HR is a vital component in any business. If you have ambitions for growth for your small business then ensuring that you have all the HR bases covered is going to be essential. This can be manageable for many enterprises up to a point but with the increasing complexity of legislation and challenges that can be presented by a growing – or shrinking – workforce it may be necessary to get some professional support. HR outsourcing companies offer services that are ideal for small businesses that have a minimal – or non existent – internal HR team. The right support can not only ensure a happier workforce but also boost the business’ bottom line.
What does HR outsourcing involve?
Bringing in HR outsourcing consultants means partnering with experts who have a wealth of experience in human resources. This covers all elements of this key area of business development, including bringing new employees into the business, providing training, recruiting and retaining staff, evaluating performance as well as dealing with issues that can arise with employees, from problematic dismissals to claims for discrimination. Balancing the broad spectrum of challenges that can come under the definition of HR can be time consuming for a small business owner, which is where outsourcing offers many benefits.
When is the right time to outsource?
There could be any number of reasons to consider HR outsourcing but for small business owners experiencing any of the following it might be the right time to tap into this resource.
- Staff are leaving in large numbers. If your business has high turnover rates this is often a sign that the functions covered by HR are not being well managed.
- Internal records are in a mess. Maintaining staff records is essential and must be done in a way that protects privacy and is compliant – sorting this out can feel like a huge task if you don’t already have systems in place.
- Recruitment is stalled or ineffective. This could relate to the speed at which hiring can be completed or the quality of the staff being hired – and how well they fit within existing teams and culture.
- Performance review is non-existent or poorly handled. Effective performance review provides tools for employee growth and insight into how the business is functioning – these processes are essential and if your business doesn’t have them it’s time to invest.
- There is no core of visible HR policy. If your staff don’t have a handbook to refer to, policies are not clearly defined and there is general confusion over rights and responsibilities then you may need to bring in external support.
The benefits of HR outsourcing
Expertly handled HR leaves any small business owner free to focus on what they do best – running the business. It ensures that the enterprise can stay ahead of HR changes and remain compliant with minimal use of internal resources. HR outsourcing can generate metrics about the business that can be essential for future planning and help to improve flexibility and agility. It will also provide access to experts who can simplify the HR needs of the business and ensure they are being met. Staff will be clearer on rights and responsibilities and see a clear support structure in place.
Whether your enterprise is struggling with its HR requirements – or simply needs to become more efficient – working with HR outsourcing could create improvements for everyone in the business.
If you’re looking for a HR outsourcing company then check out what Park City do and see if we’re the right fit.