Exploring dilemmas in the relation between temporary help agencies and customer firms

Abstract

Purpose– The purpose of the paper is to explore how transactions between temporary agencies and customer firms are organised. It aims to describe various cooperative arrangements and identify three dilemmas in the organisations of such transactions. Design/methodology/approach– This is a qualitative study based on interviews with ten temporary help agencies, two internal resource pools and three customer firms. Findings– First, the authors identify different collaboration modes, and analyse how transactions between a temporary help agency (THA) and a customer firm are organised; ranging from ad hoc transactions, through framework agreements to internal resource pools. Second, they describe three dilemmas in such transactions; the pros-and-cons of framework agreements; close vs distant relations; and intermediaries' balancing act between the two stakeholders: employees and customers. Research limitations/implications– A limitation of the study is that the sample size is low and the findings cannot be generalised statistically. Practical implications– The study informs the parties (THA and customer firm) of the many possibilities in organising their transactions, as well as the challenges/dilemmas/advantages involved. Originality/value– The study is one of the first that analyses how temporary labour transactions between customer firms and intermediaries are organised. It describes the various ways in which such transactions are organised, and describes three dilemmas for the firms involved.