Umesh Mathur, was appointed HR manager of a medium sized company in the textile industry. After a brief analysis of the HR practices and functions in the organization, Mathur felt that the HR department spent more time on mundane and monotonous jobs instead of concentrating on strategic issues. In order to allow the HR department to focus on core activities, he proposed that a few routine activities like payroll, staffing and training be outsourced to agencies/ experts in the respective fields. Was Mathur right in getting the organizations jobs done by an outsider, the outsourcing agency? Discuss the benefits of outsourcing and the possible drawbacks?

Management, Loose-Leaf Version
13th Edition
ISBN:9781305969308
Author:Richard L. Daft
Publisher:Richard L. Daft
Chapter12: Managing Human Talent
Section: Chapter Questions
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Umesh Mathur, was appointed HR manager of a medium sized company in the textile industry. After a brief analysis of the HR practices and functions in the organization, Mathur felt that the HR department spent more time on mundane and monotonous jobs instead of concentrating on strategic issues. In order to allow the HR department to focus on core activities, he proposed that a few routine activities like payroll, staffing and training be outsourced to agencies/ experts in the respective fields. Was Mathur right in getting the organizations jobs done by an outsider, the outsourcing agency? Discuss the benefits of outsourcing and the possible drawbacks?

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