NEWS AND INSIGHTS
Addressing contractor needs tied to rapid global growth: A use case in enterprise software support services
Our Nevada-based client provides third-party technology support services to more than 3,700 clients in nearly 120 countries. Their comprehensive services help every size company, including Fortune 500 and Global 100 organizations, save up to 90% on software support costs. Since the company’s founding, it has saved clients more than $5 billion.
As more companies rely on technology ecosystems that include platforms like like Workday, Salesforce, Microsoft, SAP and Oracle, our client’s need for qualified development and IT consultants continues to grow. By offering a third-party solution to address high operational expenditures for software support, our client continues to find new avenues for growth, whether by adding new countries and regions or by offering support for an expanding number of products.
Even though our client provides the highest level of technology support to its customer base, there were challenges managing its own global extended workforce. The team responsible for contractor management was using manual processes largely based on complicated spreadsheets that contained thousands of rows of data. The volume of information that required input and upkeep resulted in around-the-clock maintenance.
Our client had been looking for a vendor management solutions (VMS) partner for about two years, but had not found one that could provide the complete scope of functionality to manage their expanding external global workforce in one system. The nonemployee workers were mostly IT and other white-collar professionals. At the beginning, process automation, invoicing, and reporting were paramount, along with a desire for self-service capabilities for managers.
There was a clear need for global expansion that the client preferred to address after their US team was comfortable with VNDLY. As the program matured, a number of phased global expansions were needed; the initial global phase included the UK, Australia, Mexico, Germany and New Zealand. The second phase brought India into the system; additional planned phases will incorporate workers in Japan, Israel and Brazil.
Program development, launch, and progress
The client and VNDLY decided to establish a multi-phased approach, starting with their US-based workers, then expanding to cover global workers. In the initial phase, we sent a team to the client’s location, completing a week of user testing. The process moved quickly and smoothly, making our client feel secure in their decision to adopt our platform.
The majority of the program management needs were met with existing components that were configured based on information collected by our implementations team. Where enhancements were required, our engineers developed solutions for the client that have become part of VNDLY’s larger VMS offering.
The US-based, phase-one system went live in record time – about eight weeks. It covered over 400 workers and managed $75 million in spend. The rapid progress was possible because the company was comprehensively involved at every step of the process, making the data collection and implementation run smoothly. And our easy-to-use interface cut training to a minimum, with most managers needing little assistance to begin using the system.
We were able to move so quickly because our client provided impressive data. Large quantities of high-quality data had been manually collected and maintained, which was easily integrated into VNDLY’s platform becoming the foundation of the program.
To successfully begin global implementation, we had to address the client’s need for invoicing with capabilities to manage a number of taxation requirements running from national to regional and local. An invoice could have three or four separate tax requirements, so the VMS platform had to be able to accommodate the multiple tax configurations.
Even though the system was now managing global workers, the company wanted a consolidated, streamlined invoicing process that included amassed data into a single source. To achieve this, our VMS became the system of record for all worker time tracking, regardless of the invoicing process. Now the company could create reporting that could be transferred to third-party accounting firms in certain countries, as there are instances where our client does not invoice directly through VNDLY, but still needs reconciled data to share with third-party vendors.
Once the first global phase was running, it was possible to implement the next phase about four weeks later. Subsequent plans include the remaining countries and workers that will accommodate additional tracking and taxation requirements. We are on our way to serving as the official timekeeping and invoicing system of record for the client’s entire global workforce, expanding with the remaining phases.
The USA business units are running the consolidated invoice process flawlessly and are looking to fully automate the process in 2021. VNDLY provides repeatable configuration and data collection processes per country, which has delivered additional efficiencies over time. The program management team is now able to focus on more strategic work since the implementation of VNDLY’s automated, integrated platform.
Specific problems and VNDLY solutions
The company needed automation and integration to create one unified extended workforce management system to eliminate required manual maintenance and required work hours.
VNDLY provided that system, complete with automated worker tracking, invoicing, and reporting, which saved our client hundreds of work hours and tens of thousands of dollars.
There was no standardized process for timesheet approvals across the organization; the process was entirely manual which made it inefficient and labor-intensive. There were also concerns around overtime calculations and non-compliance.
VNDLY’s VMS platform was configured to provide a true timekeeping tool that feeds into timesheet approvals and invoicing functions; it also incorporates all contractors, regardless of location, into a centralized system. Summary timekeeping, manual or auto-classification, and time-in and time-out capabilities are available.
The company needed a way to bring all direct and related contingent labor costs across departments into one system to more accurately track rates and budgets.
VNDLY provides a single source of record for contractors in the US and globally for all timekeeping and invoicing The new process provides tracked costs and has led to internal costs savings. Some cost reductions have been passed along to their customers.
The company was working with hundreds of global contractors and had no true system to manage their entire extended workforce; rapid change was required.
Using VNDLY’s quick launch methodology , the US-based program was operational in eight weeks. Global workers were incorporated only a few weeks after, providing the organization information around global headcount and spend
The company needed self-service and easy configuration capabilities for managers to accommodate quick modifications in response to rapidly-changing hiring needs.
VNDLY’s user-friendly interface and configurable platform has provided managers with the autonomy to adjust components as their situations change.
The company needed a way to automate, simplify, and conglomerate the more than 300 reports that were being created from various disconnected data sources.
VNDLY’s standard and custom report builder allows program managers to easily corral data and generate reports, removing the need for manual creation. The number of reports has been reduced to 27; managers now have the ability to track associated hours and costs.
The company needed to accommodate and incorporate all security, regulatory, and legal functions to cover specific in-country or in-region needs.
VNDLY’s end-to-end encryption functionality supports in-platform security. We hold ISO 27001:2013 and 27018:2019; SOC 2 Type II; EU-US and Swiss-US Privacy Shield; and CCPA Ready certifications that help us ensure our client is meeting their security requirements.
Program managers were receiving unreconciled invoices from hundreds of global vendors, some of which would not be able to invoice through the VMS.
VNDLY configured a consolidated invoicing solution that made the platform the system of record for all worker time tracking. Since some global vendors need to invoice through third-party accounting firms, reconciled files can now be created to transfer all required data.
As the company’s extended workforce grows globally, they have an expanding range of invoice processing in local currencies that need to be incorporated into the VMS. This global program had a need for the VMS to handle multiple foreign currencies
VNDLY expanded currency support to accommodate all requirements and was able to incorporate taxation and regulation requirements for each region and/or country.