As a well-managed organization, you have probably already realized some of the initial benefits of using temporary staffing services to maintain your human resources. It can be convenient to hire temps for entry level assignments, to fill in for employees who are on leave, or to staff for large projects. But, how well are you doing in terms of reducing overhead and increasing profits using temp employment Chicago IL as a foundation of business growth strategy?
When it comes to running a profitable business, how much your staff contributes to the overall success of your productivity affects the bottom line. In this article, we’d like to give you some ideas for increasing profits by tapping into a temporary workforce.
Cut back on human resource costs
Experts estimate that replacing even one employee can cost as much as a half-year’s salary. However, when you are working with a temps, you can reduce many of these costs because the agency absorbs them. Cutting back on HR costs such as recruiting, screening, background checks, and even benefits and payroll can save your money a great deal.
Give your higher level employees a break
When employees become overloaded with administrative aspects of their tasks, they tend to be less effective of getting any real work accomplished. Temps can alleviate much of this by taking on the routine tasks that higher level employees are burdened with. Giving employees a break means they can be more effective at task management and ultimately make your business more profitable.
Augment critical skillsets to improve workflow
In high demand industries, such as manufacturing, IT and health care there are a general lack of skillsets that are critical to organizational success. Coupled with increasing numbers of retirees who are taking developed skills with them — your business could suffer from skill gaps. Recruit temps who have these skills or are trainable in critical skill areas to maintain business growth.
Reduce seasonal hiring woes
Oftentimes, businesses experience their greatest profits during peak seasons. This can be an opportune time to bring on a temp workforce to handle the increased amount of tasks from every angle of your business. Temps can work for a lower hourly rate, and you can prevent having to pay overtime to your other employees using this strategy. Less overhead means more profits.
Project fluctuations are covered
Like seasonal ups and downs, any business may suddenly experience a project that gets ramped up quickly and then ends abruptly. This can make it difficult to allocate staffing resources correctly. The problem is solved by hiring temps to cover various areas of the project and seamlessly augment your current teams. The better you can manage project fluctuations, the better your business will control costs and experience a jump in revenues.
Davis Staffing offers access to temp employment Chicago IL resources and solutions to meet your business needs. Find out how we can help you increase business profits through a temp staffing plan this year.