Human resources are an asset for any
organization. The success or failure of an organization depends on its human
resources which have to be handled as an independent but integrated entity. Every
organization must design it operations to keep in mind the function of HRM or
human resource management which are planning, organizing, staffing, directing
and control. The satisfaction of an employee is the biggest motivator for the
employee to perform better which ultimately leads to the success of the
organization.
The laws and regulations of USA
compel every business house to devote a lot of time for HRM which automatically
shifts the focus from the main line of business. Earlier HR meant hiring,
firing, payroll and settle a few ruffles. Since 1970, managing human resources
has become extremely challenging as compliance with various laws 401 (K),
regulations and health care benefits for the employees, disabilities act,
family and medical leave act and now Obama Healthcare act has become mandatory.
This not only takes up loads of time of the employer but pulls back the
organization, increases the overheads of maintaining an HR department which
ultimately reduces the profits. The secret of success in today’s scenario is
utilizing the services of HR outsourcing companies.
Reasons Why businesses choose to outsource HR
·
To save money by reducing operating costs
·
To focus on core business strategy planning
·
To improve compliance with the ever-changing
laws and regulations and thereby reduce legal risk
·
Take advantage of technological advances to
streamline HR functions
·
Lack of in-house HR knowledge and experience
·
Use HR expertise for smooth running of the
business
·
Reduce HR staff and related expenses
The HR functions that most businesses outsource are:
- Background check of the employee
- Employee relocation
- Payroll administration
- Retirement benefits
- Healthcare benefits
- COBRA administration
How to identify when you need to take advantage of HR
outsourcing companies services
The laws of the land have made it difficult for a small or
medium business house to handle HR. Outsourcing the HR needs is worth the time
and money that a business spends. It is
time to cut down on your expense and outsource your companies HR needs when:
- You observe a drop in productivity
- Higher rate of absenteeism amongst the employees
- Higher turnover of the staff
- Penalty that you pay or notices you receive for non compliance with the laws
If you observe any of these symptoms, it is time to
outsource the companies HR functions to HR service providers.
Conclusion
HR outsourcing companies help you save money, helps you to
run your business as usual without the stress of handling HR issues, avoids
staff turnover so you don’t have to go through the hassle of training the new staff,
which reduces your overheads and if your business requires new skills, the HR
company will provide trained staff which ultimately helps your business to
evolve.
Source: http://gojacor.com/
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