DIY vs. Outsourcing

Abigail and Bob started their business five years ago after being downsized from corporate jobs.  Until recently they were the only employees, working long hours and outsourcing specific tasks to free-lancers (a/k/a independent contractors).  Now they want to add employees to prepare for several new customers.  They believe replacing the free-lancers with employees will allow them to streamline processes, speed up response times and become more profitable.

Refugees from corporate America, Abigail and Bob want to avoid bogging down in bureaucracy, but they also know they need some administrative structure. They are smart, educated individuals, so they begin researching HR issues and employment laws. They quickly feel overwhelmed and confused.

As small business owners, they know how to change tack quickly when something isn’t working, so instead of becoming HR compliance experts, they take a phased approach.  First, they decide on their philosophical approach to employee and HR issues. They want their policies to have a positive spin, rewarding employees for initiative and good performances as opposed to punishing them for mistakes. Next, they identify all the tasks to be performed by each newly hired employee so that accurate job descriptions can be created.  It’s impossible to hire the “right” employee if no one knows what skill set that person should have.

With this initial phase completed, they are ready to move to the next phase which is to select an HR consultant to assist with implementation.  By hiring an HR consultant who is a subject matter expert, Abigail and Bob will get solid HR assistance while freeing their time to run their business.

These types of issues arise every day for small business owners who must weigh the pros and cons of DIY versus outsourcing.  Is your company growing? Are you making changes and facing this kind of decision?  For those who decide to outsource, Corporate Compliance Risk Advisor helps small business owners like Abigail and Bob to create HR policies that are appropriate for their company’s size and then serves as a resource to their staff as the policies are implemented.

About Norma Shirk

Norma started her company, Corporate Compliance Risk Advisor, to help employers create human resources policies for their employees and employee benefit programs that are appropriate to the employer’s size and budget. The goal is to have structure without bureaucracy. Visit Norma’s website: www.complianceriskadvisor.com/.

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