Top Benefits of HR Outsourcing

The continuously evolving role of HR

Humans evolve. Animals evolve. And like any other business sectors, HR evolves too!

This 21st century, studies have shown that HR is shifting its roles — from an operational department whose primary concern is to recruit and take care of the welfare of its workers to a more proactive and strategic division which, aside from recruiting, also “markets” the company to attract and retain talents in this very competitive era.

The role of HR is significantly impacted by both external and internal changes that are affecting the company.

The operational and administrative cost of maintaining a proactive and agile HR is high. That’s why today, many companies turn to HR outsourcing as a cheaper and more effective alternative. Below are some of the benefits of HR outsourcing.

1. Save a Lot of Money

HR outsourcing can help you save a lot of money! How? Outsourcing the HR function of your business will help you avoid hiring multiple people to do various tasks.

You can also save from overhead costs like expansion, new equipment, etc. The larger your company grows, the more money you’ll save.

2. It Keeps Everything under Control

A sudden increase of information that needs to be processed can throw your HR off balance.

HR outsourcing keeps your HR department running smoothly by taking in the extra workload so your HR department can focus on things that really matter most to your business.

3. Avoid Trouble Due to Employee Turnovers

Employee turnover can be a real pain especially if your HR department is small. It comes with other risks too like payroll delays.

HR outsourcing makes sure that even if you lose an employee, the core functions of your company’s HR are unaffected so you can do business as usual.

Bonus Material: HR Outsourcing Trends of 2014

This position paper, published by Michael Custers, VP of Marketing, focuses on several HR outsourcing trends for 2014.

It will be touching critical topics like Cloud computing, big data, SaaS HR tech, globalization, Talent Management as a Service and automation.

The author also wrote about 2013’s major developments for HRO and how these changes will affect 2014 and the coming years.

You can read the position paper here:


Written By

Kaspars Upmanis

SaaS freak, CEO & Co-founder @cakehr