OMNIA Partners Blog

Procurement Best Practices for Innovative HR

Posted by OMNIA Partners on August 24, 2020


 Total Read Time: 4 minutes

Disruption quickly, and often, dramatically alters the purchasing landscape. Enterprises nationwide are experiencing the impact this is taking on their human resource professionals. As the pandemic progresses, the HR function will be continually challenged with keeping workers safe, healthy and informed, in addition to their everyday performance duties. Soon - if not already- HR teams will face permanent changes such as:

1. Remote Work Becoming Dispersed or Permanent 
2. Talent and Hiring Hurdles 
3. Redistribution/ Redefinition of Skills 
4. Performance Management Challenges

Enterprise and procurement planning to address tomorrow’s HR landscape should be well underway. During the planning stage there are some key concerns to think through, for instance - what are the core changes to the HR operating model? And most importantly, how can procurement aid in addressing these challenges?

THE NEW HUMAN RESOURCES EXPERIENCE

As enterprise HR teams adapt their strategy to compliment structural changes, their talent needs, and labor strategy will also need an overhaul. It is possible, and extremely likely, the current working talent are not positioned in the most critical roles needed to address new considerations created by the crisis. This could mean many enterprises need to redistribute their workers into different roles that are now more vital than pre-disruption, or it could entail a complete redefinition of roles/ departments. 

 

As the economy moves forward there will be a shift in hard & soft skills required to execute new #HR & #procurement strategies. @OMNIAPrivate

 Tweet this Human Resources Spend Management Tip CLICK TO TWEET

 

As the economy moves forward there will likely be a shift in hard and soft skills required to execute new strategies. Planning on how to bridge talent gaps for optimal performance is vital, in addition to planning what responsibilities can be satisfied through digital automation -vs- human labor. 

 


HR Functions Will Experience Disruptive Changes to its Operating Model

HR is anticipating a litany of changes, including virtualization of work.
(Percentage of what HR leaders are anticipating represented in chart below.)

How the HR Function's Operating Model will Change Due to COVID-19


Enterprises will need to establish new performance management processes (for managers and employees) and workforce planning strategies. Talent has always represented a key driver in business success but in a crisis scenario, the right talent can be a lifeline. This talent includes every level in your organizational structure. Leaders will be asked to manage in a new way and completely foreign environment. Additionally, employees will be expected to complete the same level of work performance in an unfamiliar setting, or pick up new skillsets that they previously did not possess to satisfy needs brought on by the pandemic.

 

Talent has always represented a key driver in business success but in a crisis scenario, the right #talent can be a lifeline. @OMNIAPrivate #pandemichiring #HR

HR best practice for pandemic hiring CLICK TO TWEET

 

As talent will prove to be a challenge, and the redistribution of skillsets will be steep, a GPO can help procurement in hard to source categories that fall under the Human Resources umbrella, these tend to represent an area of unmanaged spend. That means businesses have a lot to gain by putting their group purchasing organization to work. A GPO, like OMNIA Partners, will connect companies to a diverse supplier base that can deliver on savings, and better service-level-agreements that are often far greater than what any individual company can receive on their own.

 

.#GPOs partner with #procurement in hard to source categories, like #HR, that often represent an area of unmanaged spend @OMNIAPrivate

Tweet this GPO and HR Spend Management Tip CLICK TO TWEET

 

Related Content:

➡️Staffing & Workforce Solutions

➡️The GPO Role in Supply Chain Planning During Crisis

HOW CAN PROCUREMENT IMPACT HUMAN RESOURCES' NEW OPERATING MODEL  

Now that we know what to expect in the new HR model it is important to unpack how procurement is able to make an impact. In crisis, when talent and time are drastically more imperative, tying resources up in sourcing and negotiation tactics isn’t strategic, especially when a GPO can help procurement gain better results. The GPO model allows businesses, of all industries, to employ necessary workforce - namely procurement  in other strategic areas.  

 

Specifically, In the case of HR categories, the GPO can drive improvement and value beyond cost savings, helping procurement better balance their resource distribution and prioritize improvement and innovation instead of cost aloneIn this regard as businesses shift their strategies to address the new HR landscape pain points, they can rely on their group purchasing organization as a “secret weapon” helping to gain a competitive advantage and thrive during disruption. Here in lies the crux of why a GPO not being part of procurement’s crisis recovery strategy represents a missed opportunity both for budget and adaptability in HR spend management categories.  

Procurement and a group purchasing organization can help HR in their new operating model

A GPO can help procurement in critical categories, such as:


Related Content:

➡️ Busting the Top Ten Myths About Background Screening

➡️ Top 5 Signs You Should Consider a Managed Service Provider

➡️ How Procurement Can Deliver Value Beyond Cost

Hiring Challenges: Procurement's Role in Pre-Employment Screening

The Society for Human Resource Management (SHRM) says, the coronavirus crisis has upended normal HR workflows—and pre-employment screening is no exception. "COVID-19 has caused courts and other public-records repositories and drug-testing laboratories to either close or be difficult to access," said Pamela Devata, an employment attorney and partner in the Chicago office of Seyfarth Shaw. "Criminal and civil records reviews and previous employment and education verifications are not as readily available due to closures and remote working. Some applicants may also be reluctant to visit drug-testing labs, and labs may have suspended in-person services." 

➡️ Worried About Screening in a Crisis? Don't Give Up 

➡️ Virtual Hiring During Covid-19: Learn How One Business Made 120 Qualified Hires in Only 7 days

Due to this pain point, many enterprises are searching for a supplier partner that allows for criminal searches without human intervention. This will enable HR stakeholders to adequately perform their duties and source the most qualified candidates without delay. Companies looking to hire are challenged with being unable to complete basic criminal checks due to closures. As a result they are seeking alternatives to background screening, such as, forgoing them completely, making job offers conditional upon passing the screening once systems are in a more optimal position, or even virtual hiring. Virtual hiring is a solution trend that businesses have been employing for qualified candidates and interaction free interviews. In order to successfully maneuver these uncharted waters enterprises have needed supplier assistance to manage spend costs and aid in the hiring duties.  

 

.#Virtualhiring is a trend being employed for qualified candidates & interaction free interviews. A #GPO can help manage spend costs & offer a supplier to aid in hiring duties. @OMNIAPrivate

Tweet this HR tip on GPOs and HR Virtual Hiring Practices CLICK TO TWEET


HIRE YOUR GPO FOR THE JOB

Companies need to be ready to employ all resources available to drive their enterprise through disruption. The pandemic has been a staunch learning curve but businesses who view it as an opportunity to optimize, innovate and adapt will be stronger in the end, especially compared to counterparts that shy away from adopting change – particularly when so much change is already impacting the HR function. 

 

Spend categories, like Human Resources, that are already challenging to source need extra support, especially when there is an additional layer of complexity added due to socioeconomic challenges. Leaning on a GPO for that much needed support will prove to be a strategic benefit. 


Have you reviewed the OMNIA Partners COVID-19: Human Resources Support for Resuming Operations? We make updates on a consistent basis to address fluctuating needs with the shifting markets. 

Topics: Human Resources, Group Purchasing Organization, Procurement

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