Small companies have much to consider when deciding whether to hire their own HR staff or outsource to an HR outsourcing firm. While each company has its own unique circumstances, here are 14 things to consider when deciding whether to hire or outsource HR is best for your business needs:
1. Control
Business owners naturally want to be in control of their staff and operational decisions. Many choose to hire employees to remain in control of their business environment.
However, outsourcing doesn’t necessarily mean you lose control over operational decisions. In fact, outsourcing your HR operations often results in better compliance and more streamlined processes — including payroll and benefits administration.
2. Objectivity
It’s not uncommon for employees to lose their objectivity in a business environment. Exposure to workplace drama and competing needs between departments often leave employees unable to see a balanced, objective view. Outsourcing your HR reduces potential bias and ensures that any HR-related decisions are made according to the owner’s interests.
3. Trust
At Focus HR, we have a strong code of ethics and integrity. Everything we do is in the interest of our clients, and we ensure that we hold up our end of the agreement. With Focus HR, you never have to worry about confidentiality. Our team has earned a high degree of trust from our clients and we work hard everyday to preserve that trust.
4. Accountability
Human Resources is a vital part of any organization, and there are many regulations that companies must follow. Focus HR keeps our staff well-versed and up-to-date in all matters involving hiring, employee benefits, and payroll. As a professional service, our clients hold us to a higher degree of accountability and we remain accountable for every recommendation or task we perform for our clients.
5. Technology
Focus HR uses a cloud-based portal that our clients and team can access for all their HR needs. With Focus HR, you eliminate the need for excessive paper documents, spreadsheets and manual processes. Anytime you need to review a form, check, pay stub or W2, you can easily download it from our HR platform.
6. Scalability and Agility
Small businesses often grow fast. While expanding quickly is exciting, not being ready to scale your office functions can put your organization at a disadvantage. Whether you have a handful of employees or hundreds, you need a team that can adapt to your growing needs and ensure you remain compliant with the ever-changing employment laws.
7. Responsiveness
Frequently, business decisions need to be made quickly. No one has time to waste on unanswered emails and lost communication. Clients appreciate Focus HR for our consistency and commitment to being responsive. Whenever you have a pressing question, you’ll find the help you need with a quick phone call or email.
8. Dependability
Outsourcing your HR department leads to greater dependability. Employees can always leave — they take vacations, get sick, and occasionally decide to move on to new positions.
However, when you outsource your HR to Focus HR, we have multi-layer redundancy built in. You’ll always have a team available to answer your questions when they arise.
9. Flexibility
As a boutique firm, Focus HR is not beholden to rigid corporate structure, pricing plans or other bureaucracy. We know small businesses experience ebbs and flows in evolution of growth, and as such, we don’t believe in long-term contracts or other onerous contract terms. We have to earn our keep every 30 days. That gives our clients the peace of mind and flexibility their businesses require through growth and other business cycles.
10. Focus
When you outsource HR, you free up a heavy administrative burden and, with that, the headspace, time and energy to focus on what matters most in your business – increasing sales, improving cash flow and recruiting and retaining the best employees. Rather than trying to handle complicated HR issues on a do-it-yourself basis, focus on doing what you best!
11. Predictability
Hiring someone internally to handle HR for your business lends itself to a degree of unpredictability. You don’t know whether they have the knowledge needed to build the kind of HR systems necessary that create efficiency and mitigate risk, nor can you predict whether how well they will align to your workplace culture.
Focus HR eliminates that worry, giving you a team of professionals that knows how to consistently deliver high-value HR processes and support. That’s the kind of predictiability business owners need to depend on.
12. Simplification
Often, smaller organizations have fragmented human resources processes and procedures, making it challenging to coordinate various HR-related functions. Employers need more simplicity, not complexity. At Focus HR, we offer the team and technology platform to deliver a more simplified, streamlined process. Say goodbye to spreadsheets, time cards, and paper-based employee files!
13. Risk Mitigation
Today’s world presents a myriad of regulatory concerns related to employees and labor law. As a business owner, you certainly don’t want to face an unexpected audit or experience the potential consequences of non-compliance. With Focus HR, you can put your concerns aside and allow us to ensure complete compliance to crucial employment laws.
14. Business Valuation
Outsourcing HR allows you to streamline your most important human resource functions. If you’re contemplating a future retirement or exit from your business, streamlined processes can increase the business valuation of your company. Future owners will appreciate the fact that your company is well-organized and compliant.
Choose Focus HR for Your Human Resource Needs
If you’d like to learn more about outsourcing your human resource functions, contact Focus HR to schedule a free consultation.
