Industry Insights | HR Essentials
Human resources professionals are integral to the safety and protection of a company and its employees. They work to validate company policies are followed, risks are mitigated, and employees are valued and well supported. Their jobs are far reaching and cover a wide expanse of responsibilities, making them one of the most critical components of any successful business. However, running an internal team of HR experts requires extensive resources. To help you support your team while furthering your company’s short- and long-term goals, consider the importance of working with expert HR consultants such as those from a professional employer organization (PEO).
HR consultants who are brought on as an outsourced service to help your business can provide you with several ongoing benefits. In addition to the depth of knowledge they have about various compliance and administrative tasks, they can provide tools, assistance and best practice guidance in the following areas:
There are countless ways that an outsourced HR consultant can help your business. Finding the right fit for your organization requires a strategic approach.
Having the right person or team of people in place makes a big difference. When you work with an expert HR consultant who knows the intricacies of the business, you’ll gain access to a fountain of knowledge and experience that will propel your business forward without wasting resources. For the greatest impact, however, you’ll want to find the right person for the job. Don’t limit yourself to internal candidates—take the time to assess your options for outsourcing an expert.
One of the best ways to ensure that you find an HR consultant who understands what it takes to support your business is to work with a PEO.
PEOs are comprised of a team of HR experts who work to provide ongoing best practice advice and guidance to businesses. They operate under a co-employment model in which the PEO, as a co-employer, is the employer of record for payroll tax purposes, which means they’re responsible for collecting and remitting payroll taxes. It’s important to note that your organization still maintains control over workforce and day-to-day employee decisions. PEOs work with their clients to help them effectuate the strategiesto help implement various HR strategies, navigate HR administrative tasks and comply with various local, state and federal requirements.
Since every PEO is different, it’s best to find one that provides high-quality services that are conducive to your efforts. Some important questions to ask before choosing a PEO include:
Generally, it’s best to choose a PEO that is accredited by the Employer Services Assurance Corporation (ESAC) or the Internal Revenue Service (IRS), which qualifies certain PEOs as a Certified Professional Employer Organization (CPEO). This will validate that you work with a PEO who is experienced.
An HR consultant is different from an internal HR manager in that consultants are usually outsourced through a PEO or other supporting organization. In many instances, such expertise is included with your service fee. HR managers are responsible for day-to-day tasks that help you run your organization, while HR consultants help you with the overall strategic development of your policies, procedures and best practices for implementation. Some companies prefer to have an in-house HR manager on staff to work hand-in-hand with consultants, but it’s also possible to completely outsource this role and oversee the relationship through other roles in your company.
Knowledgeable HR consultants will have a diverse background that will help your company grow and achieve long-lasting success. They’re skilled in understanding HR issues and offering solutions on how to resolve them. Expert HR consultants also bring a deep understanding of the laws associated with managing a team of employees.
Some specific benefits of working with an expert HR consultant may include the following:
Access to Expertise and Knowledge
One of the biggest benefits of outsourcing HR is the access to expertise and knowledge that you obtain. Consultants bring a full understanding of up-to-date best practices. This allows them to continually evolve with the changing dynamics of the business world. Similarly, some PEOs understand the intricacies involved in different industries and how businesses can best position themselves for success. This reduces the burden of training and professional development for in-house staff while maximizing results.
Ongoing Performance Management
Thanks to their depth of knowledge and understanding of employee satisfaction, HR specialists can help make your performance management process more efficient. Combining human expertise with integrated technology provides access to streamlined procedures for company feedback, employee surveys and overall performance management best-practices. While outsourced HR experts can provide guidance on these matters, the employer retains sole responsibility for decision-making on and managing their employees.
Stronger Recruitment Efforts
HR experts understand that ineffective recruitment and talent acquisition can cost SMBs extensively in wasted time and effort. That’s why one of their areas of expertise is providing best practice guidance on ways to attract and retain top-performing talent. This can include everything from job postings and background checks to providing advice on how to assess potential candidates. Ultimately, however, the hiring choice and power remains with your organization.
Internal Development and Training
Offering personal and professional development to your workforce shows them that you’re invested in their success. It may also help build a workforce with stronger, more relevant skills while your employees’ happiness and overall wellbeing improves. By offering internal hiring opportunities to individuals who are committed to growth, you may begin to notice higher retention rates and a more dedicated and engaged team.
Risk Mitigation and Compliance
One of the most notable benefits of working with expert HR specialists is the guidance you’ll get for ever-changing local, state and federal employment laws and requirements. This can help protect your company . Without someone who understands the complexities of employment rules and regulations, you can easily spend hours each week reviewing laws and cross-checking updates.
Reduced Overhead Costs
While outsourcing HR experts does require an investment, it’s often not nearly as much as it would cost to employ an entire team of in-house HR managers. In fact, for SMBs who are just starting out, the costs of hiring and managing a full HR department can be financially impossible. By working with an external HR specialist, you gain access to the in-house benefits without the corresponding overhead costs. This results in more effective resource management and allows you to invest your money in areas such as training, marketing and even employee compensation.
By outsourcing your HR and working with a team of expert HR consultants, you gain the flexibility and resources to manage your business while buttoning up your HR functions. This not only helps facilitate organizational growth, but could also contribute to a happier and more productive workforce. TriNet offers comprehensive human capital consulting solutions for assistance in handling your toughest HR needs. Count on our HR consultants for expert guidance on the issues that affect your people including risk mitigation strategies, access to big-company benefits and headache-free payroll processing. Contact us today to learn more.