As the business environment becomes more and more demanding, organizations must become more flexible and maneuverable than ever before. One place small businesses can become more flexible is their HR delivery—which is why many organizations are turning to on-demand HR solutions. Here are just a few advantages you should consider when you’re deliberating whether or not on-demand HR solutions make sense for your small business.


How does your business deal with a new HR project that crops up, such as an audit of your legal compliance? Maybe your in-house HR staff don’t have the capacity to handle it—they’re too busy or they don’t have the expertise. You could hire a new staff member, but what about when the project is done?

Instead of hiring, think outside the box—and the company. On-demand HR solutions can be moulded and re-moulded to fit your service needs as your business changes and grows.


One reason on-demand HR solutions can shape themselves around a business’s service needs is that they give small businesses access to expert advice when they need it. Today, you need help with your new wellness program. Tomorrow, you may get a call telling you that you’ve been selected for a legal compliance audit. When you have an on-demand HR solution on tap, there’s no need to panic about these sorts of things—your HR consultants will have everything under control.


Flexibility has become key for many firms and the HR department is no exception to this trend. Whether you suddenly need to scale up or pare back, an on-demand solution can offer you flexibility that an in-house HR department can’t. Hiring can be a lengthy process—especially if you’re hiring with an eye to the future, not simply recruiting bodies to fill spaces. You may not have that kind of time. And what happens if you need someone for a short time? You could hire a temporary worker—but that might be more trouble than it is worth.

On-demand services, by contrast, can scale up and pare back as you need them to—often on the turn of a dime. That means when you get that surprise call about the audit, your on-demand HR team is already gearing up and ready to go; you don’t need to wait around to find the right candidate to fill a vacancy. That allows your HR department—and your business as a whole—to be more flexible in negotiating the challenging environment of today’s business world.


Perhaps the biggest concern on any small business owner’s mind is the cost-effectiveness of their HR solution. An on-demand service often seems like it could cost a company more than simply hiring another helping hand, but the truth is that it’s more cost-effective for firms. The flexibility realized in staffing and service provision extends to costs as well. Instead of spending time and money training new staff, potentially paying for mistakes your in-house team makes, or even ending up on the hook for unseen liabilities when you hired a temporary employee, you’ll pay your HR consulting firm for the services they deliver—which will always be tailored to your needs.


Choosing to use on-demand HR solutions is a big business decision, especially for small businesses. However, an on-demand solution makes a lot of sense for many small businesses, especially those looking to save a little cash or those who need some expert guidance with a special project. With all the benefits available, an on-demand HR solution might just make sense for your small business.

Felicia Smith

Felicia is the manager of human capital solutions at AugmentHR. With over six years of recruitment experience coupled with multi-faceted HR roles, Felicia is an expert in matching people with the right role and environment. She has worked in many different industries, including investment banking, HR consulting firms, medical, and commercial. Understanding people is one of her strengths, and she has recruited at every level, from directors, project managers, and engineers to operators and general labourers. Her ability to network and develop relationships has been a key tool to her success. With approximately two years of experience managing people and creating a positive work environment, Felicia’s diverse skill set makes her a well-rounded individual. Her business education and background help her identify different business needs and human capital solutions.

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