Here are five benefits of outsourcing your HR.
Save time and money
Let’s face it: HR is expensive. Not only do you need to hire additional staff, but you need to make room for them as well. If you’re running a small business, it’s quite possible you can’t spare additional office space for an additional department. When your HR is handled offsite, you don’t need to worry about cramming additional offices or cubicles into your building, and you don’t have to provide computers or access to other onsite resources.
Additionally, you don’t have to spend time overseeing the hiring process, or making sure checks are being handed out promptly. Outsourcing HR means those things will be taken care of for you, which saves you time, allowing you to focus on the critical parts of your role within the company.
Take advantage of focused HR strategies
Human resources is a specialized field. Highly trained individuals can help assist you in a lot of ways that you might not have even considered. For example, do you know the data points for average turnover rate in your field, and do you know how to implement effective turnover reduction strategies?
By hiring a company that specializes in HR and hiring, you’ll have people who are trained to handle these sorts of minutia. Not only does this make your organization more efficient, but it could save you a lot of money in the long run (which further adds to the first point we made).
Reduce workplace drama
This is a factor that few employers seem to consider: Oftentimes, employees feel like onsite HR departments are disciplinarians. A call to the HR office can feel a lot like being called to the principal’s office in school. Casual water-cooler conversations can suddenly be dampened when HR staff walks by. Even though HR departments are designed to help employees, they can create nervousness in the office.
Obviously, we’ve hinted at some extreme scenarios in the above paragraph. Many onsite HR departments are doing fantastic work and are beloved by employees. In an ideal world, HR staff would universally be attentive to office stressors and would make workers feel welcome rather than threatened. But that’s not always the case. It seems obvious that putting stress reduction in the hands of the same people who hand out performance improvement plans and written warnings is sending a mixed message.
When HR is outsourced, there is a healthy disconnect between the everyday tasks of your employees and the HR department. This reduces awkward encounters between departments and lowers office tension overall.
Hire strong candidates
Outsourcing your hiring process will almost always lead to better candidates. Sure, there are cases where the stars align and the perfect candidate walks in on a whim. However, a vast majority of the time you simply can’t afford to leave hiring up to luck.
Experienced staffing agencies, like Staffing Proxy, can help you broaden your pool of candidates while filtering out those who might not be qualified. This leads to better-quality candidates, while freeing up the time and money you would otherwise be spending on generating leads.
Offer better benefits
Obviously, better benefits are good for your employees, but they’re good for your company as well. A good benefits package can lead to more satisfied workers, and satisfied workers are better for your company than unhappy ones. In fact, according to a study by Professor Andrew Oswald, Dr Eugenio Proto, and Dr Daniel Sgroi from the Department of Economics at the University of Warwick, happy employees are up to 12% more productive than their disgruntled peers.
Outsourcing HR will oftentimes lead to employee benefits you were never able to offer before, especially if you’re running a small company.
The bottom line: If you want the best for your employees – and for your company – outsourcing HR simply makes a lot of sense.