Digitalisation and temporary agencies: Impact on the business model and internal organisation

Abstract

This study investigated the potential impact of upcoming technologies on the business model of temporary agencies, as well as the required organisational changes to effectively digitalise. Although this research does not focus on temporary agencies in hospitality specifically, the outcomes underline previous research undertaken by others on the future of hospitality jobs, in which for example artificial intelligence-driven technology is identified as a disruptor in the labour market. For this research, semi-structured interviews were conducted with industry experts and digitalisation experts. The main findings of this study are that technologies like artificial intelligence (AI), the Internet of Things and blockchain will have a large impact on temporary agencies – mostly on back-office processes, which will be made more efficient and less labour intensive. To effectively digitalise, cultural elements are of importance, such as a strong customer centricity and well-defined change management trajectories. Additionally, C-level executives (e.g. CEO, CFO, COO, etc.) diversity, digital savvy and willingness to invest are key elements. The positive effects of digitalisation should be clearly communicated: it will make work more fun, easier, and it will free up time to spend on human contact and teamwork. The key to success is adopting the opportunities that digitalisation brings, but making a difference by building true human connections.