Staffing and Contingent Workforce Management Tips and Advice | Bridge VMS

Why Staffing Agencies Can’t Ignore VMS Technology: Insights From LinkedIn

Written by Bridge VMS Team | Jan 09, 2025

If you’re managing staffing operations and haven’t embraced a Vendor Management System (VMS), you’re not alone. Many small and mid-sized staffing businesses hesitate to adopt this technology, often sticking to manual processes like spreadsheets. But as a recent LinkedIn conversation between Elite Global Recruiters Founder Suky Sodhi and Matthew Cook, Chief Revenue Officer of Bridge VMS, revealed, those who do embrace VMS often see transformative results.

Let’s explore the key takeaways from the discussion and why it might be time for your agency to take the leap into modern workforce management.

The Problem with Staying “Old School”

Many staffing agencies still rely on manual processes because they feel familiar or seem “good enough.” Matthew shared a real-life scenario all too common in the industry:

  • A staffing agency managed hundreds of temps using Excel spreadsheets.
  • They had no centralized system for tracking metrics like time-to-fill or fall-off rates.
  • They were losing opportunities to grow their business because they couldn’t identify bottlenecks or measure efficiencies.

What’s the cost of staying in this comfort zone?

Lost time, wasted resources, and frustrated clients who might be quietly considering vendors with better technology.

As Suky pointed out, “Just because your client hasn’t asked for it doesn’t mean they don’t want it.”

How a VMS Changes the Game

Matthew explained how Bridge VMS enables staffing agencies—regardless of size—to automate tasks, deliver value, and strengthen client relationships. Here’s how adopting a VMS can redefine your operations:

1. Streamlining Day-to-Day Processes

  • Automate tasks like timesheets, invoicing, reporting, and compliance tracking.
  • Save hours of manual work by centralizing everything in one platform.
  • Eliminate errors caused by human oversight in manual processes.

Matthew shared a customer example:

One of Bridge VMS’s clients recently transitioned from spreadsheets to their system and quickly identified inefficiencies in their candidate workflow, invoicing, and billing processes. By automating these tasks, they not only saved time but also freed up their team to focus on more strategic initiatives.

👉 Watch Suky and Matthew's full conversation on LinkedIn

2. Offering Measurable Value to Clients

In staffing, maintaining margins often means proving value to your clients. A VMS helps you:

  • Manage credentialing, compliance, and job requisitions efficiently.
  • Provide clients with real-time insights through custom reporting.
  • Position yourself as a trusted partner, not just a vendor, by bringing solutions to the table.

Matthew emphasized, “Price is only an issue in the absence of value.”

By demonstrating value through technology, you can fend off price negotiations and solidify client loyalty.

3. Supporting Growth and Retention

A VMS doesn’t just help you manage your current business—it can also enable growth:

  • Free up internal resources by automating repetitive tasks.
  • Scale efficiently without adding headcount to handle manual processes.
  • Improve employee morale by eliminating frustrating bottlenecks and late-night crisis management.

Think about the lost opportunity of sticking to your current system. It’s not just about streamlining efficiencies—it’s about opening the door for growth by eliminating the bottlenecks you’ve taken for granted.

Addressing the Elephant in the Room: Cost

One of the most common objections to implementing a VMS is cost. Small businesses often assume this technology is only for the big players. Matthew tackled this head-on, explaining how Bridge VMS is designed specifically for small to mid-market staffing agencies:

  • Affordable Pricing: Unlike enterprise-level VMS tools, Bridge VMS offers accessible pricing tailored to smaller businesses.
  • Demonstrated ROI: Many clients see cost savings that outweigh the price of the system, often within months.
  • Support for Every Step: Bridge provides “white-glove” onboarding and robust customer support to ensure a smooth transition, even for agencies with minimal tech resources.

As Matthew put it, “If you’re not enabling technology in your systems, you won’t be able to maintain margins in a competitive market.”

What About the Personal Touch?

One fear many small staffing agencies have is that automation will replace the personal touch that sets them apart. Matthew offered reassurance:

  • A VMS can free your team to focus on relationship-building by automating the mundane.
  • Customizable workflows ensure you can maintain your agency’s unique approach.
  • White-label branding options allow you to deliver a personalized experience for clients while leveraging robust technology behind the scenes.

Key Takeaway: By using technology to handle repetitive tasks, you can dedicate more time to building meaningful connections with your clients and candidates.

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Future-Proofing Your Business

The conversation also touched on what’s next for workforce management technology. While AI and automation will continue to shape the industry, the human element remains critical. Clients increasingly value the insights and guidance that only experienced professionals can provide.

  • AI’s Role: AI will eventually streamline sourcing, invoicing, and compliance further, but adoption takes time.
  • Staying Ahead: Agencies that invest in technology now will be better positioned to integrate emerging innovations without disruption.
  • The Human Connection: As Matthew adds, “The more you automate, the more time you have for meaningful conversations with your clients. That’s where the value is.”

Your Next Steps 

 

Get the tools and insights you need to revolutionize your workforce management. Our ebook, Everything You Need to Know About a VMS, is the ultimate guide to understanding and implementing Vendor Management System technology.

Inside, you’ll find:

  • Game-changing benefits of integrating a VMS into your operations.
  • Step-by-step strategies to ensure seamless adoption without disrupting your workflow.
  • Proven tactics to boost productivity and elevate your client relationships.
  • Real-world success stories that showcase the impact of VMS on businesses like yours.

This isn’t just another guide—it’s your roadmap to streamlined operations, improved margins, and a competitive edge.

Download the ebook today and take the first step toward staffing smarter, faster, and better.