Outsourcing of human resource functions ? including the most commonly outsourced functions of payroll, benefits, employee data management, information systems, and contact centers -- is expected to increase in 2008 after remaining relatively flat since 2005, according to the Everest Research Institute. While all market segments present significant growth potential, the Institute?s annual Human Resources Outsourcing (HRO) market study predicts mid-sized, North American and European companies will spark the growth. The Institute will hold a Webinar on November 6 at 9 a.m.
According to the Institute, the cumulative total contract value of human resources outsourcing transactions reached US $21.2 billion in 2006 and is expected to be US $25.4 billion by the end of this year. The Institute?s study, Human Resources Outsourcing (HRO) Annual Report: November 2007, attributes Future HRO growth to existing suppliers that have decreased transition costs and timeframes and are promoting standardized offerings.
