Outsourcing HR services to human resources consultants can help save both time & money, significantly. Just like any other service provider, vendor, contractor, or partner: Human Resource Consultants can have a positive impact on your business. Make sure that you decide a HR Consultancy if they invest time getting to know you and your organization so that they can ensure a positive impact and are in line with your vision and goals.

Here are 7 reasons why organisations need HR Consultancy

1. Cost effectiveness & Value for Money
Using a HR Consultancy can be very cost effective & financially benefiting for your organisation especially during a ramp up or company expansion. For example, human resources consultants have recruitment specialists who have more experience and specialized knowledge than your own staff. To hire employees on your own would cost you more than using a recruitment consultant. For smaller companies, it is more cost effective to hire a HR Consultant who will do the job well and effectively, building an entire HR department from scratch. For example :- Sourcing , Scheduling , Interviewing, Hiring, POFU ( post offer follow ups ) , onboarding and training of inhouse talent acquisition team to perform at the level at which human resources consultants perform can cost a great deal of time & significant amount of money.

2. Efficiency & Productivity & Confidentiality
An experienced outsourced providers expertise can often deal more effectively – especially with complex HR functions and processes such as recruitment, compensation & benefits administration, employee regulations, employee handbooks, employee life cycle, policy creation, payroll, maintenance of records etc. This reduces the time employers and managers spend on HR-related paperwork, lengthy procedures and dedicate more time to focus on their core business activities.

3. Employee Training & Development
Outsourcing you HR functions to a HR consultant can help businesses manage employee performance and their training & overall development. The human resources consultants can implement performance management plans to ensure employees comply with company policies and procedures and successfully meet your business goal. Your outsourced HR team can then monitor employee performance and report findings to management. This reduces the workload of managers by minimizing administrative responsibilities they must focus on. Performance metric can be implemented and tracked on a monthly, quarterly, and annual basis.

4. Focus on Core Business activities and outsource rest.
Business leaders often get caught up in their day-to-day HR activities and repetitive activities which could distract them from their main business focus. Outsourcing to a HR consultant allow you to shift your focus with some comfort knowing that the HR side of things is being taken care of by professionals and specialists. By working alongside the consultant, your own HR staff can learn and grow, as well as being able to focus their efforts in core business activities.

5.Save time and improve efficiency
HR consultants can often be brought in to help create some of the more difficult HR documents such as employee handbooks and employee files, HR policies. Most of the times HR consultants are consulted to help establish best practices, improve efficiency, and hence save significant amount of time. In turn, this policies and documents contain answers to many employee questions, ranging from the do and don’ts in the organisation to way and means of being in an organisation. Simple things such as leave policy, fire safety procedures, code of conduct, Work ethics, statutory policies anti- Harassment policy etc. By having the answers at your fingertips, employees and the organisation get answers to their questions, faster thus saving significant time.

6. Create Employee satisfaction and decreased employee turnover
One of the major qualities of the outsourced human resources consulting provider must be a positive change on employee satisfaction. Having a HR consultant speak honestly with your employees about their work, and then having changes implemented that are fair and that benefit everyone, will lead to greater employee satisfaction, increased productivity, and decreased turnover. A good consultant would create an effective feedback mechanism, employee satisfaction survey, employee perception surveys and ESAT forms (Employee Satisfaction Forms).

7. Minimizing risk management & Return on investment
A good human resources consultant would help businesses minimize their risk. The HR policy creation and labour / Employment laws change regularly, and it can be difficult for employers to remain up to date on regulations that affect the workplace. It is the job of HR consultants to stay on top of these laws so that you do not have to. They will make sure your policies and procedures comply with the current laws and that both the employer and the employee are protected. They also regularly maintain your documentation to make sure you are continually up to date. Its not just HR and Labour policies but event the contractual / vendor policies need to be updated time to time.

Having an outsourced HR team assist you along with your long-term strategic plans and goals such as Business Continuity Plan, succession planning and overall professional development allows more time to be invested into these areas than you or your in-house HR or talent acquisition team may have. This shift of focus towards strategy creation, policy creation & quick and highly effective decision making will bring about a great, sustainable return that the initial investment in using a HR consultancy.

Outsourcing your HR & implementing processes will present sizeable changes. But it is important to find the right HR consultant  who will devote significant time to this process. The time spent choosing the right outsourced human resources consultants for you and your organization will pay off enormously in the long-term.