Your Employees. Your Future.
We understand that people are the foundation of your business. Your employees are your future. All companies have different needs. Our HR & recruiting services are tailored to fit those needs.
Your Employees. At LBMC Employment Partners, we provide a comprehensive suite of human resource services to businesses across all industries. Whether you choose our full HR solutions through our Professional Employer Organization (PEO) or HR Outsourcing (HRO) with one of our certified HR professionals, we give you the time and peace of mind to focus on your core business. Let us be your partner.
Choosing Between a PEO and HRO
For any company, regardless of size, a good HR department is a must-have. But, because HR tasks can be so time-consuming and costly, many companies decide to outsource these services to either a Professional Employer Organization (PEO) or a Human Resources Outsourcing (HRO) agency. Both types of companies offer important HR services, but there are a few differences that employers should be aware of before choosing the right service provider.
What is a PEO?
PEOs are for companies that want to outsource their entire HR department. The best PEOs offer everything from payroll management and employee onboarding to benefits negotiations, and they can completely eliminate the need for an in-house HR department. PEOs are best for companies looking for a ready-made solution to all their HR needs.
Because PEOs usually represent multiple organizations, they can often provide small businesses with better bargaining power for benefits packages. Since employees are part of a larger pool, this also lowers the cost of HR services per employee. These benefits make PEOs a great solution for small businesses or new businesses that don’t already have in-house HR departments.
What is an HRO?
While the best PEOs provide an all-in-one HR solution, HRO provides more of an à la carte option. Instead of taking on all of a company’s HR tasks, HRO can assume a specific role, customized for each individual business. Many businesses use HRO for a particularly complicated task, like payroll, or help with a major organizational shift. A HRO provider can be the perfect solution for companies who need assistance with compromising situations or employee recruiting and onboarding. They can also help with tasks like creating an employee handbook, developing training programs, or drafting job descriptions.
HRO services are good for businesses with existing HR departments that aren’t ready or able to relinquish total control of all HR tasks to a PEO. Many businesses today manage sensitive data and are unable to turn all their employees’ data over to an outsourced HR agency due to cybersecurity concerns. HRO allows companies to maintain control over their data systems, while still gaining the administrative benefits from HR outsourcing.
So, how do you choose between a PEO and HRO for your company needs? The experts at LBMC Employment Partners are happy to assess your needs and help you decide which solution is best. Contact us today to learn how we can help!
All content and services on this page are offered by LBMC Employment Partners, LLC. LBMC Employment Partners, LLC, is part of the LBMC Family of Companies and is an independent entity with services and products being provided exclusively by LBMC Employment Partners, LLC.
Learn about LBMC Employment Partners PEO services.
LBMC Employment Partners, LLC, a member of the LBMC Family of Companies, is a world-class professional services firm. LBMC Employment Partners provides a comprehensive suite of human resource related services to businesses including Professional Employer Organization (PEO) services, HR Outsourcing (HRO), Payroll, Payroll Tax Outsourcing, Human Resource Consulting, Employee Benefits, and ACA Compliance Consulting. For more information visit www.lbmcep.com.
5 Reasons to Consider Outsourcing or Upgrading Your Payroll or HR Needs
1. Overwhelmed Employees
If there’s a clear sign that you or your current team is overwhelmed with a heavy workload, it’s likely that adding HR or payroll tasks to the list of responsibilities will only make things more challenging. Not only can an HR outsourcing company ease the burden of managing employee needs like payroll and benefits, but they can also help employers to improve company culture through development and training activities, answering employees’ insurance and benefits questions, and offering tips for keeping employees challenged and loving their jobs.
2. Lack of Time, Knowledge, or Resources
Simply put, if you don’t have the time, knowledge, or resources available to you as an employer for handling payroll and human resources, it’s time for outsourcing or upgrading your payroll and HR needs. The return on your investment will be well worth it, and you’ll not only feel the relief from a management perspective, but your employees will also notice the difference, as important company responsibilities will not only be handled promptly but also in an organized and efficient manner.
3. Reduction of Staff
Any time a company experiences a reduction in staff—whether someone leaves, gets fired, or even furloughed—it places an additional burden on other staff members, especially employers. As others are left to pick up pieces after employees are gone, it’s essential that there’s a plan in place for keeping important tasks like payroll management and human resources moving along without error. This is a great example of when an HR outsourcing partner can step in and save the day, relieving the burden that can come along with staff reductions.
4. History of Costly Errors
Administrative mistakes are costly—especially when it comes to payroll, payroll taxes, or even hiring and firing. That’s why it’s essential to partner with an experienced HR or payroll services provider to avoid serious errors. There’s nothing like the peace of mind that can come along with outsourcing your HR needs, and specifically payroll or payroll taxes.
5. Juggling Multiple Software Programs
Let’s face it—no employer wants to juggle between a handful of software systems when it comes to employee management. Enlisting an HR outsourcing partner can help you merge your human capital management into one easy-to-use software system like UKG Ready, which can streamline your workplace processes from the recruitment process all the way through retirement, using powerful data analytics tools to help HR departments make more strategic decisions.
Here for You Today, Ready to Grow with You Tomorrow
LBMC Employment Partners is not only equipped to guide you with your current needs, but we have the experience, resources, and flexibility to grow with your payroll and HR needs along the way. Contact us today to learn how we can help you focus on your business while we handle the details of often complicated employment challenges and human resources issues.
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