The work world is an ever-changing environment. The trick for companies is to maximize the latest trends, regulations, and processes to stay ahead of the game. One of the changes we’ve seen in the last few years is an increase in the “just in time workforce,” which has added flexibility and cost-effectiveness at a time when companies need a bit of a break. This blog will explore these just-in-time staffing models to see how they can benefit your business.
What is the Just-in-Time Staffing Model?
Just-in-time is a concept lifted from a Japanese manufacturing model. Also known as just-in-time production or the Toyota Production System, the model seeks to supply parts to companies only when they need them, instead of storing the unused parts on-site.
In the same way that the Toyota Production System only supplies parts when companies need it, the just-in-time staffing model seeks to supply companies with labor at their point of need. It’s a fast approach to fill an immediate on-site need. Companies contract with staffing agencies to supply them with temporary labor to fill the demand quickly. It’s a big cost-saver for companies with ebbs and flows to their business. Some of the benefits of the just-in-time model include:
- Efficiency: New labor is an overhead drain. Just-in-time staffing means you bring in labor only when you have enough business to pay for it. This model allows you to bring on additional staff without organizational pressures to keep workers long-term. This improves efficiencies while lowering the costs of labor.
- Speed: Having a dedicated staffing agency to source the staff influx you’ll need is almost a necessity. These firms have a ready-made pool of resources standing by to come work in your organization. Most hiring processes take weeks, but staffing firms supplying a just-in-time workforce specialize in supplying you with workers more quickly than you could do it yourself.
- Reduced risk: Just-in-time staffing can turn into full-time staffing if you have the business to support it. It’s also a way to eliminate the risk inherent in a new hire. Hiring the wrong person can wreak havoc in your business, so this type of staffing allows you to “try it before you buy it,” lessening the risk that the employee is wrong for your business.
- Increased agility: Today, the market turns on a dime, and companies that can respond quickly have proven again and again that they will achieve a competitive advantage. Partnering with a just-in-time staffing agency allows you the market agility to respond fast when business is good with the additional employees you need to ramp up. But you can also dampen production when the market goes awry by staffing down when needed.
Work With a Trusted EOR to Manage Your Backend Process.
Whether it’s developers or blue-collar labor, just-in-time staffing is an excellent model to respond to some of the market volatility we’ve seen during the 2020 pandemic. FoxHire can help by serving as your employer of record, managing the ebb and flow of seasonal workers in a way that keeps you legal and frees up your time. Talk to our team today to explore your options.
