VMS (vendor management system)

A vendor management system (VMS) is software that a large employer, or its MSP, uses to run its contingent workforce. Orders go out to approved staffing suppliers through the VMS, workers are submitted and approved there, timesheets are recorded and approved, and invoices are generated and paid from the same system. It gives the employer one view of spend and supplier performance across sites. Staffing agencies that serve national accounts need to work inside each client's VMS.