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Human Resources Outsourcing

Updated:2018-2-23 17:50:46    Source:www.tannet-group.comViews:809

Human resource outsourcing (HRO) is quite useful for small and medium, which occurs when a business instructs an external supplier to take responsibility (and risk) for human resource functions and perform these tasks for the business. That includes administration of health benefits plans, retirement plans, and workers' compensation insurance, as well as recruitment, training, and legal expertise, etc.

Brief introduction to human resource outsourcing
HRO is the process of sub-contracting human resources functions to an external supplier. Almost every organization outsources part(s) of their human resources. Reviews of business processes have led many organizations to decide that it makes business sense to sub-contract some or all non-core activities to specialist providers.

Most businesses use third parties to perform payroll, job recruiting or social media sites, background checking, assessments, and benefits administration. An outsourced provider uses a combination of technology, certified personnel, and streamlined processes to more effectively perform a transaction for the buying organization than can be efficiently done in-house.

Benefits of human resource outsourcing
Human resource outsourcing reduces the fixed cost of managing employees. These human resources firms are more efficient than hiring new workers. The talent and infrastructure are already in place. Small businesses save money and time by hiring HR firms. That's a great advantage to small businesses. They can offer a wider range of these following benefits. Other potential benefits as shown as below:

Reduced cost;
Increased efficiency;
Improved management information (including human capital metrics);
Access to HR expertise not available internally;
Increased flexibility and speed of response;
Philosophical reasons;
Reduced risk;
To free HR resources to operate more strategically.

Most small and medium sized business owners know the frustration of spending more time than they want on non-revenue generating activities. From payroll and human resource management to benefits and compensation, managers and directors can spend a significant proportion of their day engaged in these necessary but time consuming tasks. As a small business owners, if you have any problem in running you business, feel free to contact Tannet.

Contact Us
If you have further inquires, please do not hesitate to contact Tannet at anytime, anywhere by simply visiting Tannet’s website, or calling Hong Kong hotline at 852-27826888 or China hotline at 86-755-82143422, or emailing to You are also welcome to visit our office situated in 16/F, Taiyangdao Bldg 2020, Dongmen Rd South, Luohu, Shenzhen, China.

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