Human Resources, especially in the area of talent assessment, recruiting, and development serves as one of the most challenging tasks of business administration. Hiring the right individual for the right position straddles the line between art and science. From coming up with the right job descriptions and announcements to sifting through resumes or CVs to conducting interviews, it takes knowledge and experience to make it work.
In today’s booming economy, it has also gotten increasingly difficult for companies to recruit a pool of candidates, qualified or not, for key positions. At the end of the day, your company needs the best edge it can get in hiring and saving administration costs.
While many companies have chosen to keep human resources in house, we're seeing more and more businesses turn to talent management services to ensure they're getting skilled, experienced individuals to fill their positions.
Advantages of Doing It Yourself
Many companies feel most comfortable doing human resources and talent assessment in house. If a company has an experienced leadership team, it has done a great deal of hiring for a variety of positions. The company may also have an established network that serves to bring in a solid pool of qualified applicants.
Small businesses, even new ones, may see some advantages in keeping hiring in house. In many cases, it provides more flexibility and agility in hiring new employees. Often, small businesses need to move quickly because they may have more problems using other staff to backfill work. That all said, many small businesses have found that working with HR consultants has saved more time and money.
More Advantages in Hiring an Outside Team of HR Experts
The outsourced economy has expanded considerably over the past decade. Consulting firms now specialize in any number of fields that corporations and small businesses alike once handled in house. This includes areas such as accounting, logistics, and other tasks, including talent assessment, hiring and recruiting.
These niche talent management firms can now perform human resources work more efficiently and at a lower cost than even in house HR staff. Human resources has grown into one of the most expensive aspects of administration, especially when you consider the breadth of what they do. It can often include every aspect of onboarding from job descriptions to training for the position.
Hiring an outside firm can cost less money than taking on a full-time HR staff. You pay a fee but do not have to worry about such details as paying extra salaries and benefits. Small businesses and other operations that have a small team often try to put human resources responsibilities on staff who perform other tasks primarily. For businesses like these, hiring an outside firm makes the most sense. It makes sure that each staff member, as well as the business itself, can concentrate completely on being productive.
It does not have to be one or the other either. A talent management firm can help to support the work done by an existing HR director and/or staff. Some cases, such as mass hiring to expand a new line or open a branch office, require more work than the established team can handle. In such cases, it behooves them to work with experienced HR professionals from an outside firm.
Outsourcing human resources to a professional and respected firm in most cases will save businesses time and money while also producing better results. Your business leadership team should perform an internal cost-benefit analysis before the next wave of hiring to explore the use of a human resources firm. It could save a great deal of time and money.