Recruitment Outsourcing – New Waves of HR Value Creation

        When companies look at driving HR function internally or via an outsourcing arrangement, outsourcing has always won on the basis of pure cost benefits. Against the common notion that no outsourcing arrangement can be as an effective replacement of a company’s internal HR practice, there are several proven facts and cases that strongly recommend outsourcing as a strong means of HR innovation for driving cost advantage and value quotient all at the same time.


Worldwide companies routinely outsource their important HR functions such as payroll processing, employee data management, recruitment process outsourcing and training to cut costs and attain performance benefits. At the same time, outsourcing all the HR functions lead to critical circumstances. However, wise outsourcing and better control are the key drivers for drawing long-term HRO benefits.
With the challenge to quickly respond to constantly changing market trends and the need to acquire strategic resource skills, organizations turn to recruitment sources for the answer. The advantages of recruitment process outsourcing include lower cost of recruitment, faster time to hire and enhanced overall processes such as background checks, screening and testing, sourcing, application tracking and much more.  


Quickly head-start new projects
The key ingredient for achieving cost advantage in today’s highly competent marketplace is through quick addressal of several new successive projects. An efficient outsourcing firm can help in quickly scaling up the required talent which usually involves weeks or months to hire the right people and provide the start they need.

Control Capital Investments
   Though the initial motive of recruitment outsourcing is to cut costs of HR function, furthermore outsourcing converts fixed costs into variable cost, which gives the ability to pump more capital into production-related activities, further focusing on operational efficiencies.

Reduced Labor Costs
   Hiring temporary employees for peripheral or short term projects incurs additional costs in training them and subsequently let them go with the brain-train. Going in a planned way through outsourcing helps companies focus human resources where they need them the most.

Ability to focus on core business function
   These days employee retention is the biggest challenge for HR function. Outsourcing allows businesses to divert HR synergies towards more important areas and help firms attain competitive advantage.
PeopleStrong, India’s leading HR BPO, offering Human Resource outsoucing (HRO) services. We provide Payroll Processing, of  recruitment process outsourcing  and HR outsouring.