SOW services are normally employed as an alternative to reduce contingent labor costs. Typically SOWs are used in project management, providing employers with flexibility to bring in talent when needed and cut the cost when it’s not.
Unfortunately, SOW services often end up being more of a money sink than a saver. In fact, in 2014 US research showed that expenditure in the VMS-SOW space was equal—or even larger—than other temporary labor expenditures.
To combat the rising costs and inefficiencies in the SOW process, more companies are turning towards a centralized staffing SOW software, such as Ceipal Procurewise.
Determining Project Scope
Many companies know they need a SOW, but few know how to write one effectively. Major mistakes made by companies include defining the project scope too specifically (or too vaguely), assuming that contractors will adopt obligations (while later discovering that they won’t), and overburdening the SOW with requirements that don’t benefit the end-client – therefore wasting resources. Understanding your project scope, project budget, and developing your SOW accordingly is the first step toward developing a cost-efficient solution.
Finding the Right Supplier
Once your SOW is complete, you’ll have vendors and suppliers bidding for work. The problem is, how do you select the right one? Choosing a sub-par supplier can entrench your company in a year-long contract with little-to-no payoff. In the best-case scenario, the supplier completes the project by the skin of their teeth. Other more common scenarios include poor quality work, delayed projects and milestones, overbudget shell-outs for overtime work, and more.
Tracking Project Progress
It’s critical for companies to understand how efficiently and effectively SOW contractors are performing. Unfortunately, you’re not out in the field to monitor your contractors’ efficiency. Managing timesheets, verifying asset requests, and tracking the overall progress of your project becomes almost impossible unless you send some of your own employees to oversee the project. And even then, it’s unlikely that your small team of supervisors can regulate the project on a large scale.
Centralized Project Management
Through Procurewise, Ceipal offers solutions to today’s SOW management problems. From one platform, you can track project progress, manage timesheets, and ensure all milestones are being met on budget and on time.
Every step of the SOW lifecycle, from budget determination and worker compliance to project tracking and real-time analytics, is managed through Ceipal Procurewise’s staffing SOW software, helping you meet all critical deliverables.
The Ceipal Solution
Project Definition & SOW Creation
Create the SOW that will get your project done. Through integrated staffing SOW software Procurewise, Ceipal’s platform can generate budgets and project outlines for different business units and send these materials through the approval pipeline. Once everything is approved, you can build your SOW in the platform, complete with project timelines, payment terms, and customizable workflows.
Take a data-driven approach to suppliers. With Ceipal Procurewise, you can automatically distribute your SOW to top-tier suppliers as soon as it’s approved. Manage and negotiate bids through the platform, fielding all communications in one centralized location. At the end of the decision-making process, you can compare supplier offerings side-by-side to determine the best offer.
Mitigate risk and follow all necessary regulations. Ceipal Procurewise automates the process of vetting would-be employees. With end-to-end compliance solutions, including I-9 verification modules, background check integration partners, and immigration and PAF tracking, Ceipal Procurewise ensures all employees are in good standing before they’re signed on.
Get full visibility into your project from start to finish. Through Procurewise, the Ceipal platform allows you to track supplier engagement and milestone progress. After verifying all goals have been met, managers can receive, approve, and pay invoices and associated expenses. Plus, through the platform’s two-way QuickBooks Integration, all financial transactions are automatically synced for accurate financial reporting.