Research On Human Resourcess Strategic Outsourcing Of Enterprise

Recent years, human resourcess management (HRM) and outsourcing principles and practices are developing rapidly in business management area in China. But reference of these theories and advanced form does not run smoothly. HRM is an advanced management idea and style. It can improve management efficiency, optimize the allocation of resourcesss, sharpen competitiveness edge etc. But all these functions are not fully exploited and used in China. Many corporations do not treat HRM as the strategic partner or they cannot make it be. On the other side, in some developed areas such as west Europe and America, HRM is developing stably and goes further mature. Human resourcess outsourcing is treated as a new HRM mode which impacts and updates traditional HRM.HR Outsourcing refers to contracts with a outside professional services to rend its skills, knowledge, technology, service and manpower to do some HRM work which originally have to be done inside the company. HRO is aim to reallocate resourcesss in order to improve competitive strength. In China, HRO is initially developed but it is at the fledgling stage and is developing slowly. So there still is many space need to be filled both in academy and practice. According to"China's 2004 Human Resourcess Outsourcing Survey report", HRO is at early stage in China. 71.3% of enterprises still have not used HR outsourcing services; 9.8% of enterprises have indicated that they are prepared to use HR outsourcing; the majority of enterprises still has not or is not prepared to use HR outsourcing. Furthermore, enterprises which apply HRO are aim to extricate itself from the day-to-day work of administration burden and fee. They don't stand on a high lever which from the strategic angle to plan HRO.Based on current research reviewing, the authors found the theories the following shortcoming:1. Most research focus on"How to choose outsourcing content?"This topic is practical and meaningful. But it will lead a limitation of study. In order to build knowledge systematically, we have to switch to other areas.2. Lacking of specialize in HR Strategic Outsourcing study. It means research at the strategic level.3. No distinction of HRO and other kinds of outsourcing. So we can not develop pointed research.In this paper the author analyzes the peculiarities of HRO. It helps reader know HRO better. Then from the strategic perspective, the author expatiates HR Strategic Outsourcing idea, includes the definition, characteristics, reasons why company apply HR Strategic Outsourcing. Then from the operating perspective, the author introduces a decision-system of HR Strategic Outsourcing and how to reduce operating risk. This paper is aim to explore and establish strategic outlook in HRM and HR Strategic Outsourcing.This paper includes 5 parts:Chapter One: Introduction. Introduce research background and current related research in this field. Explain research content and methods. HR Strategic Outsourcing is developing fast and HRM in China need to be promoted. HRO is the general trend of HRM development in China. So it is meaningful and urgent to research on HRO. Then, the author summarizes researches on this field. Through reviewing of background and current situation, the author believes that studying HRO from the strategic angle can fill some research space. This paper plans to use historical research, comparative analysis and use qualitative combine with quantitative research methods.Chapter Two: Theories of outsourcing and human resourcesss outsourcing. In this part, the writer introduces outsourcing and HRO theory systematically. It paves a way for further study on basic theories. Those basic theories include: comparative advantages theory, deal-cost theory and core competitive competence theory. Definition of HRO, content of HRO and causations of HRO are explained in this part. In particular, the author analyzes distinctions between HRO and other kinds of outsourcing.Chapter Three: Analysis of HR Strategic Outsourcing. This is the core part of whole paper. On the basis of defining HR Strategic Outsourcing and make a comparative analysis with traditional HRO definition, explicate its characteristics. Then the author explained advantages of HR Strategic Outsourcing from two sides: strategic level and operative level. Then, the writer builds a decisions-system to explain how to choose outsourcing patterns when applying HR Strategic Outsourcing.Chapter Four: HR Strategic Outsourcing risk analysis and elusion. Legal risk, inter-management risk, principal-agent risk and culture conflict risk are some risk happened when applying HR Strategic Outsourcing. The author points out that during risk control there are three key links which companies must pay attention to: 1) The HRM department of enterprise and the HRM specialists must have a well role set; 2) choose a right service supplier; 3) build a win-win and harmonious relationship with service supplier. The writer illustrates how to control risk through these three key links.Chapter Five: Conclusion and prospect.This paper has the following main points:1. HR Strategic Outsourcing is base on the requirements of enterprise's strategy, apply HR Strategic Outsourcing. Use comprehensive analysis of internal and external management condition and business environment, aim to combine strategy with HR Strategic Outsourcing, so combine strategy with HRO, it could improve HRM quality in all directions.2. There are some characteristics of HR Strategic Outsourcing. the content of HR Strategic Outsourcing is large-scale, program-organized and structured; targets of HR Strategic Outsourcing is multi-level and comprehensive; the relationship between company and service supplier is strategic cooperative partnership; requirements of supplier is strict and demanding; risk of HR Strategic Outsourcing is higher than traditional HRO.3. From a strategic level, establishing status of HRM as a strategic partner, HRM should be systematically, penetrative and forward-looking. These are the reasons why HR Strategic Outsourcing should be applied. Help developing HRM Grow strategy is another reason why HR Strategic Outsourcing is advocated. From the operating level, apply HR Strategic Outsourcing could reduce transaction cost and improve HRM quality immediately.4. There are three kinds of HR Strategic Outsourcing: line-alliance, core-alliance and value-alliance. In actual operation, the enterprises should be based on inside HRM capabilities and outside HRM capabilities. Take circumstance factors into consideration; Choose which pattern of HR Strategic Outsourcing is the proper one for the company.5. Because applying HR Strategic Outsourcing may bring risk, it is essential to analyze and reduce risk. Legal risk, inter-management risk, principal-agent risk and culture conflict risk are some risk happened when applying HR Strategic Outsourcing. To reduce risk, the HRM department of enterprise and the HRM specialists must have a well role set; choosing a right service supplier; building a win-win and harmonious relationship with service supplier. If these three aspects are well controlled, the risk will be reduces a lot.The biggest innovation is the stand at strategic point to analyze and explain HR Strategic Outsourcing. HR Strategic Outsourcing is a brand new notion of HRO. In the thesis, writer illustrate it from different aspects and systematically. The conclusions above are also some innovative points of the thesis.The writer uses historical research and comparative analysis, summarized basic theories of outsourcing and HRO. Compare HR Strategic Outsourcing with traditional HRO. Make an independent study of HR Strategic Outsourcing, but treat it as an important but independent branch of HRO theory. When establish decision system to choose proper HR Strategic Outsourcing pattern, the writer use quantitative analysis and qualitative analysis. Also it is common to use these two methods in research. But use them to build a decision system are not happen before.In this thesis, the writer uses knowledge learned in postgraduate study. But, because of the limitation of author's knowledge and writing skill, there may be some mistakes and miss in the paper. Please forgive and point them out.