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MSP 4.0: From Contingent Workforce Management to Contingent Talent Empowerment
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By: Everest Group

Over the last two decades, the Managed Service Provider (MSP) industry successfully evolved in terms of service portfolio and value proposition to effectively deliver on enterprises’ contingent workforce requirements. The COVID-19 pandemic threatened to disrupt this growth in 2020, but the MSP industry demonstrated remarkable leadership and resilience, swiftly adapting to Work From Home (WFH) delivery, fulfilling services as part of its flex-and-scale value proposition to cater to dramatic fluctuations in hiring requirements, and resolutely maintaining service quality levels.

At the same time, the pandemic’s wide-ranging changes necessitated the industry’s evolution to MSP 4.0, a more dynamic, more reliable, and significantly more agile model in driving and shaping clients’ next-generation talent needs. Both enterprises and MSPs view this change as an opportunity to revamp, rejuvenate, and revitalize contingent workforce models to meet future talent needs and better manage risk. This change will come through a dramatic acceleration of certain existing levers and the introduction of some new levers that have emerged during the crisis. This report explores these key levers and explains how they will shape the industry.

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