The recruitment process is complex. Hiring new staff members as a business owner can feel like a second job. It takes an average of 68 days to hire a new staff member, and the average cost per hire is $21,000, with the amount increasing depending on the seniority of the role.
Lucky for you, the experts in HR consultancy services have made recruitment their full-time job and are ready to help you find the best new hires to grow your business and drive success. Keep reading to learn how an HR consulting service can save you time and money and how the extent of their services can cover your business’s many needs.
What is HR Consultancy Services?
HR consultancy services are simply consulting on human resource practices. This usually involves a business in need of strengthening its recruiting or human resources practices and policies and seeking to hire an individual or company that specialises in human resource needs.
The goal of HR consultants is to help you best manage your resources and ensure you’re up to HR standards. In return, this enhances the overall success of your business.
HR consultants offer many services to help businesses grow and find the right people to help them achieve success. Let’s look at some of the different services offered by HR consultancy services.
What Services Do HR Consultants Offer?
Human resources consultancy services is an umbrella term for a variety of HR services. This can include several different areas, such as:
- Recruiting and hiring: This can entail tasks such as sourcing, applicant pre-screening, interviewing, offer negotiations, new hire orientation, onboarding, and employee relations.
- Integration of HR programs: This includes training on various best practices and creating employee performance management evaluations.
- Development of new practices, policies and procedures: This includes developing an employee handbook, putting out statements that concern safety, diversity, equity and inclusion, as well as cultivating and maintaining a safe workplace.
- Create an action plan: Develop a plan for your business if you have a sudden change in resources (termination or an employee giving notice).
Your HR consultant may specialise in one of these areas or may be a full services agency equipped to assist you in several different areas at once. Each of these services is intertwined, so if your overall HR practices are not up to par, it may be worth investing in a full-service HR consultancy.
HR consultancy services are flexible, and different consultants provide different services for different contracts and prices. Let’s take a look at your options when it comes to pricing.
How Much Do HR Consultancy Services Cost?
HR consultancy services are an investment in your company with a return that will improve your bottom line. That said, the cost of HR consultancy services lies in a wide range, and it’s more than possible to find an agency within your budget. Depending on the services you need, such as recruitment, you may only pay a consultant once they successfully onboard your new recruit.
The cost of HR consultancy services varies based on several factors, such as:
- The size of the agency or number of consultants
- The size of your business
- The reason you’re enlisting their help
- The specific needs of your business
Furthermore, these consultants can work with you in the way that’s most cost-effective for your needs. For example, say you need a lot of support across people, systems, and processes. You might find a long-term contract or annual subscription is the best value for money, as this is an ongoing process that businesses must deal with and that continuously evolves.
However, one-off recruitment fees are very cost-effective if you need to fill one position and rarely hire. A one-time fee is often more cost-effective for your business than taking on the task yourself.
For example, the average entry level salary in Australia is $66,000. The average cost to hire a new entry level employee is $9,772. HRonHand charges 10% of the total compensation package for up to $100,000 to take on the recruitment process, which comes out to $6,600. This means a savings of over $3,000 when you choose to go with a recruiter rather than do it yourself. This proves to be significant savings, not to mention the amount of time you save by outsourcing the recruitment process.
In contrast, if your company is going through a restructuring period or is experiencing significant growth and needs to hire a significant amount of talent at once, you may be able to secure a short-term recruitment contract with an HR consultancy service. They might even make this transition period shorter so that your business can be up and running again in no time.
No matter what pricing and structure you choose, establish the terms with your HR consultant early on and fully understand the process before committing to their services.
In all, HR consultancy services are something that all business owners should consider if they want to grow their business and have the right people on board. It’s a proven investment that provides optimal, long-lasting results and saves you time and money to reinvest into your business.
If you’re seeking experienced HR consultants to enhance your business, check out HR on Hand’s packages and prices for HR consultancy services and get started today.