Running head: BENEFITS TO OUTSOURCING1Benefits of Outsourcing ServicesHolly KurkaHCS/370November 21, 2016Carol Young
BENEFITS TO OUTSOURCING2Benefits of Outsourcing ServicesIntroductionCompanies outsource for various reasons. Human resource outsourcing is the process of placing the HR activities outside the organizations boundaries. Outsourcing can provide companies with cost advantages, it can increase efficiency, focus on core areas, and give companies a time zone advantage. For these reasons a large pharmaceutical company has begun discussing outsourcing their human resources department.Impact on Organizational StructureOutsourcing provides organizations with a competitive edge. Pharmaceutical companies look for effective ways for them to become more innovative, make faster decisions, and create high performance. By outsourcing their human resource department, they make devote more time to making decisions, becoming more innovative, and evaluating their performance. HR departments have become increasing strategic over the years. Outsourcing the HR department can help meet the overwhelming demand for time and cost effective solutions (Maurer & Mobley, 1998).
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