Topic Employee Engagement

How Outsourcing Your HR Directly Improves Your Company Culture

How Outsourcing Your HR Directly Improves Your Company Culture

At its core, company culture defines how the employees engage with each other and with their company. It may include a set of values, a specific type of work environment, leadership style, expectations, and goals. An honest company culture can actually improve employee engagement. That matters because engaged employees provide 21% greater profitability to their employer.

Learn more about how you can elevate your employee engagement

But for small HR teams or even HR departments of one, defining, building, and improving a company culture can be an insurmountable task. Outsourcing HR could be your solution to support your company culture. 

Increase HR's Bandwidth

Outsourced HR solutions support your business's in-house HR instead of replacing it. By taking on administrative burdens like payroll and compliance, your outsourced HR partner can give your in-house HR team time to focus on your core business needs. These needs include building or strengthening your company culture.

By shifting the burden of mundane administrative tasks from your internal HR team to your outsourced HR partner, your in-house HR team regains the time and energy needed to deal with the complexities of maintaining company culture. It also provides your HR department with the focus required to handle internal employee issues. 

Businesses of all sizes deal with internal disputes which can create tense situations. Having a trusted employee with the time and focus they need to deescalate issues is also crucial to keeping your company culture healthy.

Eliminate Compliance and Payroll Errors

Running a small or mid-sized company can be extremely rewarding. It can also be incredibly frustrating having to deal with complex and ever-changing employment laws. These laws come from the federal, state, and local level, making it difficult to understand how to apply each new regulation to your business.

This complexity creates a situation ripe for errors. Your internal HR team may strive for perfection, but they are not experts at everything. Choosing an HR outsourcing partner gives you access to many experts who spend their days researching, reviewing, and administering employment laws changes. This helps to keep your company compliant and avoid costly fines from government agencies. 

Payroll also has its own complexities. While no employee would intentionally make an error on your company's payroll, mistakes can happen. These mistakes often lead to increased attrition. Most employees start looking for a new job after just one mistake on their paycheck. Working with a trusted HR outsourcing partner, you can rest assured that your payroll will be correct each time, and your team will remain engaged in your company.

Improve Benefits

A stellar benefits package is an excellent way for your company to show your employees you care about them and want the best for them. It's also a great way to attract and retain top talent in your industry. When you can show candidates a top-of-the-line benefits package that beats out your competition, they are more likely to choose your company. Because your benefits are the best, they are also more likely to stay with your company.

However, many small and mid-sized businesses do not offer great healthcare and other benefits because they are cost-prohibitive. Working with an outsourced HR solution can help your company overcome this financial hurdle. Because your outsourced HR provider has many clients like you, they have the leverage to negotiate benefits at better rates. This results in your company's ability to offer best-in-class benefits at prices you can afford. That further strengthens your company culture.

Be an Employer of Choice

Strengthening company culture presents challenges. But it is entirely worth the struggle because it results in engaged and loyal employees. Having dedicated employees will increase your retention rates. When candidates see the benefits you offer, the culture you have, and your existing team’s engagement, they will want to be a part of that. This then increases your ability to attract and retain top talent in your industry. 

Becoming an employer of choice requires dedication, strong will, and a trusted HR outsourcing partner. You do not have to tackle this burden alone. By shifting some mundane HR administration duties to your outsourced HR partner, you can achieve your desired company culture.

How the Right HR Outsourcing Partner Brings you Closer to Your Dreams

Jason Randall

Jason Randall

Jason L. Randall is the CEO of The Questco Companies. He regularly speaks on topics related to strategy, growth, and organizational performance.