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What Do HR Companies Actually Do?

Moustafa Ahmed June 15, 2023 3 min
Double exposure image of business people handshake on city office building in background showing partnership success of business deal. Concept of corporate teamwork, trust partner and work agreement as an HR companies

What HR Companies are for?

HR companies are for providing seamless HR services on behalf of other companies. Instead of recruiting an HR team, you can outsource your HR work to a third-party partner company to carry out the work for you.

Are Outsourced HR companies a good choice?

Outsourced HR companies provide HR consultancy and various HR tasks that will ease the organisation’s administrative work. This will boost the productivity of other departments by utilizing your resources to achieve your organisation’s goals.

The best thing about outsourcing your HR services is that it is flexible. If you already have an internal HR team, you still can outsource part of your HR tasks to help your current team. It will save their time and energy and will provide expert guidance to optimise their HR work.

What are the 4 benefits of HR Companie?

1. Cost Efficient

Outsourcing your HR services will cut your hiring cost. It is cost-efficient to partner with an HR company as you will not be obliged to provide full packages for HR teams.

You will save additional costs on HR tools and software as the HR company will provide you with a full package of HR services that include HR personnel, recruiters, tools and reports.

The agreement between both parties will include the agreed fee and the work structure. In that way, you have an overview of the whole cost of the whole process to calculate your expenses and your return on investment.

2. Expert and Versatile Knowledge

You will gain extensive knowledge from working with HR companies as they have exposure to various industries. When hiring internal HR employees, they will be experts in one or two industries only in comparison to an HR company.

They have managed to deal with different types of industries and locations where they have managed to have hands-on experience in all industries like software, marketing, sales, business, etc.

Their versatile knowledge will save you time and effort that would be spent searching for the right tools or organising your work.

3. 24/7 Support and Risk-Free

You guarantee full support and guidance all the time as they have a full dedicated team of HR employees who can organise events for you, recruit on your behalf and handle payrolls.

HR regulations are in constant update and adhering to the regulation is crucial to your organisation. HR consultancy agencies are always up-to-date with recent updates and stick to all regulations and laws whether local or international.

4. Wide Network

One of the best benefits of partnering with an HR company is to utilise their wide network of candidates and employers. If you are searching for talents to join your company, they will put you directly in contact with the right candidates that suit your organization Whitecollars provides Dual packages with HR-Services & Recruitment.

They have a wide pool of talents due to the great number of vacancies they have tried to source for in the past. You will be able to find the right candidate and offer them a competitive package according to the market and industry.

Furthermore, they have worked with a lot of companies so they can define the right benchmark metrics for your company. Working according to the industry benchmarks ensures success and better results.

4 Services the HR Companies will make your business grow?

Payroll and taxes

Through implementing best practices along with the most advanced payroll software, HR companies will handle payroll management and filing for taxes on your behalf.

They have a defined system and workflow that cut the cost and time spent on managing payroll from month to month.


The recruitment process consists of a lot of steps to finally hire a new candidate. Carefully managing the whole process in each step leads to the best outcome in the shortest time.

HR agencies will screen, interview, manage interview tests and finalize the recruitment process in the shortest time to fill your vacancy without sacrificing the quality of your new employees.

Talent Management

Once you complete all your vacancies, managing your talents is a long-term process that needs a clear plan for onboarding training, career development, managing promotions and retaining the best talents.

Dedicated talent management personnel will help you manage your employees to ensure the utmost employees satisfaction.

HR companies are specialized in retaining your talents and reducing the turnover rate. When you manage to retain the right talents, it is a sign of success in your organisation.

Performance Management

Performance management and analysis are essential in determining your top-performing employees so you can offer them more benefits and promotions.

HR companies will help you with setting appraisals and KPIs for each employee according to their department. The metrics should reflect their work and its impact on the success of the company.

How to Choose the Best Consultancy HR Partner?

Assess Your Needs

First, you need to start by defining your goal for this partnership. List down all the goals that you aim for and create a timeline for them, that will help you when you communicate with HR companies.

Understanding your needs will make it easier to determine the success factors upon which you will decide if it is profitable or if it still needs some optimisation.

Assess their Knowledge and Expertise

You need to make sure they will provide you with the exact service you aim for. You can look around online for clients’ feedback or HR case studies that can be proof of their skills and expertise.

Request a Proposal

Once you reach a shortlist of HR agencies, you can request a proposal from each. Analyze each quotation you receive to determine which HR agency will provide you with the maximum return on investment.

Searching for an HR Partner?

To help you, we have offered various flexible plans to offer solutions for your talent management and recruitment needs. Get in touch with us today to know more about how to best use our HR services.

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