How we optimised a customer’s multi-country MSP supply chain to save costs | Pontoon

How we optimised a customer’s multi-country MSP supply chain to save costs

Summary

A case of programme evolution

Our long-standing customer, a global energy company, needed to evolve their current programme and increase the impact of their contingent workforce. We adjusted the supplier mix to increase sourcing efficiency, improve supplier performance and decrease cost.

The challenge

Supply chain optimisation and misclassified spend

With an upcoming competitive bid and a recent programme expansion to the US, we needed to evolve the programme, showing our customer a strong global supply chain, and improving the hiring manager experience.

We had recently taken over the MSP delivery from another provider in the US. They had a limited supplier network and couldn’t source quality candidates for the customer. Due to this gap, managers were engaging directly with agencies and SOW suppliers. This led to communication silos, lack of visibility and misclassified spend. In the UK, the customer ran two MSPs, one master vendor for administrative positions and Pontoon for all other roles.

We needed to transition and consolidate the supply base to generate savings, visibility, and efficiencies.

How we helped

An optimised supply chain with direct sourcing

After winning the business and expanding our programme scope in the US, we now manage contingent labour in all regions. The team went to work consolidating suppliers, building relationships with managers and educating the customer on our sourcing capabilities. We already had a well-established MSP Direct – our direct souring arm – in the UK; we leveraged this experience to launch the service in the US.

These updates improved the programme’s average time-to-offer, generated significant savings, and created consistent manager satisfaction throughout the expanded programme.

Impact

Improved customer satisfaction scores and customer cost savings

We now have a robust and optimised supply chain in each region. In the US, we grew the headcount by 240%, gaining credibility as a reliable sourcing mechanism for talent.

Our supplier partner consolidation and direct sourcing efforts increased hiring manager satisfaction to 95%. Over 12 months, our global NPS (Net Promoter Score) increased from +17 in 2021 to +52 in 2022.

The streamlined supplier mix improved the time to offer in the UK by nearly 30%, going from 17 days in 2018 to only 12 in 2022.

Finally, for the fiscal year 2021-2022, we generated a total customer savings of £8.5m.

X