Staff outsourcing helps in business growth
As a business owner, you must choose the hiring method that best suits your needs. Either through the application of an individual contract with the company with which the worker will provide their service or through staff outsourcing.
In this article, we are going to explain the advantages that the fact of subcontracting personnel represents for companies, in the search for their growth in all aspects. One of the most important points is to choose the personnel hiring option that best suits the company so that it can better provide its services.
- What is staff outsourcing?
- Importance of staff outsourcing
- What are the advantages of staff outsourcing?
- What are the requirements of staff outsourcing?
- In what areas of companies is staff outsourcing used the most?
- How can we help you outsource staff in your company?
1. What is staff outsourcing?
Some companies specialize in offering human capital services. Their job is to hire qualified people to carry out activities that your company needs. It differs from other methods of hiring staff. Since your company will not hire them directly. Another company will do it on behalf of your business.
Therefore, staff outsourcing is a contract with an agency, in which it agrees to supply the necessary employees or workers for the client company. That is, they are companies that specialize in finding talent and contractors for other companies.
In the same way, it also occurs when a company transfers to an external provider those activities that are not basic to its business, especially of an administrative or transactional nature. This allows the employer to focus on their business management and their competitive advantages.
Staff outsourcing in UAE is a relatively new and innovative method, where unconventional and different working relationships are generated. This is because the initial employment relationship with the final worker who performs the determined activities is not a direct relationship.
Likewise, this type of outsourcing solves the task of selecting, recruiting, hiring, and even training staff in an organization. In addition, this figure allows the company to save resources in the personnel area. So that these resources are allocated to other processes of the company.
2. Importance of staff outsourcing
The productivity of companies is an essential factor of development and is measured through the response time to customers, the level of staff training and the installed capacity, and its rational use.
Therefore, for a large company, it is not difficult to meet these conditions, but for small and medium-sized companies with little installed capacity, without sufficient capital to provide training to their personnel, and with a low potential for responding to clients, it is difficult for them to achieve productivity levels that allow them to compete in more demanding markets.
The option for this type of company, in case of not applying staff outsourcing, is to stay in markets where the levels of competition are lower. Although, this means low levels of benefits. With which the hiring of specialized personnel in certain areas where the company has weaknesses, is an attractive tool for the growth of companies in sectors and markets that allow them to obtain greater profitability.
In other words, staff outsourcing is about cooperation between companies. Consequently, both the company that hires the service and the company that provides it are benefited. The first receives qualified personnel in the areas where they are needed, and the second receives an economic compensation for the service provided.
3. What are the advantages of staff outsourcing?
Businesses of all sizes can find themselves lacking the resources to accomplish the tasks at hand. Other times, companies realize that they do not have the necessary experience to obtain the required results and, finally, the administration can determine that an external provider that is specialized in a specific area, could carry out a task at a lower cost than the departments.
For all this, in all these cases, companies set their sights on outsourcing as a possible option. This solves the problem that the company is facing immediately, and can bring with it some advantages.
As a company owner, you must visualize what the optimal conditions are for your company and carry out the procedure that is necessary and required for it. In this sense, the advantages that you can receive when carrying out a staff outsourcing are the following:
3.1 You will get a team of experts
Your HR team may be great at some things, but no one is perfect at everything. By subcontracting certain tasks, such as outsourcing payroll, companies can often substantially improve performance by leveraging the specific skills of specialists in certain fields.
3.2 Reduction of costs and times
Organizations reduce costs and time in the hiring of personnel when they do not need to carry out the processes of selection and recruitment of personnel. This means you can focus on the important activities of your business. And also, in turn, this allows allocating a larger budget to increase productivity.
Recruitment consultants usually have an active portfolio of candidates that they dedicate efforts to care for and maintain. Thus, when the occasion arises, the candidates are attentive to listen to proposals. Consequently, it reduces the term to close the selection process.
Another factor to keep in mind is that many recruiters are industry experts. Therefore, they know where they can most quickly locate the right people for the job.
3.3 Better quality of job candidates
A good recruiter has extensive knowledge of advanced search techniques and spends a lot of time networking. Thanks to this expansion of search channels, outsourcing staff provides candidates of enormous value and are difficult to find.
3.4 Facilitates the hiring of foreign personnel
In the case of requiring personnel from abroad, it is easier to hire them. Since a company specialized in personnel recruitment will be in charge of carrying out this work for you. Likewise, this company may have candidates in advance with the profiles that your business requires.
3.5 Broad projects
Businesses or those that make use of an outsourcing service can face more ambitious projects by making use of more trained and experienced personnel.
On many occasions, we do not carry out projects or services of a certain scope because our resources, knowledge, or professional skills limit us. If we resort to outsourcing employees we can grow our business, being able to consider carrying out new projects or even create new lines of business.
The wisdom of a company does not have to always reside in the same company, being able to subcontract certain aspects that do not necessarily have to reside in it. For example, if you have a small company, agencies can manage the issue of payroll and legal aspects.
In this way, we subcontract a task that in large companies may make sense to be found internally, but that in small and medium-sized companies does not necessarily have to be found within their work. This results in it being more beneficial to outsource staff for certain activities.
3.6 Professional service
Many tasks and projects require the services of qualified professionals. A company may not have the required staff within its team and may not have long-term use for itself. In this case, it is an advantage to outsource the services of a professional. Thus, avoid having to hire the services of an engineer, architect, or lawyer.
Likewise, when companies seek to optimize the performance of their work teams, they delegate some functions to companies specialized in this area, such as EOR Middle East. Which provides your business with experience, equipment, technology, and knowledge.
4. What are the requirements of staff outsourcing?
On the other hand, for staff outsourcing to be truly configured, companies must meet the following elements:
- A single delivery or outcome of tasks to the worker should not be determined.
- The provider of this service is the one who acquires labor responsibilities for this activity.
- The contract between the contracting company and the contractor must include quantifiable quality criteria.
- Variations in the provision of the service must be agreed upon from the contracting.
This model allows companies to adjust their resources according to their needs. In situations like the current one, companies demand greater cost flexibility and do not require their staff to commit to anything other than their core business.
At EOR Middle East we help our clients focus on their business. Therefore, through our Professional Employment Organization services, we achieve great savings and improve your processes while facilitating your business management.
5. In what areas of companies is staff outsourcing used the most?
Organizations increasingly rely more on companies that provide staff to companies, since they are companies specialized in this matter. However, what are the areas that usually outsource staff? Here we present them:
5.1 Human resources
HR outsourcing in UAE is a very important tool for companies in this country. The human resources department of any company, although it does not focus on the main activities that generate greater profitability for the business, is still important and one of its fundamental pillars. Since, in general terms, it is the area in charge of the welfare of the workers, you can delegate this responsibility to a company so that it provides you with the necessary personnel to form your human resources team, while you take care of the important activities of the business.
5.2 Commercial, sales, or marketing activities
Your business may be very well structured in all its areas. However, you may need more strength in the sales area. If this is so, a company must provide you with trained personnel to increase the sales of your business and therefore its productivity.
Many companies may wish to expand their sales beyond their locality. And for this, they need the necessary means to transport their products to where they need them. In the same way, some companies give their employees the benefit of picking them up at home, taking them to work, and then leaving them at home at the end of the workday.
Now, imagine that if you do this directly, you have to resort to buying a significant amount of cars, trucks, and other means of transportation. It is much cheaper for a company to provide your business not only with the necessary personnel but in this case also with the necessary means to achieve your commercial or work objectives.
5.4 Computer and technology services
Concerning this area, the support or maintenance of computer services requires professionals with specific knowledge. And that is why many companies choose to outsource these areas.
In this way, by outsourcing this area, you avoid the hassle of having to recruit and select personnel who may not be the right one, because the recruitment and selection activity is not your specialty. To do this, you can turn to other companies that previously have the IT area profile you are looking for for your company. With this, you will save time, which you can dedicate to more important activities for your business.
6. How can we help you outsource staff in your company?
EOR Middle East is willing to meet the needs of your company in terms of its staff. We can supply any type of employee with the profile that your company needs. Therefore, you can hire remote workers or any other type through our EOR services.
Similarly, you can request our services in HR management in any of the Middle Eastern regions we work at if you want to expand your business to other markets.
Do you want our company to provide you with the staff you need? If your answer is affirmative, get in touch through the following email address at [email protected]. Or call us at +971 43 316 688. Our staff will be attentive to any request or doubt you may have, to process it quickly.
Also, if you want to work with us, you can send us your CV through thetalentpoint.com. In this way, we will locate a job opportunity that is consistent with your profile and needs. In turn, you can send us your CV to the following email address [email protected]. We will follow up on your application.