HR Outsourcing Services

Human Resources outsourcing involves hiring an outside firm to handle a company's HR needs and responsibilities, including payroll, hiring/firing employees, filing compliance paperwork, training, adjudicating employee disputes, and much more.

These firms are known as PEOs or Professional Employer Organizations, as they handle the more cumbersome and potentially mundane aspects of running a business. The PEO allows businesses to focus their time and resources on research, development, growth, and other facets of running a successful company.

The people who work for your company are one of its most valuable and important assets. Therefore, you want a human resources (HR) team that respects what they offer and can maximize their potential. You want a team that understands employment laws and other compliance issues. For instance, if an employee files a complaint, you want to be sure that the company takes it seriously and doesn’t engage in any actions that could be misconstrued as harassment or retaliation.

Outsourcing your HR department can save both time and money as a third-party provider will have systems in place to meet your needs and budget. In addition to taking care of day-to-day issues, the folks at ProSourceSolutions can also help your business accomplish its long-term goals.

How ProSourceSolutions Can Help

ProSourceSolutions is the premier HR outsourcing services company. Our dedicated experts will ensure that all HR-related facets of your business are taken care of correctly and in a timely manner, allowing you to focus on growing your business and taking it to the next level.

A common misconception about outsourcing HR services is that it results in less power for the business and that it hands control of its company to another agency. This is not the case with us, as ProSourceSolutions prides itself on its ability to manage employees and administrative or clerical tasks on behalf of its partners while still allowing the company full control of its operations.

Instead, our core focus is to improve businesses by enabling them to outsource HR functions to our experts. This will enable them to flourish without having to worry about meeting governmental reporting deadlines or spending too much money training employees who will leave after six months for another job.

With ProSourceSolutions, employee development has always been our number one priority. Happier, productive employees are more likely to stay within their companies, which saves money on training and other expenses.

We also offer both tactical and strategic HR services. Tactical HR involves day-to-day operational tasks like posting recruitment ads, employee communication, and dispute resolution. These generally aim to achieve short-term goals to be completed in a year or less.

Strategic HR works towards achieving long-term goals, generally within about five years. These include SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis and other forms of identifying solutions to issues or potential issues that may arise. With this combination, your company will be ready for anything that might happen in the future.

Outsourcing HR services can provide massive benefits and accelerate potential growth, no matter the size of your business or how long you've been in operation. ProSourceSolutions can help revolutionize your understanding of Human Resources and lead you to higher growth and revenue.

A Focus on Employees

The focus of the ProSourceSolutions Human Resource Group will always be the development of our Co-employers’ best asset – the employees.

By using effective and efficient use of your Human Capital we can help you remain competitive and fulfill your organizational goals.


The administrative role and also the most time consuming and costly of HR focuses on dealing with government compliance issues, liability protection and record keeping. Typical administrative functions include Employee payroll, benefits administration, Workers Comp claims and Unemployment claims.


The Tactical role of ProSourceSolutions' HR group involves those day-to-day tasks necessary to run an organization. A variety of activities – recruiting for job openings, resolving employee complaints, and communicating with employees are very typical of our Human Resource department’s tactical role.

A tactical HR plan is a course of action to achieve short-term goals, generally within a year or less. Tactical plans represent the short-term efforts to achieve the strategic, longer-term goals. They are concerned with Job descriptions, skill sets, core competencies, how they must do it and who has the responsibility.


Strategic HR is a course of action designed to achieve long-range goals, generally up to five years. Strategic plans reflect the company’s direction and its purpose as stated in its mission statement. In order to develop strategic plans, top management must develop and use summary reports on finances, operations and the external environment.

We help business owners with the SWOT analysis and by using our PSS Excellence System we help motivate employees to their highest potential. Our system utilizes the tried and true technique of JOB-GOAL-REVIEW to identify performance and potential and help our co-employers to grow.

Benefits of HR Outsourcing

Outsourcing human resources can provide many benefits to companies. First, let's look at some potential financial benefits. Under traditional systems, a company hires and trains a Human Resources Department staff to manage the company's administrative and clerical tasks.

With HR PEO services, these companies can instead pay a simple monthly fee to another company to handle that work. For many companies, not having to pay anyone overtime will present an immediate savings.

Here's an example using rough figures to explain the potential savings in concrete terms. Imagine a company that hires three full-time HR employees who are all paid $20 an hour. Assuming no one gets any overtime, those three employees would collectively be paid $2,400 a week or nearly $125,000 per year, not including benefits or training costs.

It also benefits the company from a liability standpoint. For example, under the traditional system, a company that files late paperwork for something like a city or municipality's sales tax bill would be subject to fines in the form of late fees. With managed HR services, the company would not be held liable.

In short, by outsourcing HR functions, companies can save significant time and headaches, reduce their liability in certain circumstances, and be able to spend more time focused on ensuring that business operations are running as smoothly, efficiently, and as profitably as possible.

Who Can Benefit From HR Outsourcing?

HR outsourcing can benefit companies of all sizes, from multi-billion dollar international conglomerates on the Fortune 500 to small software companies with only a handful of employees.

Handling human resources for a large company with many satellite offices in different locations can be a daunting task. It can also be difficult to sort and maintain all the paperwork associated with all of those employees. Outsourcing these duties will reduce expenses and improve efficiency by allowing the two companies to synergize their core strengths for mutual benefit.

Smaller businesses can also benefit, as explained in more detail in the next section. Startups, in particular, can benefit from outsourcing HR services by freeing up more time for the core staff to focus on their product or service. The first few months after a business is incorporated are essential to the company's sustained success, which makes the benefits of HR outsourcing clear.

It also benefits medium-sized businesses that may have plateaued or wish to increase their growth further. Issues like employee retention, interpersonal conflicts, and company operations being spread too thin can hamper a company's growth. With outsourced HR services, these companies will be in a better position to focus on daily operations and increase revenue and market share.

In short, nearly every business can benefit from outsourcing its HR functions to a PEO. No matter which industry or how many employees a company has, being able to focus on expansion instead of personnel will provide both short-term and long-term growth.


HR Outsourcing for Small Businesses

HR outsourcing can be beneficial for small businesses for several reasons. First, having a set amount of money dedicated to HR expenses instead of potentially paying overtime or other costs can be very useful for budgeting purposes.

In addition to financial benefits, there are also intangible ones. For example, all of the time, energy, and resources the company puts into HR can now be redirected elsewhere. This is especially important for small businesses, as these are often created by a single person with a dream.

These entrepreneurs dream of creating a fashion boutique, owning a restaurant, developing software to solve problems, or pursuing other noble goals. However, not many of them have the same passion for filing compliance paperwork or writing and enforcing an employee code of conduct. By outsourcing, leadership can focus on growing and building their dream business instead of worrying about filing all the paperwork properly.

Another issue that outsourcing can alleviate is the ability of small businesses to attract quality talent for their HR departments. Small businesses, especially startups, usually have smaller budgets than their larger counterparts that have been operational for years.

A potential employee with even a few years of HR experience would likely receive higher pay and more benefits at a larger company that can afford to do so. Accordingly, many small businesses struggle to find high-quality candidates willing to work a less prestigious job for a smaller company. With a managed PEO service handling HR hiring, the probability of getting experienced applicants increases significantly.

Another way using a PEO can help attract higher-quality applicants is by allowing small businesses to offer better and more affordable employee benefits. Setting up a healthcare plan for a few employees can result in high premiums and expensive copays. These PEOs represent workers from many fields nationwide, so their benefit packages will undoubtedly be better for employees.


Which HR Services Can Be Outsourced?

Nearly every standard practice normally performed by a Human Resources Department can be outsourced. Payroll is an important one, as software can be expensive, the process can be time-consuming, and making one small mistake can result in angry employees asking why they've been shortchanged.

They can also handle hiring and firing employees, as well as onboarding and training. This is particularly beneficial to smaller businesses, as it allows the boss to oversee operations instead of taking time out of their schedule to get new employees up to speed. The average employee training time in 2021 was 64 hours, which adds up quickly.

For some businesses, the handling and filing compliance paperwork is the most essential part. Worker's Compensation, Unemployment Insurance, and many other important documents must be filed with the relevant agencies promptly. Not worrying about missing paperwork deadlines can greatly boost any business.

They can also help with succession planning, ensuring that a plan is in place to ensure the business continues and that the future leadership members will have adequate training, time, and preparation before taking the reins.

Additionally, they can use data analytics to interpret financial and operational information and provide solutions or alternatives that can massively benefit the company. These businesses are merely suggestions backed by data, and the business is under no obligation to follow them, but at the very least, they'll give the company options to consider.