Contingent workforce management refers to the deliberate identification and involvement of non-permanent personnel inside a company. Work assignment and hiring are covered. Additionally, while there are several advantages to managing a contingent workforce, there are also substantial disadvantages. The flexibility of this workforce allows a firm to grow, despite its greater unpredictability and erraticness. Customers may need to provide contingent staff fair power over the task, but the firm is ultimately accountable for the caliber of work that they deliver.
Global Contingent Workforce Management Market Driving Factors and Challenges
The two primary benefits of adopting contingent workers management for permanent staff are cost savings and flexibility. But when it comes to staffing their workforces, strategic enterprises have other reasons to choose contingent labor over core personnel. One of the primary motives for businesses to select contingent labor over core personnel is cost reduction. Paying independent contractors for breaks or idle work is not mandatory for employers. The same advantages that core employees are entitled to, such as health insurance, holiday pay, sick leave, and vacation time, are likewise not available to these personnel. Paying employees only occurs when they use a contingent workforce. Over the course of the study period, these are the key factors that are anticipated to drive up contingent workforce management's market share.
A number of challenges stand in the way of the contingent workforce management market's further expansion. The first problem with contingent labor arrangements is that their dynamic nature makes it difficult to manage and retain personnel, as gig workers and freelancers may choose flexibility and autonomy above long-term commitments to a single company. Issues with knowledge retention and staff continuity within firms may result from this. Second, there are many obstacles to overcome in order to comply with labor rules and regulations, especially when managing contingent workers in many countries with disparate legal systems. The management of contingent workforces is made more complicated by the need to ensure compliance with legislation regarding worker categorization, overtime compensation, and benefits rights.
Impact of COVID-19 on Global Contingent Workforce Management Market
Numerous worries raised by the COVID-19 pandemic have led to large financial losses and the suspension of business activities for numerous firms throughout the globe. The necessity for contingent workforce management has finally decreased as a result of the downturn in the IT industry and health issues among employees. This has produced an economic slowdown in various countries and affected almost every business's growth. COVID-19 has spurred the development of better and more creative solutions involving contingent workers. Due to the pandemic and widespread lockdowns, businesses are beginning to see the advantages of using external workforces as flexibility becomes the norm.
Global Contingent Workforce Management Market Key Players:
The market study offers information on the competitive landscape, market segments, revenue, and a detailed analysis of major market players, including Avature, Beeline, Coupa Software Inc., cxc global, IMPARTX, PRO Unlimited Inc., Ramco Systems Ltd, SAP SE, the bowen group, Zeel Solutions Ltd., and others.
Global Contingent Workforce Management Market Segmentation:
By Type: Based on the Type, Global Contingent Workforce Management Market is segmented as; Permanent StaffingFlexible Staffing.
By Application: Based on the Application, Global Contingent Workforce Management Market is segmented as; BFSI, Business/Professional Service, Government (Excluding Education), Healthcare, IT and Telecom, Manufacturing- Automotive, Manufacturing- Consumer Products, Manufacturing-Others, Others, Pharma/biotech/medical equip, Real Estate and rental leasing, Retail trade, Transportation/warehousing/packaging.
By Region: This research also includes data for North America, Asia-Pacific, Latin America, Middle East & Africa and Europe.
This study also encompasses various drivers and restraining factors of this market for the forecast period. Various growth opportunities are also discussed in the report.