3 Unexpected Benefits to Outsourcing Human Resource Management

If you’re researching the pros and cons of outsourcing your business’ human resource management, the odds are good that you’ve come across many of the same arguments for doing so.  For example, nearly any well-researched article on the subject will point out that outsourcing your company’s human resources allows you and your employees to focus on the profit-generating aspects of your business.  Most articles will also point out that outsourcing human resources can ultimately save money simply by virtue of the amount of time that it will free up in your schedule; and improved compliance with laws and regulations is another no-brainer.

Before making an important decision about your business, though, it’s important to consider all angles of the issue.  So let’s dig a little deeper.  Here are our top 3 unexpected benefits to outsourcing human resource management.  

#1: Gain an outside perspective

One of the most common arguments against outsourcing human resource operations is that “no one knows your company as well as you do.”  This sounds quite convincing at first, but it overlooks a couple of important factors.  First of all, as the owner of your business, all decisions (hiring, firing, salaries, etc.) ultimately rest in your hands.  What external human resources can do, however, is offer an impartial, third person perspective on the strengths, weaknesses, and needs of your business.  

#2: The science of recruitment

Another common argument for outsourcing human resources is that the people who work for human resource firms are generally highly educated experts.  This is true, but it doesn’t completely encompass the superior recruitment abilities of human resource agencies.  That is because these days, hiring and recruitment can be optimized through data mining, social media, and other methods that are difficult for businesses to emulate on their own.

#3: Outsourcing human resources makes outsourcing other functions more efficient

Last but not least, it’s important to remember that some human resource companies also specialize in a number of “outsourceable” business operations such as payroll and timekeeping.  Precise Payroll is a perfect example of this.  Outsourcing your payroll with such a company allows you to “bundle” your outsourced operations–which can save you even more time and money.