HR Outsourcing Basic Rules


Luke - Posted on 01 November 2009

The HR Outsourcing can be a real success, when the organization sets the basic rules for the outsourcing and the HR Team prepares a good documentation of the whole outsourcing process. The outsourcing provider can promise anything and it can be truth as the outsourcing provider does not know the detail of the organization and the provider documents everything on the standardized offered product. The basic outsourcing rules are a tool to avoid surprises and to get both partners on the same level of understanding.

The basic outsourcing rules for HR processes are:

  • Just standardized processes to be outsourced - the HR Team has to select the HR processes, which are stable and they are standardized over many industries as the outsourcing provider can use the standard offered
  • Just stable process to be outsourced - the HR process has to be stable, running smoothly and no surprises hidden inside
    Cost saving as the outsourcing goal - the outsourcing has to bring a cost saving for the organization, it is extremely simple, but the organizations forget about this simple outsourcing goal too often
  • No expected development of the outsourced process - the organization cannot plan huge changes in the outsourced process as it loses the control over the process steps, it can manage just the cost and inputs and outputs, it cannot manage anything in between
  • Easy insourcing in case of issues - the outsourcing provider can promise anything, the organization has to react quickly in case of any issues, the process has to be in-sourced back quickly and at reasonable costs

The outsourcing rules for HR Processes are simple, but they can save a lot of pain in the future. The outsourcing has its rules and the whole process has to be managed by the outsourcing organization as it is in the danger of the failure, not the outsourcing provider. Keep these simple outsourcing rules in mind.

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