51
Outsourcing by Toronto Training and HR June 2012
| Date post: | 19-Jan-2015 |
| Category: |
Business |
| Upload: | timothy-holden |
| View: | 300 times |
| Download: | 0 times |
Outsourcing
by Toronto Training and HR
June 2012
Page 2
Contents3-4 Introduction to Toronto Training and HR5-7 Definitions8-10 Costs of attrition11-17 Reasons for leaving18-21 Improving morale and motivation22-25 Drivers of employee commitment
and retention26-27 Handling a resignation28-29 Interview mistakes30-31 Job satisfaction32-33 Retaining female employees after
maternity34-41 Exit interviews42-47 Managing turnover48-49 Drill A50-86 Examples87-88 Drill B90-98 Case studies99-100Conclusion and questions
Page 3
Introduction
Page 4
Introduction to Toronto Training and HR
• Toronto Training and HR is a specialist training and human resources consultancy headed by Timothy Holden
• 10 years in banking• 10 years in training and human resources• Freelance practitioner since 2006• The core services provided by Toronto Training and HR
are:- Training event design- Training event delivery- Reducing costs- Saving time- Improving employee engagement &
morale- Services for job seekers
Page 5
Definition
Page 6
DefinitionOutsourcing
Page 26
Main areas in which outsourcing occurs
Page 27
Main areas in which outsourcing occurs
Cleaning premisesSecurity servicesBuilding maintenanceTrucking servicesCateringITLegal servicesMarket research
Page 26
Good reasons for outsourcing
Page 27
Good reasons for outsourcing
1 of 2Third parties may be able to perform transactional HR activities more competently than an in-house team, thereby enabling it to focus on more strategic efforts rather than day-to-day personnel activitiesTo enable a neutral organization to intervene in what may have been a previously heated or difficult situation
Page 27
Good reasons for outsourcing
2 of 2To lower the cost of some HR activities such as payroll and benefitsTo replace technology that is prohibiting HR transformation
Page 26
Potentially bad reasons for outsourcing
Page 27
Potentially bad reasons for outsourcing
To lower total HR costsTo reduce headcount costs
Page 26
Areas to consider when outsourcing
Page 27
Areas to consider when outsourcing 1 of 2
This is your business, and you should have an in-depth interview with the person or company you are considering, to make sure they are qualified to take on the desired workDepending on the type of task you are outsourcing, let your employees know what is going on and how it will benefit themAllow time for training and setting expectations with each other.
Page 27
Areas to consider when outsourcing 2 of 2
Take baby stepsContinue to tightly manage the outsourced taskConsider the degree to which outsourcing could save you both time and money
Page 48
Drill A
Page 49
Drill A
Page 26
Why do contractors put forward a competitive
price?
Page 27
Why do contractors put forward a competitive price?
1 of 2They become expert in their field and know how to achieve high levels of productivityThey operate under flexible staffing levels where part-time and temporary work is necessary to meet the needs of clientsEmployees can be moved from one contract to another as required to meet swings in demand
Page 27
Why do contractors put forward a competitive price?
2 of 2The culture of the organization is one that is customer-focused so employees become used to change and a variety in working hoursService innovation arises naturally from an organization meeting the whims of demanding clientsRewards are likely to be performance-basedBenefits such as pensions tend to be less generous
Page 26
Example-cleaners in the City of Toronto
Page 27
Example-cleaners in the City of Toronto 1 of 6
FACTS AND FIGURES27000Light duty cleanersSpecialized cleanersJanitors, caretakers and superintendentsAge categoriesIncome, private v public
Page 27
Example-cleaners in the City of Toronto 2 of 6
HIGH STAFF TURNOVERLow levels of compensationPoor working conditions
Lack of sufficient trainingJob securityHigh levels of on-the-job stress
Page 27
Example-cleaners in the City of Toronto 3 of 6
HIGH STAFF TURNOVERLack of experience for workersCosts associated with recruitment and trainingDifficulties in maintaining a high level of quality
Page 27
Example-cleaners in the City of Toronto 4 of 6
HEALTH CONCERNSOccupational health & safetyHurley caseLink between cleaning and hospital-acquired infections
Page 27
Example-cleaners in the City of Toronto 5 of 6
LIVING WAGETransfer of economic burdenHealth status and socio-economic factorsRising levels of inequality in the city
Page 27
Example-cleaners in the City of Toronto 6 of 6
SOURCE OF SAVING/EXPENSELabour cost savings from outsourcingCost of contracting and supervisionForegone tax revenuesSocial program expensesCosts associated with inadequate qualityGrowing levels of social exclusionLack of springboard job opportunitiesSpillover in marginalized neighbourhoods
Page 26
Leaders considering a large outsourcing
project
Page 27
Leaders considering a large outsourcing project
Get support from all departmentsCreate operational accountabilitySeek the appropriate level of adviceSet a realistic time frameDon’t oversell
Page 26
Secret to getting outsourcing right
Page 27
Secret to getting outsourcing right
Writing a full business planUnderstanding what the real return on investment is likely to beEvaluating the capabilities of your proposed vendor carefullyEnsuring that you have the right team in place
Page 26
Best practice guidelines
Page 27
Best practice guidelinesManagementHR-specificService/business issuesCommunication/understanding issues
Page 26
Reasons to make the decision
Page 27
Reasons to make the decision 1 of 2
TO COMMENCE OUTSOURCINGCost savingsImproved serviceFocus on core business activitiesAchieve greater flexibility
Page 27
Reasons to make the decision 2 of 2
TO END OUTSOURCINGCost savingsImproved serviceSufficient in-house resourcesTrade union pressure
Page 26
Problems with outsourcing
Page 27
Problems with outsourcingLegal disputes over the meaning of contractual termsInability of organizations to manage the relationship with contractors properlyPoor levels of serviceCommunication difficulties between client and contractorProblems in evaluating/monitoring performance levels achieved
Page 26
Common pitfalls and issues to overcome
Page 27
Common pitfalls and issues to overcome
Their negotiation team is better than mineInsufficient support from other business areas Failing to understand how things will work once the arrangement is up-and-runningGaps between expectations and implementation Failure to get to grips with what the contract saysDisparities in the quality of the sales team compared with the business-as-usual team Lack of interest once the deal has been signed
Page 87
Drill B
Page 88
Drill B
Page 89
Case study A
Page 90
Case study A
Page 89
Case study B
Page 90
Case study B
Page 89
Case study C
Page 90
Case study C
Page 99
Conclusion and questions
Page 100
Conclusion and questions
SummaryVideosQuestions
