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Global Finesse - An HRO Today Executive Guide to MSP Article

Exporting MSP requires more than a bigger footprint - it means wearing different shoes.
By Caroline Storey-Sabetti for the HRO Executive Guide to MSP

Expanding a Managed Service Provider (MSP) program globally begins with an understanding that going global is not as simple as duplicating what works in the United States and making that the standard around the world. Cultural, legal, and economic differences must be considered. The U.S. is a mature contingent staffing environment, free from many of the legal and regulatory complexities to staffing arrangements that exist elsewhere in the world. Therefore, when expanding an MSP program beyond the U.S., companies must strike a careful balance between deploying domestic program best practices and adapting the program to the local requirements.

Companies and their MSP provider should work carefully to establish an overarching global program strategy that allows for regional flexibility, local business case development and program configuration that works culturally and legislatively. While recent years have seen successful large-scale MSP program implementations across all U.S. geographies in either a big bang or in quick succession, it is risky to adopt that approach with international implementations because of the extreme variability in legislation and culture country-by-country - let alone continent-to-continent.

Hand in hand with this measured approach is engaging key local stakeholders, both client and incumbent staffing suppliers, early in the process. Beyond the U.S., MSP practices are less common and not as easily accepted. Following closely behind the U.S. is the U.K., and then the Netherlands. Both are mature staffing markets, are experienced with MSP arrangements, have limited restrictions on such arrangements and reasonable program adoption rates. Beyond those fairly well established markets, there is a wide spectrum of experience with and flexibility to implement U.S.-style programs.