5 Common HR Solutions and Why You Should Think Outside the Box

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These are five common HR solutions we see a lot of businesses using these days. They may be common, but that doesn’t mean they are always good for business. Weigh your options and maybe consider trying something outside the box.

You might find that one of these options works fine for your business needs. Whether you’re a startup, small business, or midsize corporation, only you know what’s best. Just remember, the cheap and quick options may not always play out well in the end.

5 Common HR Solutions

1. The “Suggestion Box”

When your employees have a benefits question or a work-related issue, who do they go to? Is it a brown box with a hole in the top shoved in some corner near the front desk?

This is definitely not a good business tactic. This will make your employees angry and could possibly lead to your business getting sued.

2. À La Carte

This might seem the most cost effective, but is it worth your time? This is when you piece together a payroll processor, sign with a third party work comp carrier, maybe hire a few HR consultants or outsource some of those duties.

When it all adds up, is it really worth the trouble? How well do these pieces cross-communicate? Don’t get caught in a messy web of HR services. This option leaves room for crucial information and details to fall through the cracks.

3. Software

Maybe your HR department is a software dashboard. In other words, maybe it’s all on you again. There might be systems that help simplify processes for you, but there’s nobody else to do the groundwork.

This option leaves you without someone to call when issues arise, or maybe you have access to a call center for technical problems. But what about when employment laws change? (We know this is happening all the time.)  Or when you really need to talk to a human? How quickly will the software receive updates to reflect necessary changes? It may be all in one place, but is it enough and does it actually put time back in your day or does it just give you a new way to handle it.

4. You Are the HR Solution

A lot of business owners try to do it all themselves. They balance everything on their shoulders… until something important is dropped.

When you started your business, did you want to be a professional employer? Probably not, and today it’s more difficult than ever with constantly increasing state and federal regulations.

5. The PEO Solution

A Professional Employer Organization provides payroll, benefits, work comp, and HR services and even helps with compliance and safety issues. PEOs aim to lift the administrative burdens of being an employer off your shoulders and help eliminate compliance risks in your growing business.

Think Outside the Box

The above options are common but that doesn’t mean they are the most effective for your business. Think outside the box, take a close look at what your specific needs are and find the puzzle piece that matches. Is a PEO the right solution for you? Maybe, maybe not. Here are a few facts from this infographic about the PEO solution you might like to know:

  • Small businesses who use a PEO have seen their employment grow more than 7% faster than other comparable businesses.
  • After at least a year of using a PEO, companies saw 10 – 14% lower employee turnover rates than the national overall average of 42%.
  • Approximately 8% of small businesses fail every year. Businesses that used a PEO failed at approximately half that rate, at 4%.

Ready to explore if a PEO is the right HR solution for you? Check out our ebook below.

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