This post is the first in our blog series on “Key Imperatives for Successful Global HR Outsourcing Partnerships.” Over the coming weeks we will dive deeper into each topic in its own post to get a focused understanding of what it takes to be a global HR outsourcing partner in this day and age. You may find the full collection of blog posts here.
Managing human resources globally has grown increasingly complex for many organisations, and more so during the course of the COVID-19 pandemic. In a world where direct interaction with not only your local HR teams worldwide, but also with your network of HR vendors, is no longer easily possible, we have to find new ways to build trust in the new world.
With increased focus on the importance of human capital management, a reliable outsourced HR partnership is paramount. Not only does the right partner ensure your organisation stays compliant across borders and services your wide network of employees on time, they should also be your partners in HR strategy and innovation.
Pulling together research from Deloitte, the Global Payroll Management Institute, The Hackett Group and others, we discovered that there are five key imperatives for successful global HR outsourcing partnerships:
1. Global cohesion vs. Local flexibility & Compliance
It is essential for centralised HR departments to manage both global visibility & local nuances. The ideal outsourcing partner should have the right global footprint, expert knowledge, scalable tech & delivery excellence in order to support these needs.
2. Managed Services as enablers of Strategic HR
No longer hidden in the back office, HR leaders are now vital voices in setting the strategic agenda in multinational organisations. Similarly, outsourcers need to pivot towards taking on the role of strategic advisor and proactive HR partner in order to effectively back their clients HR strategy.
3. Smarter levers for outsourcing value
HR outsourcing is no longer just about labour efficiency & arbitrage. Digital, market & platform maturity are all factors that have created new sources of value for outsourcing setups.
4. Co-create to innovate
Realising HR innovation goals through the partner ecosystem can often have more agility, cost-efficiency & scalability than conventional in-house models. Service orchestration is vital to ensure that the clients complex needs are met and delivered to the required level of accuracy.
5. Keeping an eye on the digital bottom-line
The COVID pandemic has been a wake-up call as expensive tech-first digital investments have failed to transform the business and adapt to the new normal. For better returns, it is important to begin from the employee & HR experience in order to provide solutions that are customised to each organisation’s unique requirements.
While the game has changed for payroll and HR outsourcing, one can never run away from the basic principles that determine a successful business relationship.
OS HRS is a trusted multi-country payroll outsourcing provider for Fortune 500 companies. You can rely on us to ensure strict compliance in each of your operations and to stay ahead of regulatory changes, with customisable payroll technology solutions. Our experienced team are here to help you get started. For more information, talk to us today.
