Seeking Advice on Managing HR Functions for a Client: What Should We Know and Charge?

Dear Seniors,

We are a placement consultant and have a client who wants us to manage their HR functions. We kindly request your guidance on the following points:

1. What are the requirements for this task?
2. Could you please suggest a suitable format that we can use while interacting with the client?
3. What would be the appropriate charges for providing such services?

We eagerly anticipate your valuable suggestions.

Thanks & Regards,
Sarita Sharma

Hi Saritha Sharma,

Please clarify what you mean by HR functions. What is the total employee strength, and what will be your roles?

Also, please be specific with your questions too. 'What are the things required for the same?' Questions like these are difficult to answer.

Dear Sir,

As an HR function client has instructed us to carry out the following tasks:

- Recruitment
- OD Process
- Organize the appraisal of employees
- Review employees' mood and report to management
- Prepare employee contracts
- Conduct probation appraisals

When I mentioned 'things required for the same,' I intended to inquire about the necessary resources in terms of manpower and budget to provide these services. The client is an NGO.

Thanks & Regards,

Sarita Sharma

I am a freelance HR Consultant, apart from other roles such as Freelance HR Trainer, Soft Skill Trainer, and Content Developer. I am a consultant for many small and medium-sized companies and start-ups. You can provide any service to your client in the HR area - end-to-end solutions. In fact, my outfit's name is R2R HR Services, i.e., Recruitment to Retirement HR Services. If you have the resources, you can provide anything. However, it depends on what your clients want, and for that, you have to equip yourself through external or outsourced persons. For instance, your client may seek your service for background/credential verification, or may ask you to provide an Employee Handbook or create a designation structure or restructuring.

Compensation Strategy

As regards compensation, if you are a small outfit, you can charge per number of employees in your client establishment. Bigger MNC consultants charge at 10K per employee depending upon the service, and you can start with 500K per employee and come to an understanding depending upon the affordability of the client. There are no benchmark figures for such services, purely a demand versus supply situation.

Best wishes

Dear all,

Thank you for your valuable advice. Could you please share the format that we can use to send to the client? It's a very small organization with only 20-25 employees, and we need to manage the following functions:

- Recruitment
- OD Process
- Organizing employee appraisals
- Reviewing employee morale and reporting to management
- Preparing employee contracts
- Probation appraisals

What would be reasonable charges for these services? Please guide us.

Thanks & Regards,
Sarita Sharma

If I were in your place, I would first fix an appointment with the CEO or the relevant person. Sit with the person concerned and make a presentation showcasing your firm's experience, knowledge, and skills in HR. Include information about your past clients and the assignments you have undertaken for them in HR. Then, seek to understand what they want from you. List out their requirements, attend to the tasks one by one, and deliver them. Whenever they seek clarifications, provide them. That is how it is done.

Best wishes