Article Home Read Articles



The question is, when should you use a recruitment agency and when should you go it alone? Recruitment agency fees are expensive and you want to be sure you are getting value for your money.

Given that most recruitment firms do n't provide selection services, if you are able to write an effective job advertisement or have other arenas through which you can source potential job applicants yourself, such as through word of mouth from your current employees or through other contacts; or via signs in your place of employment or local area, then you will save considerable amounts of money by undertaking all of your employee recruitment and selection process yourself.

A recruitment firm can also provide you with benefits if they are expert in a particular industry or employee market. They may have specialized knowledge of where to find and how to attract employees of particular skills types. If you are unable to attract the employees you want yourself, you may require the services of a recruitment agency that has good industry contacts and can headhunt the appropriate staff you require.

Some agencies hire staff with extensive experience in a field (e.g. electrical engineering) and teach them how to recruit and place. Many employment markets are so large that for a business to initially screen all applications for a position would be so time consuming that it could result in lost business whilst this process occurs.

At the very least your recruiter should undertake background and reference checks on your behalf and use behavioral based interviews. Otherwise you will end up having to put in just as much time and effort yourself anyway to assess the applicants they send you. If not, the effect of your outsourced employee selection process will be just as effective as taking a lucky dip from a hat. And you will have to deal with the consequences, which could not only include you being stuck with a less than productive employee, but even a disaster. I can assure you that the time and effort required to performance manage a poorly performing employee or one with a bad attitude is much, much more than would be required to undertake a successful selection process in the first instance.

Outsource Human Resource Management to India

An increasing number of major businesses are outsourcing their human resource operations today. Some of the services on offer are Payroll operations, benefits administration, employee data records and management, asset management services.

Why outsource HR operations to India?

One of the reasons to outsource HR operations is to streamline processes and make them more transparent to employees. Technology is usually a key enabler in achieving this transparency. It also helps preserve the sanctity of information between employee and employer.

Indian Internet IT service companies (software and web developers) are considered a viable outsourcing option today. What they offer is a strategic initiative to cut costs and access to intellectual capital not available in-house.

The increasing emphasis on customer response activities in the West have made Indian outsourcing service providers reinvent themselves and extend their web development activities to ASP (Application Service Providing) and other high-end outsourcing solutions.

Comprehensive HR outsourcing services that you can outsource to India:

*        Maintenance of personnel records

*        Annual review and revision of employee handbook

*        Audit of HR strategies, policies and procedures

*        Implementation of employment/termination procedures

*        Job description process

*        Exit interviews

*        Employee development program

*        Performance management process

*        On-site support

*        Employee retention programs

*        Long term incentive/equity stock option programs

*        Employee Morale Building

*        Compensation plan review

Recruiting services

*        Retained Search

*        Job Description Development Strategy

*        Ad Placement

*        Applicant Screening

*        Reference and Background Check

*        Candidate Interviews and Recommendations

*        Development and Coordination of Offer

*        Integration of New Hire

HR management services

*        Compensation plan review and analysis

*        Culture development

*        Due diligence/Acquisition planning

*        Incentive and retention programs

*        Executive Coaching

*        Succession Planning

Benefits administration

*        Brokerage Services

*        Custom Benefit Plan Strategies and Design

*        Benefit analysis, cost control and reduction recommendations

*        Development of Employee Communications

*        Eligibility and Enrollment Services

*        Employee claims resolution

*        Monthly invoice audit and reconciliation

*        On-line employee access to benefits information

Payroll services

*        Employee self-service features

*        Payroll processing and reporting

*        Payroll tax reporting

*        Time off tracking

*        Online benefits enrollment

Measures of successful outsourcing

The HR department traditionally has been a cost-consuming function, but is now slowly contributing significantly to a company's bottom line. This has led to outsourcing tasks like payroll, benefits, education/training, recruiting, personnel administration, organizational development and workforce management.

The outsourcing market is beginning to see HR as a preferred choice. A Gartner Focus Report (Outsourcing: Time to Deliver Results) echoes that thought: "Only those companies ready to address the necessary transformation of their HR processes will find that outsourcing will bring access to world-class processes, competitive advantage, and increased shareholder value."

Technology compatibility, confidentiality and cost are other challenges that both sides must work on. Mutual trust is critical, as it's a long haul commitment. It is imperative that senior management are involved right from the beginning and also drives the initiative. In addition, a clear understanding of requirements and expectations from both sides is an important platform in building the relationship. Compatibility in culture and values along with an open and flexible approach go a long way in ensuring that the outsourcing venture is a successful one.

A few measures that would help the outsourcing relationship remain contemporary and relevant are:

*        Saving process time and cost

*        Levels of satisfaction

*        Updates on mandatory practices

*        Effective implementation of workflow and policy changes

*        Continuous feedback mechanisms


What is HR Outsourcing?

If your organization lacks the skills and the expertise to tackle human resources, consider outsourcing HR services. Most organizations today outsource HR services to India, because they do not have the proficiency or the expertise to deal with HR services in-house. Moreover, organizations choose to outsource HR services in order to save on time and effort.

HR outsourcing can be mainly classified into two categories. Transaction and administration outsourcing services and consultancy outsourcing services. HR transaction outsourcing services include monthly requirements such as, payroll processing. HR consultancy services are some of the other services that can be outsourced to India. Though organizations outsource transaction management and HR consultancy services to India, many organizations still take care of strategic and policy functions within their organization.

Organizations who wish to outsource their HR services to India can outsource HR services in different areas such as, administration of employee benefits, payroll processing, administration of fixed assets, management of hardware, database etc. Organizations outsourcing to India, mostly outsource their payroll services and training / survey requirements.

Why Outsource HR Services to India?

When you outsource HR services to India, you can save on time and effort and concentrate on your core business. You will also be able to increase your flexibility to met needs such as, changing and new business conditions and increasing orders for products, services and technologies. By outsourcing a non-core process like HR services, you can concentrate more on increasing customer satisfaction and on increasing the value of your products / services.

Outsource HR services to India and benefit from the skills, expertise, latest technology and professional services that India offers in the field of HR. When you outsource HR services to India, you will find your operating performance, risk management and control improving. By outsourcing HR services, you can also gain access to professional services. Your outsourcing provider will be able to provide you with proficient HR services that can bring about a change in your organization. Outsourcing HR services can also help you benefit financially. One good reason for outsourcing HR services to India is that you can save on costs and at the same time get access to high-quality services.

Organizations that Outsource HR Services to India

Large organizations mostly outsource their HR services to India in order to concentrate on their core processes. Such large organizations can increase the profitability of their business by outsourcing. Large organizations also stand to gain from better HR services for their employees. Small and mid-size organizations also outsource if they do not have enough of HR staff to manage their HR functions. Mid-size and small organizations can also benefit from cost-effective services when they outsource to India. Outsource HR services to India to enhance your productivity and return on investments and also to achieve the economies of scale.

Advantages of outsourcing HR services to India

When you outsource HR services to India, you can see an improvement in your HR support functions. Outsourcing HR services can help you bring out more effective and efficient processes within your organization. Payroll functions can be completed on time accurately and your outsourcing partner can come up with ingenious ways of improving HR functions in your organization.

Outsourcing HR services to India can help you achieve your targets. Your business can become more productive with the help of effective business and HR strategies. You can also on save time, effort and manpower. You can concentrate more on your business and can be relieved from taking care of your HR work in-house. With strategic HR strategies, training programs and development programs, you can retain your employees.

Outsourcing HR Services to India can help your organization gain a competitive edge!


What is Outsourcing?

Outsourcing began in the early eighties when organizations started delegating their non-core functions to an external organization that was specialized in providing a particular service, function or product. In outsourcing, the external organization would take on the management of the outsourced function.

Most organizations choose outsourcing because outsourcing offers a lot of advantages. When organizations outsource to countries like India, they benefit from lower costs and high-quality services. Moreover organizations can concentrate more on core functions once they outsource their non-core functions. Outsourcing can also help organizations make better use of their resources, time and infrastructure.

In outsourcing, the outsourcer and the outsourcing partner have a greater relationship when compared to the relationship between a buyer and a seller. In outsourcing, the outsourcer trusts the outsourcing partner with vital information. Outsourcing is no longer confined to the outsourcing of IT services. Outsourcers in the US and UK now outsource financial services, engineering services, creative services, data management services and much more.

Most organizations are opting to outsource because outsourcing enables organizations to access intellectual capital, focus on core competencies, shorten the delivery cycle time and reduce costs significantly. Organizations feel outsourcing is an effective business strategy to help improve their business.

What is Insourcing?

The opposite of outsourcing can be defined as insourcing. When an organization delegates its work to another entity, which is internal yet not a part of the organization, it is termed as insourcing. The internal entity will usually have a specialized team who will be proficient in the providing the required services. Organizations sometimes opt for insourcing because it enables them to maintain a better control of what they outsource. Insourcing has also come to be defined as transferring work from one organization to another organization which is located within the same country. Insourcing can also mean an organization building a new business centre or facility which would specialize in a particular service or product.

Organizations involved in production usually opt for insourcing in order to cut down the cost of labor and taxes amongst others. The trend towards insourcing has increased since the year 2006. Organizations who have been dissatisfied with outsourcing have moved towards insourcing. Some organizations feel that they can have better customer support and better control over the work outsourced by insourcing their work rather than outsourcing it. According to recent studies, there is more wok insourced than outsourced in the U.S and U.K. These countries are currently the largest outsourcers in the world. The U.S and U.K outsource and insource work equally.

What is best for your organization?

If your organization has a number of non-core processes which are taking plenty of time, effort and resources to perform in-house, it would be wise to outsource these non-core functions. Outsourcing in this case, would help you save on time, effort, manpower and would also aid you in making quicker deliveries to your customers.

If you require expertise services in areas which do not fall under your core competency, then outsourcing will be a good option as you can get access to expertise services. For reducing costs and making faster deliverables, outsourcing is again a good option.

If your work involves production, then it would be more ideal for your organization to opt for insourcing, as you can save on transportation costs and exercise a better control over your project.

It is not necessary to choose outsourcing over insourcing or vice versa. Your organization can outsource and insource at the same time. By outsourcing and insourcing simultaneously, you can have the best of what both offers and your business can get a competitive advantage!

The Benefits of Outsourcing

Do you want to maximize your revenue and minimize your expenses? Do you want to get access to specialized skills and services? Do you want to concentrate more on your core business? Do you want to save on money, time and infrastructure?

If your answer is yes to any or all of the above questions, you might be interested in outsourcing. Outsourcing has several benefits. Outsource and take advantage of the benefits of offshore outsourcing. Read the following benefits of outsourcing to find out more about how outsourcing can give your business a competitive advantage!

1. Take advantage of the cost-advantages!

Outsourcing to countries such as India can give you access to cost-effective services. The same services with the same level of quality are offered at India for a much lower cost! This cost-advantage has increased the number of services that are being offered to India. Services such as call center services, teleradiology, medical billing etc can help you save up to 60% of your total costs when outsourced! Getting access to high-quality services at a cost-effective price is the biggest benefit that you can get while outsourcing. Outsource and reap the benefits of outsourcing.

2. See an increase in your business

Another benefit of outsourcing is seeing a big increase in your profits, productivity, level of quality, business value, business performance and much more. Outsourcing can help you see an increase in almost every aspect of your business. Outsource and see your organization experience an increase in every aspect with these benefits of outsourcing.

3. Save Big!

One of the benefits of outsourcing is that you can save on every aspect of your business and increase your profits . When you outsource, you can save on time, effort, infrastructure and manpower. Since you don't have to invest in infrastructure, you can also save on making unnecessary fixed investments. Outsourcing removes the burden of changing or maintaining infrastructure. You can also save on capital expenditure. Outsourcing can also help you save on training costs, because you do not have to invest in manpower. These savings will help bring about an increase in your revenue. Your organization can also save on investing in expensive software and technologies.

4. Get access to specialized services

By outsourcing you can get expert and skilled services. This benefit of outsourcing has been the key reason why several outsourcers opt for outsourcing. The function that you outsource may not be your core competency but you can find an outsourcing partner who is specialized in that particular business process. Your outsourcing partner will be able to provide more proficient services. This is yet another benefit of outsourcing, because if you perform all your business processes in-house, you will not be able to provide specialized and skilled services. Outsourcing can give you this advantage.

5. Concentrate more on your core business

One of the benefits of outsourcing is that your organization will be free to concentrate on your core business. By outsourcing all your non-core functions, your employees can be put to better use and you will be able to see a huge growth in your core business.

6. Make faster deliveries to customers

Another benefit of outsourcing is that you can make quicker deliveries to customers. Your outsourcing partner will be able to provide faster deliverables and you in turn will be able to make quick deliveries to your customer. Faster deliveries can also help you save on time.

7. Improved customer satisfaction

With timely deliveries and high-quality services you can impress your customers. Outsourcing can help you benefit from increased customer satisfaction and your customers will remain loyal to your organization.

8. Benefit from time zone advantages

Outsourcing to countries such as India has a time zone advantage. Your night will be India's day. With this advantage, your outsourcing partner can complete critical work and send it to you the next day. Thus, your work is continued by your outsourcing partner even after your employees go home. This enables the work to be completed much faster and gives your business a competitive advantage. This is one of the benefits of offshore outsourcing.

9. Increased efficiency

Another benefit of outsourcing is increased efficiency. Your non-core business functions will be performed efficiently by your outsourcing partner, while your core functions can be efficiently carried out in-house. Thereby you can achieve overall efficiency and see an increase in your profits.

10. Give your business a competitive edge!

Outsourcing can help your organization gain a competitive edge in the market. You can also get access to specialized services for different business processes and thereby provide your customers with best-of breed services. Such strategic outsourcing can give your business a competitive edge among your peers. The benefits of outsourcing can give your organization a cutting-edge in the worldwide market. Outsource and take advantage of the benefits of outsourcing.

11. Outsourcing countries also benefit from outsourcing

Countries such as U.S, U.K, Norway and Australia amongst others can benefit by outsourcing. The economy of these countries has increased tremendously after outsourcing. In the U.S, after the outsourcing boom, the economy has increased, jobs have increased and the wages of American workers have increased.