Research On Human Resource Management Outsourcing In Small And Medium - Sized Enterprises

As the rapid development of IT, globalization of economics as well as the trend "going back to the core", Human Resource management outsourcing has become a promising industry today. HRM outsourcing was first used by global companies, and then was famous all around the world, both in big and small firms. Human Resource management outsourcing is especially vital to SMES which had less financial and human resource, because it can help SMES focus on their core competence. Unfortunately, HRM outsourcing is actually a two edged sword, many SMEs got into trouble when adopt it. SMEs must be cautious to let HRM outsourcing help them to thrive.A company is a promising SME in Jiangsu province, it has implemented HRM outsourcing three years ago, we choose firm A as the representative for many reasons. First, the basic information of firm A, including human resource management, the reason we choose A, was introduced. Then, we introduced the process of HRM outsourcing (decision making, choose of supplier, coordination with supplier, the effect and problem faced with firm A). Finally, according to the problem, we give our suggestion to improve the effect of outsourcing:making decision of outsourcing according to the actual situation; carefully choosing the coordinator, paying attention to the reaction of the employees and communicating with them sincerely and so on.