Lakpriya Weerasinghe - MN7181 : People and Organisations : Principles and Practice in Global Contexts
HR outsourcing (HRO) HR outsourcing (also known as HRO) is the process of sub-contracting human resources functions to an external supplier. HR outsourcing is a contractual agreement between an employer and an external third-party provider whereby the employer transfers the management of, and responsibility for, certain HR functions to the external provider. Many types of HR outsourcing options are available to employers. The options can be as specific as outsourcing one particular aspect of one HR function—such as applicant tracking for affirmative action purposes—or as broad as outsourcing the entire human resource department. There are many ways in which outsourcing human resources can be done: Business process HR outsourcing (also known as BPO), where an external supplier manages discrete HR activities, such as payroll administration or recruitment, or perhaps the whole human resources function. Shared service HR outsourcing, where only the transaction or adm...