How non-core HR administration outsourcing can increase the organizational efficiency

Research Analysis

The main aim of this chapter is to analyze the findings that were gathered from the interview process and presented in the previous chapter. In this research four research questions are identified and based on the analysis they are answered with reference to the work done in the literature review chapter of this research. All the four questions are answered against the findings from the research done and they are presented in different section across this chapter. A detailed level of analysis is done against the work done in the research and the key findings are discussed to evaluate the quality of research done and they are presented as below 

Research Question: How non-core HR administration outsourcing can increase the organizational efficiency and reduce the cost of operations? 

As discussed in the literature review section and the research findings section outsourcing the noncore HR administration tasks will reduce the cost of operations and also improve the overall efficiency of the organization in many aspects. From the findings it can be observed that when the HR activities like training and development, staffing and payroll are outsourced to a third party the bank can concentrate on the core operations like finance and business activities and also they will get ample time to open new business areas and this analysis is similar to the work done by.

The HR aspects like staffing can be considered as the best option to be outsourced as if the organizations spend lot of amount and time on staffing they may lose important operations to be held at the core level and suppose they are outsourced to HR outsourcing vendor, now the vendor can only concentrate on staffing as it is considered as their core administration activity and thus the overall cost is reduced and also the organization can now concentrate on their core business aspects and this analysis is similar to the research done by. It is also clear from the interview with the business development manager that the direct and indirect costs are reduced when it comes to the employee welfare programs and also training and developed.

As per the findings it can be analyzed that when the HR activities are outsourced to the vendor the cost of operations on the bank side are reduced and even the risk of handling the issues like staffing and training are also reduced and when these risks are reduced the management can now concentrate on their other important business aspects and thus the overall organizational efficiency is also improved and this analysis is similar to the research of . Organizations are really benefited with HR outsourcing as they can lead to their core business growth by avoiding the HR risks at their sided and in this context the HR outsourcing can be considered as the best option as all the issue raising aspects can be diverted to vendors and the vendor can handle them easily and thus the overall operational costs are reduced and this analysis is similar to the findings of .

If the organizations outsource the payroll to a vendor, all the related issues are reduced and even the process is defined with a clear structure. In general employees will always come up with payroll issues and in this context the HR outsourcing vendor can handle them meanwhile reducing the core burden on the organization and this analysis if similar to the opinion of . If the organizations can outsource the non core HR administrations tasks then they can meet up the expectations of the customers and also set the annual and quarterly targets to the business team as they don’t have the HR risk and thus in this manner both the costs are reduced and also the overall organization performance is enhanced and this analysis is similar to the opinion of .

Thus from the overall analysis it is clear that outsourcing the non core HR administration tasks will improve the overall organization efficiency and also reduce the operation costs of the organization in many aspects like it reduces the burden of HR issues and also diverts the direct and indirect costs to the vendor in terms of training and development and staffing aspects. 

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