Individual Assignment #1:

1. What is the significant impact of outsourcing on the organization of HR Department?

HR outsourcing is the process of in which certain human resources activities are outsourced to external
partners which helps the organization get advantage of specialized skills, reduce cost and enable HR
personnel to focus on strategic initiatives.

https://www.peoplematters.in/article/outsourcing/impact-of-hr-outsourcing-on-an-organizations-
functioning-19107

Human resources outsourcing firms help businesses minimize risk. Employment and labor laws change
regularly, and it can be difficult for employers to remain up-to-date on regulations that affect the
workplace.

Outsourcing helps reduce the cost of maintaining nonrevenue-generating back-office expenses. A fully
functional human resources department requires additional office space and highly trained and
experienced HR staff. Many small businesses find it more cost-effective to outsource HR functions rather
than expand to a larger location to meet the space needs of another department. Furthermore,
outsourcing costs are variable and can be reduced when business needs warrant.

Outsourcing HR functions create greater efficiency within human resources systems. Advanced human
resources technology utilized by outsourcing providers help streamline important HR functions, such as
payroll, benefit administration and compliance management. Outsourcing helps employers and
managers spend less time doing paperwork and more time dedicated to improving the efficiency and
effectiveness of the workforce.

Outsourcing HR functions help businesses manage employee performance and development. Providers
implement performance management plans to ensure employees comply with company policies and
procedures and successfully meet business goals. Outsourcing firms periodically monitor employee
performance and report findings to management. This reduces the workload of managers by minimizing
the amount of administrative responsibilities they must focus on.

https://www.priorityhr.com/blog/entry/the-advantages-of-outsourcing-hr-functions

https://escipub.com/ijibm-2020-01-2305/
https://www.peoplematters.in/article/outsourcing/impact-of-hr-outsourcing-on-an-organizations-
functioning-19107

https://hroresources.com/the-advantages-of-outsourcing-hr-functions/
https://lindenbergergroup.com/7-great-reasons-outsource-hr/
 2. Globalization has opened doors for new markets, new products, new mindsets,
new competencies, and new ways of thinking about business.  Do you think HR
function needs to create new ways and means for attaining global agility,
effectiveness, and competitiveness? Justify your answer.

Globalization in human resource management means you'll be managing employees over great
distances and perhaps in several sites spread around the globe.

As the organizations cross geographical barriers and hire diverse talent in terms of age, gender, ethnicity,
skills, experiences and location responsibility of human resources has increased multifold

https://talentedge.com/articles/effects-globalization-human-resources-management/

effectiveness

For this, HR departments face a bigger challenge in communicating with their employees. Often, they
must rely on technology such as email or conference calling to relay information, thereby eliminating
some of the more direct human elements of interaction.

The world never sleeps! If one country is closing its office, the other may be just opening or in full swing
business hours. When a company is doing business in different countries, communication becomes
difficult. Human resource department has to devise communication strategies which can establish
synchronized co-ordination without requiring remote employees to disturb their time zone.
 

https://smallbusiness.chron.com/effects-globalization-human-resources-management-61611.html

competitiveness

The new global world has widened the talent pool for excellent and marginal workers, and for
permanent and fluid workers. The pace of globalization is increasing continuously in terms of markets
for goods and services, investment and business opportunities within one or more organizations.

https://www.ijsdr.org/papers/IJSDR1902015.pdf

Preparing home country employees to work in a different country or vice-a-versa is quite challenging. In
spite of adequate training and a competitive compensation package, the expats may not fit in the
company. The recruitment, training, motivation and retention of expats call for an exclusive human
resource strategy.
 
Human capital is the most important asset for any organization. Given that there are people’s emotions,
behaviour and personalities involved, and the market dynamics are changing at a rapid pace, the
challenges for the human resources department has increased several times over.
 https://trainingindustry.com/articles/strategy-alignment-and-planning/the-
importance-of-agility-in-human-resources/

3.Cite the reference/s you used in answering the questions.

1. Read assigned chapter on the given module