Today’s guest blogger is Matt Comber, chief partnerships officer for Volcanic, a TEAM Service Provider. Volcanic is the only true SaaS provider in the global staffing industry, bringing to market a cloud-based, modular system that can be customized to a company’s specialized needs. The SaaS model provides risk-free entry, with 30-day contracts, no upfront investment and a simple monthly fee. Volcanic has leveled the playing field in staffing technology, allowing businesses of all sizes to access a market leading platform and to compete using the same technology.
The USA has been characteristically quick to adopt the SaaS (software as a service) business model, recognizing its huge advantages to businesses, particularly in the small to medium business sector. According to the Business Centric Services Group¹, an estimated 88 percent of small businesses will use cloud-based apps by 2018-2019, and that number is only set to grow as the Gig economy thrives.
Staffing agencies should look to adopt SaaS models wherever possible in their business. This is particularly true for their key digital asset – their website – because of the low capital investment needed upfront, the peace of mind brought about by compliance and security handled by the provider, and the short contractual tie-ins, allowing a straightforward exit if required.
Technology for start ups
What we’ve seen in the staffing sector is a huge shift towards start-ups – people who have been successful in big corporates are either setting up on their own or moving to partnership in small businesses. Product growth in the Gig-oriented staffing sector is driven by the need for flexibility and modular solutions, backed by state of the art technology.
And staffing website providers need to adapt accordingly, by making products that are attainable for a small company, as well as flexible enough to fit the need of the new lifestyle businesses that are emerging – all while delivering on the product and technical quality that this next generation of entrepreneurs has grown to expect.
USA staffing firms lead in tech
US staffing agencies have always typically been early adopters of technology and a 2017 report² shows that 64 percent – or nearly two thirds of the market – have moved to automation as a business improvement model, largely through the use of an ATS (applicant tracking system) to track candidate activity. Many staffing firms plan to stay ahead of the competition through technology and 40 percent of companies in this space are predicting a rise in tech spend next year. It is critical that they invest in future-proof technology that will help them succeed in the market today and in more importantly, in the future.
The advantage of using a SaaS web platform is that it is continually kept up to date with the latest in legislation and technology in a fixed monthly fee.
If I had to give one piece of advice to a business seeking new staffing technology it would be this: make sure that when you procure new technology, you can be released quickly from any contract you sign and can change provider easily if you should choose to.
Long term contract tie-ins and high upfront investments are often unmanageable for small businesses in any sector – and staffing technology is no exception. Signing a long-term agreement, especially in the fast changing digital environment, means staffing agencies may be saddled with legacy systems that can bring problems and risk.
Total system customization
Adding bolt-on options such as ATS (applicant tracking systems) is where a flexible system really comes into its own – this degree of customization is a powerful differentiator for staffing agencies to deliver a unique offer. Look for a staffing technology platform that allows you to launch a website that seamlessly connects with internal software, CRM, ATS and other apps such as Bullhorn.
¹ The Small Business Revolution: Trends in SMB Cloud Adoption, 2017, Business Centric Services Group
² 2017 North American Staffing & Recruiting Trends Report: Above and Beyond Business as Usual, Bullhorn