Outsourcing is needed when organizations started delegating their non-core functions to an external organization that was specialized in providing a particular service, function or product.
In outsourcing the external organization would take on the management of the outsourced function.
Most organizations choose outsourcing because outsourcing offers a lot of advantages when organizations outsource they benefit from lower costs and high-quality services.
Moreover organizations can concentrate more on core functions once they
outsource their non-core functions.
Outsourcing can also help organizations make better use of their resources, time and infrastructure.
* Human Resource is the most vital resource for any organization. It is responsible for every decision taken, every work done and every result.
* Employees should be managed properly and motivated by providing best remuneration and compensation as per the industry standards.
* The lucrative compensation will also serve the need for attracting and retaining the best employees.
Compensation is the remuneration received by an employee in return for the contribution to the organization.
* It is an organized practice that involves balancing the work-employee relation by
providing monetary and non-monetary benefits to employees.
* Compensation is an integral part of human resource management which helps in motivating the employees and improving organizational effectiveness.
* Compensation does not include only salary but it is the sum total of all rewards and allowances provided to the employees in return for their services.
* If the compensation offered is effectively managed, it contributes to high organizational productivity