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HR Outsourcing Focus Area
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Focus Area Tools
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SHRM Video
Strategic Outsourcing
Monica Barron, VP of Research at the Everest Research Institute, says wise executives must take into account the nature of the work being outsourced-and the work that remaining employees will be asked to do.
View this video

From SHRMStore
Outsourcing Human Resource Functions:
How, Why, When, and When Not to Contract (2nd edition) This book offers a complete discussion of outsourcing, and it explains all of the basics. It also gives HR professionals and corporate executives practical tools with which to make an outsourcing decision, identify functional candidates for outsourcing, learn how to define requirements, draw up a request for proposal (RFP) and a request for information (RFI), assess the proposals and bidders, contract for services, expand vendor management expertise and manage outsourced functions successfully.

Join the Discussion
Network with Your Colleagues
Exchange ideas and information on the HR Outsourcing bulletin board. Join in, or start a conversation of your own.

HR Outsourcing Idea Exchange
The Idea Exchange allows you to comment on a posting, contributed by the experts on SHRM's Consultants/Outsourcing Panel, that encapsulates a current outsourcing challange facing HR professionals.
Latest discussion item:
Tragedy and Scandal: Is Outsourcing's Reputation Coming Home to Roost? (Read and comment)
Previous items (still active):
Why the RFP Is Key (Read and comment)
Getting Personal with Outsoucing: What's Your Story?" (Read and comment)
Outsourcing, a Human Intelligence Source? (Read and comment)
Is Your PEO Delivering on its Promise? (Read and comment)
Corporate Social Responsibility and Your Outsourcing Providers (Read and comment)
Is HR Outsourcing the Hot New Phenomenon or a Fading One? (Read and comment)
Is Your HR Team Ready to Explore Outsourcing? (Read and comment)
Is HR Capable of Business Management? (Read and comment)

Client Resources
Looking to hire an outsourcing firm?
Find a Sample Request for Proposal (RFP)
Links to External Resources
Glossary of Outsourcing Terms
You can also submit sample RFPs and other documents by contacting the Focus Area Manager.
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Employers Address Third Parties' Ethics Employers are growing more dependent on relationships with third parties to provide HR services and as partners in joint ventures. But while these relationships can help reduce costs, improve efficiencies and remove business barriers, employers need to consider risk and liability issues that arise when partners aren't mindful or responsive to stakeholders' concerns.
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Featured Articles
Growth Opportunities Seen in Benefits Administration Market
Although the outsourcing market for benefits administration is well-established and mature, significant growth opportunities exist, particularly as organizations look to reduce and control health care administration costs while providing value-added services to employees such as health care information and decision-support tools.
Expat Costs Spur Shorter Assignments, Outsourcing The growing cost of long-term expatriate assignments is causing firms to limit expats to shorter assignments and to outsource HR management of expats, says a survey by KPMG LLP.
Transition to Outsourcing: How To Minimize Risk Transition is the stage of greatest risk in any outsourcing relationship.
It's essential that everyone involved has the right level of expectations with regard to service acceptance and subsequent delivery. Establish the transition planning process before the contract is signed, and identify roles and responsibilities.
2008 Outlook:
Companies Leveraging 'Phased-In' Approach
Outsourcing of HR functions—including the most commonly outsourced functions of payroll, benefits, employee data management, information systems and contact centers—is expected to increase in 2008 after remaining relatively flat since 2005, according to a new study report.
Service-Level Agreements: Words To Verify By Service-level agreements (SLAs) and performance guarantees are a great way to communicate expectations and help keep background screening partners performing their best. The best results, however, can be achieved only if both parties come to the table with clearly communicated, realistic goals and expectations, including a comprehensive way to measure successes and challenges.
American Airlines' Successful HRO Transition American Airlines was looking to centralize its HR organization and simplify its HR processes, so in March 2007 the company entered into a $217 million, seven-and-a-half-year comprehensive HR outsourcing deal. Here's how the airlines created and implemented its transition plan, and lessons it learned along the way.
HRO Services: Global Reach, Talent Management Are Key Attractors HR business process outsourcing remains the fastest-growing segment of HR services. One reason: the world is 'flattening,' and as a result, the desire to have commonality and consistency across the organization is increasing in importance.
RPO for Smaller Firms
 Tom Darrow, principal of Talent Connections, says Recruitment Process Outsourcing (RPO) is becoming more common at smaller firms lacking in-house specialized recruiting skills.
Visit our complete HR Outsourcing articles library for more recent postings
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Webcasts
'On Demand' Webcasts: Now Available for Viewing
To Outsource or Insource: New Choices for Benefit Managers
Presenter: Susan King, Senior Vice President, Aon Consulting
How to evaluate and realize the true value of HR outsourcing, focusing mainly on employee benefits delivery models. Key topics include keeping pace with the explosion of benefits outsourcing options, what to keep in-house and what to farm out, and strategies to maximize administration and consulting relationships.
View this webcast.
What Matters Gets Measured: Using Technology to Capture and Improve Metrics
Top organizations are leveraging software and systems to demonstrate return on investment and strategic value. This webcast will show you how HR can, too.
View this metrics webcast
Optimizing Your Requests for Proposals (RFPs) for HR Outsourcing
Presenter: Scott Golas, PA Consulting Group
When searching for an HR services provider, companies typically conduct an internal assessment focused on tightly define operational and transactional needs, and then describe these in a request for proposal (RFP) submitted to a large number of providers. However, beginning the vendor-selection process with a traditional RFP can impose limits on providers and eliminate options that may best serve the organization. A more effective process for HR services may be a "reverse RFP." Here, organizations identify a much smaller subset of vendors than would typically be included in a mass RFP. The organization specifies the problem it is trying to solve rather than a predetermined solution, and invites vendors to propose answers.
Learn more/view nowPDF of presentation slides to print or download
HR Outsourcing for Middle-Market Clients: A Path for Growth and Agility? Presenter: Robert H. Brown, Gartner
Middle-market clients represents the fastest growing segment of the HR outsourcing market. How can HR professionals at mid-market or smaller firms ensure they make HR outsourcing decisions that lead to satisfying client-provider relationships, while positioning their organizations to be agile and grow? This webcast will address that question and related topics.
Learn more/view now
PDF of presentation slides to print or download
Also Available
Webcast: How Will HR Outsourcing Affect Your Career?
Webcast: Negotiating the Optimal HR Outsourcing Contract: Business and Legal Issues
Slide Presentation: The Impact of HR Outsourcing on the HR Profession
For more HR Outsourcing webcasts you can view now, click here.
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