Think of the last time you worked with a staffing agency to find contractors or independent experts for gaps in your teams.

Based on what we've heard from multiple enterprise leaders, the positions likely remained unfilled for months, despite your organization having a long-term contract and close working relationship with a staffing agency. The agency has pre-screened and recommended a number of supposedly qualified candidates, but those candidates haven’t panned out once they’ve been interviewed. They looked good on paper to the agency, but they lacked the specific hands-on skills and experience the organization needs.

In the past, hiring managers couldn't look for creative proven alternatives such as on-demand talent platforms. This is because there’s a long-term contract that requires the organization to hire all contract employees through the agency. But in today's uncertain environment, where talent needs evolve quickly and work is piling up, business leaders can't risk not having the right expertise on their teams at the right time. As you look to build a case to have access to more creative approaches to onboard the best expertise, we've compiled some major disadvantages and drawbacks for you:

Common Problems with Staffing Agencies

1. Contractual Obligations

Being locked into a contract can get in the way of good hiring. If you can only hire contact positions through a single source, you’re limited to the candidates one source can deliver and the quality of its screening and due diligence. If you’re going to contract with an agency, make sure you have the freedom and flexibility to go elsewhere, at any time, if it can’t fulfill your needs. This may also require changes to your own organizational policies and procedures.

2. High Costs

Great staffing agencies are skilled and experienced in finding and maintain pools of excellent candidates, but they’re also expensive. Typically you’re going to pay a premium in wages to reward your agency and cover its costs while paying your contractor. If you end up hiring a contractor permanently, you’ll also pay a sizable finder’s fee or buyout for the privilege.

3. Outdated Methods

Traditional recruiting and contracting processes are outdated and often inefficient. Many staffing agencies still rely on job websites, ads, and time-consuming networking and cold calls to find and attract job candidates. Unfortunately, this precludes the precise targeting and high efficiency needed to find great candidates quickly. It also fails to account for the fact that a huge portion of the U.S. workforce is now shifting to on-demand talent platforms and independent contracting, and they’re bypassing traditional recruiters and staffing agencies.

4. Substandard Candidates

The big value proposition for a staffing agency is that it will supposedly advertise open positions, pre-screen candidates, and save a hiring organization a lot of time and effort. However, many agencies will settle for “good” or “decent” candidates or try to recommend their existing contractors rather than invest the time and money to finding truly exceptional talent.

It can also be difficult for some agencies to pre-screen candidates if they’re not intimately familiar with the specific qualifications and requirements of a given job. A job description is one thing, but understanding your industry and the true day-to-day requirements of a specialized position is something else entirely. In some cases, the agency may simply be unable to deliver the right candidate or deliver one in a reasonable amount of time, which can leave your organization short-handed and suffering.

Why On-Demand Talent Networks Are the Better Alternative

There may still be a place for a staffing agency for many businesses, but many are now complementing their agency or ditching staffing agencies entirely in favor of on-demand hiring. Platforms such as Graphite provide a fast and seamless way to hire pre-qualified independent consultants with highly specialized expertise and proven industry experience. Candidates are pre-screened according to your precise requirements.

For example, at Graphite, we focus on experts in corporate strategy, marketing, finance and accounting, and more. We pre-screen all of our professionals against the highest possible qualifications for related positions such as long-term or interim CFOs and CMOs, part-time investment bankers, business strategy consultants, and contract marketing experts. Graphite professionals average 10 years of experience, often in management and executive roles, each with at least two years of experience working at a major firm. Qualified firms include the big three consulting firms of McKinsey, BCG, and Bain & Company, as well as Fortune 500 companies and other similar organizations.

As opposed to waiting for a staffing agency to recommend candidates, you can log onto Graphite and find top-tier job professionals right away, including searches by job function, keywords, length of experience, and geography. You can also see a complete profile for each candidate, including employment history, educational background, and reviews from other Graphite users who’ve hired them for their project and contracting needs. When it comes time to hire, you can count on dramatically lower costs than relying on a staffing agency. Part-time contract arrangements can help you save 30-50% compared to the cost of most consulting and staffing firms.

Try Graphite & Experience the On-Demand Difference

If your staffing agency isn’t delivering the candidates you need, or you just want to leverage the rapidly growing trend toward on-demand hiring, visit us at Graphite today. You can request a callback or share your requirements now using our guided project posting experience to start your search of our global pool of independent experts in finance, strategy and marketing.