Vision of HR managers towards HR outsourcing

Research findings from interview with HR managers 

Two HR managers are interviewed in this research with the help of a questionnaire and it is given in the appendix section. Different range of questions were asked to the HR managers to gather the information related to their core HR activities outsourced and their potentiality in outsourcing the HR activities and making the human capital an important resource to the organization. Based on their opinions during the interview process and the corresponding findings are given as below under different categories 

Vision of HR managers towards HR outsourcing 

In general HR managers will have a defined vision towards outsourcing their own HR activities and in this context both the HR managers are interviewed regarding this and they are interviewed based on few identified questions and the corresponding findings are given in this section. When one of the HR managers was regarding the question related to the key reasons to choose HR outsourcing, he replied like “We need to concentrate on the core business activities and thus to streamline the HR activities in our bank we opt the HR outsourcing” and from this statement it is clear that, to improve the core business activities across the organization a well planned organizational activities are required and in this context the management at most of the times will concentrate on the core business activates and at the same time they prefer to outsource the important HR activities to reduce the burden and risk from the bank side.

When the same question is asked to one of the HR managers he replied like “Outsourcing the HR activities will improve the quality of the human resources as a special care is taken towards by the vendor when compared to us” and from this statement it is clear that, when HR activities are outsourced they are given more importance by the vendor.

It is also clear that when the organization need a separate control over the core business activities and improve their own business value they always prefer to outsource the important HR activities like staffing and payroll, where they can mould these activities for their business benefits and even the vendor takes more attention towards the organization human resources as it is their core responsibility to furnish the requirements from the organization side. When an organization has a separate HR department it is really important to understand the reasons behind outsourcing the HR and with related to his when one the HR managers is asked about what made them to outsource the HR activities he replied like “HR outsourcing provides an option to improve the quality of training and development as the vendor is expert in understanding the bank requirements”.

From this statement it can be understood that, an expertise is always required when it comes to training and development and also the bank HR team may not concentrate on the training issues all the time and thus outsourcing the HR will enhance the quality of training and also the quality of core operations as well. When the same question is asked to one of the HR managers he replied that “Productivity of the organization is improved in all the aspects with HR outsourcing and thus we always look for better quality in Hr outsourcing” and from this statement it is clear that, when the core HR activities are outsourced the overall productivity and performance of the organization is really improved a lot.

Employee turnover plays an important role in estimating the HR performance of any organization and in this context when the HR managers are asked regarding the employee turnover due to HR outsourcing at their organization, he replied that “Employee turnover has the direct impact with the HR outsourcing and this impact is always in positive terms”. It can be understood from this statement that, employee turnover is always increased with the HR outsourcing as the outsourcing vendor keeps lot of attention towards improving the employee overall performance and with this the impact on the turnover is directed towards a positive results.

One of the HR managers replied to the similar question like “HR outsourcing can be considered as the best source of improving the employee turnover and with proper training and development employees prefer this against their career growth as well”. From this statement it can be analyzed that when the employees are really satisfied with the training and development given by the HR, they will stay back with the organization for long duration and also they will make the paths for improvements in their career as well. When the employees develop a positive attitude towards the HR activities across the organization then automatically the overall employee turnover is increased a lot.

Every organization or every HR manager will have a certain vision towards Hr outsourcing and in this perspective when one of the HR managers was asked, he replied like “Our vision is very clear towards HR outsourcing and it is all about improving the human capital and also to concentrate on core bank aspects” and from this statement it is clear that, most of the organizations prefer HR outsourcing in the context to improve the employee performance and also concentrate on their basic operations such that the overall organizations performance is improved in every aspect and even the employee turnover is increased.

When the same question is asked to another HR manager, he replied that “Vision is very clear against HR outsourcing and it is all about reducing the burden on bank with respect to HR” and from this statement it is very clear that when few of the HR activities are outsourced the overall risk related to sensitive HR issues are solved without any burden on the organization. Thus from this overall analysis it is clear that HR outsourcing is the best preferred option by the bank to reduce their risk and also to improve employee turnover and organization performance. 

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