Signs you need to outsource your HR
Human resources play an absolutely crucial role in the running of a business. The department is often responsible for matters such as training, finding, hiring, and assessing employees, all the while ensuring that the business in question is abiding by the relevant employment laws.
In many circumstances, however, it can become necessary that a company outsources their HR requirements. This could be because a business is not large enough to have its own department, or because a matter has escalated beyond its internal capabilities. Let’s explore some signs that it’s time for you to start outsourcing HR.
Your budget is too stretched
Having your own HR department can be both expensive and unnecessary. In many cases, such as with startups and small businesses, there just isn’t the workload for a team of full-time employees.
When you outsource your human resource requirements, you can pay a team of experts for only as much time and work as you actually need. This results in optimised efficiency, and often a far more effective service. In terms of sheer numbers, a white paper by NAPEO found that on average, the ROI of outsourcing HR is 27.3% – a significant saving.
You don’t have enough time
If you’re a business owner and you have your own HR department, you may be worried about how capable they are. This can result in you stretching your time and energy too far across too many areas of your business, resulting in an increasing number of errors in different departments.
If you outsource your HR to an experienced agency, you can largely forget about the issue. They can simply alert you about matters that require your direct attention, leaving you with more time to focus on the other aspects of your business.
You’re concerned about accountability
While it’s totally possible to disperse HR tasks between other departments and employees, this can often lead to conflicts of interest and difficulties when it comes to accountability. HR functions need to be carried out by separate individuals from other employees, to facilitate a degree of separation.
If your HR roles are currently muddled together with other employees, then it’s likely time to start outsourcing, before any serious issues arise. This will in turn allow those employees to actually focus on the tasks that they were hired to do.
You need to adapt to a changing environment
The current economic and social climate is subject to unprecedented changes, occurring at an often breakneck pace. You may need to downsize your workforce immediately, or you may need to find an individual with relatively niche experience and qualifications in record time.
In these cases, it can be beneficial to outsource your HR. This might be to take care of all HR responsibilities, or just to lend a helping hand during an abnormally turbulent period. No matter what help you need, an HR consultant will be able to provide practical advice on what measures you should be taking to help you out of your predicament.