When you run a business, one of the things you need to do is keep your costs as low as possible. After all; the primary aim is to make as much profit as possible! The sad truth for some enterprises is they tend to waste money unnecessarily. As odd as it might sound, having an in-house HR department can now be considered one such unnecessary business expense. The traditional role of the Human Resources department has changed in recent years. There’s no denying that the evolution of technology has influenced what HR teams do these days. If your business has an HR department, should you disband it? Well, if you’re looking at ways to optimise efficiency in your business, the answer will probably be yes. Here’s why: Outsourcing is king You might not know it, but a lot of functions that you carry out in your business can get outsourced nowadays. One such example is the roles that HR officers provide to an organisation. Part of you might be thinking that you need your HR department to handle payments to your employees and organise tax payments on their behalf. But, if you take a look at this payroll company website, for instance, you can have a third party do that for you. And what about recruitment, I hear you ask? Well, most recruitment agencies can offer a full screening and interview service. So, where does that leave your existing HR department? Well, if you outsource just those two functions alone, there isn’t much else for them to do! Increasing costs We all know how expensive it is to hire an employee, even if they were minimum wage workers. Another issue more companies are finding with their HR teams is their increasing costs. Examples of those expenses often include:
- Training;
- Certification;
- Compliance; and
- Auditing.
Leave a Reply