In our two-part series called Bridging the Gap, we’re looking at the impact technology has on the hospitality industry. We’re focusing on two topics in particular – the staffing process and the guest experience. In the first part of the series, we’re diving into staffing technology in hospitality.
Bridging the Gap: Staffing Technology in Hospitality
As staffing continues to evolve with the digital era, more and more staffing technology is being implemented in hopes of easing employee recruitment and placement. But with this movement two types of companies have emerged – those that are an app, and those that have an app. Let us explain.
Companies that are an app:
- Are hands off and rely on staffing technology to place workers on shifts, missing a key element in the placement process.
- Often don’t have a designated account manager or customer service team to assist with issues or concerns.
- Prioritize technology and making money, leaving (themselves and) businesses that utilize them at risk for fines and lawsuits that can cost millions of dollars.
Companies that have an app:
- Put customer service first, focusing on building long-lasting relationships with workers and clients.
- Have real people behind their interface, making placements that fit both the workers’ and clients’ needs.
- Understand the importance of proper employee classification to ensure both physical and fiscal safety.
The main point to understand is that companies that are an app rely on technology, while companies that have an app leverage staffing technology as a tool; Without the technology they’d still exist, while staffing technology companies would not exist without their platform.
Technology certainly has its place in both the staffing and hospitality industries. But sometimes leadership relies on it to an extent that’s at best unnecessary, and at worst, counterproductive. Hiring apps and online tools can be helpful in finding workers, but they aren’t the complete answer to staffing. Here are five pitfalls to be aware of when using companies that solely rely on staffing technology in hospitality.
- Lack of personal touch
Hospitality is a people-based business. You want candidates with people skills, and the best candidates are the ones who shine as individuals. Unfortunately, tech hiring tools don’t help people shine. They provide little opportunity to draw out the personal attributes of an applicant, the very qualities that make the best employees for your business.
- Too much tech focus
Dig into the corporate websites of some of the more popular hospitality staffing technology and you’ll find their internal hiring is focused primarily on technical roles – software engineers, cybersecurity experts, and the like. Those roles are critical to an app-based company’s operations, but they don’t provide expertise in the areas of hiring and hospitality management. When a business is a tech-first company, and a staffing company a distant second, it may not be able to offer the discernment needed to give you the best candidates.
- No boots on the ground
To meet a client’s needs, a staffing company needs to be familiar with the local environment. Most tech-based hiring companies work out of a single office and have no local presence in the cities staff serves. Without boots on the ground, these companies can only guess about the specifics of the job market in a client’s area. They might be able to connect a client with the right number of warm bodies, but it’s questionable whether those candidates would represent the best fit for a client’s needs.
- Lack of customer service
Even in the best hiring situations, problems can arise. With a hiring app, there’s no one nearby to help sort out the difficulties. You either get the number of staff you need, or you don’t, and there’s no assurance that the workers you get will meet your quality expectations. With a reputable, traditional staffing company, on the other hand, you have a dedicated team member, often located in your city, who can help.
- Misclassification of workers
App-based hiring often looks like it will save you money, but there’s a big risk in going with a bargain-basement online staffing company. Many of these companies advertise low fees but there’s a risk. If a worker gets misclassified as independent contractors, when in fact, they meet all the criteria for being employees, it can leave the door open to lawsuits, fines, and wage violations. Recently, an on-demand hiring app company was hit with a lawsuit in San Francisco for allegedly misclassifying workers and denying them guaranteed wages and benefits. To avoid this risk, look for a staffing partner that classifies workers as employees and pays them appropriately.
Efficiency is crucial in both staffing and hospitality. Work smarter, not harder…right? But sometimes, the hard work is necessary to get the results you want: satisfied clients and employees.
Keep an eye on the LGC blog for the second installment of this two-part series titled, Bridging the Gap: Hospitality Technology.
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If you’re looking for a partner that understands your hiring needs and offers a simple staffing experience, look no further than LGC. We put customer service at the forefront of our operations while harnessing staffing technology, creating the perfect blend of digitization and hands-on management. Contact us today to connect with a local staffing professional.