Outsourcing HR: Myths vs Reality

For businesses that want to get ahead, outsourcing HR offers plenty of benefits, such as increased efficiency and productivity, improved employee engagement, and business growth. Yet, even with all of the positive reasons, there remain a number of myths about outsourcing. Here are some of the most common.

Myth: Outsourcing Leads to an Increased Level of Mistakes. 

Reality. Outsourcing gives your business access to an expanded resource of HR expertise and skills which means fewer mistakes and more efficient processes.

Myth: Outsourcing HR is Expensive. 

Reality. Many companies are outsourcing to reduce      overhead and to prevent the risk of costly compliance violations. Because you pay for only the services you need, outsourcing Human Resources is often less expensive than hiring additional staff. There are also cost savings in terms of productivity. By outsourcing, your in-house team can focus on important areas—and get more done. 

Myth: Services Cannot Be Customized.

Reality. One of the most valuable benefits of outsourcing is that it's flexible and can evolve as your business grows and your needs change. From payroll, risk management, benefits administration and more, there are a number of outsourced HR services that can be customized to meet the needs specific of your business.

READ MORE:  Why Every Business Needs Human Resources 

Myth: Outsourcing HR Services Eliminates the Need for an In-house HR Team.

Reality. Your in-house HR manager may not be equipped to handle the multitude of HR tasks and requirements of complex and changing employment laws. Outsourcing provides your team access to a department of trusted HR experts who can fill the gaps, protect your company from risks, and help your business run more smoothly.

Myth: Outsourcing Means a Loss of Control Over  Business Processes.

Reality. Rather than dealing with day-to-day issues, outsourcing gives business owners even more control and time to focus on their business. 

READ MORE:  4 Top Reasons To Outsource

Is Outsourcing HR Right For Your Business?

Are you looking for ways to become more cost-efficient, productive and to reduce liability? Then it may be a good time to consider outsourcing. Propel HR can help.

About Propel HR

Propel HR President Lee Yarborough was recently elected Chair of the National Association of Professional Employer Organizations (NAPEO) Board of Directors. She spoke with PEO Insider magazine to share where she thinks the industry is headed and how NAPEO can continue to grow.  Download a pdf version of the full interview:  A Passion To Serve 

Propel HR is an IRS-certified PEO that has been a leading provider of human resources and payroll solutions for 25 years. Propel partners with small to midsized businesses to manage payroll, employee benefits, compliance and risks, and other HR functions in a way that maximizes efficiency and reduces costs.