Alternative to Hiring Full-Time HR
There are so many ways organizations can benefit from tapping into interim or fractional HR. Ask our clients. We wanted to share some of the compelling reasons to celebrate and amplify this alternative, and the positive results so many teams experience.
We specialize in helping teams build, lead, and manage HR. Consultants handle the day-to-day responsibilities, lead projects, work with employees and managers, and help you strategize and scale for longer-term growth. We help all kinds of teams, from startups to nonprofits, to decades-old companies.
HR Is Critical to Establishing Culture & Scaling for Growth
HR is important to any team at any stage period, but many companies struggle with when and how to get the help they need. It’s an investment and commitment to hire a full-time person. Every business is unique. There’s no pat answer to “When do I hire HR?” Many say it’s when you reach an employee base of 50+. Or, if you’re leading a growing team in a complex industry and geography(s).
Startups usually spend money and time on talent acquisition first and then switch their sights to HR. We’d argue that building core people practices, policies, and programs is a must-do to cultivate and develop a strong culture and work environment. You can do this successfully with interim or project-based HR support for a few hours per week or month.
Benefits of Fractional, Interim, and Project Based HR
Manage Costs:
- Interim HR costs can be budgeted by focusing on a set of priorities and dedicated time per week/month. Manage a list of priorities and projects to allow businesses to pay for the hours or services they need. Many HR consultants can take on helping you build foundational and core people practices for just a few hours a week.
- HR consultants are highly experienced “generalists” who are adept at handling the array of HR needs from establishing core practices to performance management, total rewards, compliance, workforce & strategic planning to training.
- HR consultants can manage vendor relationships like HRIS and benefits. This reduces internal time and other team member involvement.
- HR consultants have access to high-quality tools and platforms to share with clients to build handbooks, run salary analyses, and more.
Add Expertise and Specialized Skills:
- Access to specialized skills: Fractional HR professionals have expertise in both niche & generalist areas like HR compliance, employee relations, or talent acquisition. We know enough to do what you need and when to point you to another resource such as an employment attorney, immigration specialist, or benefits broker.
- Quick problem-solving: we can quickly address complex HR issues, reducing legal and compliance risks.
- Bottom line: the combined expertise, knowledge, and years of experience reflected in our team of consultants gives access to best practices, tools, templates, and resources – highly valuable to clients.
Scalability and Flexibility:
- Businesses can adjust HR support levels as needed during peak seasons, special projects, or downsizing phases.
- Fast response times to changing HR needs and the ability to connect with employees directly. Consultants have high standards and high touch communication.
- HR support can scale up or down as things in the business change. This adaptability is especially useful for seasonality, significant change, and growth.
Risk Mitigation:
- Reduce compliance risks with HR experts who stay updated on ever-changing employment laws and regulations.
- Prevent legal issues: proper HR support & training of managers reduces the likelihood of costly employment-related lawsuits.
Gain Efficiency and Increase Productivity:
- Regular HR tasks, like benefits administration and onboarding, can be handled efficiently.
- Focus on Core Activities: By outsourcing HR tasks, small business owners and managers can free up their time to concentrate on core business activities and strategic planning.
Use of Data and Employee Metrics:
- Improved performance evaluations: More structured HR processes lead to more effective performance discussions, coaching and development plans.
- Enhance productivity: Data-driven HR support helps identify areas for improvement and recommendations /solutions..
Address Employee Relations Concerns:
- Conflict resolution: Skilled HR support can mediate disputes and improve engagement, aiming for fair and positive resolutions for all.
- Improved communication: HR can facilitate communication between employees and management, and help create a more transparent and engaged workforce.
- Access to HR Experts: Employees may feel more confident in HR processes when they know that professionals are handling these matters, potentially leading to improved employee satisfaction.
Reduced Administrative Burden:
- Benefits Administration: HR outsourcing can handle tasks such as benefits administration and employee record management, reducing administrative burdens on the business or recommending solutions via HRIS technology and automation.
- Employees feel more confident in HR processes when they know professionals are handling these matters.
Business Continuity:
Succession planning: Interim HR support can help create and implement succession plans, ensuring a smooth transition in leadership roles.
Measurable Outcomes:
Metrics-based improvements: Quantifiable results such as reduced turnover, decreased time-to-fill for open positions, and increased employee satisfaction can demonstrate the impact of HR support on the business.
If you’re worried about bringing in outside HR help, start small. Find the right person to work with and be sure to check references. The consultant should be able to tell you what they would recommend and describe the benefits. If you have a specific focus such as compliance, automation, or cost savings, make that clear and ask how they would approach it. Even those leaders who start out skeptical often find themselves relying on fractional HR for all the reasons listed above. Reach out to us to start the conversation today.
Articles / Sources:
https://www.gnapartners.com/resources/articles/what-is-hr-outsourcing
