March 12, 2020 Last updated March 13th, 2020 1,578 Reads share

Why Your Business Needs to Start Thinking About HR Outsourcing

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Businesses today are realizing that people are the key to their success and are placing more focus on company culture and keeping employees trained and engaged – delivering quality HR is essential to achieving this. HR Outsourcing can give you all the benefits of a dedicated HR team without the need to recruit your own. Ultimately, you want your people to be in the hands of experts who have their best interests, and those of your business at heart.

Why Should You Outsource HR?

From performance evaluation to training, grievances, and dismissals, all elements of human resources can be difficult to manage for an employer. A dedicated HR consultant will take the time to get to know your business, its people and priorities. It is vital to have experienced and knowledgeable people advising on how to handle your staff – relying on someone without this may leave your business vulnerable to legal challenges if HR procedures are not followed.

For businesses of any size, outsourcing some or all of the HR functions will give you time to focus on growth, motivate and maintain morale among employees and help managers to get the best out of their teams.

When Should You Think About HR Outsourcing?

If you haven’t considered outsourcing HR, here are some signs it may be good for your business:

1. Your business is growing

Has your business recently grown, or are you concentrating on a growth strategy? Employee challenges tend to become greater as you expand – such as the need to manage communication flow e.g. feedback, clarify job roles, responsibilities and expectations. HR Consultants can ensure solid HR foundations and processes are in place to support the strategic direction of the organization.

2. You need planning resources

Properly resourcing and implementing top standard HR can be difficult to achieve in–house. With an HR consultant, you’ll have access to all the right resources, such as tailored plans to assess and measure staff engagement or wellness action plans. You’ll also be able to refer to clear, well-communicated policies on issues such as holiday and absence so employees know what they are entitled to.

3. You’d like to boost morale and employee engagement

Employee wellbeing should always be a priority for employers, and it is necessary to offer the right support and wellness services to keep employees happy. HR Consultants can work with your line managers and senior leaders to conduct an employee engagement survey to measure how staff feel about working with your business and to identify the key drivers that motivate your people.

What Are the Benefits of HR Outsourcing?

Are you considering HR support? Here are some key reasons outsourcing could work for your business:

1. It can save you money

Keeping HR in-house can be costly – on top of the annual salaries, you’ll be providing benefits and using resources to train staff and keep them up to date with employment legislation. Outsourcing to an HR Consultant will save you these extra costs – you’ll gain the expertise of someone you won’t have to train or provide office space for. Many small businesses can’t afford an in-house HR team, so it is far more cost-effective to consider HR Outsourcing. Using an HR Consultant, often means costs are variable – so you can adjust depending on the service you require.

2. It reduces legal risk

Employment laws change regularly, and it can be difficult to remain up to date with regulations that affect your workplace. Consultancies will employ HR professionals whose job is to stay up to date with employment legislation and make sure you comply with these laws. They’ll also maintain and audit your company policies and practices to ensure your business and employees are well protected.

3. It increases business efficiency

Whether you outsource all or some of your HR activities it is going to improve the efficiency of your operations significantly. Handing over the most complex tasks, such as compliance, lends more time to focus on core business activities. HR Consultants are likely to have more advanced systems which means less paperwork to do in-house.

4. It helps your recruitment process

HR Outsourcing can give you valuable help when you employ people, streamlining the recruitment process by making sure that every aspect is designed to attract talent – from the job description to the interview process. An HR Consultant can also help offer a more attractive benefits package – including health and life insurance and training opportunities. Once employees are hired, HR Consultants can lead you through the onboarding process – which is crucial in helping your new recruit feel part of the team.

What to look for in an HR Consultant

An HR Consultant will work closely with you and your teams, so you want to be sure they are the right fit for your business. Here are some of the key things you should consider:

  • It is not essential that they have worked in your industry but identify the sectors they have worked in to see if they will be able to offer you commercial advice
  • They need to be flexible
  • Does their area of expertise match your specific requirements?
  • They need to remain up to date with industry trends, employment law, and HR practices
  • You need an HR Consultant with excellent communication skills

human resources meeting – DepositPhotos

Sally-Ann Hall-Jones

Sally-Ann Hall-Jones

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