There are several situations in which outsourcing HR can work for a business. When a business is just starting up and you don’t have a fully dedicated HR person yet, you can outsource HR to a company which will get you set up with the employees that you need. Also, if you plan to keep your business small or medium-sized, you may not want to have an HR department or even a full-time HR person. In this case, outsourcing HR can work for you. Additionally, there are many advantages to outsourcing HR.
Experience: When you work with a company which only handles HR, you’re working with people who are dedicated to this aspect of running a business—people with more experience.
Advice: Outsourcing your HR needs doesn’t just mean that your positions get filled as and when they arise. You can also turn to that HR company for advice about any and all aspects of hiring, retaining and firing employees e.g., how to get insurance, how much to pay employees, the right way of firing employees etc.
Efficiency: If you do the hiring process yourself, you’re going to do it as and when you have the time. But an HR company will already be in touch with a number of potential employees and can find you the exact person you need in the time you need.
Dependability: When you work with an established HR company you’re going to have a higher level of dependability because they have their reputation to protect.
Freedom: When you know that someone reliable and efficient is taking care of your HR needs, this gives you the freedom to focus on what you’re really good at—expanding your company and your product line or developing your brand.