Some folks would always go with the tried and tested, even to the point of being inefficient and delivering uninspiring results. That is what explains companies sticking to the age old hiring methods that are not giving them as good returns as their business needs, but they are keeping things afloat.
There is no doubt over the fact that the traditional hiring models are very reliable and largely fail safe. When you are employing individuals who work in your enterprise almost solely on the terms set by you, you get a greater control over the proceedings. You can control when and how they get allotted to certain projects, when you give them appraisals or other monetary rewards in appreciation of their efforts, what is their daily schedule as part of your employee, how many projects each employee is working on simultaneously, so on and so forth. But does all this control translate into best efficiency and top notch quality? The answer to this question lies somewhere between “it depends” and “not quite.”
Having this form of employment in your organization has many pitfalls. For starters, after you are through with that extremely tedious cycle of finding and hiring the right employee, you won’t have projects for them to work upon everyday – at least not the kind that fall in sync with their skill set or pay grade. So, during a not so active period, a software engineer may be left to work on some administrative tasks, or asked to complete useless training assignments, or simply made to sit on bench. Neither of these scenarios justify the heavy pay check you are handing them over with at the end of every month.
Now if you bring manpower outsourcing in the picture and compare, you will see the difference. Manpower outsourcing has emerged as truly a great alternative to traditional hiring techniques. As opposed to you paying your in house employees regularly even when they are not contributing, getting your workers outsourced from another organization and assigning them to projects means you are only paying them for the work they are doing or for the period they are with you.
In a typical outsourcing arrangement, the outsourcing service provider that you have partnered up with provides you with professionals on a project basis, depending on the requirements you have communicated across. Because they operate on the business model of contracting out their employees on contract basis, they make sure they employ people with diverse skill set and across different industries. So the kind of skilled project members you need are already employed by this company, or it can find and hire people as per that role far quicker than you would.
In addition to the time saved, you are only paying for the work done on the project based on a contract signed with the outsourcing service provider. So your accounting department does not need to bother to add a new employee on your payroll and is thus spared of all the accompanying activities that are a part of adding employees to the books – salaries, insurance, company benefits, tax calculations, etc. considering all the advantages, the decision to go for outsourcing shouldn’t be a tough one.