grow faster, and take on more rewarding projects.
ERPs are managed by a team of skilled technology and manufacturing recruiters who understand your industry’s unique needs. There’s no substitute for this experience when it comes to sourcing great candidates for assignments, because you need the best skillsets among your contract employees.
You can choose to bring on temporary staff to support large projects or short term growth initiatives. Most ERP’s provide this service in an affordable way, with no long term commitments. You can even have some contractors replaced if you are unsatisfied with their initial performance.
When working with a consultancy type ERP, you can be assured that the agent has the skills, experience, and credentials to do the job well. This is often backed by years of previous work and references from other similar companies.
Cons of the ERP
What some see as a potential negative in the ERP model is that you may not have the ability to meet with contingent staff who are assigned to work for your company in advance, due to time and project constraints.
With an ERP system used on a large scale, costs can also add up over time if not carefully managed. For example, bringing on 50 full time contractors from a staffing agency in one period can bring with it a significant contract rate. The good news, however, is that you can control costs by using pre-vetted candidates staged out over the life of the project, who do not burden your company with recruitment or screening costs – this is all handled by the staffing agency.
Another potential setback to using an ERP is when you are dealing with a private consultancy firm that comes with a hefty price tag. You can offset this by using a specialty staffing agency to send contract workers who have the same skills, but at a much more affordable rate that guarantees a profitable project.
When making the decision to use an ERP to staff your project needs, it makes best sense to use a contract workforce managed by an industry specific staffing company. Find out more about how ERPs work by contacting Advance Temporary Staffing today.