5 Ways Manpower Outsourcing Services Can Boost Your Business
Manpower outsourcing services are among the most-common types of outsourcing in HR. Though the name may sound a bit strange, manpower outsourcing services encompass several HR functions such as payroll.
The problem is: Many businesses today need various HR solutions but don’t know where to start. Sometimes they don’t even know what they need.
The thing is, there are many HR functions out there. But non-HR managers and business owners aren’t familiar with what these functions are or how they drive their business forward.
They burden their other managers such as operations, marketing, and even engineering with these tasks that delay their productivity and performance.
That’s why, in this article we’ll be focusing on what manpower outsourcing services are, their pros and cons, and what to expect when working with a manpower consultancy.
What is manpower outsourcing?
Manpower outsourcing involves giving the varied tasks of hiring, temporary staffing, and payroll to a third-party service provider, like Tawzef.
Hiring isn’t just about reviewing a resume – or a thousand – and having the right candidate magically appear before you.
And finding qualified hires isn’t the only problem companies struggle with. Providing them with benefits such as social and health insurance services, bank accounts, ensuring their legal paperwork is in order, are among the top problems companies face.
That’s where HR outsourcing services including manpower and employment outsourcing services come in. They’re designed to help companies and managers offload ever-increasing administrative tasks they’re not familiar with so they can focus on their business operations, production, marketing, or other needs.
Manpower outsourcing vs payroll outsourcing
You may be wondering what are the differences between manpower & payroll outsourcing services?
Payroll outsourcing means you only outsource your payroll. That is having a third-party take your list of employees, calculate absences, vacation and sick days, tardiness, and then pay your employees accordingly.
Meanwhile, manpower outsourcing services include hiring and staffing for full-timers, part-timers, project managers, and freelancers, as well as all payroll requirements.
This means that if you hire a manpower outsourcing consultancy, you’d be getting both services under one umbrella.
And now that you know the differences, let’s see how manpower outsourcing services can help your business grow.
Benefits of using manpower outsourcing services
Sometimes referred to as employment outsourcing services, manpower outsourcing offers a host of benefits to small and medium-sized companies.
1- Bigger network of talents
One of the top benefits of working with a manpower outsourcing agency is getting access to a bigger pool of talents in various fields.
Finding the right employee to fill a recently vacant position or a newly-created job in your organization isn’t easy. And sifting through hundreds and thousands of resumes to find the right or most suitable one is even harder.
A manpower outsourcing company doubles as a recruitment agency, which means they’re familiar with the market and have a roster of top candidates they can reach out to.
2- Supports your HR team
Some companies may have one or more HR personnel on their teams who are flooded with business and administrative tasks.
Working with a manpower outsourcing agency gives your HR personnel the chance to take a breather and focus on the business. Meanwhile, your third-party provider takes on the added tasks of hiring, paperwork, and often paying your employees.
3- Trims labor costs
Using manpower outsourcing services enables you to reduce the cost of hiring and retaining employees. A manpower outsourcing company can take charge of various HR functions and tasks such as managing your company’s payroll, identifying gaps in your benefits scheme and creating a better scheme, along with many administrative services.
In other words, by outsourcing your manpower needs, you can remove a massive headache for your company and cut costs at the same time.
4- Reduces employee turnover
One of the top reasons companies consider manpower outsourcing services is because these agencies help them retain employees and reduce turnover.
The more your company suffers from turnover, the higher your hiring, management, and administrative costs will be. Not to mention, you’ll see declining productivity and morale across your company.
Employees will not stay forever. But having employees who are happy to be part of your organization means you can worry less about turnover and focus on driving your business forward with your team.
5- Better opportunity to grow
By ensuring that you’re working with experienced and happy employees and by no longer having to worry about many HR functions you’re unfamiliar with, means you can focus on your business operations.
It means you can focus on growing your business the way you want to. It means being able to stay ahead of your competitors because your HR needs are taken care of.
Getting started with a manpower consultancy
Let’s say you find this service in line with your needs. How do you work with a manpower consultancy or agency?
To start, you’ll first need to determine which of your HR services you want to outsource.
Is it just talent acquisition and management? Or do you want to outsource your payroll as well? Or do you want to outsource your entire HR department along with its function such the HR strategy and policy setting?
Once you agree on the names of the services you want, the next step would be to sign a contract with the manpower agency you’re outsourcing the work to. This contract should include:
- The duration of the contract and if there will be a trial period of a month or three months.
- What your expectations are from the manpower consultancy.
- Which services do you want.
- The fees for these services.
- How the service will be evaluated.
- When does the service begin? That is the starting date.
You and the manpower outsourcing services company can also add a few more terms for your end. Once you’ve both agreed on the terms, you can see how the service is working out for you.
Manpower outsourcing services are gaining popularity in Egypt and the broader Middle East. Why? Because more companies are emerging and the world of HR remains rather vague to those who don’t work in that field.
For most people, HR are only responsible for conducting job interviews. But as you can see, that’s not all human resources personnel do in a company.
In addition, many small and medium-sized companies need HR services but don’t need to burden their budgets by hiring one or more people when they need project-based hiring services.
The solution for these companies is to work with a manpower outsourcing services provider like Tawzef.