HR Outsourcing Trends In IT Sector


In the coming months, IT organizations will see a number of changes in HR as it strives to adapt in the changing business scenario. The HR function will therefore be called upon to think more proactively and be future-ready. Incremental changes in thinking and capability will be critical for the function to succeed and deliver the value it is expected to deliver to the business. In this context, building and adopting tools such as social media, mobility and analytics for employee engagement and experience management will become more and more important.

Here are the top eight HR trends in the IT sector that HR professionals must look out for while planning and strategizing for the coming days.

 Trend-1: Social and mobility: The new platform for employee engagement and self service: Social and mobility are changing the way enterprises engage with their employees and the dated notion of employee self-service by creating an interactive environment. Enterprises are looking at social and mobile platforms to provide real-time access to data and information, thus helping improve productivity and collaboration.

Trend-2: Transformation HR outsourcing gaining traction: Outsourcing is emerging as an answer to attain scalability, streamline HR processes, and access technology. They are therefore seeking end-to-end support in processes such as learning, which was previously perceived as core and hence kept in-house to optimise the learning blend and manage costs better.

Trend-3: ‘Simplify HR’ is the new mantra: Whether large or small, enterprises will focus on standardisation and simplification of HR administration processes across a globally distributed workforce. And a key enabler in this effort will be cloud.

Trend-4: ‘Next-gen’ payroll outsourcing: Global Payroll outsourcing continues to be in demand. Enterprises will seek to create a seamless payroll organisation and look for full service providers to manage a large part of payroll processes. And an important criterion driving the selection of partner / vendor is their capability to take up work for tail-end countries and provide a combined BPO and SAAS solution.

Trend-5: Multi country HR outsourcing segment is set to grow: HR outsourcing deals will include more than one country and at least one of the emerging markets (Latin America, APAC) as part of the scope.

Trend-6: Equal demand for managed services and process-only outsourcing: Even though managed services models (platform services that include technology and BPO) are in place, the demand for process only outsourcing (lift and shift) will continue.

Trend-7: Be current on country-specific legislature changes: Enterprises will increasingly demand capability to be self-sufficient for remaining current and updated on country-specific HR and payroll legislature changes (taxes, government reporting, etc.) from outsourcing providers instead of relying on internal staff.

Trend-8: Growing demand for HR analytics for business insights: Enterprises are moving away from metrics and dashboards to HR analytics and will look for outsourcing partner who can provide true insights to enable improved decision making.

The HR landscape is set for rapid change; those who understand the shifts will be able to adapt and capitalize on the opportunities it presents.