The Motives For And Consequences Of Hr Outsourcing

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Critically examine the motives for and consequences of HR outsourcing. Is outsourcing HR good or bad for organisations?

2500 words (+/- 10%, 2250 min, 2750 max)- Point Evidence Comment

Introduction -150 Words (evaluate)
• History of outsourcing, growth and trends
• Why do people outsource and how environmental factors have triggered this
• Examples of those who outsource
Outsourcing and its impact on the hr function
• Core activities – competitive advantage
• Globalisation encourages the hr function
• Commonly outsourced functions
• Advantages for outsourcing
• Consequences of outsourcing
• Reality of outsourcing and challenges and devolution of hr
• Disadvantages
• Shared services
• Predictions for outsourcing

Outsourcing in the Human Resource industry has become significant, as it has assisted organisations to manage their time and resources effectively. Outsourcing transpires “when an organisation contracts with another organisation to provide specific Human Resource services or activities” shifting the basic and traditional functions that are normally completed internally, to “an external provider” (Wilton, 2011).

There are a variety of factors that outline the significance of outsourcing and its rapid growth over the years. Firstly, there has been an “increased desire on the part of organisations to focus efforts on core activities, which are the source of competitive advantage” (Wilton, 2011). This allows the organisation to invest all efforts
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