Recruitment, placement and outsourcing agencies may not seem like obvious project accounting users at first, but they are! Faced with specific realities and challenges, all of these firms can benefit from a project accounting solution such as
Issue #1: Keeping track of all the different rates the resources are to be billed at
These are firms that typically have hundreds (even thousands!) of resources, whose rates may be negotiated based on the client, type of work, and time the specific contract was signed for. Just keeping track of this can be a headache for the billing team.
How we can help: Automated mandate creation when a contract is signed. By opening the details of the mandate as soon as the contract is won, this makes it transparent for the rest of the team as well as for the staff member placed on the mandate. All the person then has to do is enter what work was done and for whom. All calculations are then done in the background, and the billing team doesn’t have to figure out what the rates are.
Issue #2: The sheer volume of invoicing that needs to get done
When you have that many outsourced personnel being placed on a daily, weekly or monthly basis, a lot of invoices need to go out. Manually handling this process becomes a daunting task to stay on top of what has yet to be billed and to whom. Some clients may also require additional proof, such as signed timesheets from their current clients.
What has helped our clients: An integrated timesheet and financial system. By having a timesheet that has the information flow directly to the ERP system, this means fewer calculation errors, no double entry requirements, and documents that flow automatically from the timesheet to the invoice without having to manually attach them to the invoice before sending it to the client.
Issue #3: Matching invoices from subcontractors to hours recorded in their timesheet
Another struggle for recruitment and placement agencies is the number of people who are placed but are not on the payroll. Over 70% of the personnel within firms we work with are typically independent contract workers. As such, it is vital to do the reconciliation between the number of hours entered into the timesheet versus the number of hours you are eventually billed for to ensure that it balances and that you are only paying for what was actually billed to your client.
What has worked for these companies in the past: Industry-specific reports for recruitment and placement agencies. We have built out reports specifically for this industry, allowing you to see the transactions and the automatic creation of the payables transaction from the timesheet.
With JOVACO Project, recruitment and placement agencies have a fully integrated solution, from the tracking of the potential contract straight through to final contract, facilitating insights into profitability to determine whether they should look for similar contracts.
JOVACO Project leverages the power of Microsoft Dynamics solutions to offer an
About JOVACO Solutions
JOVACO Solutions is a leading ERP and CRM solution provider operating in Quebec for over 35 years. As a specialist of Microsoft Dynamics business management solutions, we offer a wide range of products and services to meet all the needs of professional services firms and project-based organizations. We also offer specialized project management tools and timesheet add-ons fully integrated to Microsoft Dynamics solutions. Visit