What can Human Resource Outsourcing do for you?
Large and mid-size companies have changed the way they do HR in the now post-pandemic economy. The number of HRO (Human Resource Outsourcing) providers has grown in the last few years. Offering comprehensive HR services which include payroll processing services, 401k, and employee benefit administration.
Companies outsource HR for several reasons. It could range from costly transactions, difficulty in hiring and retaining quality process and Human Resource staff, and timely and accurate reports. Internal Human Resource Management are now able to focus more on strategic planning, while employees who shift, will now become part of a profit center vs a cost center.
Growth in the Business Process Outsourcing (BPO) industry is being fueled by many factors. A post-pandemic remote workforce has companies reevaluating current company structures. HR departments are now forced to do more with less. Companies are now outsourcing their HR Systems, while other companies are outsourcing components of their departments. Al carte Human Resource services make it easier for companies to experiment with BPO services, while more and more HRO providers are offering total solutions.
Human Resource Outsourcing Companies are proving significant cost savings and efficiency across all industries. The availability of rich data and integrated functions allows organizations to better manage its costs and workforce. 91% of companies that have outsourced their HR Services report that they will achieve or have achieved their HR objectives. According to the The Conference Board/Accenture study, not a single company polled would bring back HR services in-house. 71% said they will extend contracts with HRO vendors. The more value Businesses and Organizations experience in having BPO service success, companies of all sizes will have to move toward Human Resource Outsourcing to remain competitive.