Commercial viability: There was a study conducted by the big managment consulting firm which stated that if the services that are rendered by the staffing companies were to be in housed with same amount of accountability and same level of service level by the user companies than it would cost them at least 20 % more if the staffing requirement were above 1000 resources. The savings have in-fact increased over period of time with competition among staffing companies. However from stand point of staffing companies the pricing has possibly reached a rock bottom and survival for them would be difficult unless there is an upward movement in charges. Staffing companies will have to upgrade their product range with measurably productive gains for the clients to improve their revenue streams.

Continuous improvement in staffing services: this is the real challenge being faced by staffing companies. There is hardly any effort by the client or the staffing company in terms of data analytics for improving the retention levels of outsourced employees. Similarly there is hardly any investment in terms of building career path for the outsourced employees and therefore outsourced employees in India do not see temp staffing employment as a long term career. It is therefore imperative that both staffing companies and client’s do substantial investment in upgrading the services for the long term survival of staffing companies.

To conclude it is said that necessity is the mother of invention... and since staffing is a necessity it will have to reinvent itself for long term survival