This phenomenon, analyzed time and again, is in large part the result of demographic changes: baby boomers leaving the job market, an aging population, and a continually declining birth rate. Immigration delays due to low thresholds and complicated processes haven’t helped, either.
The information and communication technologies (ICT) sector was the first to be affected by the labour shortage. The expertise of workers in this field was in high demand to facilitate the digital shift exacerbated by the pandemic, answer many questions related to remote work, and respond to the decision made by many small and medium-sized businesses to automate repetitive tasks.
Today, the labour shortage has spread to most business sectors, and not only in Québec, but around the world.
Suggested Solutions
Of course, no single measure can be implemented to solve this complex issue. Charles Milliard, CEO of the Fédération des chambres de commerce du Québec, suggests the possible solutions of immigration, employee requalification and training, the re-entry of experienced workers into the job market, as well as the automation of several repetitive tasks that organizations must accomplish.
Some business owners add outsourcing to this list. Before we delve into the advantages associated with this term, let’s define it.
Definition of Outsourcing
Numerous terms come up when we talk about outsourcing. External partners and subcontracting both refer to this strategy used by companies to assign certain mandates, tasks or responsibilities to external specialists while maintaining responsibility for the services provided.
Advantages of Outsourcing
While browsing existing literature on this subject, we identified 12 advantages. It’s unsurprising that more and more small and medium-sized businesses are turning to this strategy to meet their clients’ needs.
Imagine the following advantages:
- Saving time. You’ll no longer have to juggle recruitment and employee onboarding, training, and integration.
- Freeing up one or several of your resources. They’ll no longer have to solve the various problems associated with the management of a large team, such as conflicts, constant requests, payroll processing, shift coverage when team members take vacations or sick leave, etc.
- The flexibility to react quickly, take appropriate measures to satisfy changing demand, and improve operational efficiency.
- Saving on salary, benefit, office space rental, furniture, and technological equipment costs, among others.
- The possibility to modify contracts and contract periods based on your or your clients’ actual needs, given that these will likely change over time.
- The option of working with external resources that meet your criteria concerning quality, efficiency, ethics, etc.
- Access to specialists whom you won’t have to train or pay full-time since your needs are set.
- You’ll benefit from state-of-the-art technology used by these specialists throughout their mandates.
- An improved quality of services offered, often better than what you can achieve internally, even after training your resources.
- The opportunity to focus on your high added-value activities, since the previously mentioned points will lighten your load.
- Fewer secondary activities will allow you to dedicate yourself to your main tasks, thereby improving your efficiency and productivity. This will help your company grow in the medium term.
- Reduced legal risks. When you delegate compliance management to experts, they’re able to prevent damage thanks to their training. In addition, some service providers assume a certain amount of legal risk and offer a quality and/or compliance guarantee.
- Since some firms specialize in human resource outsourcing in multiple fields and abroad, you could save a lot by delegating your secondary activities to experts.
In conclusion, take advantage of outsourcing to help your company grow while focusing on your high added-value activities.
At Bedard Human Resources, we offer outsourcing services across Canada, as well as abroad. To learn more, contact Marc-André Durocher, Vice President – Outsourcing and Special Projects.
