Calculation Methodology

Our hourly rates are anchored to the U.S. Bureau of Labor Statistics (BLS) Standard Occupational Classification (SOC) 13-1041 — Compliance Officers:

• Compliance Administrative Staff: $31.65/hour base pay (BLS SOC 13-1041, median wage adjusted for administrative-level roles)
• Senior Compliance Officer: $45.00/hour base pay (BLS SOC 13-1041, 75th percentile for experienced compliance professionals)

Fully Loaded Multiplier: 1.30×

The fully loaded cost multiplier accounts for employer costs beyond base wages:

• Employer payroll taxes (FICA, FUTA, SUTA): ~7.65%
• Health insurance & benefits: ~10-15%
• Workers' compensation insurance: ~2-5%
• Retirement contributions (401k match): ~3-5%
• Paid time off, training, overhead: ~5-8%

Industry-standard fully loaded multipliers range from 1.25× to 1.40×. We use 1.30× as a moderate, defensible estimate.

Base estimate: 12–15 hours per month per platform (we use 13.5 hours as the midpoint)

This covers ISNetworld, Avetta, Veriforce, ComplyWorks, Highwire, and similar prequalification & hiring client enforcement platforms. Ongoing activities include:

• Account management and credential maintenance
• Document uploads and status monitoring
• Action item response and follow-up
• Grade/score monitoring and improvement
• Communication with platform administrators

Multi-platform overlap factor: 0.82×

When maintaining multiple platforms, there is approximately 18% overlap in documentation and data. Each additional platform adds 82% of the base hours, reflecting that while many documents transfer across platforms, each platform still has unique requirements, interfaces, and action items.

Hiring client factor: The number of hiring clients (operators, GCs, or facility owners requiring your compliance) is the upstream demand driver. Each client may impose unique platform requirements, questionnaires, orientations, and audits. Baseline is 3 clients (1.0×). Below 3 clients the factor scales down significantly: 1 client ≈ 0.47×, 2 clients ≈ 0.73×. Above baseline: 5 clients ≈ 1.13×, 10 ≈ 1.30×, 20 ≈ 1.47×.

Workforce scale factor: More workers tracked for compliance means more COIs, training records, drug tests, and site access to manage. Baseline is 50 workers (1.0×). Gentle logarithmic scaling above: ~100 workers ≈ 1.10×, ~250 ≈ 1.25×, ~500 ≈ 1.35×.

Internal Compliance Staff (FTE floor): If your organization reports dedicating staff to managing compliance, their annual hours (based on standard 2,080-hour work years) set a minimum cost baseline. The calculator uses the greater of (a) the bottom-up estimate or (b) your reported staff hours. This floor only applies when you explicitly report compliance staff.

Base estimate: 6–8 hours per month per provider (we use 7 hours as the midpoint)

This covers services like DISA, NCMS, TPSAlert, Verified First, National Drug Screening, HireRight, and similar providers. Activities include:

• Drug testing program coordination and scheduling
• Background check result tracking and monitoring
• Compliance verification and evidence gathering
• Result uploads to compliance platforms

Multi-provider adjustment: A 0.75× factor is applied to additional providers to account for shared process overlap.

Base estimate: 3–8 hours per month per system (varies by integration type)

This covers PEC Learn, ClickSafety, Vector Solutions, SafeLandUSA/SafeGulf, Cornerstone, Internal LMS, and similar credentialing platforms.

• With API integration (~3 hrs/month): Automated record syncing, minimal manual intervention
• Without API (~6-8 hrs/month): Manual record entry, transcript uploads, status tracking, and cross-referencing

Multi-system adjustment: A 0.80× factor is applied to additional systems.

Steady-state: 2 hours per month per subcontractor for ongoing monitoring.

First-year onboarding: 4 hours per month per new subcontractor for initial setup and documentation.

Prime contractors managing subcontractor compliance typically spend time on:

• Monitoring subcontractor compliance status across platforms
• Communicating requirements and deadlines
• Reviewing and approving subcontractor documentation
• Managing non-compliance escalation and resolution
• Initial onboarding, setup, and baseline documentation (first year)

Subcontractor oversight hours are further scaled by workforce size and hiring client count to reflect the complexity of multi-client, multi-platform sub management.

Each compliance activity carries an annual base hour estimate, scaled by system count, workforce, hiring clients, and industry:

System scaling: Activity hours scale with total system count (platforms + providers + training systems). A single system applies a 0.5× factor. As system count grows: 1 system = 0.5×, 2 = 0.8×, 3 = 1.1×, 5 = 1.7×.

Platform × client duplication factor: For activities that must be duplicated across platforms and clients (Questionnaires, COI, Training Records), an additional factor is applied: 1 + (platforms-1)×0.5 + (clients-1)×0.15, capped at 4.0×.

Industry multiplier: Activities are scaled by industry complexity — Oil & Gas (1.40×), Energy/Utilities/Mining/Chemical/Transportation (1.30×), Construction/GC/Pharma/Environmental (1.20×), Manufacturing/F&B (1.10×), Other (1.00×).

Job-site scaling: Site-Specific Orientation & Access scales with the number of active job sites/locations using a diminishing-returns curve (baseline ~5 sites = 1.0×): 1 site ≈ 0.68×, 5 ≈ 1.0×, 20 ≈ 2.0×, 100 ≈ 3.1×, 260 ≈ 3.8×, capped at 5.0×. This reflects that each site carries its own orientation, badging, access, and renewal requirements.

Monthly Site-Hours Reporting: The highest-frequency recurring task — filing site-hours by each client's monthly deadline (e.g., ISN Site Tracker, due the 14th). It scales directly at ~8 hrs/year per site or client that requires monthly filing, then adjusted by the industry multiplier.

SSCOS™ eliminates 95% of the manual compliance labor your team performs today. But the infrastructure has its own cost. The net cost bridge shows:

• Current cost: Your total annual compliance labor burden
• − Eliminated labor (95%): The internal labor SSCOS™ replaces
• + SSCOS™ fee: The managed infrastructure cost
• = Net cost: Approximately 50% of your current spend

This explains why 95% labor reduction results in ~50% cost reduction — the infrastructure fee replaces the labor you're no longer paying for, but at a lower total cost.

Managed compliance infrastructure: ~50% net cost reduction

Our savings projection is based on industry benchmarks for managed compliance infrastructure. Cost reductions of 40–60% are typical through:

• Centralized compliance platform management across your prequalification systems
• Automated tracking, monitoring, and proactive status alerts
• Economies of scale across hiring clients and platforms
• Elimination of internal staff training, turnover, and knowledge loss
• Continuous compliance oversight reducing rework and missed deadlines

We use 50% as a moderate projection. Actual savings vary based on organization size, complexity, and current compliance maturity.

Payback period: SSCOS™ infrastructure cost / monthly savings = months until the investment pays for itself.

ROI multiple: Annual savings / annual infrastructure cost = return on every dollar invested.