In for a penny, in for a poundWhen companies don’t know what’s coming, they tend to hold back on any sort of new investment or innovation. As we’ve seen with the fall of BlackBerry (formerly RIM) from the smartphone race, innovation is key to maintaining a competitive advantage. If companies are unwilling to invest, it’s only a matter of time before the competition catches up. By leveraging the gig economy, companies can continue to innovate, to grow, and to drive efficiency in their organisations without huge investment. When working through uncertain times, keeping costs low is a key strategy of CEOs. Companies tend to be hesitant to bring in independent consultants or contracts because of the assumed price tag they bring with them. It’s true that the daily rate of bringing in a consultant is usually a fairly large number (because of the wealth of experience that they are bringing with them), however this is not the full picture. HR managers say that the overall cost of bringing in an independent consultant is significantly lower than bringing in a permanent employee. Without the added burden of weeks of time lost to the hiring process, existing employees can continue to add value to the company while the new consultant is coming in.
A wealth of knowledge at the touch of a buttonThe gig economy works because the suppliers of talent (in this case the consultants) are prepared to work on a project by project basis. This means that they come equipped not only with functional knowledge about the challenge they are solving, but also with skills of how to work on a project basis. There is less time spent on getting the consultant up to speed and more time spent on providing value to the company. The consultant blows into the company, works on the required project, and then is gone when the project is complete. Although appetite for investment is low now and companies aren’t sure about making big hiring decisions, economic uncertainty is no excuse to lose ground. The gig economy allows companies to harness the exact expertise that they need, for the exact time it is needed. By working on a deliverables basis, companies can be sure that they are seeing value from their investment in consultant. With this wealth of possibility, can you risk being left behind?
Rebecca Porter is client success manager of SMB at TalmixImage: Shutterstock
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