Posted on: Jan 15, 2024
In today’s fast-moving business landscape, the role of human resources in an organization has evolved significantly. HR is no longer just considered as supporting function, as it plays a critical role in shaping an organization’s success and driving its growth.
Why SSC HR is important in your organization?
In the graphic below, you will find key areas, why SSC HR is important. Further details will be explained below.
One of the primary reasons organizations goes for SSC HR is the potential for efficiency and cost savings. By centralizing HR functions, businesses can streamline processes, eliminate duplication of efforts, and reduce administrative overhead. This leads to significant cost savings and allows HR resources to be allocated more strategically.
SSC HR also promotes consistency and standardization in HR practices. This is critical, especially for organizations operating across multiple locations or jurisdictions. Standardized processes and policies ensure compliance with local and international regulations, reducing the risk of legal issues and penalties.
What is also crucial is centralization. What to centralize? Non-core HR functions such as payroll processing, benefits administration, and data management, which allows HR experts to concentrate on more strategic activities. This includes talent management, leadership development, and organizational culture, which are pivotal in today’s competitive business landscape.
What is more, of course people. SSC HR can improve the employee experience by providing consistent and high-quality services. This, in turn, boosts employee satisfaction and engagement. When employees have easy access to HR resources and support, it fosters a more positive workplace environment.
A centralized HR system allows for better data management and analytics. HR data is a valuable resource that can inform decision-making related to workforce planning, performance management, and employee development. SSC HR ensures that HR data is accurate, up-to-date, and easily accessible.
Speaking about risk, it is worth mentioning, that HR is not only about managing employees but also mitigating risks. SSC HR can help in risk management by ensuring that all HR processes are compliant with labor laws and regulations. It minimizes the chances of costly legal disputes or fines due to non-compliance.
Last but not least, the technological aspect. SSC HR often integrates advanced technology solutions, such as HR management systems and data analytics tools. These technologies streamline HR operations and provide valuable insights for decision-making.
What is SSC in human resources?
HR evolved from being a purely administrative function responsible for hiring and firing employees. Today, HR is a strategic partner that collaborates with senior management to drive organizational goals. As business complexities have grown, the need for more efficient and effective HR solutions has become apparent. This is where SSC HR has emerged as a game-changer.
Traditionally, HR functions were dispersed across various departments or locations within an organization, leading to redundancy, inefficiency, and inconsistent service delivery. The growth of SSC HR was a response to these challenges, aiming to centralize HR functions for better standardization, cost reduction, and improved service quality.
What does a HR shared services manager do?
A HR SSC manager plays a crucial role in modern organizations by overseeing the efficient and effective delivery of HR services to employees and other stakeholders. This role involves the establishment and management of centralized HR service centers, which streamline processes such as payroll, benefits administration, onboarding, and employee inquiries. Managers are responsible for optimizing operational efficiencies, ensuring compliance with HR policies and regulations, and enhancing the overall employee experience. They lead and mentor a team of HR professionals, fostering a culture of continuous improvement and collaboration.
What is a role of shared services?
SSC HR is an approach to managing human resources functions within an organization. It involves centralizing HR activities, processes, and services to create a more efficient and cost-effective system. SSC HR typically gathers a range of HR functions, including talent acquisition, payroll, benefits administration, employee onboarding, and more. These services are consolidated into a single department or center, with the goal of streamlining HR operations and enhancing service delivery.
Final thoughts…
SSC HR has become a crucial element in modern organizations, contributing to efficiency, cost savings, and overall success. By centralizing HR functions and streamlining processes, SSC HR enables organizations to focus on strategic initiatives, enhance the employee experience, and make data-driven decisions. As businesses continue to evolve and adapt to changing market dynamics, SSC HR is a key tool for maintaining a competitive edge and ensuring long-term success. If you haven’t already considered the importance of SSC HR in your organization, it’s high time to explore its potential benefits and how it can contribute to your overall business strategy.
Author:
Agnieszka Sadowska-Janik
Program Manager & Senior Consultant
