HRM 3430 Chapter Notes - Chapter 13: Headcount, Cross-Functional Team, Leadership Development
8 Dec 2011
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Outsourcing a contractual relationship for the provision of business services by an external provider. A company pays another company to do some work for it. Occurs when an organization contracts with another organization to provide services or products of a major function or activity. In hr, it means transferring high-volume transactional work from the hr department to an outside contractor. Flow of resources is one-way, from the provider to the user. Typically, there is no profit sharing or mutual contribution. Much of the work being outsourced is being down offshore (outside of. Canada) or outside the primary markets: cal centres in india for bell. In hr the functions most likely to be outsourced are: Larger companies rarely engage in 100 % outsourcing for three reasons: the hr function is so critical to the culture and strategic objective of an organization that it must be closely managed by the organization itself. The most critical functions, which are rarely outsource are:
