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Transforming a Gen 2 MSP Program

summary

A leading insurance provider sought to transform its existing MSP operations

Specific goals included savings, performance metrics, diversity, and compliance.  Call center / Customer Service skills represented a significant percentage of overall headcount, particularly during peak open enrollment periods.  The program had been operated for years by a large global player using a leading commercial VMS technology (Beeline).  While day-to-day operations were generally adequate, the program was mostly reactive to the client’s needs and lacked a strategic vision.


The Challenge

Maintaining What Worked & Improving What Didn’t While Minimizing Change

The VMS technology was fully implemented, integrated with the client’s payment systems, known to hiring managers and suppliers, and providing an effective platform for program operations.  The existing group of suppliers were all under contract, familiar with the technology, generally compliant, and performing adequately.  The primary issues were (a) minimal program visibility, metrics, & reporting, (b) poor quality/slow fulfillment, (c) overall hiring manager satisfaction, (d) lack of diversity spend, and (e) no clear strategic roadmap for program evolution/expansion. 


HOW WE HELPED

VMS Transition Combined with Best Practices Transformation

Pinnacle accepted the client’s existing MSP contract, pricing, fees, KPIs and other terms and conditions without modification.  We immediately began working with Beeline VMS to perform a complete cutover from the former MSP to Pinnacle within 60 days of notification (note:  45-60 days is typical).  We also hired one of the former MSP’s on-site personnel that had distinguished herself to the client.

Within the initial 90 days of go-live, Pinnacle baselined all program operations according to the agreed upon KPIs and SLAs, identifying significant gaps in previous operations.  We evaluated supplier performance and began distributing jobs to the highest performing suppliers by labor category.  We also added strong diverse suppliers to the portfolio.  Most importantly, we significantly improved overall quality, fill rates, cycle times, and attrition, particularly with respect to IT positions.

In the client’s call center operations, we were able to fill all positions within record time and at reduced rates – an outcome that had never before been achieved.


impact

Achievement of All Strategic Goals Plus International Program Expansion

Pinnacle assumed client operations in mid-2017, and we continue to serve this client effectively by leveraging the Beeline technology combined with our own internal best practices.  The resource from the former MSP now leads the program, and we are discussing additional international expansion opportunities in Latin America.

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