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A Complete Guide to Employee Outsourcing | Ultimate HR Solutions
It is in the nature of every successful corporate organization to gain a competitive advantage over others. One way to do it, is through outsourcing non-core competency domains so that the company in question can focus on what it does best. Outsourcing refers to a practice in which a company hires a third-party vendor to perform certain tasks, handle operations and/or provide services for the company. If you are a small or medium enterprise and are trying to save money on recruitment, we have got you covered. Here’s your complete guide to employee outsourcing.
What is employee outsourcing?
As noted before, when a company outsources a particular task or an area of operation to a third-party vendor, it is called employee outsourcing. There are various ways through which this can be done:
Hiring freelancers: Perhaps the cheapest way to outsource, hiring freelancers can reduce manpower cost by as much as 60–70%. However, companies have often complained about the quality of the freelancers and their commitment to work. There have been stories of freelancers who have abandoned the project mid-way, citing personal issues, thereby leading to loss of money. Data security issues have also been a concern.
Hiring an outsourcing agency: Many companies in developing economies, like the Philippines and India, offer dedicated resources at a fraction of the cost of local hiring. These outsourced companies also take care of onboarding and other costs related to hiring.
What are the advantages of outsourcing?
From optimizing time to saving money, there are a variety of advantages when it comes to outsourcing:
Outsourcing some non-core functions like data entry or back-end support can free up a lot of time for existing personnel to concentrate on more important areas of business.
If you are a company in a developed economy like the US, UK, EU or Canada, outsourcing to a developing economy can help you save a ton of money. Studies show that outsourcing can help in reducing costs by upto? 70%.
It allows you the freedom to scale-up or down as per your business requirements. However, with permanent employees on board, this cannot be done so easily.
A step-by-step guide to outsource:
The following 4 steps should ideally be followed to maximise the advantages of outsourcing.
Find out a good outsourcing agency that provides remote hiring solutions. Do your research — ensuring that you find out their credentials and go through their client testimonials to get an idea about the quality of the work the agency performs.
Share your specific requirements with their customer relationship manager. You can ask for resumes of select candidates before you cherry-pick your resource.
Interview before proceeding. Make sure that your resource is fully aware of the task that is to be performed.
Once you have selected your candidate, all that needs to be done is to onboard him/her. Your outsourced partner should help you with this process.
Conclusion:
The outsourcing industry is growing at an exponential pace as more and more companies are outsourcing their requirements. Several dedicated players are emerging in this field to cope with the high demand. Dubai is one of the premier destinations when it comes to outsourcing with UHRS being one of the best outsourcing companies in UAE. Known to provide the finest HR outsourcing services, UHRS is famous for its quick response, quality resources and innovative hiring solutions. Needless to say, when it comes to outsourcing agencies in Dubai, look no further than UHRS.
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apexbcentre-blog · 6 years
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Facts About Outsourcing Companies in Dubai
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Ever thought why Dubai is a favorite business destination in their world? The probe for the reasons behind its immense success summarizes the following points: Diverse markets with opportunities galore especially for startups And SME’s.Dubai is one of the largest wealth management centers in the world with a substantial number of high-net-worth individuals.A pro-business supportive government offering state of the art infrastructure, tax-free environment and repatriation of income to native countries for expats. As a result of all above noted factors, investors from all over the world are being attracted to Dubai and resultantly the state has seen a fabulous growth in a number of businesses both small scale to giant multinationals. In order to survive and grow in fiercely competitive markets of Dubai, companies are increasingly focusing on their core business functionalities and are outsourcing their support functions. Dubai has witnessed an immense growth of outsourcing companies in the recent past. The businesses in Dubai aim to gain expertise, cost reductions, and the benefits of cutting-edge technologies by outsourcing their support functions like HR, accounting, VAT implementation, IT solutions and organizational planning etc. Outsourcing in Dubai is a major economic driver in Dubai: Outsourcing is a great contributor to Dubai’s economy both in terms of its fabulous profits as well as a great boost it is providing to client businesses in enhanced performance. According to a report released by IDC (International Data Corporation), the outsourcing sector is enjoying an amazingly high compound annual growth rate of 11.2 %. The report titled as “UAE outsourcing market outlook, 2016-2020, also reveals that BPO or Business process outsourcing revenues in UAE are estimated at US$ 877 million which will reach US$ 971 million in 2018 and US$ 1.195b billion in 2020. This is for sure an amazing growth for any business sector. DUBAI OUTSOURCED CITY: Even the Dubai government approves and supports outsourcing. It has offered an amazing business park called as “Dubai outsourced city” or DOD. It is dedicated for outsourcing companies in Dubai which enjoy 100% ownership, foolproof security, quality networking, and top-of-the-line infrastructure. Mr. Ammar Malik the executive Director of DOC describes the following three factors for its success. Continuous improvement in the quality of service.Technological developmentOpportunity to university students works part-time driven by employment regulation framed by Dubai’s creative clusters Authority, allowing university students to work part-time. Adoption of cutting-edge technologies is an emerging trend: This trend is very evident in the outsourcing industry and, companies are now embracing innovative technologies like AI (Artificial intelligence), blockchain, machine learning, and virtual reality in order to provide highly viable and effective solutions of businesses in critical areas of financial management strategic planning and information technology. Process automation is an emerging trend: UAE, in general, and Dubai in particular, across the board companies are seeking process automation because of the speed and reduction in costs. Since the biggest chunk of business houses relate to SME’s, which are tight on budgets, this phenomenon is now dominant in all of Dubai’s markets. All outsourcing companies in Dubai are now focusing on this aspect and are equipping themselves with required skills. Building a partnership with specialized outsourcing companies in Dubai: In Dubai, the business entities are increasingly building relationships with outsourcing service providers. They are doing so with a special emphasis on enhancing skills levels of their staff and filling their gaps in critical skills and core competencies. Another area of their focus is developing efficiencies in order to cost minimization which is now a critical requirement of every company in Dubai. Innovation is another important factor behind these partnerships. So, outsourcing companies in Dubai are helping lower the burden of companies and due to it, companies can get a chance to get a versatile team to work for them. Another benefit of outsourcing which companies have is that they don’t have to hire someone for fulltime, they can hire on contract bases and once the task is completed the contract ends. And this methodology helps companies save hundreds of AED. If you are looking for an outsourcing company in Dubai, Apex Business Centre can be a good option for you as they have experts from different fields who can help you with business plans, VAT, tax, accounts, etc… Read the full article
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6 Tips to Help You Successfully Outsource Your HR Operations
Recently, companies have taken a stand to make their businesses more cost-efficient. They are seeking to outsource short-term talent to meet their exclusive needs as and when required, instead of recruiting new employees permanently. This has enabled companies to grow efficiently, with skilled temporary employees saving significant costs in recruitment and training. Outsourcing HR operations has facilitated businesses to be more agile and use the manpower at work to its full potential.
Know hows of HR outsourcing:
UAE, specifically Dubai, is a melting pot of businesses set up in the region. The growing business environment is duly supported by HR consultancy and outsourcing companies to supplement the growth trajectory. The idea of HR outsourcing has gained considerable interest and has become a part of business development plans. Companies can gain a lot from such a practice, provided they know the nits and grits of HR outsourcing to use it to their advantage. HR outsourcing is an arrangement where an external third party manages the HR operations of a business, allowing it to focus on company growth. Depending on its requirements, a company can transfer either the whole HR operation or a part of it, to the external service provider. The company can outsource HR functions such as payroll processing, counselling, talent acquisition, and more for better efficiency. In addition, roping in an HR outsourcing firm also saves cost and precious time. There are several firms in the UAE offering HR Outsourcing services. However, before getting any of them on board, here are a few tips that you can adhere to ensure a smooth process:
Have a spokesperson:
It is always better to have a single point of contact than multiple people working on the same thing. This keeps the information clear and the communication channel less complex. Choose a person with a higher experience, who is well aware of the company and its needs and has good communication skills.
Functions to outsource:
Clarifying the functions you want to outsource can make the process much smoother. This will enable you to find the right firm by filtering the appropriate ones from the rest. An analysis of what tasks are consuming more time of your HR and need assistance would be beneficial.
The process to cater to the requirements:
There is a particular manner in which HR outsourcing companies work to offer cost-efficient and quality services to their clients. However, what is imperative for you is to be explicit about the extent of the services you want to outsource and determine the process.
Share the knowledge:
HR outsourcing can be tedious and rely primarily on cooperation and knowledge transfer. For better results from the firm, you must be upfront about your company, its needs and its culture to ensure that the HR outsourcing firm gives it adequate attention.
Cost or quality
This is an endless debate and subjective to respective sectors. HR outsourcing can save considerable costs that one might incur while training and recruiting employees with specialized skills. However, to get the top HR outsourcing company in UAE amidst such high competition would require you to take a risk and invest a little more for uncompromised quality of services.
Prepare for change:
HR outsourcing benefits and aids the growth of a company and thus doesn't have to be undertaken in the dark. The employees must be aware of the transition so that everyone is prepared and can present their grievances beforehand if any. UHRS is one of the top HR outsourcing consultancies in Dubai with an established presence across the UAE, has a noted experience in the outsourcing domain and offers quality and dedicated services to our clients. HR consultancy is one of them. Rest assured that you won't be disappointed.
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