Advanced technology and the increasing cost of in-house operations has been the top mover and shaker in the outsourcing field. Companies are strategically outsourcing HR and payroll process to focus on core operational areas. Effective HR processes also impact employee satisfaction and overall wellbeing.
Here’s how changing trends are impacting the HR outsourcing industry-
Real-time access through cloud-based payroll
As the level of operations scale up, maintaining payroll services on a cloud is imperative. It allows the outsourcing service provider and the organisation to access data in real time, quickly & hassle free.
Cloud-based payroll also provides an additional layer of security and protects data from malware and cyber-attacks.
Introduction of Block chain Technology and Artificial Intelligence
Blockchain is more than just bitcoins – it can assist in decentralising the documentation process and speed up employee payments. Service providers also plug in artificial intelligence technology in their operations right from screening a candidate up to on-boarding him/her.
Utilisation of social media as a talent hunting tool
Talent hunting tools are replacing the conventional job search engines and career pages website. At present, companies carefully analyse the activities of prospective candidates on social media to hire the best talent. Outsourcing companies also promote work culture and ethics of the parent company.
Addition in value rather than cost cutting
Rather than searching for whom to lay off, companies are identifying connoisseurs of HR outsourcing who can foster process improvements, and add value to the business. An outsourcing partner uses expert resources and professional systems to manage payroll activities which mitigate the risk of non-compliances.
Future will see more dramatic trends
PwC has recently surveyed consumers and business decision makers to conclude that AI is going to be fundamental in the future. Repetitive manual tasks such as paperwork will be reduced by 82% and timesheets by 78%.
With a higher involvement of technology, more dramatic trends and changes can be expected. Technology will automate processes, and HR consultants will have more analytical data to help the companies take better decisions, timely.