Instead of choosing between HR outsourcing and shared services, many companies opt for a blend of both
Outsourcing has come a long way since it first attracted widespread attention in the 1990s. Where it once generated skepticism among leaders leery of ceding direct control over business processes or IT services, outsourcing is now generally recognized as a potentially valuable and cost-effective way to handle non-core functions. But that’s not to say that organizations have the whens, wheres, and how-tos all figured out. As Deloitte’s 2012 global outsourcing and insourcing survey results indicate, the nature of the outsourcing relationship between clients and vendors continues to evolve.
Posted by Arthur Mazor
There was a time when simply deploying a shared services model or outsourcing some parts of HR meant your organization was on the leading edge of HR efficiency, effectiveness and compliance. Today that’s not the case. HR shared services and outsourcing are evolving beyond administrative and foundational HR functions (compensation, benefits, employee data, job changes and the like) to encompass even greater-value services, such as workforce analytics, succession planning and employee relations. This new future state ups the ante on shared services or outsourcing arrangements, making them capable of delivering increased strategic value and having greater business impact.