Once upon a time, most HR departments would execute every single work related to employees from questions or concerns about benefits, hiring, training, complaints, colleagues, etc. For business heads, HR was the place to go for recruitment, retention, payroll and terminations. HR is a critical function and most companies handled it in-house in till the 80s. That’s all changing very rapidly. Today an estimated 50% of large companies outsource all or part of their HR needs to manpower outsourcing companies or HR contractors in all leading economies.
Ms Kanika Kohli, Vice President of Trendsetters Facilities & Technical Services (TFTS), largest outsourcers of specialized manpower and licensed labour to northern India shares the strongest argument in favor of outsourcing HR can be found in the many outdated practices common among in-house HR departments, practices which create inefficiencies, wasted time and potentially dangerous mistakes. Today Ms Kolhi shares the 3 out-dated HR practices which outsourcing can address:
1. Attempting to Navigate Complex Legal Issues Alone
In-house human resources staff must deal with a continually shifting, and increasingly complex, the web of labour laws and government regulations. In many cases, they have neither the time nor the legal expertise to successfully meet this challenge. Using a provider of outsourced solutions ensures ongoing compliance with existing and future laws and regulations, and frees companies to focus on core business operations.
2. Juggling Multiple Vendors to Cover HR Operations
In-house HR departments often rely on a variety of vendors to handle their complex needs—for example, one to handle payroll, another to manage benefits, and another to work on legal issues—creating a patchwork quilt of external providers whose work is not effectively integrated. Managing the work of all these providers can become as big a challenge as trying to handle them in-house. Big manpower outsourcing companies are capable to provide customized solutions to handle the full slate of the company’s manpower needs, including employment of temporary staff, employee background verification, benefits and workers’ compensation.
3. Finding specialised & licensed labours
Businesses that falls under manufacturing industry generally set up their units in Special Economy Zones – that are mostly located little away from main cities. Hence a lot of time and investments were required by the HRs to find & recruit specialised and licensed labours in big numbers. Outsourcing this task to manpower companies not only assures quality recruitment but it saves a lot of time, energy and cost of the business.