Data is the core of businesses that provide services rather than create a tangible product. In the past, staffing companies included as part of their value the size of their databases of candidates and/or clients. Today, with the number of repositories of candidate information existing online — and the wide variety of tools for searching them — databases can be created, populated or repopulated in a relatively short period of time. The differentiator in the market may now be the quality of the information and how fast it can be accessed. Making this work in a tech stack starts with understanding the data.
Source: “Software Integration Best Practices for Staffing Companies”
Risky AI
AI recruiting and hiring tools may increase the risk of disparate impact or indirect discrimination claims, meaning a plaintiff demonstrates that a policy or practice has a disproportionately harmful effect on a protected class of persons than others. For example, a system that randomly allocates shifts to an organization’s workforce could impact those with religious views that prohibit working on certain days.
Source: “Using AI: Risks and Challenges”
Unicorn Hunting
SIA has identified 72 companies considered “unicorns” — privately held startups with a value of over $1 billion — within the workforce solutions ecosystem with a combined value of $196.2 billion, representing 5% of the global value of all unicorns. The most highly valued unicorn in the workforce solutions ecosystem is Deel ($12 billion), a global payroll and compliance platform headquartered in San Francisco. The firms that have the most investments in this space are Tiger Global Management, Accel and Sequoia Capital.
