User Interface of a Website Pricing Pages.

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Saving Money Through Outsourcing HR

Have you ever considered outsourcing your HR department? Perhaps you have never heard of this possibility. If your business is new is upcoming then this possibility might not have been in your thoughts at the time.

When you first start your business, your priority is to hire people who are integral to building the product and growing the company. From engineers and marketers to sales people, consultants, and so on, every new company needs to fill the roles that move the bottom line and grow the business.

At some point during your business’ growth, the need for people to take care of your back office operations become relevant. You need someone responsible for coordinating interviews, sending offer letters, managing benefits administration, and much more.

The problem with that job is that it’s incredibly multifaceted and it can be hard to find all of those skills in one person. You might find yourself beefing up your back office with multiple people just to get everything done.

The reality is, a well-functioning HR department can ensure that you are compliant, have payroll figured out, can on-board everyone appropriately, and hire the correct people while also ensuring that the current employees are comfortable while continuing cultural growth.

In general, HR provides the most value on strategic initiatives that have to do with building strong organizational teams like recruiting, hiring, and developing company culture. While they are often responsible for other key tasks like payroll and managing benefits, these are functions that can be automated and easily left to an outsourced HR.

It’s not newfound information that there are a large number of costs involved in maintaining an effective in-house HR and payroll function. There are obvious costs such as the salaries of the HR staff as well as the less obvious costs such as purchasing, hosting and maintaining an HR and payroll system, training and recruitment costs, office space and time spent developing and improving internal processes and managing the in-house team.

An HR outsourcing company can split many of these costs across multiple client organizations, meaning that a high level of service can be provided to organizations at a lower cost. Additionally, by using automated workflow processes, HR and payroll administration can be carried out in a more efficient way, which can reduce costs and man hours even further.

Cost savings come from several areas, including:

To learn more on how to calculate these amounts, please feel free to reach-out to us here at SW HR Consultingat 702–979–2119 as we would be glad to partner with you through these important steps.

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