Procurement under pressure: building a business case for EOR optimization

Introduction: Procurement’s new balancing act 

Procurement leaders are under pressure to deliver more value with fewer resources. 
At the same time, they face mounting expectations to ensure compliance, transparency, and talent agility across contingent programs. 

Optimizing the Employer of Record (EOR) model offers one of the most immediate, measurable ways to achieve both cost control and risk reduction. 

1. The EOR as a strategic cost lever 

When well-governed, EOR programs consolidate multiple vendor relationships into a single, accountable framework. 
This drives efficiency through: 

• Centralized invoicing and predictable pricing 
• Reduced misclassification penalties 
• Streamlined onboarding and payment cycles 

2. From expense to investment: calculating ROI 

Procurement can demonstrate EOR value by quantifying outcomes in three categories: 

1. Cost avoidance – penalties and delays prevented through compliance. 
2. Operational efficiency – hours saved via automated workflows. 
3. Productivity uplift – faster onboarding enables projects to start sooner. 

Procom’s ROI frameworks help clients translate these metrics into tangible financial impact, often revealing hidden value in existing spend.

3. Data as a procurement performance tool 

Procom’s MyProcom analytics suite captures workforce spend, classification accuracy, and onboarding velocity, all in one view. 
These insights enable procurement teams to forecast budgets and benchmark vendor performance across divisions. 

4. Building the internal business case 

An effective EOR optimization proposal aligns three narratives: 

• Finance: demonstrate cost savings and risk avoidance. 
• HR: highlight speed-to-onboard and talent retention impact. 
• Compliance: show mitigation of potential penalties. 

Procom provides a Procurement Enablement Kit that includes an ROI calculator, cost comparison templates, and compliance checklists to help teams secure executive buy-in with confidence. 

Key Takeaway 

Procurement’s mandate is evolving from cost containment to strategic value creation. 
With transparent data, measurable ROI, and proven governance frameworks, Procom empowers procurement leaders to turn EOR optimization into enterprise performance. 

Build your business case for optimization

Request Procom’s EOR Procurement Enablement Kit to quantify ROI and strengthen your renewal strategy.