3 Ways to Amplify Value with Your Talent Partner Ecosystem

Medical device manufacturers have built some of the most effective and efficient supplier ecosystems to support product commercialization. By relying on partners to facilitate research and design, clinical studies, manufacturing, sterilization and packaging, and sales and distribution, many are able to bring medtech innovation to market more quickly.

This outsourcing-centered philosophy also extends to the acquisition of talent, an approach that is helping many device makers achieve greater agility during the current economic slowdown. Just as it has done so with other business functions, the medical device industry is turning to talent partners for more support as they face inflation, growing skills gaps, talent scarcity, and other challenges. Being able to count on third parties to acquire critical skills, control labor costs, and plan for growth is a compelling reason to build on these relationships.

Even so, medtech companies should consider further enhancing their partner ecosystems when it comes to talent. Selectively buying, borrowing, and/or building critical skills with the support of trusted talent partners elevate workforce flexibility and cost efficiency. Researchers recently reported in MIT Sloan Management Review that companies most intentionally orchestrating their workforce ecosystems share five common characteristics of success.¹ Additionally, building a robust supply chain means long-term access to a readily available candidate pipeline.

Beyond talent acquisition, a robust partner ecosystem offers scalable solutions for coaching, internal mobility, skilling, outplacement, and other workforce needs. Each can be deployed individually or as part of a holistic approach to talent management to achieve greater results. The right partners can also deliver a host of benefits that manufacturers by themselves might not be able to obtain, such as technology innovation, world-class processes, data analytics excellence, talent marketing, and more. They also bring best practices from other industries that can benefit medtech companies.

Building on a Mature Ecosystem

Randstad Enterprise data shows life sciences manufacturers, including medtech companies, are well familiar and engaged with various talent solutions. Our 2023 Talent Trends survey of C-suite and human capital leaders at large employers revealed a vast majority are currently using such services or have done so in the past.² For instance, nearly all (94%) life sciences and pharma leaders report experience with recruitment process outsourcing (RPO) to support hiring. An even larger majority (96%) reported familiarity with managed services programs (MSP) for contingent talent. A significant percentage have used outplacement (88%) and career coaching (83%) solutions.

Entrusting partners with important functions such as candidate sourcing and selection, onboarding, learning and development, and career transition requires a mature ecosystem of thoroughly vetted service providers and highly aligned processes. Creating this resource can be time-consuming, but once in place, it offers a host of benefits. In addition, employers can significantly reduce the time internal managers spend on managing these functions and focus on delivering more value to their organizations.

This is especially true for organizations with large contingent workforce programs. According to Staffing Industry Analysts, the time procurement professionals spend on managing their flexible talent has steadily risen over the years.3 By working with an MSP to oversee many of the day-to-day functions of this important component of their overall workforce, procurement managers are able to reclaim this time and focus on core strategic tasks that accelerate product development and commercialization.

3 Ways to Create Additional Value

If medtech companies are already invested in external solutions, how can they further improve on these partnerships to deliver value and future skills? Although many companies are using service providers as part of their talent strategies, few have optimized their partner ecosystem to reap greater value.

Our Talent Trends research found just 20% of life sciences companies have deployed a total talent acquisition model, which is a holistic approach for achieving the most effective balance of permanent employees, contingent workers, freelancers, and statement of work contractors.² Additionally, just 21% say they’re implementing RPOs and MSPs specifically to alleviate talent scarcity, even though 75% say these solutions are effective in addressing this chronic problem.

Another potential gain is by expanding the scope of existing partnerships, which can drive additional savings, efficiencies, and access to talent. Many buyers may have a solution in place for select functions of their talent strategy but have not considered how adding services or geographies can address their talent needs elsewhere in the organization.

So how can employers create more value through their supplier ecosystem? Following are three ways to achieve this goal.

1. Consider Providers as Partners
One of the most common mistakes employers make when outsourcing workforce services is managing service providers like all other vendors. But buying RPO or coaching services is unlike procuring commodities. For the relationship to be highly successful, there needs to be shared values and responsibilities.⁴ Frequent communications are essential, and realistic goals should be agreed upon.

For instance, during these times of wage inflation, employers will need the guidance of their RPO service provider to establish competitive compensation levels for each role. Additionally, talent scarcity may require hiring managers to adjust their expectations for finding the perfect candidate. An effective service provider, through its deep knowledge and use of market data, should be able to identify candidates who have adjacent skills that are comparable to what is being requested. In these circumstances, welcome providers as trusted advisors and partners to achieve the best outcomes.

2. Build on Relationships
Buyers, especially those who have never worked with external providers, often limit the scope of the services to limit exposure. After successfully implementing a solution, companies should look for other opportunities to replicate the gains from the initial investment.

For example, some MSP buyers include only temporary staffing within the scope of their contract, but cost savings may be much higher when statement of work (SOW) arrangements or direct sourcing are also included in the program. In these situations, a buyer may look to an existing service provider or a secondary party specializing in SOW or direct sourcing management who can standardize rates and practices for better outcomes. By continuously working with providers to identify opportunities for achieving greater value, buyers can reap the benefits from an expanded scope.

3. Leverage Partners to Elevate the Talent Experience
Increasingly organizations are adopting a total lifecycle approach to their talent strategies. This means creating a positive employee journey that begins with sourcing and attraction through onboarding and employment and concluding with offboarding.

Services such as RPO have evolved to be integrated with other HR functions such as internal mobility, talent marketplace, and learning and development. This approach leads to a more satisfied and productive workforce, greater retention, and enhanced mobility. Talent’s expectations of their employers are growing. By making sure their talent experience is positive and meaningful, organizations are stepping up to meet those expectations.

Conclusion

The medical device industry has long looked to external partners for support on a range of business-critical functions, including talent acquisition and management. By deepening those relationships through scope expansion and service integration, manufacturers have an opportunity to accelerate innovation and workforce performance. 

References

1. bit.ly/mpo230651
2. bit.ly/mpo230652
3. bit.ly/mpo230653
4. bit.ly/mpo230654

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Tania de Decker is the managing director of global strategic accounts for Randstad Enterprise Group. She works with Fortune 500 companies to develop and implement processes that improve and drive recruitment and retention solutions. de Decker has more than 28 years of recruitment experience and has worked over 18 years with life sciences companies. The emphasis has always been improving the quality of her clients’ talent acquisition.