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For Brokers: 3 Questions to Determine if HRO Is Right for Your Clients

Brokers determine if HRO is right for clients

As you discuss HR pain points with a new business prospect, their organization’s needs may not align with the services offered by Professional Employer Organizations (PEOs). Luckily, there are options when outsourcing HR services. Our Human Resources Outsourcing (HRO) Solution is specifically tailored to address a different set of HR demands.

Use these three questions to determine if HRO is a better option for the prospect.

1. “How many employees does your company have?”

Traditional PEO services are ideal for small- and medium-sized, white-collar businesses with 10-150 worksite employees (WSEs). However, what options are available for businesses with more staff?

Companies with larger workforces have important human resource needs but may not require the same types of HR services as smaller businesses.

We developed our tailored HRO Solution specifically for medium to large companies with 150-500 worksite employees (WSEs). Companies contracting HRO services receive the full benefit of our HR expertise while remaining under their existing group medical plans. Our HRO Solution includes:

Larger companies finally have an option for outsourcing HR to a reliable partner who understands the unique challenges faced by businesses of their size in their industry.

2. “Do the people in your HR department wear many hats?”

In the push to achieve faster growth, business owners and leaders often forget about expanding their HR department to meet new needs. More employees, multi-state operations, and cross-industry expansion all come with HR-specific challenges and requirements for maintaining compliance.

What may have once been a perfectly sufficient HR department may struggle under the strain of new administrative burdens. In-house HR employees whose titles have evolved into multi-hyphenates (without additional departmental hires) indicate the company is likely operating at maximum internal HR capacity.

HRO alleviates day-to-day administrative burdens and enables in-house staff to focus on bigger-picture issues like company culture, employee training and development, and strategic recruiting efforts.

3. “Have your HR goals taken a backseat?”

Human resource management is a time-consuming job where the realities of daily administration can overshadow larger business priorities. Companies with large workforces often establish ambitious HR management plans but quickly fall behind on accomplishing their goals. As a result, the company’s HR strategies become stagnant. Things like recruiting, professional development, and benefit package creativity suffer, causing the company to lose out on top-level talent or experience trouble retaining quality employees.

Outsourcing HR enables time- or resource-strapped companies to become much more proactive and respond to disruptions more quickly. With HRO, employers work with ExtensisHR’s experienced employment, compliance, and legal specialists. Tapping into this expertise enables businesses to develop actionable strategies to move the needle on critical improvements to HR management.

This access also provides peace of mind when confronting unforeseen workplace challenges, like DOL audits, harassment claims, etc. Guidance and support from ExtensisHR’s experts protect businesses against inadvertent compliance violations or oversights with the potential to harm the company’s reputation, or worse.

A new level of HR outsourcing flexibility

HRO adds unprecedented flexibility to outsourced HR. If PEO is not the right fit for a prospect, don’t abandon the lead. HRO may be the ideal solution to serve the client while unlocking a fresh revenue stream for you.

Do you have a prospect in mind who could benefit from HRO? Contact our success managers to request a quote.

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