Definition and classification
A Neutral Vendor (also called a managed service provider) is a vendor-independent intermediary that uses digital technology to connect various staffing companies with the client. Because the model connects everyone involved, it is called multi-party management. Instead of a main supplier, the neutral vendor supplies a large, decentralized and digital network from which the client picks suitable workers itself.
How it differs from a master vendor and on-site management
The Master Vendor is the main supplier and sources workers from its own pool first, supplemented by co-suppliers where needed. In the master vendor model the personal and physical connection is to the fore – through on-site management, for example, where an employee of the provider takes on planning and control on site. The neutral vendor, by contrast, has no main supplier: through a digitally supported, decentralized system the client chooses itself from a broad pool.
What benefits does the neutral vendor model offer?
The central advantage is the neutralitythe name refers to: because the neutral vendor is tied to no particular staffing company, the client can pick the best-matching workers from a large selection – including for more complex requirements. Because the neutral vendor takes on full control and management of the sourcing process, the client saves considerable administrative effort. The digital network spanning regions widens the recruiting pool and makes filling roles more flexible, because workers with special qualifications can be placed in a targeted way.