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In today’s workforce landscape, more organizations are turning to Statement of Work (SOW) contracts to deliver specialized outcomes, scale with agility and reduce fixed headcount costs. The shift is part of a larger trend: the rapid growth of external talent engagement through project-based arrangements. But as SOW usage expands, so do the associated risks, particularly around compliance, classification and cost control.
Contingent workforce programs must now adapt to this changing services procurement landscape or risk falling behind. According to Beeline and Everest Group, enterprises are actively looking beyond traditional staff augmentation, increasing their adoption of SOWs and other innovative workforce models. Yet, this evolution is happening faster than many organizations are prepared for — and the results can be costly.
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