Chapter 13-Outsourcing

Chapter 13-Outsourcing - Chapter 13 Outsourcing...

Info icon This preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Chapter 13: Outsourcing Outsourcing A contractual relationship for the provision of business services by an external provider HRO or HR offshoring: Occurs when outsourcing is done in a foreign country Characteristics of Potential Outsourcing Functions Rule based Repetitive Frequently undertaken Predictable Able to be fully or partly automated with technology Able to be delivered by remote sites Outsourced HR Functions HR functions most likely to be outsourced: Temporary staffing Payroll Training Recruiting Benefits administration Compensation: Payroll Benefits Compensation administration Pension Recruitment and Selection: Advertisements Screening of applications Testing Reference checking Preliminary interviews Executive salary negotiations Exit interviews Outsourced HR Functions Training: Program delivery Program design and development Training consulting Training needs analysis Program evaluation
Image of page 1

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Strategic planning Administration Training policies Health and Safety: Employee assistance programs Wellness programs Reasons for Outsourcing Six major reasons: 1. Financial savings 2. Strategic focus 3. Access to advanced technology 4. Improved service levels 5. Access to specialized expertise 6. Organizational politics Financial Savings Cost reduction is typically 10 to 20 percent Economies of scale from specialized outsourcers who are more efficient Cost control Decreased capital commitments Strategic Focus Decision to focus on specific core competencies, like customer service or innovation Core work is transformational and adds value to employees or customers Move secondary functions (or non-core work), like benefits
Image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern