VMS comparison

Four ways to manage the external workforce

Anyone selecting a vendor management system rarely compares products; they compare types of system: an independent solution, a staffing provider's own system, an international vendor or a grown legacy system. The differences lie less in the range of features than in independence, adaptability and support.

To the comparison table Compare Pactos against your own list
The types

Four types, four sets of interests

Which type suits you depends less on a feature list than on who owns the system and how quickly it can be adapted to your process.

Pactos

Independent solution

A pure software vendor with no staffing business of its own. It manages the process between you and all your providers without favoring any of them.

international

International vendor

Platforms used worldwide with global standards. Check how well local processes, integrations and support are covered.

grown

Legacy system

Long-established systems with great functional depth. Check the user experience, release cycles and integration effort in particular.

tied

A provider's own system

Software that belongs to a staffing provider or an MSP. It works well for that provider's own business, but it is tied to them.

Direct comparison

Six criteria that make the difference in a selection

The same overview Pactos shows in a sales conversation. Including the row where Pactos is not ahead.

A comparison of four types of vendor management system along six selection criteria. Each field states whether that type is strong, limited or weak there. No vendor names are given.
Criterion Pactos VMS A provider's own system International vendor Legacy system
Innovation & further development strong: Modern and modular, extended continuously weak: Dependent on the parent company limited: Global standards, slow to adapt weak: Mature, but short on innovation
Market position limited: Up and coming, specialized limited: Depends on the provider's market share strong: Global leader strong: Established market leader
Independence strong: Fully independent weak: Tied, part of an MSP strong: As a rule independent strong: Independent
Core VMS functions strong: Comprehensive and intuitive, flexible processes weak: Basic, geared to the partner limited: Broad, but highly complex limited: Deep, but often dated to use
Industry specialization strong: Highly adaptable and specialized limited: Variable, sometimes with an industry focus weak: Generalist, little adaptation weak: Generalist, laborious to adapt
Support & onboarding strong: Fast, personal support, short time to go live weak: Limited resources, focused on the provider limited: Global support, complex integration weak: Slow implementation and consulting

strong limited weak

On narrow screens the table can be swiped to the right. The column with the criteria stays in place.

The rating of the three other types describes types of system, not individual vendors: within each type there are clear differences. Anyone comparing specific systems is best served by checking them against the checklist further down.

The decisive criterion

Who owns the system that rates your suppliers?

If a VMS belongs to a staffing provider, it rates suppliers and awards work in the environment of its own parent company. That need not be a disadvantage, but it is a conflict of interest worth knowing about before the contract is signed.

No staffing provider behind it

Pactos sells software, not labor. No supplier is favored in the system, because no supplier belongs to the company.

ISO 27001, GDPR, hosting in the EU

Certified information security, processing under the GDPR and hosting exclusively in the EU. Customer and candidate data is not used to train AI models.

A named contact instead of a ticket system

Every customer has named contacts, not an anonymous queue. Smaller adjustments are frequently made directly.

Open interfaces

Connection to ERP, HR systems and time management. Before the rollout we check what is already in place; missing interfaces are developed where needed.

For your selection

Eight questions for every vendor

These questions separate a real vendor management system from an internal administration tool. They work with any vendor, including us.

  1. Does the vendor belong to a staffing provider or an MSP?If so: who decides which supplier sees a request first?
  2. Do our providers get their own access?Without supplier access it is an internal tool, not a vendor management system.
  3. Does the compliance check on providers run through the same system?The temporary staffing license, clearance certificates and deadlines belong where the ordering happens.
  4. Is time tracking connected?Otherwise hours stay a side process in Excel and invoice verification has no basis.
  5. Can invoices be checked in the system against approved hours?Only then does the loop from the purchase order to the payment close.
  6. Where are the servers, and is there an ISO 27001 certificate?Ask for the certificate itself, not for the claim that something is „ISO-compliant".
  7. Who is our contact, and how quickly does an answer come?A ticket system is an answer to this question, just rarely the one you wanted.
  8. What does an adjustment to our process cost, and how long does it take?The answer to that says more about the next three years than any feature list.
FAQ

Frequently asked questions

Why does a VMS's independence matter so much?
A vendor management system distributes requests, rates suppliers and makes their performance comparable. If the system belongs to a staffing provider, that provider is indirectly rating its own competitors. An independent vendor has no interest of its own at that point.
What is the difference between a VMS and a staffing provider's software?
A staffing provider's software manages that provider's own temporary workers, so the process inside one company. A VMS manages the process between you and all your providers: staffing request, offers, selection, assignment, records and billing across supplier boundaries.
Is Excel enough for managing the external workforce?
For a few assignments with one provider, often yes. As soon as several suppliers, AÜG deadlines and invoice verification come into it, the list becomes a source of errors: it has no history, no permissions and no reminder about expiring records. More on that in the compliance solution.
How long does it take to roll out a VMS?
The duration depends above all on interfaces, data quality, roles and the number of providers to be connected. Compare vendors on the basis of a solid project plan for your specific scope.
How do I compare vendors who all promise the same thing?
Not through feature lists, but through the process from the staffing request to the verified invoice. The eight questions above cover the points where systems come apart in practice.
Read on

Background on the topic

VMS software comparison: 4 types of systemThe detailed article on the four types, without reference to vendors. What is a vendor management system?Tasks, benefits and how it differs from neighboring systems. Master Vendor vs. VMSTwo models for the same job, with different consequences.

Compare us against your own list

Bring the questions that matter for your company, including any from a selection process already under way. In 30 minutes we show you, on your process, where Pactos fits and where it does not.

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