Outsourcing is the new black. It has become much more popular in recent years as a way of cutting costs while maintaining value, and is especially beneficial for small businesses.
It feels natural to engage an accountant when you need help with your tax return or a caterer if you plan a party, so why not outsource your HR too; It’s a highly specialised profession that will add value to your business. So – is it time to outsource your HR? Here are some signs to look out for:
Staff morale is low
If some members of your team are unhappy and you can’t pinpoint exactly why; it may be a sign that your current HR system is not operating efficiently. It is important to have regular appraisals to understand what’s happening with individual colleagues and how people are feeling. If you find yourself postponing them, this is a red flag.
An appraisal is a great way for keeping staff motivated and enthused about their jobs. If they are underperforming they need to understand how to put this right and be incentivised to improve. A good appraisal will be a positive helpful experience and should never be shelved.
You don’t know the answers
If you are a small company and the HR department, marketing team and accounts are all wrapped up in one person it will be a sure bet that expertise will be lacking in one or more areas. When a company is in it’s growth stages an entrepreneur will take on many roles but his or her skill set will naturally be focussed on the core business.
If the staffing issues become difficult there are places you can get answers like ACAS, the government website or searching online, but the best answers will come from a qualified professional.
HR team is overwhelmed
If your HR team is sinking under a mountain of admin it may be time to look at a solution that helps them. Their morale may be low if they are dealing with staff negativity and it’s important to keep everyone positive and motivated. Once the downward spiral starts it’s difficult to climb back up.
You are noticing conflict
Sometimes employees are unhappy and you can manage one persons bad mood or their bad day, but what if the whole workforce is unhappy all the time. Maybe it’s just a general negativity, or there are conflicts between managers and their teams. It might be a problem with inconsistency or poor policy making, but if you can’t pinpoint the issue this can be infinitely frustrating and it’s well worth asking a qualified HR professional to look at the issue with fresh eyes and offer some solutions.
An expert will ask the right questions and have an unbiased standpoint. Their objective is to offer good value and positive outcomes.
You need to know that outsourcing is the right road to take, and if you haven’t tried it before or know anyone else who has, then this uncharted territory can seem daunting, so let’s look at the benefits:
You will probably pay less if you outsource, and get a better return for your money. It’s worth working out what it costs you in man hours compared to the cost of an outside company or a freelancer. Unless you are a large corporation it makes sense to outsource your HR as they will tailor their skills to your requirements.
Delegating a job can be difficult if you like to feel in control, but it’s worth taking the leap. It will save you time that you can better use to run your business and do the jobs that give you satisfaction. You’ll be reducing your own stress levels too. HR is a difficult job and if someone else can do it better than you it’s worth it for your own mental health, and the quality of the HR you provide will be much improved.
A firm who specialise in HR will be trained in; and have access to all the current legislation. They won’t need to spend time researching in the way that you would, and that in turn will give you confidence.
There are constant challenges related to having employees and whether it’s researching to find out if they qualify for a free eye test or paternity leave or just listening to grievances, it’s reassuring to know you can solve their issues quickly and fairly.
There is never a one fit answer as every business is unique. Think about the gaps in your HR and how many employees you have as a starting point. Write a wish list of your perfect HR solution and go from there. Here are some options:
A company with more than 50 employees will generate lots of work for a HR department like: recruitment, staff contracts, training, appraisals, disciplinary and dismissal procedures, maternity leave, sickness management, redundancy, covid safe working practices, grievances, equal opportunities, payroll and pensions. If you have a company with complicated requirements it’s worth considering using a HR consultancy.
If you feel confident about most of your HR but lack knowledge in one or two areas you could choose to outsource one particular aspect like payroll or recruitment. There are agencies that can offer expertise in recruitment from advertising a role and managing responses to screening and background checks once a job offer has been made. If you are in an industry that requires a skill test for job candidates this is something that can be managed by an expert too.
A good accountant will offer a variety of financial related services and would easily manage your payroll and provide good advice about employee pensions. At Xpert Technologies we have a strong partnership with Salhan Accountants who offer a wider range of human resources like employee contracts, recruitment, health and safety policies, absence management and much more. For details click this link … Salhan Accountants HR Consultancy
There are technology solutions too. If you need to train staff in areas like customer services, social media, sales or debt collection you could consider online training which has become much more popular and more easily sourced since lockdown. There is a good choice of courses that your employees can do in the comfort of their homes.
A software program could help you manage many aspects of your HR, and maybe you just need help planning work shifts and holiday rotas, or keeping documentation and admin up to date. One little app on your laptop or phone could prove to be a game changer when it comes to time management. A job that took you a couple of days could be reduced to minutes and will have the added advantage of being online and easily communicated to your team. You could send important documents or the new shift rota directly to their phones. If this sounds interesting take a look at our ‘Xpert Leave Management’ software. Here’s the link – Xpert Leave Management