What do mid-size businesses in industries like e-Commerce, pharmaceuticals, logistics, IT & ITES, retail and some of the manufacturing sectors have in common?
Besides the fact that these mid-size businesses play a crucial role in India’s GDP, there is one very lesser-known aspect that is common to them. It is a fact that these industries rely quite heavily on temporary staffing to ensure that their operations run smoothly and their business objectives are met.
From being an unknown phenomenon, temporary staffing in India has become imperative for many industries. What made this happen and what are the benefits of availing temporary staffing services for a mid-size business? Let us find out here.
Historical staffing preferences
It is a well-known fact that Human Resources are the key part to any business. It is the quality, timely availability of the right talent and in the right numbers that helps businesses grow profitability.
However, there was a time when businesses used to be under/overstaffed or lacked a particular talent which impacted their business operations adversely.
Being under/overstaffed led to reduced profitability whereas lacking the staff with the required talent led to serious delays in meeting delivery obligations. At the same time, businesses always had this Damocles Sword hanging on their head about what to do with the hired staff when the demand subsides!
These questions led to the rise of a phenomenon called temporary staff and expert providers of temporary staffing services.
The rise of temporary staffing.
The word temporary sounded like music to many industries, especially to the mid-size business within. It helped them to eliminate many problems in one go. Here is how temporary staffing helped these businesses:
- Hiring specific talent for short-term needs
For any business, hiring employees with a niche skill-set for specific jobs and then retaining them forever is an unwise decision. Temporary staffing provided an excellent solution to this problem as it became easy to hire staff with specific talent during the job duration and relieving them when the project was completed proved beneficial.
- Manage demand fluctuations better
Industries that work as per season face a huge dilemma of retaining staff during the lean seasons. At the same time, during high season they invariably fall short of staff. Planning the temporary staffing drive much in advance relieves businesses of running under/overstaffed operations. This also makes sure that with the right staff numbers, businesses were able to meet their delivery obligations much more efficiently.
- Helps to focus on core competency
For most mid-sized businesses, the size of the HR team is relatively small. Also, their focus is on developing the core competency, i.e. hiring and retaining the right talent rather than striving to meet the statutory compliances or managing payroll requirements. By opting for temporary staff and by seeking the help of temporary staffing services providers, HR teams were able to focus on their core competencies better and outsource non-core functions. This improved their efficiency too!
What is the role of a temporary staffing service provider?
These services providers bring key advantages to the table such as:
- Cost efficiency in staffing
Businesses need to pay only for the duration during which the staff was hired. This results in substantial savings for the business towards annual employee costs.
- No/minimum need to train the staff.
The manpower available with the temporary staffing services providers comes with a fairly high level of training. Businesses only need to provide the last mile training to this temporary staff to get them going. This is substantially lower than what is required when hiring permanent staff.
- Ease in managing statutory obligations
Every employee is guaranteed certain minimum benefits by law. Businesses have to meet these statutory obligations irrespective of whether the staff is temporary or permanent. But since meeting such obligations of the temporary staff is the responsibility of the temporary staffing services provider, businesses need not spend additional resources to meet these obligations.
- Streamlined payroll compliances
Besides statutory obligations, businesses also have to meet certain payroll compliances too. Since temporary staffing services providers deploy their staff in multiple locations and multiple industries, they develop an infrastructure to manage these payroll obligations quite well. Businesses need not deploy any resources to manage these payroll compliances. This results in substantial savings in terms of money as well as effort for the business.
Unlike the permanent employees, the responsibility of meeting all PF, insurance and Tax matters of the temporary staff is that of the temporary staffing service provider. Unlike the business, meeting statutory obligations and payroll compliance is the core competency of the temporary staffing service provider.
However, the most important thing that every business must do while hiring temporary staff is to select the right service provider. Using a sub-standard temporary staff service provider will result in increased costs, lost revenues, missed deadlines and more importantly loss of face for the business.
Hence it is important to hire an experienced temporary staffing service provider who can reduce the effort of businesses and not it. For instance, Paysquare is one of the largest and most trusted temporary staffing services provider to many companies in sectors like eCommerce, pharmaceuticals, logistics, IT & ITES, retail and some of the manufacturing sectors in the country.
Besides providing skilled and trained manpower to businesses, Paysquare also has a robust infrastructure that uses the latest tools & technologies to manage the statutory obligations and payroll compliances of its staff. This makes Paysquare a must-have partner for mid-sized businesses during their crucial growth phase.
So if you are a small, mid or large-sized business, then make sure that you focus on your core competency and outsource the effort of hiring temporary staff to seasoned temporary staffing service services provider like Paysquare. Who knows, this might just be your winning input to your business!