Outsource your HR for these 5 reasons

24 February 2021

To answer this question, let’s firstly look at how the landscape for business has changed over the last few years…

  • You most likely have a team with five different generations, all with varying motivational values, drivers and lifestyles;
  • HR’s no longer ‘personnel’ or simply a ‘hire and fire’ department; it’s everything to do with people, performance and process;
  • Remote working’s been the norm for the past 12 months;
  • Legislation changes annually and can be extremely complex;
  • Your competitors have access to your team via social media and can entice, at speed, your team to leave.
  • And this is just a few examples…

You rely on qualified, experienced individuals to help build your business, your market value and your reputation. If you employee people, then you equally need qualified, experienced individuals in the subject of people; employment law, onboarding, reward, engagement, mental health and ESG (Employee, Social and Governance) to name a few. In a small-medium business, bringing on board a team of people with this breadth of HR skill can be costly. Often, small to medium companies are faced with choosing the skill most needed at a particular point. With the speed of change in any business, this may expire quickly as you require a level of skill in the other HR areas. So what’s the solution? You could outsource some or all of your HR.

Here are some areas that our clients with anywhere between 10-300 employees outsource:

1. The daily HR ‘humdrum’

You can de-burden yourself from producing contracts, running background checks, setting them up in payroll and onboarding packs. This can be handled in-house by a single HR administrator or outsourced.

2. Troubleshooting

Employee disputes, poor performance or regular absence can be areas we’re often asked for support on. This may be to conduct an investigation, provide an objective view of a situation, and to provide solutions that allow for any employee challenge to be resolved.

3. Transformation/Reorganisation

Mobilising and implementing change can be complex. The challenges of driving through business change requires a specialist set of skills. The aim’s always to align processes, people or systems (technology) with the business strategy and vision. The types of common transformation include the reorganisation of skills, the offshoring of roles, or the outsourcing of a skill pool or department, resulting in a TUPE transfer.

4.Remote or Agile Working

In a recent study of 2000 tasks, 800 jobs in nine countries (McKinsey, 2020), the predictions of a hybrid model of remote and office working was further underpinned, in particular, for roles where physical attendance isn’t required to produce results. ‘Agile working’ is something we’ve published ideas about previously, and something Fortus boldly introduced a few years ago. As the saying goes, culture eats strategy for breakfast, so the key to a successful permanent change to working arrangements requires a high level of trust, engagement, policy and process. This is already becoming one of our biggest topics of conversation with our clients in 2021.

5. Psychometric profiles

A specialist area of great value when accurately identifying the right leaders, to accelerate productivity and performance, unlock the potential in your workforce and to build a better connected team.

In summary, HR Outsourcing’s a cost effective solution with flexible options for SMEs, as it allows you to tap into the right level of skill, at any time of the working week, for a fraction of the overheads through permanent employment solutions.
A business owner shouldn’t assume that outsourcing’s a ‘cheap as chips’ solution. Whilst it’s unwise to pay too much, it’s worse to pay too little – remember, you buy cheap and you buy twice!

So, if any of the points above are current pressure points for you and your business, then get in touch on 01604 746760, or email us  to see how we can support your team.

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