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Why Outsourcing HR Makes Sense with Budgets Under Pressure
Written by: Jane CavenArticle Overview: Outsourcing your businesses HR function is an efficient way to add value and contain cost in a difficult economic climate. Small to medium sized businesses need access to high quality, up to date HR information without the requirement for a full time HR manager.
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Why Outsourcing HR Makes Sense with Budgets Under Pressure
Outsourcing your businesses HR function is an efficient way to add value and contain cost in a difficult economic climate. Small to medium sized businesses need access to high quality, up to date HR information without the requirement for a full time HR manager.
Outsourcing HR gives businesses access to a dedicated HR Manger for as many days a month as required, with telephone support outside that time.
The HR support can be tailored to whatever level is appropriate for your current business requirements. This can range from simple employment contracts, to devising and implementing training programmes to HR strategic planning and board level mentoring.
If you are considering outsourcing HR, planning is essential.
Clarity of Purpose
Ensure that you are crystal clear about what and why you want to outsource your HR – you will receive the quality and level of service that you define and absolute clarity at the outset is key.
Establish Criteria to Select Your HR Provider
You should consider some key aspects of the service including your chosen provider’s – flexibility, credentials, track-record, relevance to your business.
Do Your Research
Do ask for references and follow these up very carefully, a sound provider should have no problem in giving you a range of relevant contacts and case studies on which to base your decision.
Relationship is Key
Whilst your provider should demonstrate their practical competence to do the job, for the relationship to work, it is vital that you share common values and trust that they will deliver the service in a way which is compatible with your own approach to managing your business.
Also make sure that you know who is to deliver the service – this matters both in terms of working relationships with individuals and the working arrangement between the consultant and your provider (i.e. are they an employee of your provider or are they merely an associate?)
Transparency
Do not proceed without a written Service Level Agreement that is transparent in terms of both content, cost and duration (watch out for the small print that prevents you from exiting the arrangement if it is not working for you!)
When you have selected your HR provider, work with them to introduce their service to your own employees throughout your business to ensure that everyone is clear of the terms of the service and what it will provide for them.
Add Value to Your Business Not Cost!
Make sure that you find a provider who will enable you to grow and develop your business rather than simply providing a reactive service to meet today’s people problems.
A good HR provider will add value to your business by their ability to contribute to your strategic business planning thus enhancing the quality of your decision making.
Time spent at the outset choosing your HR partner will reap benefits for both parties.”
Article Tags: absolute clarity, business requirements, case studies, common values, competence, credentials, economic climate, employment contracts, hr function, hr manager, hr planning, hr support, managing your business, medium sized businesses, mentoring, outset, strategic planning, telephone support, transparency, working relationships
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About the Author: Jane Caven RSS for Jane's articles - Visit Jane's website Jane Caven is Director of Sagreen Consulting's highly successful HR Division. Jane has a strong track record in working with businesses to manage and develop their HR strategies. From handling day to day employment and workplace issues, to coaching and mentoring senior executives, Jane has enabled many business, from design consultancies to accountants to manufacturing businesses, to achieve more from their HR programmes. Jane's clients have won national Awards for the quality of their HR strategies. Click here to visit Jane's website Alternatives to Redundancy Reviewing the Options The HR Headache of Making People Redundant Why Outsourcing HR Makes Sense with Budgets Under Pressure |
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