Covid-19-Can HR Outsourcing help organizations adapt to the post pandemic era?

Author: Achal Ghai

The virus is not going anywhere but our approach and attitude can change to adapt to the post pandemic way of life. Everything has changed within a matter of few months and the question arises what is the new normal? Can businesses ever go back to the way they used to operate? There are more questions than answers daily. We can however be sure of one thing. We must adopt, evolve and change to deal with the present circumstances which will surely define the future.

We must get used to living with Corona Virus for a foreseeable future and as visionary Bill Gates said, “Life is not fair; get used to it”. So how do businesses go about living with this virus? All organizations must take a good look at themselves and analyze areas where they can reduce risk. One huge challenge all companies face is dealing with HR costs, work patterns and optimum utilization of resources and that is where HR Outsourcing can provide a probable and impactful solution to that problem.

HR Outsourcing is one plausible solution that can really benefit companies as a lot of the risks associated with human resources are being outsourced as well. Let us look at some of the top benefits from HR Outsourcing:

Ever Changing Labor Laws

There is almost a new law, amendment or guideline from the relevant authorities every other week especially during this pandemic. Companies can have a hard time keeping up, making best use of the new laws to reduce labor costs, hiring new employees or letting go of staff due to the sudden need to downsize. Whatever the situation, if you are using a HR Outsourcing partner, they can help you take care of all HR related issues linked to Regulatory Compliance and Reorganization challenges.

Preserving Organization Culture

An experienced HR team working around the clock who keeps updated with the latest regulations and ensure smooth reorganization to adapt to the new challenging times. This can help you  focus on your business while they take care of the HR issues and assist in optimum utilization of resources without disrupting the Organization Culture built over years.

Cost effective

Do you need a large system to manage all the employees and payroll? Outsourcing staff can help you avoid the hassle of technology expenditure and the time & resources required to manage all your non-core employees. Outsourcing companies like Legacy Smart Employment Services have their own HRMS system and a proactive team taking care of any requirements which helps you to save on the need to invest in technology and large HR teams. Further reduction in costs can also come from economies of scale on insurance costs, travel costs etc., which the outsourcing company can manage for you. This can more than offset the incremental agency fees charged by Outsourcing Agencies.

Cash Flow benefits

Outsourcing companies help you by providing payment options that will help you to handle capital deployment and cashflow in a more efficient manner. Usually, the credit period ranges from 30-60 days and that can be a significant source of funding working capital or expansion or short-term gaps.

Talent Acquisition and Scalability

Need 30 skilled Employees right away? Your HR outsourcing partner has got you covered both in terms of finding the right people and fairly quickly. They can easily onboard all of them within a short time frame without any worries about quota or any other issues.

Focus and Business Execution

There is enough worry in the market and so many problems each day. Having HR & Payroll off your plate can help you focus on your core business which is a critical success factor during this pandemic.