Businesses are always looking for cost-efficient yet practical solutions that can help reduce their administrative burden. For this, companies are opting for unconventional solutions outside their four walls. One such solution is going for PEO services, which allows companies to delegate their HR responsibilities to a professional organization.
However, many are still not aware of the great benefits that PEO services have! In this article, we’ll look at some PEO services that can help you simplify your HR functions.
Meaning of a PEO
A PEO or Professional Employer Organization (PEO) is a licensed entity that allows small- to medium-sized businesses to allocate their HR and compliance functions. A PEO, also known as Employer of Record, helps its clients increase their productivity by giving them an option to outsource their administrative needs.
Companies can transfer a wide range of their HR functions to a PEO and give themselves some room to focus on their core objectives. From recruitment to insurance management, a PEO does it all!
It is for this reason that the association between a company and a PEO is known as co-employment. It means that the PEO becomes the company’s co-employer and manages its employees on its behalf. This way, the business can also reduce some of its HR liabilities and focus on growing and generating profits.
The PEO takes up various tasks on behalf of its clients, allowing them to reduce the in-house HR department’s burden. It also helps the company reduce its overall HR-related risks and operational costs since it can operate with a small Human Resources team.
Since a PEO usually works internationally, it also opens new avenues for companies to source their talent from different markets. For this reason, many companies that expand internationally opt for PEO services to simplify their entry.
5 PEO Services That Simplify Your Operations
Experienced PEOs offer an array of services for your company, which can help your business and improve your employee relationships. Let’s look at 5 PEO services you can get by opting for the right PEO:
A PEO’s services go beyond salary transfers. With a PEO, you can access a team of compensation experts, who can guide you about the right payroll strategy. The PEO can help you plan your employees’ compensation as per your company’s objectives, mission, and culture. This way, you can plan your payroll strategy more efficiently within your budget.
Designing Your Employment Strategy
A PEO can also help you strategize your business policies and frame an efficient, beneficial HR system. A PEO’s HR experts can help you gain insights into each department’s requirements and help you plan your hiring strategy accordingly. This way, you can ensure that your HR functions are in line with your operational needs.
By gaining an in-depth understanding of your expansion and hiring needs, a PEO can help you discover the right talent. Having a predefined employment strategy can also help you forecast your expenses and develop the proper hiring and training procedures.
Your employees may wish to exit or retire, or you may want to promote or fire an employee. Filling this gap at the right time and with the right talent is not easy. However, with PEO services, you can plan your HR succession more efficiently and not face any productivity gaps. A PEO can help you identify the skills, knowledge, and aptitude you need to look for to maintain a steady HR cycle.
A PEO can also help you hire talent quickly in case an employee exits unexpectedly. By handling performance appraisals, the PEO can also help you choose the right people to promote and cut ties.
The proper training at the right time can help you build a strong and efficient workforce. A PEO can help you train and coach your employees in areas like productivity, communication, time management, etc. This way, a PEO can help boost your employees’ productivity and increase your return on investment.
Employee surveys are the best tools to gather critical insights on what your employees think about you. They help in estimating the level of satisfaction your employees have while working for you. They also help in identifying the areas where employees want to change.
A PEO can help you conduct an unbiased and honest employee survey. This way, you can identify if your employees are happy with the work culture, internal processes, and management. A PEO can also help you conduct exit surveys to know why an employee is leaving your company. Through these PEO services, you can make changes to your HR approach for better internal relationships and retention.
What is the Cost of PEO Services?
PEOs cost you significantly less than executing your HR functions on your own. Many PEOs charge a flat service charge for the holistic management of your HR functions. However, many PEOs also offer customized solutions, which can help you reduce your HR costs by choosing only the services you require.
How to Choose the Best PEO Services?
Choosing the right PEO for your employment and market entry needs is critical for your overall functioning. Going for the wrong PEO, which does not understand your requirements can cost you heavily.
New Horizons Global Partners offer various and customized PEO services for all your employment requirements. Our PEO solutions are designed to match your individual needs so that you pay only for what you choose. We offer an array of PEO services for your employee recruitment, payroll planning, benefits management, and HR (legal and tax) compliance.
We also go beyond HR solutions – our services also include end-to-end assistance for your global expansion. With New Horizons, you can quickly expand to an international market with hassle-free incorporations, immigration permits, and market study. We also help small businesses with their overseas expansion without setting up a legal entity.
How New Horizons Global Partners Can Help You
We offer customer-centric PEO services for your following requirements:
- Business incorporation and licensing in a foreign country.
- Market study and customer need analysis.
- Talent identification and recruitment.
- Contract drafting and execution as per local laws.
- Legal and tax compliance.
- Payroll and benefits management.
- Employee Administration, and much more!
Contact New Horizons today to avail of our personalized PEO services and simplify your HR functions!