Study Hall: New Data on Contract Labor, IT Staffing

Feb 15, 2008
This article is part of a series called News & Trends.

A couple of new studies are out with plenty of new data for you to analyze:

First up, the difference between a formal and informal contract labor program could save your company about 10%. A new Aberdeen study indicates that organizations that tie together procurement and human resources not only save 10% — a figure that is 115% higher than your competitors with no level of collaboration – but they also will fare better in “volatile” times.

The “Contract Labor Management” report shows blending centralized program management with technology and collaboration results in a 20% year-over-year cost savings on their contract labor spend; a 23% faster time rate to fill an open requisition; and shorter time periods to onboard new contract labor employees.

Second, a new survey by the IT Governance Institute of 749 CEO-/CIO-level executives in 23 countries finds that 38% of CEOs and CIOs worldwide have IT-related staffing problems. The biggest problem, at 58%, is due to insufficient amounts of staff (up from 35% in 2005). The second-biggest problem, at 48%, is caused by IT service-delivery problems.

“Despite recent economic news and employee layoffs, we are seeing an increased demand for qualified information technology professionals throughout the industry,” said Lynn Lawton, ITGI president.

“Without a well-trained, fully staffed IT department, the bottom line is that many organizations around the world are needlessly sacrificing money, productivity, and competitive advantage. Executives need to direct their IT for optimal advantage, reduce IT-related risks, and measure the value provided by IT,” she said.

This article is part of a series called News & Trends.