Cutting Expenses

Client: Large company with offices throughout the Midwest.

Situation: The client is expanding rapidly and needs additional workforce to keep up with growth. In addition, the company has consistent seasonal fluctuations to their business that require them to increase headcount by 35% for four months each year. Employees are needed for both manufacturing and customer service/call center duties.

In the past, this company used their in-house human resource staff as well as several outside sourcing firms to help them hire both full-time regular employees and seasonal employees. The company estimated they spent an average of 48 hours weekly at the corporate level, and 12 at the facility level with human resource issues such as communicating with all involved parties, reconciling invoices and timecards from various outside services, conducting new employee orientations, monitoring employee performance, and placing orders. In addition, the rising costs to hire the necessary employees had caused their staffing related expenses to increase 27% above budgeted levels.

Assessment: Life Style Staffing proposed that the company use our One Source Web-Based Contingent Workforce Management System to consolidate and manage their entire hiring process.

Strategy: Using our Life Style Web Center, we were able to automate processes for requisition, approval, orientation, timekeeping, invoice reconciliation, and performance review of employees. Our system connected seven staffing partners, twelve facilities and two call/customer service centers into one central hub of information. Life Style's Web Center allowed our client and their partner parties to access real time reports (i.e. usage, rates, spending by department or location, fill ratios, etc.) that allowed each participant to be measured objectively against our client's established performance measurements.

Result: The result of using Life Style as the primary partner and our Life Style Web Center as the central point for contingent workforce needs and management was monumental. Within the first year, the system allowed our client to more effectively use and deploy their staffing resources, which resulted in a cost savings of 28.5%. Our client was also able to reduce the amount of time they spent each week on administrative details, resulting in an estimated savings of $88,000 annually. Our system enabled each party to track employee performance and attendance in real time, making it possible for eachof them to identify and address issues before they became problems, and resulted in a lower turnover rate. Life Style's Web Center facilitated our client and other staffing partners to more easily stay in touch with seasonal employees when they were not working. Our rate of returning seasonal employees increased by 31%, therefore our recruiting costs decreased.

Within the first year, our client was able to save in excess of $198,000 by using our One Source Management program through our Life Style Web Center.

Hiring Right | Managing Growth | Controlling Costs | Cutting Expenses