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Title: HR outsourcing: The impact on HR's strategic role and remaining in-house HR function
Authors: Patel, Charmi
Budhwar, Pawan S.
Witzemann, Alissa
Katou, Anastasia A.
Type: Article
Subjects: FRASCATI::Social sciences
Keywords: HR Outsourcing
HR Strategic Role
Standardization of HR
Issue Date: 2019
Publisher: ELSEVIER
Source: Journal of Business Research
Volume: 103
First Page: 397
Last Page: 406
Abstract: Past research on HR outsourcing (HRO) has offered conflicting views about its impact on HR’s strategic position. This study highlights the processes by which decisions to outsource HR are made, followed by the processes implemented post such decisions and their effect on the HR function. Using a case study approach and semi-structured interviews (N=35) within a German subsidiary of a US MNC, we provide a framework of HR processes seeking to achieve standardization in terms of harmonization of HR activities across the subsidiary. The findings reveal that the effects of outsourcing on in-house HR showed a decrease in flexibility of the HR function, a slowdown in processing time of transactional HR as well as a decrease in satisfaction and work intensification for HR managers. Further, it remains questionable as to whether the function of HR was able to enhance its strategic position through outsourcing.
ISSN: 0148-2963
Other Identifiers: 10.1016/j.jbusres.2017.11.007
Appears in Collections:Department of Business Administration

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