A lot of business owners don’t understand how and why a company would want to outsource something as personal as HR. But do you really need to have an in-house team if you only have a handful of employees?
If you’re a small business owner and you have fewer than 50 employees, we’re here to tell you that your in-house team is probably getting creative to look busy. And even if you are a slightly larger operation, you could still benefit from letting an outside team handle HR. Here are some of the reasons why outsourcing HR could be a good idea.
An Outsourced HR Team Can Handle Almost Any Employee-Related Function
An outsourced HR team will not only take some of the recruiting and onboarding work off your hands, but they can also help you with things like payroll. They can handle everything from interviews,to background checks, training, exits, and also administrative functions like payroll as well. They can also help you build a real brand and culture as an employer if you don’t have one already. If you’re looking for a full-service outsourced team that can handle everything for you, you can learn more at Syndeo’s website.
Increase Retention Rate and Engagement
An underrated benefit of outsourcing HR to a third party is that it could allow you to increase retention rates. An outsourced HR team will usually be better at recruiting if you’re doing the recruiting yourself. They’ll be able to create accurate listings that will still be enticing and allow you to attract exactly the type of employee you want.
Once you get that employee, the HR team will make sure that they’re properly trained. You will now have a new flock of well-trained and highly-motivated employees who are more likely to be and stay engaged. You’ll also create a better work environment for your current employees.
Reduce Overall Costs
We can’t see the need for having someone on your books full-time unless you have a very big organization spreading across different markets. And even then, many of the major companies prefer to outsource so they can focus on revenue-generating functions instead. HR is not a function that requires active monitoring, which is why it would make sense to outsource and pay for work done only.
Another thing you have to consider as an independent business owner is that you don’t have the same hiring power as an outsourced team. A top-level HR professional is not likely to work for a largely unknown business but will be willing to work for a well-known outsourced HR firm. So, you will get access to the best in the field for a much lower price.
As you can see, there are tons of reasons why outsourcing HR could be a great decision for your business. So, don’t dismiss the option and look at the benefits in detail to see if your organization could be run better if you let someone else handle things.