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Era Hro Service

Rob Kenny
Rob Kenny

The document discusses human resources outsourcing (HRO) services for mid-sized organizations. It outlines Rob Kenny's experience in procurement and cost reduction services. It then describes the common HRO models including payroll processing, time and attendance tracking, and benefits administration. Integrating these bundled HR services through an outsourcing provider can lower costs, increase services to employees, and improve compliance for mid-sized companies. The document proposes conducting an HRO assessment to establish a baseline and recommend optimized service providers through a request for proposal process.

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Rob Kenny Director rkenny@expensereduction.com 856.524.1260 Human Resources Outsourcing (HRO) for Mid-Sized Organizations
Rob Kenny, CPIM/SSBB Rob Kenny is a GE-trained Six Sigma Black Belt with twenty years of experience; working with business leaders to achieve sustainable cost reductions. He specializes in assisting organizations to reduce operating costs and increase profits by providing procurement advisory services, as well as by applying Lean Six-Sigma (LSS) and other proven Continuous Improvement methodologies. His consulting experience has included leading major revenue enhancement and cost reduction programs for Fortune-500 companies, as well as leading multiple e-Commerce projects for venture-funded firms. Rob is an alumnus of General Electric, GlaxoSmithKline, IBM and PricewaterhouseCoopers with a Bachelors of Science in Industrial Engineering from Worcester Polytechnic Institute. Rob resides in Moorestown NJ with his wife and two daughters. He is a member of the Moorestown Open Space Advisory Committee and the Rotary Club. rkenny@expensereduction.com | 856.524.1260
HR Processes & Approaches Basic / Transactional HR Outsourcing (HRO) Payroll Check Printing Tax Filing & Reporting Wage Garnishments W-4, W-2, Year End Reporting Time Entry HR Information System (HRIS) Employee Self-Service GL Interface Recruiting & Screening I-9 Verification New Hire Reporting HR Compliance & Support Unemployment Claim Mgmt COBRA Administration Benefits/401k Admin Employee Assistance Program Health Insurance & FSA Workers Comp Insurance Long-term Disability Insurance Co-Employment & Temp Labor Efficient payment of employees Payroll Tax Compliance Track Time & Attendance Integrate w/ Payroll & Accounting Provide access to information Support Employee Lifecycle from On-boarding through Separation Manage Benefits & Claims Improve Compliance Lower Risk Provide Insurance Coverage Provide Risk Management Support Workforce Flexibility Most organizations outsource some components of HR
Common HRO Models & Services Model Brief Description Payroll Processing Check Processing & Tax Filing Time & Attendance Time Clocks and Time Entry Software. Spend is often greater than Payroll Processing Employee & Manager Self- Service (Online) Provide online access to pay-stub and benefit data via ESS/HRIS. Third Party Administrator Claims Processing for self-insured organizations. Often include ESS/HRIS Administrative Outsourced Service (AOS) Payroll, Time & Attendance plus Claims processing Professional Employment Organization (PEO) Provide AOS plus Workers Comp and Health Insurance via a Co-employment agreement. Temporary Labor Augment internally staff with skilled and non-skilled staff via employment agency.
Integrated/Bundled HR Approach By working with a HRO service provider that offers a full suite of services, small and medium-sized business can benefit by: Lowering Administrative Cost Increase Services offered to Employees Reducing potential Employment Liabilities Improve Employee Satisfaction/Retention Reduce # of Relationships to Manage Reallocation internal staff/resources Our clients do not have the time or internal expertise to evaluate options and alternatives
Project Lifecycle Conduct Monthly review of invoices Meet w/ Finance Exec Establish Baseline Cost Prepare RFPs Review Recom- mendation Imple- ment new Contracts Audit POs & Invoices 6 8 weeks 6 8 weeks 3 - 4 months 24 months Harvest Savings HRO Assessment part of Baseline Report Recommendation Report includes comparison of models & approaches
ERA Adds Value by: 1. Assisting clients to clarify requirements 2. Help client to choose the right HRO service model 3. Vetting qualified suppliers prior to sending RFP 4. Evaluating proposals and modeling savings 5. Manage on-going supplier relationship 6. Achieve higher level of Net Savings 7. Accelerate Time to Benefit by leveraging ERA resources.
Next Steps (Getting Started) Collect Service Provider Data for Baseline Gross Payroll Data Payroll Processing Agreement Time Entry Service Agreement HR Information System (HRIS) Claims/Benefits Administration 401k Administration Workers Compensation History Health Insurance Cost/History Employee Census

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Era Hro Service

  • 2. Rob Kenny, CPIM/SSBB Rob Kenny is a GE-trained Six Sigma Black Belt with twenty years of experience; working with business leaders to achieve sustainable cost reductions. He specializes in assisting organizations to reduce operating costs and increase profits by providing procurement advisory services, as well as by applying Lean Six-Sigma (LSS) and other proven Continuous Improvement methodologies. His consulting experience has included leading major revenue enhancement and cost reduction programs for Fortune-500 companies, as well as leading multiple e-Commerce projects for venture-funded firms. Rob is an alumnus of General Electric, GlaxoSmithKline, IBM and PricewaterhouseCoopers with a Bachelors of Science in Industrial Engineering from Worcester Polytechnic Institute. Rob resides in Moorestown NJ with his wife and two daughters. He is a member of the Moorestown Open Space Advisory Committee and the Rotary Club. rkenny@expensereduction.com | 856.524.1260
  • 3. HR Processes & Approaches Basic / Transactional HR Outsourcing (HRO) Payroll Check Printing Tax Filing & Reporting Wage Garnishments W-4, W-2, Year End Reporting Time Entry HR Information System (HRIS) Employee Self-Service GL Interface Recruiting & Screening I-9 Verification New Hire Reporting HR Compliance & Support Unemployment Claim Mgmt COBRA Administration Benefits/401k Admin Employee Assistance Program Health Insurance & FSA Workers Comp Insurance Long-term Disability Insurance Co-Employment & Temp Labor Efficient payment of employees Payroll Tax Compliance Track Time & Attendance Integrate w/ Payroll & Accounting Provide access to information Support Employee Lifecycle from On-boarding through Separation Manage Benefits & Claims Improve Compliance Lower Risk Provide Insurance Coverage Provide Risk Management Support Workforce Flexibility Most organizations outsource some components of HR
  • 4. Common HRO Models & Services Model Brief Description Payroll Processing Check Processing & Tax Filing Time & Attendance Time Clocks and Time Entry Software. Spend is often greater than Payroll Processing Employee & Manager Self- Service (Online) Provide online access to pay-stub and benefit data via ESS/HRIS. Third Party Administrator Claims Processing for self-insured organizations. Often include ESS/HRIS Administrative Outsourced Service (AOS) Payroll, Time & Attendance plus Claims processing Professional Employment Organization (PEO) Provide AOS plus Workers Comp and Health Insurance via a Co-employment agreement. Temporary Labor Augment internally staff with skilled and non-skilled staff via employment agency.
  • 5. Integrated/Bundled HR Approach By working with a HRO service provider that offers a full suite of services, small and medium-sized business can benefit by: Lowering Administrative Cost Increase Services offered to Employees Reducing potential Employment Liabilities Improve Employee Satisfaction/Retention Reduce # of Relationships to Manage Reallocation internal staff/resources Our clients do not have the time or internal expertise to evaluate options and alternatives
  • 6. Project Lifecycle Conduct Monthly review of invoices Meet w/ Finance Exec Establish Baseline Cost Prepare RFPs Review Recom- mendation Imple- ment new Contracts Audit POs & Invoices 6 8 weeks 6 8 weeks 3 - 4 months 24 months Harvest Savings HRO Assessment part of Baseline Report Recommendation Report includes comparison of models & approaches
  • 7. ERA Adds Value by: 1. Assisting clients to clarify requirements 2. Help client to choose the right HRO service model 3. Vetting qualified suppliers prior to sending RFP 4. Evaluating proposals and modeling savings 5. Manage on-going supplier relationship 6. Achieve higher level of Net Savings 7. Accelerate Time to Benefit by leveraging ERA resources.
  • 8. Next Steps (Getting Started) Collect Service Provider Data for Baseline Gross Payroll Data Payroll Processing Agreement Time Entry Service Agreement HR Information System (HRIS) Claims/Benefits Administration 401k Administration Workers Compensation History Health Insurance Cost/History Employee Census