Outsourcing Your Human Resources Function

startup human resourcesYou’ve reached the point in your enterprise where you can no longer go it alone but you have no Human Resources experience. What to do? This white paper by Paychex outlines the two major types of human resource outsourcing models: Administrative Services Organization (ASO) and Professional Employer Organization (PEO).

In brief the ASO model “offers business owners everything from employee handbooks to a wide selection of benefit carriers and lets companies choose from a broad array of services that are not normally available directly.” The PEO model focuses “on providing lower-cost benefits through combined buying power and spreading the risk across many customers. They use negotiation specialists and market knowledge on costs… to ensure optimal pricing.”

The article walks you through the questions you need to consider when evaluating which of these – if either – is best suited to meeting your human resources needs. The piece also contains a helpful comparison chart.

What other questions do you have about handling your human resources function?

Leave a Reply

You must be logged in to post a comment.