Why Use a Direct Sourcing Strategy for Talent Acquisition

By MBO Partners | September 9, 2021

Share
Why Use a Direct Sourcing Strategy for Talent Acquisition

Organizations today are increasingly relying on the growing pool of people working as independent contractors, freelancers, self-employed professionals. Independent talent provide access to the specialized skills managers struggle to find. Furthermore, businesses can realize significant cost savings as well as increased output by engaging independent talent on a project-basis.

But how do managers find and compliantly engage this talent? To answer this question, many companies today are turning to direct sourcing as a strategy for independent talent acquisition.

Direct Sourcing: A New Approach for Engaging Independent Talent

With direct sourcing, managers use their own resources along with integrated technology like an online marketplace to more easily find, engage, and onboard independent talent when and where they need it most. Without direct sourcing, managers may opt to go through a third-party staffing or consulting firm to find and engage independent talent. This can be a frustrating experience because these third parties often don’t specialize in recruiting independent talent specifically, and their services can be costly. Managers may also turn to their own network or devices to find independent talent. This approach also poses issues because it can result in a high risk of worker misclassification.

Direct sourcing, on the other hand, creates a more frictionless and direct relationship between provider and buyer—enterprise managers and independent talent. With direct sourcing, managers can source talent internally, without having to rely on a third-party intermediary to fill talent needs.

Gain Support for a Direct Sourcing Strategy

Direct sourcing is a fairly simple concept, but the details of implementing a full direct sourcing strategy can quickly become complex. When initially discussing direct sourcing with company executives or coworkers it may first be helpful to start by helping them understand the many benefits of a direct sourcing strategy. For example, with direct sourcing, managers can build a pool of pre-vetted talent that has already been vetted or engaged by your company, making it easy to find and deploy skilled workers when you need them. Direct sourcing also provides flexibility in talent acquisition, because most recruiter functions are performed in-house.

From another perspective, independent talent want a way to be able to easily search for, find, and apply to projects that meet their interests and skills. By investing in technology and programs that meet these needs, companies become optimally positioned to attract and retain the very best independent professionals—a useful advantage in today’s competitive talent market.

Keep in mind that a direct sourcing strategy will take different forms at different organizations depending on your company size, talent needs, and available budget. Your company may be on board to build an internal, streamlined program for independent talent engagement, or they may choose to work with procurement and HR business partners to identify existing vendors that can perform needed services.

Talk to our team to learn more about how to incorporate a direct sourcing strategy at your company, or request a demo of our marketplace.

Related Posts

consultants in group working at desk shaking hands
| 2 MIN READ

3 Ways to Make Direct Sourcing Part of Your Workforce Management Strategy

June 16, 2022

Direct sourcing is a way to connect directly with independent contractors. Rather than using an expensive third party like a staffing or consulting firm to find talent, companies can source talent internally using their own resources. If your organization is looking to incorporate a direct sourcing strategy to engage independent talent, here are three steps…

| 4 MIN READ

6 Benefits of Creating a Direct Sourcing Strategy

April 6, 2022

Companies today have unprecedented access to a pool of more than 51 million independent professionals.  Meanwhile, alongside continued growth in this labor market, 61% of organizations saying they expect to hire more contracting freelance or consulting workers in the next three years. However, despite these positive trends in both supply and demand, a number of…

consultants working at desk
| 3 MIN READ

What Is Direct Sourcing: How to Start Recruiting Top Talent

February 16, 2022

What is Direct Sourcing? Direct sourcing is a strategy enterprises can use to find and engage independent contractors. It involves identifying candidates for an open project or role using their own internal resources rather than a third party to find talent on their behalf. How Does Direct Sourcing Happen? Managers use their own network to…

Learn more about the MBO Platform

For Independent Professionals

Start, run, and grow your independent business with MBO

For Enterprises

Find, manage and retain top-tier independent talent