IT Staffing Report: Aug. 14, 2014

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IQNavigator sells MSP division

IQNavigator, a vendor management system and managed services provider, sold its MSP division to MSX International Inc.

MSXI will combine its existing MSP business with IQNavigator’s MSP operations to form Geometric Results Inc. Terms of the deal were not disclosed, but MSXI reports GRI will have nearly $4 billion in managed contingent workforce spend.

IQNavigator’s MSP ranked third largest in terms of statement-of-work spend under management among firms taking part in last year’s VMS/MSP competitive landscape report released by Staffing Industry Analysts.

The deal announced today allows both companies to focus on their core strengths.

“It’s a big win for MSXI to get what is a very established MSP division. MSXI almost immediately becomes truly a global player in MSP,” said Bryan Peña, Staffing Industry Analysts’ vice president, contingent workforce strategies and research. “The transaction also affirms IQNavigator’s commitment to being a software service platform.”

MSXI, based in Warren Mich., is a business process outsourcing company that provides technology services in more than 80 countries. Its human capital solutions group provides professional and technical staffing services, while the retail network solutions group provides consulting services to global automakers.

Geometric Results’ “independence signals to customers across all industries that our economic interests are in alignment,” said Fred Minturn, CEO of MSXI. “With GRI solely focused on MSP services, we will deliver new levels of innovation and leadership to help our clients solve their greatest workforce management challenges.”

“IQNavigator is a technology company with a vision that focuses on the value we deliver to our community of customers and partners,” said Joe Juliano, president and CEO, IQNavigator. “We value the MSP team's significant contributions to IQNavigator and have full confidence that they will continue to thrive and add value at Geometric Results. The sale of the MSP division will allow us to be laser focused on building and delivering a technology solution that includes the right functionality and new levels of innovation that will help global companies make better labor decisions.”

IQNavigator, based in Denver, ranked as the second-largest VMS in total temporary spend under contact among VMS providers taking part in last year’s VMS and MSP competitive landscape report.