Using a Contracted Staff for Your Organization’s Project: 3 Reasons Why You Should Too
January 12, 2024
Using a Contracted Staff for Your Organization’s Project: 3 Reasons Why You Should Too
Over the last three years, our company, Advon Technology Solutions, has been asked numerous times by companies big and small to augment their current staffing in order to complete a short or long term project or objective. One of our primary focuses is Staff Augmentation and it has helped many clients of ours. Here are 3 reasons how it could benefit you and your organization to achieve its goals too.
Significantly less costly
New position and job advertising, recruiting costs, background checking fees, onboarding costs, sensitivity and organization specific training costs, interview costs, payroll float, accounting expenses, insurance expenses, benefits expenses, and HR risk.. Did we miss anything?
According to SHRM.org, recruiting costs in the US have reached 3x-4x that positions salary alone… and the cost projections aren’t shrinking. However by using a third party contracted staff and by utilizing a staff augmentation solution, Advon Technology Solutions has personally averaged an onboarding cost of $2,500 per new hire.
Less Time Consuming
According to a report from The Josh Bersin Company, the average time-to-hire has risen to 44 days in 2023. This statistic depicts 1.5 months to hire a new employee.
Staff Augmentation companies such as ours typically reduce that figure to mere business days since the majority of the staff is “incumbent” and already engaged with said firm. Our average time to hire at Advon Technology Solutions is 5 business days.
Flexibility for Technological and Strategic Innovations
Unfortunately FY2023 was plagued by layoffs across many industries, especially the tech industry. An article from CNN states that more than 262,000 layoffs occurred in this year and an estimated 44% of business leaders predict additional layoffs in 2024 from the rise of AI alone according to CNBC.
These grim statistics coupled with an exponential advance in AI technology begs the need for a more flexible hiring solution that staff augmentation companies provide. Project-based or time-based employment is the most flexible option that business, tech, and HR leaders have at their disposal through the use of staff augmentation firms.
As time passes and the costs, risks, timeframes, and applied technologies wreak havoc on global hiring practices, staff augmentation companies, such as Advon Technology Solutions, will continue to rise in popularity.
Works cited
- https://www.shrm.org/topics-tools/news/talent-acquisition/real-costs-recruitment
- https://www.bamboohr.com/resources/hr-glossary/time-to-hire
- https://www.cnn.com/2024/01/13/tech/tech-layoffs-ai-investment/index.html#:~:text=There%20were%20some%20262%2C682%20tech,164%2C969%20cuts%20the%20previous%20year.
- https://www.cnbc.com/2023/12/16/ai-job-losses-are-rising-but-the-numbers-dont-tell-the-full-story.html
- https://www.shrm.org/topics-tools/news/talent-acquisition/real-costs-recruitment
- https://www.bamboohr.com/resources/hr-glossary/time-to-hire
- https://edition.cnn.com/2024/01/13/tech/tech-layoffs-ai-investment/
- https://www.cnbc.com/2023/12/16/ai-job-losses-are-rising-but-the-numbers-dont-tell-the-full-story.html
