Welcome to our second of four posts on how the services at Preferred Personnel Africa (PPA) came to be.
After about 8 years of recruiting, PPA was approached with a new challenge that would launch the business into a new phase. Though we had not dabbled in outsourcing before, there was a sense of trust built from the quality of talent and service delivery that our clients saw as transferable skills.
Being presented with the opportunity, Rose (our founder) got on a plane and travelled to the U.S to gain further knowledge on what it would take to establish an outsourcing function in PPA. Returning from her trip, she scaled out the function within the business.
If you want to read up more on the details of our first venture into outsourcing and what we learnt from it, check out this case study here.
What services are typically provided by Human Resource Outsourcing companies?
HRO companies typically offer a range of services to support businesses in managing their human resources effectively. These services may include:
1. Payroll administration and tax management:
This ensures accurate and timely payment of employee wages while meeting legal tax requirements.
2. Employee benefits coordination:
Companies provide support in managing employee benefits, which may include healthcare, retirement plans, and insurance. This assistance involves activities such as enrolling employees, verifying eligibility, and processing claims.
3. Time tracking solutions:
The company offers tools for monitoring employee work hours, handling time off requests, reducing errors in manual time tracking, and producing data reports.
4. Policy development and workplace safety:
This involves providing specialized knowledge in creating HR policies and procedures, performing compliance evaluations, creating plans, and executing initiatives to improve workplace safety and employee satisfaction.
5. Talent acquisition and onboarding support:
The client is supported throughout the recruitment process, from creating job descriptions and conducting interviews to processing references and facilitating a smooth onboarding experience for new hires.
6. Regulatory compliance and risk mitigation:
This entails assisting companies in adhering to employment laws and regulations by offering regular updates, advice, and training on applicable legal mandates.
7. Learning and skills development initiatives:
Going beyond basic HR management, HRO solutions can help businesses develop their employees’ skills and performance through training programs, performance evaluations and insights into employee strengths.
Why did we pursue outsourcing?
It was easy to familiarize with the legalities of outsourcing as we had already been in the HR industry for a few years – and with that, we began outsourcing as a core service offered at PPA.
With over 15 years of outsourcing experience under our belt, we have our outsourcing model almost down to a science. We manage everything from onboarding to payroll to off-boarding, to make our client’s HR functions as efficient as possible. We aim to ensure that not only our clients are supported but so are all our outsourced staff.
In a post pandemic world as everyone tries to navigate the ‘new normal’, outsourcing practices also need to adapt. We are looking to come up with outsourcing models that will accommodate work-from-home and hybrid work environments.
What are the benefits of human resource outsourcing?
1. Cost Savings:
- Reduced Overheads: HRO eliminates the need for maintaining a full-fledged in-house HR team, which can significantly reduce costs related to salaries, benefits, and office space.
- Economies of Scale: External HR providers can often offer services at a lower cost due to economies of scale and their expertise in managing HR tasks efficiently
2. Access to Expertise and Technology:
- Professional Expertise: HRO firms bring specialized knowledge and experience, ensuring that HR tasks are handled efficiently and in compliance with legal standards.
- Advanced HR Technology: Many HRO providers use the latest HR technology and software, offering businesses access to advanced tools and analytics without the need for large investments.
3. Improved Employee Services and Satisfaction:
- Efficient HR Services: Outsourcing leads to more efficient handling of HR tasks such as payroll, benefits administration, and employee inquiries, improving overall employee satisfaction.
- Focus on Employee Development: HRO allows internal HR teams to focus more on strategic activities like employee engagement and development, fostering a positive workplace culture.
Engage Preferred Personnel Africa today, a leading human resource outsourcing firm in Kenya & beyond. Get in touch
