|
 The decision to
fully outsource depends on the following factors:
1. The organizational strategy
2. The organizational size and location
3. The stage in the organization life cycle
• Level 1 (0-2 years in life cycle) Level 2 (2-3 years in lifecycle)
that are limited by people resources and financial restraints make excellent
candidates for a full outsourcing model. This
model can provide savings of at least 45-55% a year versus having
your own internal HR staff.
• Level 3 (3-6 years life cycle), there are specific areas that may be
financially viable to outsource including benefits, compensation administration, payroll,
employee relations, and recruiting.
• Level 4 organizations may need to cut overhead expenses and reduce
administrative burdens by outsourcing human resources. The decision
to in-source or outsource HR should follow a careful organizational
analysis. Fully outsourced models do have disadvantages by lack of internal focus and
dedication to personnel through HR.
HR processes can be grouped into categories, within these categories many sub-categories
exist. If you are
doing business in the State of California, and have two or more
employees, then many of these categories will apply:
• Assessment, Selection, Recruiting, Benefits, Compensation and Reward
Systems, Employment Law/ Employee Relations, Labor Laws, Health
and Safety, HRIS/Payroll, Performance Management, Organizational
Management and Strategy Formulation, Federal and State Labor Law
Compliance, Quality of Work, Management and Retention
|
 |
