INC. BRANDED CONTENT / HR
she says. “These trusted
advisors can become a ‘go-
to’ for everything HR, from
EHQHWVDQGFRPSHQVDWLRQ
to recruiting and hiring. A
3(2LVHVSHFLDOO\KHOSIXO
ZLWKRQHRDEQRUPDO
situations.”
Occam’s
Razor
7KHUVWVWDWLVWLFIDVWHU
HPSOR\PHQWJURZWK
among SMBs using PEOs,
might be the easiest to
H[SODLQ&OHDU\FLWHVWKH
Occam’s Razor theory,
ZKLFKKROGVWKDWWKHPRVW
REYLRXVH[SODQDWLRQLV
XVXDOO\WKHULJKWRQHȊ7R
me, it comes down to
one word: focus. When
business owners don’t
KDYHWRH[SHQGVRPXFK
time and energy on non-
core activities, they’re
IUHHGXSWRIRFXVRQWKH
RQHVWKDWFRXQWHVSHFLDOO\
driving growth,” he says.
The issue of distraction
IURPPRUHLPSRUWDQW
strategic matters is no
WUL LQJPDWWHUIRU60%
OHDGHUV%LOO/\RQVIRXQGHU
DQG&(2RI/\RQV+5
asserts. “Studies show that
WKHW\SLFDOVPDOOEXVLQHVV
RZQHUVSHQGVXSWR
SHUFHQWRIKLVRUKHUWLPH
RQHPSOR\HHUHODWHG
activities that do not
generate revenue or serve
FXVWRPHUV&RPSDQLHV
WKDWSDUWQHUZLWKD3(2GR
not have these distractions
DQGDUHDEOHWRGHYRWH
more attention to growing
their business,” he says.
3DXO6DUYDGLFKDLUPDQ
DQG&(2RIΖQVSHULW\
DJUHHVZLWK&OHDU\ȇV
observation about the
LPSRUWDQFHRIIRFXVȊ2QH
RIWKHFHQWUDOEHQHWV
of using a PEO is that it
UHOLHYHV60%OHDGHUVKLS
administrative
DQGWUDQVDFWLRQDO
issues. We have
VHHQUVWKDQG
KRZWKHDELOLW\
of a business
RZQHURUOHDGHU
to focus more
LQWHQWO\RQSURW
RSSRUWXQLWLHV
OHDGVWRIDVWHU
steadier growth,
which, in turn,
generates the
need for more
HPSOR\HHV
Paul Sarvadi,
Chairman and CEO,
Insperity
HELPS DRIVE GROWTH
PEOAT RED-HOT TECH STARTUP
One of the
central
EHQHWVRI
XVLQJD3(2
LVWKDWLW
UHOLHYHV60%
OHDGHUVKLSRI
VRPDQ\
HR-related
KHQ1LFRODV9DQGHQEHUJKH
&(2DQGFRIRXQGHURI
&KLOL3LSHUDSURYLGHURIEX\HU
HQDEOHPHQWWHFKQRORJ\VHUYLFHV
began outsourcing the HR
IXQFWLRQDWKLVUDSLGO\JURZLQJ
business, he was convinced that
XVLQJDSURIHVVLRQDOHPSOR\PHQW
RUJDQL]DWLRQ3(2ZRXOGVDYH
PRQH\LPSURYHKLVUPȇVDJLOLW\
DQGLQFUHDVHLWVDELOLW\WRKLUHWKH
right workers. He hasn’t been
GLVDSSRLQWHG
&KLOL3LSHUKDVHPSOR\HHV
DQGLWȇVGRXEOLQJHYHU\\HDU:KLOH
LWLQLWLDOO\KDQGOHG+5IXQFWLRQV
LQKRXVHWKHUHGWDSHLQYROYHG
ZLWKKDYLQJUHPRWHHPSOR\HHVLQ
PXOWLSOHVWDWHVTXLFNO\PDGHWKDW
DQXQWHQDEOHRSWLRQȊ:HKDYH
DSKLORVRSK\DW&KLOL3LSHUȃWRRO
RYHUODERU9DQGHQEHUJKHVD\V
Ȋ7KHGLUHFWFRVWRIDWRROLVDOZD\V
ORZHUWKDQWKHHTXLYDOHQWFRVWRI
DQHPSOR\HH7RGD\ZHGRQRW
KDYHDVLQJOHHPSOR\HHGHGLFDWHG
to HR.”
$VDWHFKVWDUWXS&KLOL3LSHU
ZDQWHGD3(2WKDWZDVHTXDOO\
RQWKHFXWWLQJHGJHȊΖUHDGDERXW
-XVWZRUNVLQWKHQHZVΖWORRNHG
PRUHPRGHUQȃOLNHDIUHVKHU
DSSURDFKΖUHDFKHGRXWWRWKHP
DQGWKDWȇVH[DFWO\ZKDWΖIRXQGȋ
he says.
$VKHȇGKRSHGXVLQJD3(2
LVFKHDSHUWKDQKDQGOLQJ+5
LQKRXVHDQGLWHQDEOHVWKH
FRPSDQ\WRPRYHIDVWHUΖQ
DGGLWLRQDVDIXOO\UHPRWH
FRPSDQ\ZLWKHPSOR\HHVEDVHG
LQFLWLHVDQGFRXQWULHV
&KLOL3LSHULVDOVRUHDOL]LQJDQ
LPSRUWDQWVWUDWHJLFEHQHWȊ2XU
SKLORVRSK\LVWRKLUHWKHULJKW
resource where he/she is and
ZKHUHYHUKHVKHZRXOGOLNHWR
OLYHȋ9DQGHQEHUJKHH[SODLQV
Ȋ7KLVZRXOGEHYHU\KDUGZLWKRXW
D3(2ZHȇGKDYHWRKDQGOHDOO
the bureaucracy state-by-state.
ΖQVWHDGZHORJLQWR-XVWZRUNV
LQSXWWKHQHZKLUHȇVDGGUHVVDQG
boom! We’re ready to go”