Nétive: managing SOW in your VMS? This is what you should be looking for
At Nétive, we are seeing increasing demand for Statement of Work (SOW) solutions in contingent workforce programmes, supported by Vendor Management System (VMS) technology. This growing demand is driven by a number of factors, including excessive spend where an organisation has lost most or all control of projects, and the complexities users face in managing projects and meeting the relevant compliance requirements.
What organisations are looking for in particular are advanced project management solutions that allow projects to be broken down into clear milestones or deliverables, and block payments until a project has been successfully completed. There is also considerable interest in a registration system for SOW workers, with a feature for signing in and signing out workers at the project site at any time, and a feature for verifying whether the applicable compliance requirements are being met.
It is worth noting that there is less of a need in the market for support of the RFx or sourcing process for SOW contracts. What is more, partners (MSPs) and clients alike are aware of the fact that these specific tasks are typically carried out by expert professionals rather than falling within the remit of traditional contingent workforce officers. Nétive can help with an SOW solution that is seamlessly integrated into the Nétive VMS. This solution includes both project tracking and worker management modules, which allow our clients to closely monitor projects, manage milestones and ensure compliance, while at the same time simplifying and streamlining the SOW management process.
Combined reports about use and budget/actuals of traditional staff augmentation and projects provide a comprehensive overview of both. This overview aids organisations in their decision-making on the method of outsourcing that suits them best.
There are a number of key factors to consider for organisations contemplating switching to VMS-supported SOW management. These are:
1. Problem identification:
It is crucial to know exactly which problem the SOW solution needs to address. Analyse this problem from different angles, i.e. from the points of view of users, procurement and vendors.
2. Scalability and flexibility:
Find out whether the selected SOW solution is scalable and can be adapted to meet your organisation’s changing needs.
3. User-friendliness:
Make sure that the SOW solution is easy to use for everyone involved. An intuitive interface and clear process steps will contribute to its successful adoption.
4. Cost and return on investment:
Evaluate the total cost and calculate the expected ROI of implementing an SOW solution.
Careful consideration of these factors will allow organisations to take an informed decision when selecting and implementing a VMS-supported SOW solution.
Streamlining the adoption of an SOW solution requires close cooperation between the client, the VMS provider (Nétive) and the MSP partner, if any. This calls for clear communication and user training to help everyone involved to become familiar with the system and make them understand the advantages and the purpose of the SOW solution. Engaging with users from the very start, listening to their feedback and implementing effective change management procedures will minimise user resistance. This is important because, at the end of the day, the change is not about the implementation of a tool, but about the implementation of a process supported by a tool.
Support and training of users at all levels are critical to ensure smooth adoption. Regular monitoring and evaluation of the SOW solution will help to identify areas for improvement and increase efficiency. The organisation will benefit from teamwork between everyone involved, as this will result in effective management of the contingent workforce as well as projects.
Managing SOW arrangements within a VMS offers clear benefits, including more effective project management because of clear milestones and cost control, better compliance with rules and regulations, more insight into, and transparency of, project costs and deliverables, and efficiency and productivity gains thanks to automated processes.