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Feature:

Large-Market Outsourcing: Changing the Expectations of HR

  

Feature Contents
Top of Feature

1. 5 Tips for Keeping Your Job in a Post-HRO World


2. Buyers Seek Metrics on Service Quality
Since Lockheed Martin signed an outsourcing agreement in 2000 with PricewaterhouseCoopers’ Unifi division, the entire landscape of the HRO market has transformed. In 2000, there weren’t many buyers to compare notes with—let alone companies in one’s own industry.

3. Getting Creative With Pricing
As early HRO contracts come up for renewal, price is a key issue, but so are the elements that determine what that price will be. Clients and providers are discussing new pricing approaches and are attaching rewards as well as penalties to service level agreements.

4. Providers Redefine HRO Model
Buyers aren't the only ones who have learned a thing or two as the HR BPO market has matured. Service providers have had to learn—some the hard way—that the business model they used in many of the earliest HRO deals was never going to be sustainable


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5 Tips for Keeping Your Job in a Post-HRO World


HR managers who position themselves correctly and gain new skills can remain employed with their companies, according to one expert.
By Jessica Marquez
Recommend 0

t’s not unusual for HR managers to go into panic mode after their companies sign an HR outsourcing agreement. After all, their jobs are in jeopardy.

    But HR managers who position themselves correctly and gain new skills can remain employed with their companies, says Deborah Kops, head of program planning and development for SharedXpertise, a global organization that assists companies with transforming their businesses through shared services and outsourcing.

    Kops gives five tips on how HR managers can keep their jobs in the post HRO world:

  • Learn how to focus on results rather than processes. Most HR managers are used to managing all of their own processes down to every detail. But in a post-HRO environment, these employees need to change their approach so they focus on the outcomes rather than the processes. This means HR managers need to let go of their control over how the processes are conducted and just make sure that specific metrics are met.

  • Learn new skills. HR managers in a post-HRO environment need to know how to manage vendors. This means understanding how to govern the relationship, how to manage risk and how to oversee the change within the organization. Managers who can exemplify these skills will be key assets in the new organizations.

  • Align yourself with the business. HR managers can no longer go on their merry way just overseeing HR as a separate entity to the business. Instead they need to become HR experts with a focus on the ultimate business goals. Ultimately, they need to become advisors to the business.

  • Think commercial. Make sure you understand the cost and benefit of every process that comes out of your organization, whether it’s being run by the outsourcer or internally.

  • Be flexible. HR managers need to look at their careers in a new way. Outsourcing frees up talent to do new things in a business, so that might mean that there is a great opportunity for HR managers in new roles. Be ready for that kind of change.

Workforce Management Online, April 2007 -- Register Now!


Jessica Marquez is New York bureau chief for Workforce Management.  E-mail editors@workforce.com to comment.
Next Article: 2. Buyers Seek Metrics on Service Quality
Since Lockheed Martin signed an outsourcing agreement in 2000 with PricewaterhouseCoopers’ Unifi division, the entire landscape of the HRO market has transformed. In 2000, there weren’t many buyers to compare notes with—let alone companies in one’s own industry.

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