Regular survey work serves as a key pillar of Staffing Industry Analysts' research in helping staffing firms benchmark financial and operational performance relative to competitors. Examples of such surveys with IT segment-specific data include our annual US IT Staffing & Solutions Benchmarking Survey and the semiannual Staffing Industry Benchmarking Consortium.

The Pulse Survey also plays an important role in complementing these more comprehensive surveys as its monthly frequency and high participation levels make it adept at swiftly reflecting changes in market trends. One such demand metric the survey tracks is trends in new orders. Firms are asked whether they have seen new orders increase, decrease or stay the same in the past three months. The net proportion is calculated by subtracting the proportion reporting a decrease in new orders from the proportion reporting an increase.

The net proportion of IT staffing firms reporting an increasing trend in new orders was 64% in the most recent period (August). As shown in the two-year chart below, August results reflect a continuation of impressive growth in IT staffing demand since the turn of the 2018 calendar year. We also see a shift in relative strength of new orders in IT staffing compared to staffing firms across other segments. Prior to 2018 net new order increases in IT staffing generally trailed staffing firms in aggregate. However, year to date there has been a general outperformance.

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Net proportion of firms reporting an increase in new orders

Source: US Staffing Industry Pulse Survey Report: September 2018 Update

Of course, new order trends do not necessarily translate to revenue trends as it neglects the supply side of the equation. Indeed, supply constraints remain the strongest impediment of revenue growth in IT staffing. Nevertheless, the apparent uptick in demand this year suggests a significant opportunity for IT staffing firms with strong delivery capabilities.

To receive the complete 25-page monthly Pulse reports, we invite staffing firms with US operations to visit our Open Surveys page and participate in the surveys. For any questions on the survey, please contact Sree Thiyagarajan at sthiyagarajan@staffingindustry.com.