Human resources has been used even by early merchants to operate their trade. They hire guards, laborers and servants to accompany them as they go from one place to another to do business. In fact, the early business industry relied on human resources in most of the business operation. As centuries passed by, the business industry has developed tools, equipment and machines to help them operate the business easier. These technological advancement has taken some of the load human resources had to carry for operating the business. And though there are machines which are now capable of completing several cycles of the business process with little to no human intervention, companies still rely on human resources for a significant part of the business operation. And with companies established almost anywhere, some companies have trouble in securing human resources to keep their business operation running and get the chance to grow in the industry.
In order to solve this challenge, here are the different human resource solutions companies often used.
- Hiring Employees – Hiring additional employees are often the HR solution used by companies. This definitely solve the problem and a good indication that the company is growing. However, on the early stage of company growth, the demand for additional human resources is not fixed and final. Sometimes, the growth could simply be temporary or the demand is simply seasonal and would only be in a few months every year. If this happens, hiring permanent employees can become a liability instead of an asset making it not suited for such situation. Increasing the facility to accommodate new employees is also a challenge and can be expensive.
- Using Contractual Workers – Hiring contractual workers or temporary employees is perfectly suited for seasonal influx of demands. Companies can hire the needed workers for the period where demands are hire and then end the contract at the time the company expects the demand to go back to its normal level. The main disadvantage for this kind is when the work requires complex skills making it necessary to train the employees before introducing to the business operation. This is a waste of company funds since the contract is temporary.
- Outsourcing – The last type of HR solution is outsourcing. The company will contract corporate payroll solutions to perform several company operation to meet the demand of the market. Outsourcing allows the company to have the flexibility of securing temporary services to meet the market demand without the need of a new facility. The employees in an outsourcing companies are also armed with the necessary training to provide quality services to the customers.
Among the services provided by outsourcing companies are customer support, billing collection, sales and booking flights or hotel reservations. These are common with outsourcing companies located on a different country. Though there are still outsourcing companies which provide traditional services such as production of mechanical parts or partial process of raw materials for their clients. If you are planning to acquire additional human resources to meet the market demand, consider if the current trend will be permanent or if it is based on the season in order to know which among the HR solutions is right for your company.