Human Resources is one of the most important functions a small to mid-size business tends to on a daily basis. Without a qualified HR department, your company’s staff is responsible for everything from recruiting to offboarding to employee relations. On the legal side, if you are not aware of the ever-changing landscape of employment law, your company could unknowingly violate those laws.
For many small to mid-size companies, human resources is a time-consuming job, time your management team should use to focus on running the business. This is the main reason many small companies choose to outsource their HR department.
Here are five other reasons why you should consider outsourcing human resources;
Staying Compliant With The Law
Labor laws change frequently, and there is no grace for small businesses. You are expected to comply with the law even if you have a small staff. It ‘s hard to keep up-to-date with local, state, and federal laws, and as your company grows, it will only become more difficult. Outsourcing your human resources lets you use your time to focus on your business and allows the HR company to focus on compliance with labor laws.
Saving Money On Resources
Human Resources requires material and space to operate properly. You have to find office space, money, time, supplies, and everything else that goes with having a separate department. You also need to make sure your HR personnel are up-to-date with the latest training and laws. This alone is a significant cost because training requires travel, lodging, and class fees.
A human resources company can create an effective and efficient hiring process, an efficient document management system with proper record retention, and workflow processes that support the people-side of the business. This frees up time, planning and coordination for the small company. A company dedicated to HR will have all of the latest tools and procedures already in place to accomplish these tasks.
Your HR company can initiate reviews, and employee performance plans to ensure staff is exceeding company’s expectations, aligned with your company’s values and meeting key performance indicators. Through interviews and reviews of employees records, goals can be set, and recognition tracked. This doesn’t mean you don’t have input on employee performance, and you still exercise as much control and input as you want. This means you have a coach to help guide you through the process.
An HR company can be the objective eye that many businesses need to function more efficiently. The HR company can examine a company’s infrastructure, procedures, relationships, and line of communication and see if they are as efficient as possible. Because they don’t work for the company, the consultants can make an assessment based on their objective observations and are free of influence.
Equal Parts Consulting works with small to mid-size businesses to fulfill the myriad of HR tasks they face every day. This includes developing policies, procedures, accurate job descriptions, employee development and assisting in the hiring of employees.
If your company has grown to the point your HR requirements are straining your time and budget, give us a call. We can streamline your HR procedures, take care of the normal parts of hiring, handle your daily HR tasks, and give you the one thing you can not buy, time.