As contingent requisition volumes rise, organizations must adopt a strategic approach to talent acquisition. One effective strategy is Direct Sourcing, which leverages your brand to attract high-quality talent while reducing time-to-fill and allowing managers to focus on business success. A critical first step of this solution is selecting the right partner through a well-structured Request for Proposal (RFP). An effective RFP streamlines workforce management, attracts the right partners, and sets the foundation for a successful, sustainable program.
So, how can you ensure your Direct Sourcing RFP leads to program success? As Vice President of Direct Sourcing and Strategic Talent Acquisition Resources at Atrium, I had the opportunity to collaborate with fellow industry experts on a project we designed to be a game changer in the Direct Sourcing RFP space. Together, we developed a Direct Sourcing RFP Template that provides critical guardrails to keep projects and proposals on track. Additionally, we created an RFP Readiness Checklist – an invaluable resource I’m passionately excited about because, as the saying goes, “Failing to plan is planning to fail.”
Recently, I was brought back together with our project team for a webinar to share these incredible resources with buyers. During the session, I shared my insights on the RFP process, highlighting perspectives from both buyers and providers.
If you missed the session, here are my key takeaways:
1. A Successful Direct Sourcing RFP Begins with Planning
The first step in executing an effective Direct Sourcing RFP is providing quality information and asking the right questions. Using a structured format or template focused on Direct Sourcing specific services ensures you identify the right partners by helping you ask the critical questions necessary to evaluate providers effectively.
In addition, an RFP Readiness Checklist – like the one we’ve created – is a valuable tool for structuring your approach. It guides you through the process, helping you articulate your needs, evaluate potential partners, establish clear goals for your program, and set the tone for the entire partnership. Considerations for an RFP include:
- Clear Objectives: Define expected outcomes, benefits, and purpose of the RFP.
- Scope Clarity: Specify the business units, locations, and job titles included in the program, which helps prevent scope creep, when project requirements expand beyond the original plan, often impacting costs, timelines, and resources.
- Stakeholder Engagement: Ensure buy-in from an executive sponsor with decision-making authority and involve key departments such as HR, Talent Acquisition, IT, Compliance, and Procurement to confirm internal alignment.
- Robust Data: Gather at least one year of extended workforce data to establish meaningful SLAs and KPIs.
2. Preparation is Critical Because Not All RFPs Get Awarded
Industry data suggests that up to 40% of RFPs go unawarded due to a lack of preparation or insufficient information. Rushing the RFP process can lead to critical missteps such as mismatched requirements, lack of internal alignment, miscommunication, unclear business cases, or budget constraints. Market shifts and labor trends can also impact an RFP’s viability. While RFPs are exciting, taking the time to work through each step before going live is crucial. To avoid these pitfalls:
- Ensure alignment among stakeholders before issuing an RFP.
- Keep open lines of communication with providers to maintain transparency and trust.
- Be willing to pause and refine your strategy if the business case isn’t strong or external factors require adjustments.
3. Engage the Proper Stakeholders During the RFP Process
Direct Sourcing is a multi-faceted solution that impacts various teams – it takes a village. A successful RFP process requires input from:
- Talent Acquisition & HR – Define hiring needs and ensure a seamless candidate experience.
- Finance & Procurement – Align on cost structures and vendor selection.
- Compliance & Legal – Address regulatory and contractual requirements.
- Contingent Workforce & Category Managers – Oversee contingent workforce strategy and management.
- Marketing & Branding – Define branding efforts and engagement strategies.
- Hiring Managers – Provide insights on role-specific needs and workforce planning.
With so many departments involved, a RACI matrix (Responsible, Accountable, Consulted, and Informed) can clarify roles and responsibilities, ensuring all relevant parties stay engaged without overwhelming the process. A RACI helps set expectations and aligns stakeholders on the importance of the Direct Sourcing program and the RFP process.
4. Establish a Realistic RFP Timeline
An RFP timeline depends on several factors, including program complexity, role types, organizational readiness for change, and required technology integrations. These elements influence the overall timeline, from RFP initiation to implementation.
The best approach is to work backward from the target go-live date, factoring in milestones such as:
- Implementation Timeline: Typically ranges from six to twelve weeks, depending on program requirements and system complexity.
- RFP Release & Participation Confirmation: Bidders need time to review the RFP and confirm notice of participation, which generally takes a few days to a couple of weeks.
- Q&A Period: Expect approximately one week for bidders to submit questions and another week for responses. Some organizations opt for published answers, while others prefer a call.
- Proposal Submission: Generally, bidders require two weeks to finalize and submit proposals.
- Evaluation & Finalist Selection: Reviewers often take two to three weeks to assess proposals and notify finalists.
- Negotiations: Be upfront about pricing to facilitate a collaborative conversation. If you must address pricing before selecting finalists, communicate early to keep discussions productive.
With proper planning, organizations can maintain momentum and avoid unnecessary delays, ensuring a smooth transition from RFP to program implementation.
Take the Next Step Toward a Successful Direct Sourcing RFP
A well-crafted Direct Sourcing RFP establishes a more efficient, cost-effective talent strategy, and I’m pleased to offer this one. If you’re considering starting the RFP process for Direct Sourcing, reach out to Atrium. Our Direct Sourcing solutions create a true, total talent ecosystem focused on Talent Experience and powered by robust pipelines and algorithms. Through novel design methodology and concierge customer service, we enable you to leverage a previously untapped talent pool to meet your immediate labor demands, fill niche positions, and maximize recruiting dollars.
Ready to take the next step? With thirty years of experience in Talent Solutions and Extended Workforce Management, my team of Direct Sourcing experts is here to guide you through the RFP process and help you build a successful Direct Sourcing program. I’d love to connect – book a meeting with me to continue the conversation.
