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Automotive Manufacturer Implements Flexible
On-Site Contingent Workforce Management Solution…

Case Study by Lisa Renko

NAOS creates a customized and flexible contingent on-site staffing program to answer a manufacturing clients’ need for a stable workforce environment.

BACKGROUND Rising Consumer Product Demand Called for a Flexible Contingent On-Site Workforce Solution.

In 2010, NAOS’ client, a major U.S. automotive manufacturer, experienced a significant change in production volumes due to increased consumer demand and car model changeovers. Management initially addressed the rise in demand by applying a traditional outsourcing model to manage its workforce. This method proved to be insufficient, delivering only mediocre results.

CLIENT CHALLENGE Find a scalable staff management solution for its growing contingent workforce requirements.

The goal was to find a solution with enough flexibility to allow the client to balance fluctuating production levels, answer the immediate demand for a larger contingent workforce, increase productivity and avoid any adverse effects on its existing core base of employees. At inception, the client had a relatively small base of contingent workers. Forecasting would require the workforce to increase 700% over six months. The client was concerned that the increase in the number of contingent workers would have an adverse effect on the existing culture of its regular workforce. Ultimately, the automaker felt that the perception of a temporary job might create turnover in the manufacturing environment.

SOLUTION NAOS team meets the challenge.

NAOS’ on-site team met with client management early in the process to identify workforce management strategy goals and to create an on-site program that would effectively address potential fluctuations in productivity demands. After conducting a thorough on-site analysis, the NAOS on-site team designed a staffing solution with sufficient scalability to work upon the initial launch. This strategic approach resulted in a tailored recruiting and implementation process to meet short and long-term staffing requirements, adhere to on-boarding parameters and insure the highest quality of employees.

RESULTS NAOS delivers on flexible on-site staffing promises.

NAOS developed a staffing model composed entirely of NAOS employees that would integrate within the company’s current structure and culture. This not only resulted in seamless program transition, but served as an effective way to answer productivity demands in real time.

NAOS’ on-site staffing model methodology resulted in increased stability of the clients workforce by offering employees benefits such as:

  • Competitive Pay: To attract quality employees, NAOS and the client selected an appealing wage rate competitive to the area’s top employers.
  • Employee Benefits: Because of the wage structure, employees were able to invest in a benefit program that included health insurance and a 401K program. Employees were also able to take advantage of holiday/vacation pay and staff bonuses.

With the introduction of increased full-time contingent employees to its workforce, the automotive manufacturer achieved ultimate results over traditional staffing models. A competitive benefits package allowed the client to achieve lower attrition and a more stable workforce, ultimately saving time and money. Strategically partnering for its on-site staffing program allowed the client management team to focus on core competencies eliminating the need to manage a contingent workforce day-to-day. NAOS and its’ Client were in constant communication resulting in clear expectations and implementation of agreed strategies.

The client realized benefits beyond the initial challenge with:

  • Stabilized Workforce: NAOS’s ability to fill positions and manage employment resulted in increased efficiency levels, adequate staffing for production ramp-ups, facility expansion and improved employee retention. During the first year of the project, turnover rates consistently improved month-over-month. Attrition has continued to decrease throughout year two under NAOS’ supervision.
  • Increased Performance: Less than 30% of unplanned turnover was a result of either employee attendance or performance issues. During reviews, employee performance averaged 80% satisfaction.
  • Satisfied, Safer Employees: NAOS is a strong believer of safety first. Through safety program and aggressive incident management, NAOS and its’ client partner achieved a significant reduction in lost-time occurrences.

About NAOS’ On-Site Flexible Staffing Program

With nearly forty years of industry experience, NAOS is a certified top Minority/Woman Owned Business Enterprise MWBE and contingent staffing company. NAOS offers a full scope of staffing services primarily to the automotive manufacturing and supplier industries, including but not limited to on-site management services, skilled trade and contingent staff recruitment and complete staffing assessments.

For more information or to request services, contact NAOS