How does the model work financially?

Harvard has formed a business partnership and executed a Master Services Agreement (MSA) with a Managed Service Provider (MSP), DZConneX (formerly, Yoh). DZConneX enrolls qualified suppliers to the Harvard program, and executes supplier agreements (contracts) with conditions that "flow down" from Harvard's MSA. The supplier agreements specify standardized mark-ups on contingent talent that will be provided to Harvard through DZConneX.

The Harvard Hiring Manager reviews the candidates proposed by the supplier(s) for assignment at Harvard, and accepts or rejects the billing rate as part of the hiring process. The total financial commitment (hourly rate x hours for assignment) agreed upon is captured in Fieldglass.

Once the contingent worker is working at Harvard, s/he enters time worked in Fieldglass. The Hiring Manager approves it and Fieldglass converts it to an invoice and sends it electronically to Harvard’s Oracle Accounts Payable system. Harvard pays the MSP, DZConneX. DZConneX deducts its fee before paying the supplier. The supplier pays the worker and handles all employer benefits, tax withholdings and reporting.

Because of this arrangement, Harvard's managed services program is considered supplier-funded.