Outsourcing a threat to future of HR

first_imgRelated posts:No related photos. Outsourcing a threat to future of HROn 15 May 2001 in Personnel Today Comments are closed. Previous Article Next Article The HR function faces severe cutbacks in the future if it is not respectedby the board, warned a leading management school director. Andrew Kakabadse, deputy director of the Cranfield School Management, tolddelegates that the HR function is the principal target “by miles” inthe business drive to outsource services. An ongoing survey by Cranfield of outsourcing in 690 companies in Europeshows that HR is the primary target for outsourcing irrespective of sector. “IT services are the second but this is renewable technology. HR is aone-off,” said research author Kakabadse. The research, which is due to be published as a book, SmartSourcing, laterthis year, shows that 44 per cent of British and US companies are transferringstaff to outside suppliers. “It is not so much about losing jobs but more about shiftingemployer,” he said. “In the best companies, HR was next to the boardand HR directors had made a business interpretation of what the HR contributionhad to be.” Cranfield’s research shows that the HR function is not rated highly inorganisations. last_img read more