Future Manager Italy Insights

The Advantages of Outsourcing HR Activities

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Author: Future Manager Research Center

 

With this article, the series dedicated to the positive aspects of outsourcing HR activities continues.

It should be noticed that for a company the outsourcing of an HR process translates into choosing an external recruitment service provider to whom it can permanently entrust the partial or total management of a process or application of the HR function.

Generally, a multi-year contract regulates the Outsourcer’s performance in relation, for example, to standards of execution times, costs, quality and accessibility of systems and services.

In previous articles about this topic, we focused on the purposes of HR outsourcing, including addressing the time-consuming and non-strategic aspects of the HR function at a specific point in business growth. This maneuver therefore aims to free up time and energy for the company so that it can focus more on its core business. Human resources outsourcing actually arises from the need to create more value through better performance.

The extreme concentration of the Outsourcer on its RPO Core Business gives two further advantages, such as the improvement of the quality of recruitment by providing talents of excellent profile, with high potential and with an equally high prospect of staying in the company. In this regard, several studies show that high-quality recruitment improves the productivity of companies that integrate valid RPO programs into their activities.

Secondly, the use of experienced RPO recruiters provides access to extremely useful data for mapping potential valuable candidates but also for planning the company’s workforce. All this is aimed at increasing the efficiency of the recruitment methodologies, which when refined and addressed to the best, also contribute to improving the forecast of future hiring needs.