How HR Can Succeed With HR BPaaS

June 27, 2016 Zuman

Human resources business process as a service (HR BPaaS) is transforming the role traditional HR departments play. While some HR professionals have feared the increasing engagement with HR BPaaS and what that means for their positions, others have found ways to make the service solution work for them. And as the HR BPaaS market continues to grow rapidly, it's more important than ever for HR departments to see this outsourcing solution as a tool.

HR BPaaS is in the cloud and all around
For those businesses and HR professionals still trying to get a handle on what exactly HR BPaaS is and what it does, here's a brief primer:

HR BPaaS is a cloud outsourcing solution that's part of the business process outsourcing (BPO) family. It can take over typical functions such as managing benefits, payroll and PTO.
This saves money and frees up HR leaders to focus on big picture items. HR BPaaS can also make information technology resources more easily accessible.

If you think this sounds great, you're not alone. According to a recent report from Gartner, the HR BPaaS market is expected to grow from $1.6 billion in 2015 to $4.7 billion by 2020. This is an estimated compound annual growth rate of 23.7 percent from 2015 to 2020. As the market expands, the need to implement such cloud solutions grows, and there are a few ways that HR can embrace the change and succeed with it.

How HR can help itself
With the market apparently awash in HR BPaaS options as well as other BPO solutions, how can HR leaders separate the wheat from the chaff to find the perfect tool to maximize productivity and overall performance?

One key to finding the right solution is identifying not only how it will benefit HR processes, but also how it will help the organization succeed as a whole. Human Resources Executive Online explained that understanding how non-HR and leadership boards evaluate technology purchases and the metrics by which they judge such investments is critical to winning the case for your chosen HR BPaaS solution.

HR leaders will also benefit from the assessment process by partnering with finance. The finance department can assist HR in forecasting returns on productivity and engagement as well as translating this actionable data for the C-suite.

Finally, planning ahead is critical for the success of any HR BPaaS solution and implementation. How will HR introduce and acclimate employees to the new processes? How will the benefits of the new system to the company and themselves be communicated to workers? Having a step-by-step implementation plan will be critical to success. But HR shouldn't forget it has a partner outside of the company's four walls - the HR BPaaS vendor who can answer seemingly impossible questions and offer insight HR might never have found by proceeding alone.

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