Dear Members,
We are a large organization with a Pan India presence. We are planning to outsource staffing for lower levels. I want to gain a better understanding of outsourced staffing, its pros, and cons. Kindly share your views.
Regards,
Kshama
From India, Mumbai
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5We are a large organization with a Pan India presence. We are planning to outsource staffing for lower levels. I want to gain a better understanding of outsourced staffing, its pros, and cons. Kindly share your views.
Regards,
Kshama
From India, Mumbai
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Hello,
Outsourcing as many functions as possible seems to be the order of the day. I am glad someone is thinking about the utility and efficacy of the system.
Nothing is good or bad per se. But one must consider the following:
1. Blood is thicker than water, they say!
2. A mother brings up the child far better than most caretakers or governesses.
3. There is a world of difference between a soldier who fights for his motherland and a mercenary!
It's basically a question of the level of commitment one gives to the organization. By default, it is presumed that employees give higher commitment than contracted staff. But is that really true? Staff needs to be managed, and the management must be capable of getting the best out of the people it is entrusted with. However, it is reasonable to infer that unless one can look forward to "growth" and "development," one is not sufficiently motivated. A mercenary, though fighting for "winning," is primarily motivated to earn his share. His priorities are different. Similarly, an outsourced staff member has little to look forward to in life under this arrangement, and their primary motivation is to earn a livelihood, with the well-being and growth of the organization coming after.
I suggest you consider these aspects of the issue before you decide. A good, fair, generous, transparent, and humane system can yield results from outsourced staff on par with regular staff, if not better.
It is neither possible nor wise to make generalizations on issues like this. Therefore, unless you carefully weigh the pros and cons, do not rush into deciding the matter.
Regards,
Samvedan
August 23, 2008
From India, Pune
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Outsourcing as many functions as possible seems to be the order of the day. I am glad someone is thinking about the utility and efficacy of the system.
Nothing is good or bad per se. But one must consider the following:
1. Blood is thicker than water, they say!
2. A mother brings up the child far better than most caretakers or governesses.
3. There is a world of difference between a soldier who fights for his motherland and a mercenary!
It's basically a question of the level of commitment one gives to the organization. By default, it is presumed that employees give higher commitment than contracted staff. But is that really true? Staff needs to be managed, and the management must be capable of getting the best out of the people it is entrusted with. However, it is reasonable to infer that unless one can look forward to "growth" and "development," one is not sufficiently motivated. A mercenary, though fighting for "winning," is primarily motivated to earn his share. His priorities are different. Similarly, an outsourced staff member has little to look forward to in life under this arrangement, and their primary motivation is to earn a livelihood, with the well-being and growth of the organization coming after.
I suggest you consider these aspects of the issue before you decide. A good, fair, generous, transparent, and humane system can yield results from outsourced staff on par with regular staff, if not better.
It is neither possible nor wise to make generalizations on issues like this. Therefore, unless you carefully weigh the pros and cons, do not rush into deciding the matter.
Regards,
Samvedan
August 23, 2008
From India, Pune
Acknowledge(0)Amend(0)Thank you Samvedan for posting your views.To add on to the matter ,
Outsourcing staffing function allows the company to concentrate on its core function. It reduces the cost burden. Though a lot of time is saved still it requires a considerable care in co-coordinating information flow with the agency. For the outsourcing agency, providing staff is their business, this means that they have to maintain a pool of high quality staff with a wide range of skill sets. But having said that the organization has to keep a check on it & ensure that they are provided with a high quality staff. Outsourcing can compromise the organization's control over the function that are outsourced. In case of staffing, the staff that has been outsourced may have a low morale & motivation as their job appear to be lost. In reality it might not happen but it increases employees' insecurity. The organization should keep them connected with the on roll employees & see that their goal is not different from the organizational goal. In all aspects it's that most difficult task. Off roll employees should be valued at par with the on roll employees
.Outsourcing staffing function allows the company to concentrate on its core function. It reduces the cost burden. Though a lot of time is saved still it requires a considerable care in co-coordinating information flow with the agency. For the outsourcing agency, providing staff is their business, this means that they have to maintain a pool of high quality staff with a wide range of skill sets. But having said that the organization has to keep a check on it & ensure that they are provided with a high quality staff. Outsourcing can compromise the organization's control over the function that are outsourced. In case of staffing, the staff that has been outsourced may have a low morale & motivation as their job appear to be lost. In reality it might not happen but it increases employees' insecurity. The organization should keep them connected with the on roll employees & see that their goal is not different from the organizational goal. In all aspects it's that most difficult task. Off roll employees should be valued at par with the on roll employees
My views are in general..Members who have beem outsourcing staffing in their organization kindly put your views.
Regards,
Kshama
From India, Mumbai
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Dear Kshama,
More than 87 percent of the funds that midsize companies in India budget for Finance and Human Resource processes go toward administrative transactions rather than strategic reporting and analysis, which will move a business forward. In response, firms have begun to shift from outsourcing single, discreet functions to more comprehensive, integrated HR solutions, enabling them to leverage data elements that are common in payroll, taxes, benefit administration, and other HR processes.
Driving change - Today's HR professional must focus more time and attention toward the strategic development of a company's human capital to support the achievement of company goals. Outsourcing has created an affordable infrastructure using integrated technology and HR support services to more efficiently manage personnel information and transactional activities.
The value proposition - The value proposition is that HR outsourcing is seen as a tool that empowers organizations with the ability to focus on core business competencies and drive strategic results within their culture. A recent study conducted by Fidelity Investments supports that most executives view the outsourcing of human resource and benefit administration as a good investment based on the expertise and expanded capabilities it provides compared to the cost of replicating similar capacities internally.
Trends in the mid-market - According to a study by International Data Corp., an Information Technology and Business Process Outsourcing research and advisory firm, the next big wave of HR outsourcing will occur in mid-tier firms, those with 100 to 1,000 employees. Other trends worth noting:
- By 2010, 85 percent of Indian companies will outsource at least one component of their HR functions.
- The demand for aggregated HR outsourcing services (payroll, benefit, and HR records management under one vendor contract) will continue to accelerate.
HR outsourcing, seen initially as an organizational response to downsizing and restructuring pressure, has evolved to reflect both operational and strategic rationales for driving change in an organization. Lower technology costs, affordable access to HR expertise, and the emergence of stable, sizable outsourcing specialty firms have made HR outsourcing a viable, cost-saving strategy for mid-market companies.
Finally, more than investigating whether HR outsourcing would benefit a company more than harm or vice versa, companies should put their best foot forward in ensuring that once their HR processes are outsourced, they are able to derive maximum benefit both in terms of cost and returns.
All the best!
Best regards,
Imran.
From India, Mumbai
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More than 87 percent of the funds that midsize companies in India budget for Finance and Human Resource processes go toward administrative transactions rather than strategic reporting and analysis, which will move a business forward. In response, firms have begun to shift from outsourcing single, discreet functions to more comprehensive, integrated HR solutions, enabling them to leverage data elements that are common in payroll, taxes, benefit administration, and other HR processes.
Driving change - Today's HR professional must focus more time and attention toward the strategic development of a company's human capital to support the achievement of company goals. Outsourcing has created an affordable infrastructure using integrated technology and HR support services to more efficiently manage personnel information and transactional activities.
The value proposition - The value proposition is that HR outsourcing is seen as a tool that empowers organizations with the ability to focus on core business competencies and drive strategic results within their culture. A recent study conducted by Fidelity Investments supports that most executives view the outsourcing of human resource and benefit administration as a good investment based on the expertise and expanded capabilities it provides compared to the cost of replicating similar capacities internally.
Trends in the mid-market - According to a study by International Data Corp., an Information Technology and Business Process Outsourcing research and advisory firm, the next big wave of HR outsourcing will occur in mid-tier firms, those with 100 to 1,000 employees. Other trends worth noting:
- By 2010, 85 percent of Indian companies will outsource at least one component of their HR functions.
- The demand for aggregated HR outsourcing services (payroll, benefit, and HR records management under one vendor contract) will continue to accelerate.
HR outsourcing, seen initially as an organizational response to downsizing and restructuring pressure, has evolved to reflect both operational and strategic rationales for driving change in an organization. Lower technology costs, affordable access to HR expertise, and the emergence of stable, sizable outsourcing specialty firms have made HR outsourcing a viable, cost-saving strategy for mid-market companies.
Finally, more than investigating whether HR outsourcing would benefit a company more than harm or vice versa, companies should put their best foot forward in ensuring that once their HR processes are outsourced, they are able to derive maximum benefit both in terms of cost and returns.
All the best!
Best regards,
Imran.
From India, Mumbai
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