Today most of the Indian business houses outsource a large chunk of their staffing solutions like selection process, training, employee assessment, tax computation, payroll management jobs to manpower outsourcing companies. In fact, most companies have experienced that outsourcing of their staffing activities has helped them to cut their expenditures and save time.
Talking on this matter, India’s leading manpower & licensed labor outsourcing company, Trendsetters Facilities & Technical Services (TFTS), Vice President, Ms Kanika Kohli shares that outsourcing of staffing activities can offer a range of benefits to Indian companies. These benefits can directly impact a company’s profitability margins and can support their quest to establish & maintain their industry leadership. Some of the key benefits of outsourcing of staffs are:-
1. It delivers business flexibility:
In today’s extremely competitive & fast-changing market scenario, an organization’s flexibility is one of the key factors that decides it survivability and growth. And internal staffing generally adds to organizational rigidity. That is why when staffing is outsourced, an organization can add or subtract staff strength or add new skilled employees – in a matter of no time and without facing any cost or negative press. For the outsourced employees who would be removed, they would get a new deployment in a new company by their outsourcing agency in a matter of no time.
2. It supports companies to focus on their core activities:
When the organizations decide to expand, the back-office operations of the companies will expand too and this expansion leads to the consumption of the resources (HR and Finance) at the expense of the core activities. Staffing and recruitment outsourcing activities allow the firms to refocus on those business activities that are important without sacrificing the quality of the services.
3. Better recruit quality Candidates:
The most important reason to outsource your staffing activities is to get access to a better talent. Recruiters are usually well equipped with the rich database along with their ATS (Application Tracking System), which consists of a vast number of profiles of the quality candidates.
4. Faster Hiring:
When the positions are left open for a longer duration, it affects the company’s bottom line. The reduced productivity can not only lead to a lost opportunity but it can also affect the current workforce’s morale and efficiency. When companies outsource their staffing activities, they don’t really deal with these consequences. The company tends to hire faster because the staffing firms already have wide candidate pools and access to the top talent. The recruiters immediately start working on your requirements just like your managers and HR specialists would do. There is dedicated resources indulged in closing the positions without any delay or procrastination and hence, the time is reduced for closing the position.
5. Lowered Cost:
Staffing Outsourcing services won’t come free, but the cost you pay is significantly less than all the costs associated with the internal hiring and training process. Right from recruiting, advertising, interviewing, background checking, and skills testing will be included into the outsourcing fee. In addition, the training costs is also reduced as the recruiters are dedicated to find the candidates with right skill sets and the experience required for the particular position from the very start. Finally, as the staffing firms take care of compliance, payroll and HR for its clients, the administrative and overhead costs are also cut down.