80% of companies lack reliable workforce data on non-employees
The report looks at worker tracking, an emerging solution designed to help employers accurately collect non-employee workforce information, such as worker locations and vendor affiliations. An alarming number of companies lack the ability to globally track non-employee workforce data, creating safety and compliance risks, and limiting an organization's efficiency and ability to implement basic strategic objectives.
Based on deep market knowledge and client engagements, TAPFIN estimates that as many as 80 percent of companies currently lack data on who is working on their premises or on their behalf. This includes people working for them on any given day, including temporary employees, contractors, consultants and freelancers, statement of work laborers, and service providers like landscapers and construction workers. Companies stretched across large geographic areas, using a variety of vendors, operating in multiple locations and under multiple brands, are most challenged when it comes to establishing the technology and processes to track workforce data.
"Most clients are shocked when a formal assessment reveals a substantial number of non-employee workers are unaccounted for because of exceptions and breaks in process," said Jamiel Saliba, vice president and general manager, TAPFIN. "We know that accurately tracking a large, globally dispersed workforce cannot be achieved as a by-product. It requires a focused effort, a committed team and the right technology, working in alignment."
Currently, workforce tracking solutions are focused on standardizing and streamlining information, benefiting areas including strategic workforce planning, compliance and safety. However, as this field evolves, TAPFIN identifies more sophisticated uses for the data including:
• Total talent vs. siloed solutions: Companies need to look at non-employee workers from a holistic vantage point. Rather than just drawing from a vendor to fill immediate needs, worker tracking will provide more strategic, long-term solutions.
• Flexible models: Many companies need to scale their workforces up and down to address production schedules, market fluctuations, demand changes and environmental factors. Worker tracking could extend these models across talent pools.
• Data sophistication: Today's solutions pull together topline data designed to standardize what employers know about their non-employee workforce. Solutions need to present a clear view on where the best talent is and their daily availability.
• Worker movement and development of talent pools: For global companies, worker tracking holds enormous opportunity in the area of worker mobility and access to new talent resources.
• Strategic growth/identify expansion: Worker tracking already provides high-level data that can inform an organization's growth and expansion, and future iterations will build on this.
• Enterprise-wide risk and compliance: Today's solutions focus on risk and compliance associated with non-employee workers. As these solutions extend across an enterprise, the next step will be to raise the standard to include all employees.
"Whether an organization is motivated by risk avoidance, operational enhancements, or both, employers of all sizes have a vested interest in better understanding their non-employee workforce. Once a worker tracking system is deployed, the strategic benefits emerge quickly and continued commitment will be the clear business imperative," said Saliba.