Procurement Market Intelligence Report

Contingent Workforce Management Services
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Contingent Workforce Management Services Global Overview

Definition

Summary

In this market, managed service providers (MSPs) develop comprehensive plans to manage their clients' contingent workforces, including temporary, temp-to-hire, and contract workers. Moreover, MSPs oversee the entire process of selecting workers, streamlining and optimizing hiring, handling the management of temp contracts, and providing detailed employment analytics on behalf of their clients to achieve cost savings.

This Report Includes:

  • Temporary Agency Worker Management
  • Contract Worker Management
  • Independent Contractor Management
  • Gig Worker Management
  • MSP Staffing Services

Not in this Report:

  • Non-MSP Staffing Services
  • Vendor Management Systems (VMS)

Global Contingent Workforce Management Services Procurement Trends

Discover the top international trends affecting procurement in the global Contingent Workforce Management Services market.

Neutral


United States labor shortage is beginning to show signs of slowing

  • There are signs that the US labor market is beginning to return to a more normalized state, with evidence that the shortage plaguing many sectors throughout the economy could be coming to an end in the near future.
  • Recent data has shown that job openings plunged by around 600,000 to 10.6 million job openings between months, the largest month-over-month drop since the beginning of the pandemic. The number came in well below expectations as well, providing additional evidence that complications may be coming to an end even faster than experts expect.
  • The number of unemployed workers per job openings climbed for the first time since the pandemic began as well, providing further signs that the labor market may be returning to more normal behavior.
  • While there are signs that currently indicate the labor shortage may begin resolving soon, many sectors are still currently battling labor shortages. Freight, transit and manufacturing companies are faced with persistent labor shortages, contributing to significant difficulty within their businesses.
  • Financial and software development firms are also facing continual shortages as office workers continue the “Great Resignation”, where workers leave positions in favor of better benefits, higher pay and more flexible, hybrid work environments.

Global Contingent Workforce Management Services Market - Suppliers by Region

Country/Region Number of Suppliers
#1 Europe 3,675
#2 China 3,620
#3 South America 2,775

Explore supplier concentration across the globe

We've uncovered the 11 top regions for global procurement, based on feedback from our most strategic clients. Access vendor counts for each unique region when you subscribe.

  • Canada
  • United States
  • Mexico
  • Latin America
  • South America
  • India
  • China
  • Europe
  • Africa & Middle East
  • Australi & New Zealand
  • Oceania & Southeast Asia

2

Geography Drilldown - US, Canada & Europe

Average Cost of Contingent Workforce Management Services

United States

2026 Market Pricing
$1.00 to $X.XX
of contingent workforce spend

Canada

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Europe

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Average Price

Prices in the Contingent Workforce Management Services market range from $1.00 to $X.XX, depending on Scope of Services, Type of Provider and Workforce Headcount. For example, lower prices are associated with Basic services (1.0% to 3.6% of contingent workforce spend) and In-house recruitment and onboarding (1.0% to 3.6% of contingent workforce spend), whereas higher prices are associated with Comprehensive services (2.0% to 4.0 % of contingent workforce spend) and Outsourced recruitment, onboarding and administration (2.0% to 4.0% of contingent workforce spend).

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Between our Europe and Canada collections, we provide price data for 350 markets so you can instantly compare prices across borders. Or, use our custom research services for intel on prices in any region across the globe.

Contingent Workforce Management Services Category Price Trends

Pricing trends are indicated by the compound annual growth rate (CAGR) during a set period of time. For the Contingent Workforce Management Services market, prices in the US have grown 0.2% from 2022 to 2025. and +0.2% in Europe.

United States (2022-2025)

0.2%
Compound Annual Growth Rate

Canada (2021-2024)

0.0%

Compound Annual Growth Rate

Subscribers can access updated Canadian data upon request.

Europe (2022-2025)

0.2%

Compound Annual Growth Rate

Wondering where prices are heading?

Price trend forecasts are available to subscribers, along with price driver projections and forward-looking cost structure data.

Cost Analysis - Total Cost of Ownership for Contingent Workforce Management Services

Total cost of ownership is Medium in the Contingent Workforce Management Services market. The average cost of ownership differs depending on the contract but generally includes costs negotiated before the contract begins, costs billed during the contract period and unforeseen costs.

Negotiated Before

Implementation

Suppliers may recommend and implement a vendor management system (VMS) to be used company-wide. In addition to being expensive, the implementation can take time and create disruptions, contributing to the total cost.

Other Fees

Buyers should be wary of contracts that detail incremental fees. Suppliers may gradually increase their rates over time, diminishing buyers' returns.

Billed During

Travel

If buyers want an on-site team to manage their contingent workforce or expect consistent face-to-face interaction with suppliers, they may be subject to travel costs or the cost to set up and maintain an on-site workspace for their MSP. However, business travel has not yet returned to pre-pandemic levels, so buyers can expect travel costs to have a lesser impact on the total ownership cost than pre-pandemic.

Buyer Power in Procurement Negotiations

In 2026, buyer power amounts to 1.6 in the United States. Buyer power is most positively impacted by Price Driver Volatility. It is most negatively impacted by Recent Price Volatility. Subscribers can access details on eight other factors that impact buyer power. Learn more

United States

1.6

Canada

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Europe

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Buyer power forecasts: your glimpse into the future

Develop strategies for the upcoming year and identify unforeseen opportunities for buying now

  • Actionable "Buy Now" and "Buy Later" insights
  • Near-real-time updates to current and forecast Buyer Power Scores
  • Methodology and weightings for Buyer Power Score Components

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Supply Chain Risk

The average level of supply chain risk is assessed as Low, which has a positive impact on buyer power. The level of supply chain risk is affected by industry volatility, barriers to entry, competition, import penetration, regulation and industry financial risk. Buyers in this market can mitigate procurement and supply chain management risks by monitoring risk levels for individual first and second tier suppliers:

1st

Tier Suppliers

  • Computer & Packaged Software Wholesalers
  • Office Supply Stores
  • Commercial Real Estate Firms
  • Office Staffing & Temp Agencies

2nd

Tier Suppliers

  • Computer Manufacturers
  • Software Publishers
  • Office Stationery Manufacturers
  • Art & Office Supply Manufacturers
  • Real Estate Sales & Brokerage Firms
  • Employment & Recruiting Agencies

Biggest Contingent Workforce Management Services Suppliers in the US by Revenue

The largest Contingent Workforce Management Services vendors by revenue in the US are Day & Zimmermann, TrueBlue Inc. and Manpowergroup Inc. Subscribers can sort and filter by market share concentration, profit level and other factors. Learn more

Supplier Operational Size Headquarters Number of Employees Market Share (%) Market Share Performance (3yr trend) Total Revenue ($ million) Profit Level (%) Risk Level
Manpowergroup Inc. Global MILWAUKEE >10,000 20-25
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Allegis Group, Inc. Global Hanover, MD >10,000 20-25
Randstad Holding NV Global Diemen , NL >10,001 5-10
Adecco Group Ag Global Zurich, CH >10,001 5-10
Kelly Services Inc. International TROY 1,001-10,000 < 5
Day & Zimmermann International Philadelphia, PA >10,000 < 5
Impellam Group Plc Global Luton, UK 1,001-10,000 < 5
TrueBlue Inc. International TACOMA, WA 1,001-10,000 < 5
Volt Information Sciences Inc. Global ORANGE, NY >10,000 < 5

Looking for a list of suppliers by country?

Subscribers can access vendor information on Canadian and European suppliers, too. We also offer custom research services to help with vendor sourcing anywhere in the world.

Profit Analysis

The average profit margin across vendors in the Contingent Workforce Management Services market is 5.5% and steady. Profit levels shift depending on suppliers' spend on wages, purchases and overhead. The highest cost component for vendors is Wages. The cost trend for this component is rising, when considering movement between 2025 and 2026. To understand cost forecasts for 2027 and uncover the implications on profit, start your subscription. Learn more

Vendor & Supply Chain Analysis

Despite low profit on average, the majority of market suppliers generate enough revenue and are diversified enough to sustain themselves with little risk.

The risk of input price shocks or discontinuity of service due to supply chain issues is low for contingent workforce management services.

While there is little regulation that directly governs market suppliers, there is a considerable amount of regulation involving human resources and staffing that buyers must be aware of.

Market share concentration is moderate but has been rising in the past three years due to larger providers engaging in merger and acquisition activity to broaden their geographic reach and service offerings.

The United States is a net importer of computers, meaning it imports more computers than it exports. While lower manufacturing costs abroad drive down prices for imported computers, relying on imports can lead to potential shortages or price increases if there are supply chain disruptions due to geopolitical tensions, trade disputes, or global crises.

Supplier Information

Allegis Group, Inc.

Allegis Group, Inc. is a private company operating globally in the professional, scientific & technical services and administration, business support and waste management services sectors. The company's offerings include temporary clerical & administrative staffing, temporary it staffing, temporary warehouse... Subscribe to learn more

Manpowergroup Inc.

ManpowerGroup Inc. is a global workforce solutions and services provider focusing on recruiting and workforce-intensive initiatives. Its solutions and services include recruitment and assessment, training and development, career management, workforce consulting, and outsourcing. It offers a family of brands,... Subscribe to learn more

Adecco Group Ag

Adecco Group Ag is a public company operating globally in the professional, scientific & technical services and administration, business support and waste management services sectors. The company's offerings include outplacement services, temporary clerical & administrative staffing, temporary it staffing,... Subscribe to learn more

Randstad Holding NV

Randstad Holding NV is a public company operating globally in the information, professional, scientific & technical services and administration, business support and waste management services sectors. The company's offerings include outplacement services, job posting services, temporary clerical & administrative... Subscribe to learn more

Day & Zimmermann

Day & Zimmermann is a private company operating internationally in the construction, professional, scientific & technical services and administration, business support and waste management services sectors. The company's offerings include boiler & furnace maintenance & repair, temporary it staffing and contingent... Subscribe to learn more

Impellam Group Plc

Impellam Group Plc is a public company operating globally in the professional, scientific & technical services sector. The company's offerings include contingent workforce management services. Founded in 2008, the company is currently headquartered in Luton, United Kingdom with an estimated 5500 employees.... Subscribe to learn more

Kelly Services Inc.

Kelly Services, Inc. is a global talent solutions company. It organizes its business into five segments: the Professional & Industrial segment, which delivers administrative, accounting and finance, light industrial and contact center staffing and other workforce solutions; the Science, Engineering & Technology... Subscribe to learn more

Msx International, Inc.

Msx International, Inc. is a private company operating globally in the professional, scientific & technical services sector. The company's offerings include contingent workforce management services. Founded in 1996, the company is currently headquartered in Detroit, Michigan, United States of America with... Subscribe to learn more

PRO Unlimited Inc.

Magnit Corporation is a private company operating globally in the information and professional, scientific & technical services sectors. The company's offerings include vendor management software and contingent workforce management services. Founded in 1991, the company is currently headquartered in Folsom,... Subscribe to learn more

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Procurement Management KPIs for the Contingent Workforce Management Services Market

Managing vendor performance throughout the contract period is easier when tracking specific key performance indicators (KPIs). For example, buyers should monitor Customer Retention Rate and Customer Satisfaction (CSAT). Buyers may experience better performance throughout their contracts if they establish service level agreements (SLAs) based on Staffing Requirements and other factors.

KPI Level of Importance (1-5) Measurements Key Considerations
Customer Retention Rate

Number of Customers at Start of Period

Number of Customers Added within Period

The customer retention rate represents the number of customers a company is able to retain over a set timeframe.

Buyers can use the customer retention rate to gain a better understanding of a supplier's reputation and service quality.

Customer Satisfaction (CSAT)

Number of Positive Customer Responses

Number of Customer Responses

Customer satisfaction represents customers’ overall satisfaction with a company.

Buyers should inquire about a supplier's customer satisfaction metrics to determine which aspects of the customer experience may be lacking, if any.

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Questions to Ask During Procurement Negotiations

How can I gain leverage during negotiations?

Experience and Expertise

What professional experience do your consulting and administrative team have?

What qualifications does your staff have, and what measures do you take to keep those qualifications up to date?

Service Performance

What is your evaluation process when developing a contingent workforce plan?

How do you customize solutions for individual buyers?

Technology

Do you use any proprietary software or technology? If not, do you have a preferred technology?

Is it required that my company use your proprietary or preferred software, or can internal systems be used?

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Contingent Workforce Management Services RFP Guidelines

What should my RFP include?

Organizational Overview

Buyers should give an overview of their organization, including their industry, number of employees, and location(s).

Buyers should describe their current and desired temporary staffing solutions, including whether they use an MSP or VMS system.

Statement Of Need

Buyers should provide a detailed description of the types of services required (i.e., developing job descriptions, screening applicants, background checks, reporting, onboarding, offboarding, etc.).

Buyers should describe the types and number of temporary staff they will require.

Project Budget

Buyers should disclose the overall budget for the project, if relevant.

Buyers should state their preferred pricing model and terms of payment.

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  • Cost structure benchmarks and analysis
  • Supply chain and vendors
  • Global supplier breakdown
  • Market share concentration
  • Regulation and business requirements
  • Vendor management and KPIs
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