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A Smarter, Swifter Way to Onboard Third-Party (Non-Employees) to Your Organization

When onboarding a third-party (non-employee), quite often organizations add that third party to their Human Resources Information System (HRIS). While this approach may help the third-party gain access to an organization’s systems, there are major flaws with this approach:

  • A HRIS is not capable of gathering contextual third-party identity data in the same linear process it performs for a direct hire employee.
  • Adding third parties to your HRIS can expose the organization to misclassification and co-employment litigation.
  • It is expensive; HRIS costs scale up to $200/USD per record. Spending $200 for a contractor who is only going to beworking with an organization for two weeks is an expensive ask!The crux of the problem arises from not having sufficient resources and systems in place for the timely and effective collection, processing, and operationalization of third-party non-employee information. This exercise is particularly difficult to perform for third parties because, unlike traditional direct hires, third-party data must be collected in a collaborative fashion – often from disparate sources both inside and outside of the organization.

Recognizing the flaws to this approach, others utilize highly manual, error-prone processes and homegrown data repositories like databases and spreadsheets. The data collected and managed by an internal department (usually HR) that coordinates access with IT. While a home-grown system may work for an extremely small organization, it’s a problematic approach for most because these manual processes are time-consuming, costly, error-prone, and expose the organization to greater cybersecurity risk.

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