In my last article, I discussed the role and value of key performance indicators and service-level agreements, which together act as the compass that keeps contingent programs and the performance of their suppliers on track.

Once these metrics are established, organizations must track and analyze them to make informed decisions and continuously improve their contingent program management strategies.

This is where having a strong reporting system that offers insightful data on program performance, operational efficiency, cost optimization and strategic decision-making comes into play.

Report data should include key metrics that provide insights into workforce utilization, supplier performance, talent engagement, contractual compliance, cost analysis and workforce demographics.

Reporting

Reporting is essential for proving to stakeholders — such as executives, clients, suppliers and regulatory bodies — that an organization is accountable, transparent and compliant with legal obligations. Through regular reporting, organizations can monitor their progress, assess performance about goals and make ongoing improvements to their operations and strategies.

Here are some examples of reporting metrics to consider for your contingent program.

Cost metrics:

• Spend: Overall program costs, including worker pay, staffing partner fees and onboarding expenses
• Cost per hire: Average cost of acquiring contingent workers through different channels
• Cost avoidance: Potential cost savings achieved by utilizing contingent workers instead of full-time employees

Performance metrics:

• Time to fill: Track the average time taken to fill contingent positions
• Worker productivity: Monitor the performance and efficiency of contingent workers compared to benchmarks or internal standards
• Quality of work: Evaluate the quality of deliverables and project outcomes associated with contingent work

Compliance metrics:

• Worker classification accuracy: Ensure proper classification of contingent workers (employee versus independent contractor) to avoid legal and financial risks
• Compliance with vendor contracts: Monitor adherence to agreed-upon terms and conditions with staffing agencies and other suppliers
• Diversity and inclusion: Track the diversity of the contingent program to ensure compliance with regulations and promote inclusive hiring practices

Report Options

There are a variety of report types that programs will want to utilize to measure the metrics.

Here are some examples of report types to consider for your contingent program.

Operational reports. These reports provide real-time or periodic insights into daily program operations, such as the number of open positions, worker onboarding status and utilization rates. This can also include any reports related to program compliance.

• Program dashboards:
  • Headcount
  • Spend
• Supplier partner scorecards
• Hiring manager scorecards
• Quality (NPS, CSat)

Strategic reports. These reports support strategic decision-making by providing insights into the contingent program’s impact on overall business objectives, workforce flexibility and cost efficiency.

• Cost savings
• Cost avoidance

Trend reports. These reports analyze historical data to identify trends and patterns in program performance, cost variations and worker demographics.

• Pay and bill rate data
• Geographic presence (i.e., offshore, onshore)
• Market trends

Benchmark reports. These reports compare the organization’s contingent program metrics to industry benchmarks or best practices to assess program effectiveness and identify areas for improvement.

• Peer and program performance benchmarking

There are a multitude of reports to help with measuring the performance metrics for your contingent program and suppliers. If you have a vendor management system in place for your program, work with your VMS partner to help build out the appropriate reports for tracking these performance metrics.

Make sure you are reporting on metrics that make sense and align with your organizational and program goals. SLAs and KPIs are the building blocks for creating a supplier scorecard, so having the right metrics and reporting mechanisms in place will help you chart the right course and set your program up for success.