The labor outsourcing services have been recognized as an effective tool with many benefits to businesses, but not every business needs this service. So when should businesses not outsource human resource?
In this article, Faro Vietnam will point out when businesses should not outsource human resources!
Risk of leaking confidential information
For businesses, confidential information is considered as the backbone of the body. Therefore, any risk, even the smallest, can cause information leakage is unacceptable.
When using human resource outsourcing services, the business must provide some information related to the products and services, for example, such as payroll, personnel records, policies, etc, which are considered as competitive advantages in recruiting and retaining talent of the enterprise and the providing these confidential information to a 3rd party will face the danger of the information leak.
If the business still decides to choose this service, it is necessary to carefully select a reputable service provider in terms of professional ability and information security.
The high cost of outsourcing personnel
The demand of human resource outsourcing service is not only expertised but also cost- saving. Therefore, businesses should consider the cost and effectiveness of human resource management, which are prerequisite criteria to choose human resource outsourcing services.
In case the cost of outsourcing human resources is too expensive and exceeds the budget or the efficiency is not too good, businesses can consider not applying this service.
The limitation of control capacity of business
Handling over work to the human resource outsourcing service company but the business cannot be completely assured and needs to monitor, check and supervise, which is a sign to consider.
Some outsourcing companies allow businesses to co-operate in the entire process through specialized management software. However, there are some units that want to do it themselves and not have the businesses' interference. At this time, even though they are committed to high quality and low cost, you should not choose that human outsourcing company.
Outsourcing companies with core values
Each business will have different core values in human resource management and some companies will choose human resources of priority but others will choose personnel policies first. Regardless of the factors, businesses should not use outsourcing companies to do work related to core values which are as the gold and diamonds but just as the aspects of human resource management to outsourcing companies so they will not put all their enthusiasm to invest in implementation. Moreover, the core values of the business can be promoted for a short time and the surface while the business needs is in-depth quality.
Businesses should invest in human resources to develop that core value and meticulous issues and entrusting procedures can be handled by outsourcing companies.
In general, businesses should not outsource personnel when aiming for core values that bring competitive value. In case business really has the demand for this service, business should carefully consider and select a reputable provider that will both effectively handle information security and limit risks.
The above cases are useful suggestions for businesses to use human resources outsourcing services. To obtain more information, please immediately contact Farovietnam's hotline for more advice from our experts.