Published March 16, 2009
2009 End-to-End Large-Market HR Outsourcing Providers
Mike Wright, senior vice president of HRO sales and marketing at Hewitt Associates, has learned a thing or two about what makes a good client. He also has learned more than he would have liked about what makes a bad one. As a result of some difficult years in HR outsourcing, he says he and his colleagues now have a keen eye for red flags that indicate a prospect isn’t going to work out.
Just a few years ago, it wasn’t unusual for an HR executive to start discussions with an HRO provider without bringing in the CFO or other executives, says Jim Konieczny, Hewitt’s senior vice president of multiprocess human resources outsourcing. Now he goes to the board with the proposal. "This might not require board approval, but it’s a strategic move to make sure the buy-in is there," he says.
Given the financial pressure that many companies are under today, Hewitt also is making sure that prospects understand the long-term nature of HRO implementations. While many companies may want a quick cost fix immediately, they need to understand that it can take time before they realize those cost savings, Wright says.
"If an organization is trying to outsource to get a quick fix for the next two quarters, we wouldn’t look at this," Wright says. "We understand why these are real needs at this time, but these are longer-term decisions."
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Workforce Management, March 16, 2009, p. 10
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