Consider one possible scenario. If you are a business owner focused on growing your company, as you increase your staff numbers and as your teams continue to grow, you are liable to find not only that you spend more time managing your human resources, but also that the issues you encounter in this space require increasingly specialised knowledge. As amusing as it may sound, it is perfectly possible to become a victim of your own success when growth requires more staff, but more staff requires more of your attention preventing you from driving further growth.

In the past, we have explained What is an HR Consultant and What Is Human Resource Outsourcing. This time, we will discuss the more tangible advantages of outsourcing HR functions in your organisation.

There are many advantages of outsourcing HR functions, and one of them is certainly giving yourself more time to focus on your organisation and do what you do best – managing it, especially if you are a small to medium sized business owner. We expand on these points further below, but to summarise:

  • Outsourcing HR frees up time.
  • Outsourcing HR improves compliance.
  • Outsourcing HR mitigates liability.
  • Outsourcing HR improves hiring quality.
  • It improves human resources policies.
  • Improves employee relations.
  • Gives your employees access to training and professional development.
  • Streamlines administration.

Small and medium sized business owners face the most challenges in the human resources management space. Your business may at some point find itself big enough to need professional HR help, but too small to justify the expenses and overheads involved in hiring an in-house expert. This is where HR outsourcing can step in, by providing you access to the professional advice you need, without all the associated additional costs.

If you are still wondering why outsource HR, continue reading to learn why HR outsourcing is important and how it can help you improve your operations. If you would prefer to take the next step, however, call Bramwell Partners on 07 3630 5695, e-mail [email protected] or get in touch online to learn how our human resource consulting services can help you.

Why HR Outsourcing is Important

Outsourcing HR Frees Up Time and Can Save Money

Outsourcing your HR functions can increase the overall efficiency in your organisation by giving yourself and your administrative staff the time to focus on their actual work. A welcome additional benefit may include less pressure and day to day stress since you will have a professional handling your human resources on your behalf. You are likely to spend (waste) more money trying to learn everything you need to know or training an existing administrative employee than by engaging a consultant. Do not forget that staying on top of legislative and regulatory changes also requires time whenever they occur, while being a key part of maintaining HR compliance in your organisation.

Outsourcing HR Improves Compliance

Outsourcing HR gives your business access to qualified professionals whose wealth of knowledge and experience is unlikely to be matched by anyone learning about HR “on the side”. The perspective and skill of a professional with industry knowledge cannot be overstated, especially when it comes to compliance matters. Ensuring and maintaining compliance is one of the key aspects of HR functions. With often changing regulatory requirements placed on businesses like yours, it may be difficult to avoid compliance breaches or violation without professional help. Consider whether you truly know what federal and state regulations you have to comply with and what the consequences of not doing so may be. Outsourcing can eliminate this headache for you.

Outsourcing HR Mitigates Liability

Improving compliance through HR outsourcing can leading to a significant reduction in your overall risk. It makes sense to outsource not only to simply free up some of your time, but also as a key part of the overall risk mitigation and liability management strategies that you should have in place. An outsourced professional can review your employee management practices and documentation to ensure that they comply with the laws you are supposed to adhere to.

Outsourcing HR Improves Hiring Quality

The knowledge an outsourced HR professional can bring to the table is not limited to just “making sure the papers are in order”. Consider that an HR expert, especially an external consultant, probably has worked and continually works with many different organisations like yours, giving them a breadth of industry understanding that you would be hard pressed to find anywhere else.  What does this mean for your business? Well, an HR professional will have seen it all, giving them the wisdom they need to help you hire the best candidates for the most suitable positions. It goes without saying the quality of your hires is a core part of the quality of work carried out in your business, outsourcing can give you the opportunity to hire the talent that may well take your company to the next level.

Advantages of Outsourcing HR Functions

Considering why HR outsourcing is important can open your eyes to its tangible benefits which can be summarised in a few key points.

Improved Human Resources Policies

Working with a human resources consultant allows you to leverage their expert knowledge and gives you access to a bird’s eye view of your HR policies and practices. This can put your internal procedures to a real test, revealing which of your practices may need to be revised or updated to comply with state and federal laws (as applicable).

Improved Employee Relations

Managing employee relations is certainly a hard to find and develop skill. When you find that maintaining positive relationships with your employees can be difficult, an HR consultant can implement constructive strategies that not only help with staff retention and loyalty, but also create more engaged and productive teams.

Training and Professional Management and Development

Training is one area where outsourcing your HR can really make a difference to your organisation’s employees – from supervisory training that helps your managers lead their teams better; through conflict resolution, harassment, and discrimination awareness; to performance management.

Streamlined Administration

Access to improved HR management systems and procedures – your professional HR consultant does not have to develop new processes for onboarding, contract management, leave policies and other similar aspects of managing human resources in a business from scratch. Thanks to their experience in consulting not only for your company, but also for other organisations (both similar to yours and others that may be wildly different) gives them an understanding of what works and how to carry these administrative duties efficiently.

At Bramwell Partners, we specialise in the kind of HR consulting Brisbane business owners like yourself trust for quality, compliance and efficiency in managing their human resources. Call us on 07 3630 5695, e-mail [email protected] or get in touch online and outsource your human resources management to us.