October 01 2011 0comment
The 4 P’s of HRO and PEO Evaluation

Entrepreneurs and Professional Employer Organizations

It’s All About Building Winning Teams

You may think that this is a bold statement, but the reality is that most entrepreneurs achieve success not because they are visionaries, although many are, but because they are intensely focused on doing what they do best. In an earlier blog “No Man is an Island”, I explain how achieving one’s goal of launching a new concept, product or service requires diverse talents and experience that no single person can master.

Jeff Stibel, author of “Wired for Thought” in his article “Entrepreneurship is a Disease” published in the Harvard Business Review Blog offers this observation “What makes some entrepreneurs successful is the same thing that makes others successful: relying on strengths and avoiding weaknesses”.

“To be sure, entrepreneurs have an upper hand (or at least I like to think so): the energy level is higher, the confidence level is higher, and with time, entrepreneurs have a higher tendency to acquire subject-matter expertise. But success comes not from those things alone, but by leveraging core competencies. What makes me successful (sometimes) is that I combine my entrepreneurism with my strengths in taking calculated risks, decision making, and building teams of people I admire.”

So what does this have to do with entrepreneurs and professional employer organizations? Building a great team of dedicated and talented people often requires a structure that involves employees. With the advances in technology, these teams can involve people not only with vastly different backgrounds and skills, but located in different states across the country, or even other countries around the globe. As we know, administering any staff of exceptional people presents employers with a wide range of issues daily. Learn more in our video “Employees Are A Strange Animal”.

Leveraging Core Competencies

Entrepreneurs and small business owners shouldn’t be expected to know all the intricacies’ involved with employee compensation and payroll tax administration. Don’t expect them to stay abreast of changes in government regulations, employment practices and HR compliance issues. Business leaders can’t waste time securing workers compensation and general liability insurance, or developing a comprehensive employee benefits plan that enables their firm to attract and retain the valuable talent required to ensure success. Successful entrepreneurs outsource these functions to comprehensive HR outsourcing companies called professional employer organizations.

Many entrepreneurs engage the services of companies like ADP Totalsource, Alphastaff HR, Insperity and TriNet. These companies provide small and growing firms with a “turn-key” package of payroll administration, HR compliance, risk management, and a Fortune 500 employee benefits package for all of their employees. Professional employer organizations allow small business owners to eliminate multiple vendors, gain expertise and streamline HR operations; reduce exposure by minimizing costly mistakes, transferring risk and liability. These are only a few of the advantages that enable small business owners and entrepreneurs to save time and money. The most important benefit of outsourcing HR administration is it allows busy executives and entrepreneurs to focus their attention on what they do best …..

Building a winning team.