What is an extended workforce?

November 3, 2021

When discussing "The Future of Work," a vital part of the conversation is often left out. That part talks about the benefits of having an extended workforce. This pool of talent is used when an employee is on annual leave or goes out sick or when an organization needs more people to help on a project. Yet, no one wants to talk about these silent employees because of the "unskilled worker" stigma that is often associated with an extended workforce. This is a false assumption, and 38.9% of independent contractors now have a University degree. Higher Education Institutions now differentiate themselves from the contingent workforce market through their unique features, functionality, and forward-thinking innovation.

The extended workforce has become an integral part of most companies. This includes contingent workers, SOW-based contractors, consultants, specialists, and temporary employees—and it's growing. You might even say that it's the new way to do business.

What does an "extended workforce" consist of?

An extended workforce can be an accessible pool of talent. In this pool of talent that's outside of an organization's formal employee base, you will find independent contractors, consultants, and specialized service providers. Accessing this talent pool on demand saves time and resources, freeing employees to complete more important tasks. Hiring Specialists and Consultants can undoubtedly benefit organizations in performing time-limited tasks. They can provide analysis and expert opinions and perform various duties that traditional employees might not be able to offer. An extended workforce can also include seasonal workers who can be hired to augment the full-time staff at certain times of the year to meet high-volume requirements. Also, SOW-based contractors closing skill gaps can reduce costs for the organization as they are often paid out of specific project budgets. When companies have access to the best talent on demand, it makes them more agile, too.

The growth of the extended workforce

Using an extended workforce is an easy solution for higher education institutions today. It's an easy answer to keeping up with trends and the ever-changing working conditions. They have also realized that they can outsource help away from their organization by tapping into their external pool of talent. In a competitive world, this means that they can avoid investing in development in-house.

Businesses aren't alone in taking advantage of this trend—individuals are also. Freelance work is often more appealing today than permanent employment. Freelance employment offers more flexibility and a greater variety of projects, enabling one to build more skills and share expertise. There are also admirable financial benefits that can come from contingent work. As Millennials and Gen Xers are joining this workforce, with millennials set to make up 75% of the workforce by 2025, businesses will need to adjust accordingly.

The Beeline vendor management system (VMS) drives efficient use of the extended workforce. It fills knowledge gaps and has access to a growing base of experienced and available workers. It has also made utilizing an extended workforce easier than ever. If an organization has a cloud talent sorcerer, it will have on-demand access to affordable, skilled workers from around the world, paid for on a transactional basis.

The future of work with Beeline

Beeline believes that having an extended workforce is vital to the future of work. Look no further; our vendor management system (VMS) is an intelligent, forward-looking answer to the growing need for workforce agility so that companies can respond to market challenges and opportunities.

To find out more about how Beeline can integrate the right VMS for your organization, request more information today.