Implement Metrics and KPIs to Measure HR Outsourcing Efforts

HR Outsourcing measurement KPI - Balanced Scorecard metrics template example Within the last ten to fifteen years, HR outsourcing has become a standard operation across many business functions aimed at reducing costs and improving efficiencies.

However, according to the latest research, over 80 percent of HR training takes place in various business units of an organization, meaning technology, materials, vendors and positions for training department employees are usually redundant and duplicated across the organization.

This has a negative impact on training efficiency and leads to increased learning costs and the loss of combined buying power for more leverage with vendors.

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HR outsourcing is about handing over the human resources tasks to an outsider who is found to be more 'efficient' at performing those activities. At other times, outsourcing of HR functions is opted for due to 'cost-effectiveness' of the decision.

The variety of tasks that fall under this umbrella relate to procuring and creating a taskforce that confirms to the levels specified by the outsourcer organization. The highly 'qualitative nature' of his job makes it a difficult subject to handle. The decision of HR off-shoring, such as 'who should be given this job', 'what should be the criteria for deciding the success of results' etc have to be evaluated and answered.

One should clearly spell out the requirements as wanted by the organization outsourcing the HR tasks to avoid later 'misunderstandings and confusions'.

Moving on, as analysis of whether the results confirm to the pre-set instructions and guidelines or not also should be carried out. This is to say that an assessment of the output of HR outsourcing should be done as this will help in deciding for the future course of action.

A balanced scorecard can be structured for this purpose and referred time and again to make sure that things are in place and in 'supposed-to-be' manner.

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HR Outsourcing Evaluation Balanced Scorecard Screenshots

The Balanced Scorecard (BSC) dashboard indicates performance within each perspective and the total performance of .

This is the actual scorecard with HR Outsourcing Performance Indicators and performance indicators.

Metrics for HR Evaluation

This is the actual scorecard with HR Outsourcing Performance Indicators and performance indicators. The performance indicators include: hr outsourcing, time perspective, project time, problem resolving time, cost perspective, hr cost, vendor management, total cost reduction, customer perspective, customer retention, customer satisfaction, new customers, employee perspective, leadership turnover, employee turnover, personnel training, performance perspective, communications efficiency, production efficiency, quality perspective, defects per unit, defects per million opportunities .

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