Planning To Outsource HR? Here Are the Top 4 Things You Need To Consider
Introduction
Outsourcing HR functions is a common practice for businesses in the Philippines no matter the size of the enterprise. There are a couple of reasons why this is becoming more and more prevalent, the most notable of which is time and cost saving.
By outsourcing your HR team, you can offload areas in your operation that are taking time and resources away from your core business functions. Moreover, it reduces the overhead cost of starting your own in-house team. You can now rely on human resources specialists who are experts in hiring, management, and compliance.
If you are interested in outsourcing your HR, then you’ve come to the right place. This blog will introduce you HR outsourcing, its benefits, and the common things you need to prepare before partnering with an outsourcing company, like Q2 HR Solutions.
What Is HR Outsourcing?
HR outsourcing is the act of hiring an external or third-party company to manage the common tasks performed by human resources. You can outsource HR for specific tasks, including performance management, payroll management, talent acquisition, and compensation and benefits administration.
Some companies request outsourced HR solutions in the Philippines to cover some of the tasks that cannot be processed by their in-house team. Other businesses, especially small- and mid-size enterprises (SME), rely on BPO human resources to take care of their entire operation.
Why Should You Outsource Your HR Solutions?
There are plenty of reasons why outsourcing HR is the best solution for a company. One of which is the reduced overhead cost. Instead of investing in experts, new technologies, and materials for an in-house team, you can reduce the cost of your operation by hiring third-party agencies who already have these resources at hand. Through this, you can focus your investments on areas that will generate more income for your company.
One other reason to tap into HR outsourcing companies is to access experts and simplify your operations. Agencies like Q2 HR Solutions have a pool of talented professionals who are equipped with the most effective practices in human resource management. They can handle all areas of your human resource outsourcing or HRO process with accuracy and efficiency to deliver the most optimal results.
It is also a worthwhile investment if you are having trouble keeping up with the compliance requirements in human resources. Our HR experts in Q2 HR Solutions are always up to date when it comes to new regulations or labor codes that might affect your business. We strictly adhere to the employment law to prevent possible distress to you and your employees.
These are only some of the benefits of outsourced HR solutions in the Philippines that you might experience as a business owner. We invite you to discover the rest as you connect with our team of talented human resource agents right here at Q2 HR Solutions.
Things To Remember Before Engaging With HR Outsource Providers
Before you jump right into hiring an outsourced team, we recommend considering the four factors below to properly communicate your expectations. Here are a few things to remember:
Align Outsourcing With Objectives
Before partnering with us at Q2 HR Solutions, you need to determine whether outsourcing truly aligns with your company objectives. You can start by asking yourself what your plan is for the future or what problems you want to solve.
Are you planning on expanding your business? Or do you want to reduce operational costs and focus more on income-generating activities? These types of questions will help you determine which specific services you need to outsource.
If you already have an in-house HR department but still want to outsource, the rule of thumb is to analyze which areas of your HR operations are currently lagging in performance. You can outsource for these areas specifically to help streamline the duties of your in-house department.
Ensure Strict Data Privacy
Since outsourcing HR requires entrusting sensitive business data, you need to make sure that the agency you are working with implements a set of reliable security measures when processing your documents.
In Q2 HR Solutions, we make sure to start every partnership with a non-disclosure agreement. This way, you can have a legal framework to protect your information from competitors or other parties. We also ensure privacy compliance and data security by implementing regular risk assessments, conducting thorough background checks on all our agents, and limiting interactions to secure channels.
Specify Types of Activities
BPO human resources can offer different services including payroll and tax administration, recruitment and onboarding, policy creation, workplace safety management, benefits administration, and employee training. You need to be specific about what services you want to avail for your company to prevent any hiccups in your operation.
We highly recommend booking a consultation with one of our product experts at Q2 HR Solutions. This way, we can guide you in creating a detailed outsourcing agreement that states your expectations and the key metrics that will help identify our success.
Before drafting the agreement, we highly advise clarifying your company policies and culture so we can align our practices with yours. You can use this agreement to monitor the performance and track the progress of your outsourced services.
Prepare Your Budget
One of the most important things you need to prepare before signing an agreement with an outsourcing company is your budget. Determine how much you are willing to spend on your human resources and find an agency that could accommodate you.
Start by comparing the prices of each outsourced HR solutions provider in the Philippines and see which one works best for you. Keep in mind that the cheapest isn’t always the best so be careful in selecting an agency that will satisfy your budget without compromising the quality of service.
We also recommend getting a quote from your outsource provider so you can be sure of their pricing. Here at Q2 HR Solutions, we offer free consultations so you can come to us with your concerns, and we can discuss solutions that will fit your limited budget.
Conclusion
Companies all over the Philippines, whether big or small, are shifting to outsourced HR solutions due to their countless benefits including cost saving, flexibility, compliance, and access to expertise. Now that you know what to prepare for your outsourcing venture, it’s time to reach out to a capable HR provider.
Q2 HR Solutions has been in the HR outsourcing industry for over two decades. We offer quality HR services recognized by multiple accreditation authorities including Investors in People. Contact us today and book a consultation with our product experts.
