How Bank of America Merchant Services manages its permanent and contingent workforce from a single provider.
By Gary Bragar
There is an increasing trend by buyers to seek vendors that are able to provide blended workforce services that include recruitment process outsourcing (RPO) for hiring permanent employees and managed services programs (MSP) including contingent workforce management, program and vendor management, and temporary staffing. This is becoming increasingly popular and valuable to the marketplace for two stand-out reasons:
• Flexible staffing solutions from a single vendor. As uncertainty in the global economy remains, buyers are being more cautious in their hiring of permanent employees and are seeking increased utilization of temporary hires and contingent workforces. HRO buyers are increasingly opting for service delivery consolidated under a single provider.
• Difficulty in attraction and retention. According to ManpowerGroup’s 2012 Talent Shortage Survey results, 49 percent of United States employers struggle to fill mission-critical positions. Most difficult to fill include skilled trades, engineering, and IT positions. Globally, 34 percent of employers are having difficulty filling positions. At the same time, studies show low levels of employee engagement with one third of all employees planning to look for a new job. On top of that in 2011, 10,000 American babyboomers began turning 65 every day and will continue for the next 19 years.
Buyers will be able to meet demand for talent and to ensure business continuity through a blended workforce solution. Take, for example, Bank of America Merchant Services. The number one-rated electronic payments company in the industry by Nilson Report1 uses a blended workforce solution from Randstad Sourceright. Bank of America Merchant Services offers nearly 100 products and services through its Paymentum suite of solutions, including payments, commerce, security, and advice options. Bank of America Merchant Services has approximately 1,700 employees.
Drivers of an outsourced solution included:
• A complex workforce with a combination of on-site and home office
based associates, as well as commission and non-commission associates and contractors
• Fast growth and changing business environment creating varying
• The need for an outsourcing partner to form their own recruiting
resources and support for all direct hire and temporary labor needs
• A compliant standardized process to include an applicant tracking
system configured for Bank of America
• Merchant Services
• Maintain ongoing compliance and risk consultation support
Bank of America Merchant Services sought a blended workforce solution with a single partner and selected Randstad Sourceright for employee recruitment and engagement of contractors.
The Randstad Sourceright RPO team is a virtual account team that includes operations management, recruiters, recruiting coordinators, and sourcing specialists, supporting requisitions—80 percent are for sales roles, national in scope.
The MSP solution has placed contractors, consultants, and interns in the following areas:
• Strategy and business development
• Human resources training development
• Sales support
• Supply chain
• Database management and reporting
• Financial analysts
Results since January 2012 include:
• Meeting and exceeding new hire and hiring manager satisfaction
survey expectations with an overall score of very satisfied
• Implemented a candidate pipeline process
• Instituted SHL sales assessments
• Customized reporting
• Implemented a stabilized team for consistent point of contact and
quality of service
Marian Wilson, executive vice president of human resources for Bank of America Merchant Services, described the importance of the right blended workforce solutions provider. “The biggest challenge was to make sure we had a partner who knew our industry, understood our unique business model, and understood the changes in the marketplace and their impact on our workforce,” she said. “Our single provider had to be nimble enough to change as our needs change. Randstad Sourceright was a good fit for our complex and changing needs. Working with them since the end of 2011, we’ve developed a partnership approach that is critical to a successful blended workforce strategy.”
The bottom line is that vendors and buyers both gain value from a workforce solution that meets clients’ dynamically changing needs, whether it be for temporary workers with an MSP offering and/or permanent employees via RPO. Buy-side HR executives, are you ready to meet your company’s current and future workforce needs?
Gary Bragar is HR outsourcing research director for NelsonHall.
1 Based on bankcard, other credit and PIN debit sales volume and transactions. Per The Nilson Report, March 2012, Issue 990.
© 2012 Bank of America Merchant Services, LLC. All rights reserved. All trademarks, service marks and trade names referenced in this material are the property of and licensed by their respective owners.