From food to your transport, today’s world is on demand. If this is the case then why should the talent one works with be static, making an organization resource heavy? It goes without saying that today the rules of recruitment and onboarding have changed drastically. One of the major changes that has come about is the rise of on demand hiring. Put simply, this new way of sourcing and hiring the best talent aims to meet the talent needs of your business, nothing more and nothing less. This means that even human resources is now a part of the larger narrative around ‘on- demand economy’. Here the markets seek to serve the instant gratification needs of the consumers, at a speed never imagined before.
Invariably, this new form of economy has changed the way projects are executed. Similarly, there has been a change in the way hiring takes place. Since projects can be both long term or short term, staffing needs are often dynamic, changing with the day. Therefore, a flexible hiring model that allows seamless scaling up and scaling down is the solution. And here comes the need for on demand hiring. Let us look at some of the benefits of on demand hiring that your business stands to gain from-
Reduce Fixed Costs
Conventional hiring for any business comes with a number of fixed costs that a business has to incur irrespective of the productivity of the employee. These are the extra strings that a company has to take care of. However, on demand hiring is a road out of these sunken fixed costs. Since on demand resources are seldom on the formal roles of an organization, they do not come with strings attached. Invariably, businesses save on the compensation that goes around as fixed costs like PF and other benefits. Instead, businesses can offer a higher compensation to the on demand resources for their expertise and in fact, afford specialists that come at a premium. By saving what would have otherwise gone as fixed costs, organizations can indulge in more efficient allocation of their financial resources. They can get more out of the same amount, allowing them to multiply their top line.
Bid Farewell to Long Term Commitments
In addition to fixed costs, conventional hiring comes with long term commitments which can be detrimental to a business in today’s volatile and uncertain economy. While the case of fly by night businesses are different, most organization’s believe in integrity and ethics and therefore, do not fire employees with just a day’s notice. However, such long term commitments, especially for non performing employees pinches businesses quite a lot. On demand hiring comes with the perk of letting go of such long term commitments.
It gives you the flexibility to engage with a professional once or multiple times, depending on what you need. Again, long term commitment is not only in monetary terms. They also encompass employee training, well being, learning curve, growth, etc. Invariably, this requires a lot of investment of both material and non material resources from an employer’s end. In such a situation, project wise engagements work the best.
Work with the Best Talent
Well, it goes without saying that today’s VUCA world (volatile, uncertain, complex and ambiguous) can lead to many different types of projects that a business may come across. In such a situation, working with specialists and experts is the only way to sustainability and scalability. On demand hiring allows businesses to leverage specialist talent as opposed to conventional hiring. More often than not, when a business hires a professional full time, all facets of the personality, skills, etc are taken into consideration. Generally, in such a situation, the talent that comes are rarely experts. And since most projects today require the knowledge of subject matter experts, working with on demand resources makes sense.
It would be unwise to have too many experts on your roles perennially, especially during lean periods. However, it would also be unwise to just have make believe experts when a new project comes in. Therefore, an ideal approach would be to get resources when the demand rises, for a specific duration.
Get Easy Replacements
Conventional hires are difficult to replace. Well, the logic behind this fact is that conventionally, hiring is a tedious process that comes with applications, interviews (rounds and rounds), negotiations, training and what not. Invariably, businesses seldom wish to go through this nightmare process frequently. However, on demand hiring is a way out of this vicious circle. Most organizations today partner with staffing solution providers who provide them with on demand resources. Among other benefits, replacements are easy to source. There can be various reasons for businesses seeking replacements. From incapacity to unavailability to lack of expertise. On demand hiring is a solution to all. It can not only help source replacements when the skills are lacking. It can be of use when one resource is unavailable.
Adjust to Market Dynamics
Let’s face it, the market today is uncertain and highly competitive. One day you might have 20 projects in hand, while the next day you might be left with only one. In such a situation, having too many resources permanently may not be the wisest move. As the market goes through a lean period, resources that are not adding to the top line, start pinching the business. Additionally, when the time is flourishing, even a plethora of full time resources may not be enough to cater to business needs.
Here, on demand hiring can help you adjust your human resources needs as per market dynamics. You can simply align your hiring strategies to the market forces of demand and supply. When the demand is high, you can input more resources to ensure sufficient supply. However, when the demand is low, keep your expenses and operations to a minimum. This way, you attain the sweet spot between earning more money when the time is good and saving money when the market is down.
How to Leverage On Demand Hiring?
Well, there is no doubt now that on demand hiring is one of the changes that business and especially startups, need to adapt to. In an era where being resource lite is the only sure shot way of survival, leveraging on demand resources is important. Fortunately, there are several solution providers today that are helping businesses and startups to hire pre assessed and quality resources on demand. If you are looking to leverage the benefit of scaling up and down when the need arises, get in touch with us today!