Here’s a simple and painless way to cut operating expenses: partner with an HR consulting firm. We know this might sound odd, so let us explain how this will work for you.
Do you want to add up 18% to your bottom line?
A PwC study found out that businesses that outsource HR functions such as attendance tracking, payroll and benefits management, or admin works can save 18% of operation costs. Sound exciting, right?
But how could that happen?
Let’s see how exactly an HR consulting firm can help to cut corners:Offer unbiased perspective
We all see how COVID-19 has changed the way we work, and also led to unprecedented financial challenges. Most business owners now exert themselves, trying to stay afloat. It’s reasonable, but on the other hand, it limits the chances to re-evaluate the changing workforce.
When an external consultant steps in, they come with neutral, unbiased opinions that unlikely to attain from insiders. Their fresh perspectives can help to spot redundant stages and futile practices, then streamline your HR processes. Consequently, you save a bunch of money.
For example, an HR consulting provider can review your current pay range and compare it to your rivals – not to reduce salaries instantly, but to adjust it rationally. Say, temporarily freeze the red-circled employees' pay.
Save software expenses
In this age of technology, manage personnel manually isn't a productive pick. Businesses are going digital, and the COVID-19 outbreak just speeds things up. You can’t stick with the paper sheets, but all those HR software are simply out of your league.
What can you do now? Well, to get the best of both worlds, consider assistance from an HR consulting firm.
Probably you want an alternative attendance tracking app. Or require a trusted system to manage employees’ data. In either case, the third party can help to cut the cost of software licenses and upgrade. Plus, you’ll save tons of time from learning and operating those complex tools.
Imagine how many resources you can save for other profit-generating activities!
Minimize legal risks
HR works are tricky not only because there are so many things to do, but also because of lots of rules to follow. Then the regulations change over and over again, so staying updated is a real hassle. But you can’t neglect them. Otherwise, you’ll soon face severe penalties and expensive lawsuits.
When you partner with an HR consulting firm, they’ll take on this burden. Whichever functions you outsource, rest assured that all processes are compliant.
If you ask them to manage your payroll, it’s their job to classify all employees properly, calculate the paychecks and taxes correctly, and ensure everyone gets their salary on time.
If you’re looking for compliance advisories, their legal consultants will let you know what’s new out there in no time. The best thing is, they don’t just inform you. Instead, they’ll explain in detail how that change will affect your corporate, then advise on ways to stay compliant.
Reduce hiring costs
A replacement can cost you 33% of the staff's annual salary. Not to mention its hidden impact on team morale and efficiency. Then if you make bad hires, you make matters worse.
And if you’re a high-volume recruiter, you understand how pricey – and exhausted - it is to hire a lot of competent candidates in a short space of time.
As we mention in our previous blog about the pros and cons of recruitment service, search consultants will bring you better candidates right from the first time. They analyze each profile, set up multiple screenings, and conduct extra assignment tests to pick out the best-fits.
They can also handle the paper works, salary negotiation, labor contract, and onboarding phase – if you wish. What’s more, they’ll quickly scale up – or down – following your needs.
So, you don’t have to worry about the high turnover rate or the peak hiring season anymore.
Feel interested?
Each workforce is unique, so the way how an HR consulting firm can help also varies. If you’re interested in this cost-saving approach yet don’t know where and how to start, simply contact us.
With years of experience in multiple industries, we know how to fill the bill nicely. Our wide range of services will ensure you both quality and convenience. Just fill in the form below with your inquiries, and we’ll get back pronto with everything you need!