Dear All,

There are many HR domains that can be outsourced now other than clerical work of payroll, etc.

But should we outsource domains like induction, PMS, Retention, Exit Interviews, etc....??

Hi jac,

According to me we can outsource few more functions of HR apart from clerical work. Please find below my reasons for outsourcing the following functions.

1. Induction: Are companies really interested in induction. Normally companies take around 20 - 30 days after joining of an employee to schedule a BIG induction program. But what about so many questions that employee has on day one and two. Is there anyone who can help the employee.

I think , companies should outsource something which is not complete Induction but yes, FDHD that is First Day Help Desk. Companies can have outsource partners who can give a personal touch to this FDHD. Though this is not like completely outsourcing the induction function, but yes it will be a little more than that.

2. Exit Interviews : I think 90% of the employee never say truth during their ext interviews. If this function is outsourced. Employees can be much more forth coming and frank in letting you know the reasons of the exit. This outcome of this exit interview should be shared with the HR department and the Management of the organisation, so that corrective actions can be taken care of.

Companies should outsource this work, but only for reaping advantage of this outsourcing. This outsourcing will not only help companies in cost advantage but also, if companies act on the findings of these outsourcing functions. and take corrective actions, the organisations and employees will understand each other better.

Regards,

Vikas

The very purpose of having HR would get lost if one outsources the induction and exit pieces. The former is an ice-breaker between the employee and employer and the later is important vehicle to recieve inputs on internal change requirements. It not only the checklist and process that is important but, the way it is handled. According to me individual comfort lies when these are done in-house.

Only thing we might achieve by doing what you suggest is to add some revenue to bottomline. Which to me is insignificant when compared to its motivational value.

Best regards,

adroit 

I agree with Vikas and would like to disagree with Adroit.  There are so many things an HR can do for an organisation other than the Induction and Exit formalities. 

An HR will still have been left with following activities, if the above two are outsourced:

Selection (Hiring),
Training need identification, 
Career / Succession Planning, 
Maintaining HRIS, 
Formulating Policies, 
Employee engagement activities,
Performance Management,  
Reward and Recognition programmes, etc.

The reasoning given by Vikas seems logical and will surely leave HR executives with much more to explore and do in the interest of the organisation.

For me, the payroll which is generally outsourced to save time is in fact consumes more of that.  The Agency often falters in making correct payment and deductions and then the HR persons have to spend time in finding reasons and rectification.  Therefore, Payroll, however non-value added this activity may seem, should be internally sourced.

Would like to have your opinion.

Prashant Das