Posts Tagged ‘human resources outsourcing’

« Older Entries

CPEhr Named One of “Best Places to Work” in Los Angeles

Thursday, August 12th, 2010

For the second consecutive year, we are proud to announce that CPEhr  was named one of the ‘Best Places to Work” by the Los Angeles Business Journal. Thousands of businesses participate in the annal “Best Places to Work” competition.

Employees working for Los Angeles organizations were surveyed anonymously early this spring by the LA Business Journal to measure their overall satisfaction with their work place. Key criterion used to determine the ranking related to leadership, corporate culture, work environment, training, development, communications, planning, pay and benefits.

Faith Branvold, CPEhr’s president, said,

“It is a tremendous honor to have been recognized by the Los Angeles Business Journal. It is our team of skilled professionals that makes CPEhr a great place to work.”

CPEhr offers a wide range of benefits and programs to its employees that promote a positive and productive work environment. These programs are also offered to the organizations to which CPEhr provides Human Resources services. Employees enjoy activities such as the CPEhr Olympics, corporate softball, weekly yoga classes, and monthly employee recognition and birthday celebrations.

Branvold continued,

“For nearly 30 years, we have worked hard to shape our company’s culture to a family environment. We believe that dedicated, happy employees will ensure employee retention while providing the best service possible to our clients,” said Branvold. “It has always been our philosophy that a strong team is based on respect, recognition, positive reinforcement and teamwork.”

If you would like to learn more about Human Resources Consulting, HR Outsourcing, or Professional Employer Organizations, please click the links above, or call us to speak with a Senior HR Business Consultant.

Tags: , , ,
Posted in Outsourcing, PEO/Co-employment, Uncategorized | No Comments »

Human Resources Outsourcing & Small Employers: A Perfect Match for a Tough Economy

Thursday, June 3rd, 2010

We are already approaching the mid-point of 2010, and the economic forecast remains unclear. While pundits in the first quarter predicted an economic  rebound, albeit with a few bumps along the way, the most recent economic indicators remain mixed, at best. Just this week, the ISM (Institute for Supply Management) reported that US supply sectors continued to grow in May, for the third consecutive month. At the same time, ADP released monthly employment figures well below analysts’ predictions.

As we continue to face an uncertain future, one thing is for certain – employers must remain focused on cost-containment and improving efficiencies. One way employers are addressing these employment challenges is through Human Resources Outsourcing.

How Does HR Outsourcing Work?

Like any outsourcing relationship, human resources outsourcing is the practice of using an outside expert to manage the day-to-day administration of non-essential employment tasks. Off-site specialists handle the non-core activities related to employment administration, payroll, benefits, taxes and workers’ compensation insurance. and other complex workplace regulations.

Primary Reasons to Outsource

There are many reasons why small companies outsource their HR functions. These can include:

  • Reducing employment cost and expenditures by accessing the HRO firm’s economies-of-scale
  • Increasing corporate efficiencies
  • Accessing more comprehensive and competitive health insurance plans
  • Reducing risks and exposures related to governmental regulations
  • Focusing internal resources on core business activities


The Value of Outsourcing HR

In a survey conducted by the Society for Human Resource Management, or SHRM, professionals in the industry were asked their opinions on HR outsourcing, and the majority listed “saving money” as the No. 1 reason. However, other reasons for outsourcing included:

  • Focusing on strategy
  • Improving compliance
  • Improving accuracy
  • Lack of in-house experience
  • Taking advantage of technological advances
  • Offering services they could not offer.

In that same SHRM report, HR professionals said the top function outsourced was 401k administration, along with training, health care and employee benefits administration, payroll, staffing, background checks, recruitment and policy writing.

Once HR and other operations are outsourced, many companies are showing a strong return on investment, according to a recent survey of American executives. A survey of executives at the IDC Midwest Conference showed nearly 85 percent of the respondents saved as much as they spent on outsourcing, with 26.4 percent reporting a savings of twice as much. And the savings, according to nearly 95 percent of the respondents, went toward operational performance and innovation, which improved shareholder value.

To investigate if HR Outsourcing is right for your company, please contact us for a complimentary HR Cost Analysis.

Tags: , ,
Posted in Outsourcing, PEO/Co-employment | No Comments »

Administrative Services Outsourcing (ASO) – A Flexible HR Service Option

Thursday, March 4th, 2010

Human Resources OutsourcingOur last post discussed the concept of “Co-employment” and the role of a Professional Employer Organization. Today we will look at an alternative to co-employment – the ASO.

Administrative Services Outsourcing (ASO)

There has been a growing interest in offering non-PEO services in recent years. Known as ASO (Administrative Services Outsourcing), this service model offers clients a full range of human resources consulting, insurance administration and payroll services, without requiring the establishment of a co-employment relationship. An ASO relationship is also more commonly known as Human Resources Outsourcing.

Our firm began offering ASO services approximately five years ago, after our sales force experienced challenges to selling co-employment. In some cases, the reasons were tangible concerns, such as a risky blue collar operation with bad losses which was declined workers’ coverage through the PEO, or a small employer with minimum-wage employees that did not meet our minimum contribution levels for health insurance, or a long-term broker relationship which dashed the sales process.

In other cases, the objections were less tangible, but just as real. Prospects could not completely grasp the co-employment concept, felt they would be losing control over their employees, or simply looked at the PEO industry with suspicion. Insurance agents, fearful of losing a commission, didn’t help the sale either.

Recognizing the value proposition a PEO offers to small business, but fearful that the co-employment requirements could hinder sales, we adopted a more flexible, customized approach to selling human resource services. The philosophy was simple – if we already had the in-house experts available to provide a valuable service to a business, why should we force the PEO box – and possibly lose a deal – if the co-employment relationship did not work for a particular prospect?

Full service HR in a flexible environment

In an ASO relationship, clients can either maintain their existing benefits and workers’ compensation insurance plans, or the PEO shops their insurances on the open market. The win-win is obvious – clients maintain control of their own plans, and other concerns about co-employment can be avoided. At the same time, they still gain access to virtually all the PEO’s services. For the PEO, it can charge administration fees commensurate with the services provided, and maintain broader “golden handcuffs”.

The multi-service approach offers the PEO sales staff greater flexibility when consulting and packaging HR outsourcing services. It also promotes a more customer-centric sales approach, as the sales consultant can walk into a first sales call with no preconceived end-game or one-size-fits-all philosophy.

Particularly in today’s volatile economy, many small employers are hesitant to engage in complex, long-term financial arrangements. By its very nature, co-employment is a more involved relationship that is hard to enter, and even more difficult to break. The current economic climate is another reason ASO may be considered a more attractive option for a businesses looking for HR support.

Keep your HR options open

If you are considering using an outside service to assist you with your Human Resources management, take some time to investigate the benefits of both ASO and co-employment. Chances are, one of them will work for your organization, and  you’ll be on your way to simplifying your business operations, reducing your HR risks, and cutting employment overhead.

Tags: , ,
Posted in Outsourcing, PEO/Co-employment | No Comments »

HR Outsourcing Case Study – Medical Practice Reduces HR Risks Through HRO

Thursday, February 18th, 2010

human resources outsourcingSometimes change is hard. But when this medical practice recognized their existing HR systems were inadequate in the face of rising employment challenges, they selected a HR Outsourcing and Professional Employer Outsourcing relationship to assist them in reducing their HR risks and exposures. Our next two posts will look at their challenges, and the solutions offered by CPEhr.

Company Background

This medical practice was founded in 1980 with the mission to provide the highest quality health care combined with clinical research and education. It is currently one of the few cardiovascular practices in the country that balances private practice with academic medicine, and runs one of the world’s largest cardiac transplant programs. They currently employ over 30 employees, but are opening two more locations and are expecting to significantly grow their employee base in the coming months.

It was obvious to the Executive Director of this prestigous medical practice that his time would be best spent on providing superior patient care and conducting scientific research. Managing employee issues should have been the last thing on his mind. Unfortunately, it wasn’t.

Business Challenges

As the practice grew in size and prestige, the Director recognized the critical role Human Resources played in his practice. “We do not have a dedicated HR staff,” he explains, “But I understand that human resources can’t be put on the back burner. HR is still a critical part of our practice.” With the lack of sufficient internal HR resources they struggled to standardize employee practices and stay abreast of changing employment regulations. While the Director and his Office Manager continued to personally handle the employee relations, an incident pushed them to consider outsourcing their human resources to a professional firm.

An argument ensued between two front office staff, and the altercation ended with one employee threatening to physically harm the other. The event was witnessed and the employee was let go. A short time later she sued the practice for race discrimination. Even though, at the time, the Director was sure he was doing the right thing, he ended up in an 8 month lawsuit with the EEOC that cost him hundreds of hours of time and distracted him considerably from running the practice. While he ultimately won the case, he realized it was time to work with human resource professionals. He needed a firm who would help him structure an HR system to prevent this from recurring, and to take over the administration of a lawsuit if one ever occurred again in the future.

“As our firm continues to grow and we open new offices, managing the staff in multiple worksites is only going to become more complicated,” he says. He invited CPEhr to present their outsourcing HR solution, and quickly engaged their services.

Our next post will review the HR solutions implemented by CPEhr.

Tags: , , ,
Posted in Employment Laws, Outsourcing | No Comments »

Employee Training and Development – a Business Must-Have to Survive in 2010.

Tuesday, January 19th, 2010

Even now, in difficult economic times, while employers continue to look for ways to keep costs down and reduce overhead, owners and entrepreneurs see value in employee and management training. Employers realize that educational development and training is a crucial investment for a motivated workforce. An intelligent, well-trained workforce is central to worker productivity and key to a company’s success.

Surveys support the need for management training.

Ken Blanchard Companies recently conducted a poll of over 1,700 executives and managers in their “2009 Corporate Issues Survey”. In the survey, the executives were posed the question, amongst others: “What tactics will your firm implement to cope in a down economy?” The overwhelming response by close to 2/3 of respondents was “Invest in productivity and performance maximizing strategies”.  These businesses recognize that the most promising way to weather tough economic times is to have skilled talent help grow the organization. Additionally, numerous surveys directly link employee training with lower turnover, lower accidents, and increased performance and productivity. Successful companies embrace training as a central part of their philosophy.

Outsourcing training to a Professional Employer Organization

According to the American Society of Training and Development (ASTD) over $134 billion was spent on employee learning and development in 2008. In their 2009 State of the Industry Report, the ASTD reveals that over $45 billion was allocated to external services such as workshops, vendors and external events. Businesses recognize the value of accessing external resources to train and develop their staff, as opposed to creating and implementing these programs internally.

A Professional Employer Organization offers a wide range of employee training and management development courses, often built into their standard services, or for an additional nominal fee. This training goes  hand-in-hand with additional Human Resources support services, to round out a company’s corporate policies to ensure a safe, compliant, and positive work environment.

Robust Course Offering

PEOs offer a complete range of training, but the most common ones appear below. CPEhr provides over 40 customizable trainings that can be delivered via the internet, or live, on-site at the client’s workplace.

Courses typically offered can include:

•    Sexual Harassment    •    Workplace Safety   •    FMLA    •    Interviewing Skills   •    Progressive Steps of Discipline    •    Motivating Employees   •    Performance Appraisals    •    Effective Communication Skills   •    Principles of Time Management    •    Diversity in the Workplace   •    Preventing and Defusing Violence    •    Customer Service Training   •    Effective Business Writing    •    Managing Difficult Employees

FREE Webinar on the Value of Training

If you like to learn more about the benefits of training for your organization, please join on THIS THURSDAY, January 21, 2010 for a free webinar: The Business Value of Training. Register here.

Tags: , , , ,
Posted in Employee Benefits, Employment Laws, Outsourcing | No Comments »

PEOs Help Streamline Operations and Simplify Complex HR Administration

Thursday, January 14th, 2010

We continue our discussion on how Human Resources Outsourcing firms and Professional Employer Organizations can significantly reduce the labor costs for small and mid-sized employers. Last post discussed the concept of economies-of-scale. Today we will look at how PEOs can streamline the HR processes within an organization, and reduce redundant employment administration.

Streamlining Operations.

PEOs can help small employers stabilize operating costs is through streamlining their internal administrative operations. By joining a PEO, businesses are able to combine multiple vendors under one roof, thereby eliminating the need to maintain relationships with multiple vendors.

A full-service PEO can provide all of the following services, often at a reduced cost:

  1. Payroll processing
  2. Tax services
  3. Governmental form submissions
  4. Safety consulting
  5. Assistance with labor law compliance
  6. Creating and reviewing employee handbooks & policies
  7. Health insurance plans & administration
  8. 401 (k) and Cafeteria 125 Plans
  9. Workers’ Compensation insurance
  10. Management Training
  11. Recruiting services
  12. Assistance with unemployment administration

Eliminate Multiple “Point People”
From the personnel and management perspective, these services result in a reduction of duplicated efforts between departments and enables them focus their time on core business functions. Often, only one “point person” is required within the client’s organization, replacing multiple positions in multiple departments.

Some companies experience such a drastic reduction in administrative functions they are able to reduce headcount. Others find more valuable, revenue-generating tasks for these employees to fill. The most successful companies will be those that focus on the core business rather than spend money and use staff resources to manage non-revenue generating tasks, such as benefits and retirement plans administration, managing HR compliance regulations, or processing payroll and taxes.

From the business-owners’ perspective, reports indicate that once HR and other operations are outsourced, employers are better positioned to focus on their core operations.

Tags: , , ,
Posted in Employment Laws, Outsourcing | No Comments »

« Older Entries