Difference in costs between an internal employee and an outsourced service

When you are a company manager, when you have a strong increase in activity and when your internal teams are overwhelmed, you naturally tend to turn to the recruitment of employees. Recruiting one more collaborator allows you to be more efficient and faster. It also makes it possible to process a larger volume of data. It is a real significant investment to be quantified. Investment of time, money, equipment, the resources it requires are numerous. In some cases, outsourcing is an asset, especially for repetitive, high-volume missions that require moderate levels of coordination. Perhaps less so for transversal roles with inter-department coordination.

The consequences of recruiting an employee

Recruiting an employee must first meet a real need, a resurgence of activity for example. It will be necessary to ask whether a simple seasonal peak should condition the recruitment of an additional employee. The consequences of a fixed-term contract being much greater than a permanent contract. All the investments requested, of time or money, must be optimized over a much shorter period of time than a permanent contract. The return on investment must therefore be optimal and much faster.

Hiring an employee represents a significant cost that must be calculated and the result of a significant increase in activity or an increase in turnover. Hiring serves to lighten the work of its teams already in place.

If we take the example of an employee with repetitive tasks with a low level of responsibility that we plan to pay to the SMIC, so 1709 euros gross (value at 1).^Er January 2023), and assuming that only half of the transport is reimbursed by the company as well as the supplementary health insurance, the monthly cost is estimated at €1907 for the company (according to the URSSAF contribution estimator). Here we have taken the case of a company in the hotel sector located in Paris. On the other hand, the monthly cost of the median wage is estimated at €3442.

We tend to forget it but recruiting an employee requires time at first. Post an ad that makes you want more than anything else, select the right resume, conduct several interviews. All these tasks to find the right candidate are quantifiable in terms of time and therefore money. To save time, there is the possibility of using a recruitment agency. But the saving of time is then transformed into an expense.

Recruitment, and only the recruitment phase, represents an average cost between 5,000 and 10,000 euros for a position with a low level of responsibility. This is an average amount that includes direct and indirect costs. We are talking here about advertising costs, the cost of a recruitment agency, or even the calculation of the time spent by the teams already in place to write ads, conduct interviews as well as the administrative tasks inherent in recruitment. Once the employee is recruited, an average sum of €5,000 can be added. This sum simply represents his workspace, between the space occupied and the necessary equipment (computers and supplies), software licenses, etc.

Because all work deserves a salary, once the right candidate is found, comes financial investment. In addition to the gross salary, there are numerous additional costs. From employer contributions to salary costs, including recruitment, training, equipment and possible professional expenses reimbursed by the employer... Moreover, employer contributions are also very numerous. From health insurance contributions to unemployment insurance or pension contributions, there is a much greater cost for the employer than just salary alone.

Outsourcing actors help actors in the tourism sector with a qualified outsourced service

Outsourcing players offer a choice alternative to business leaders. Especially if they are hesitant to hire but are nevertheless in great need of additional manpower. Growth is a good time to outsource. It allows the company to grow little by little without skipping steps and to take the time to structure itself. With overloaded teams, optimizing your turnover is not always easy. The need to use external assistance is an ideal solution for entrepreneurs who want to optimize the cost per employee ratio.

If having an internal employee offers advantages such as greater flexibility or the possibility of training them, HDB Solutions uses external resources that are trained, qualified and operational in a timely manner. In addition, any urgent request can be handled internally due to the optimization of the time of the internal teams who will be relieved by the invaluable help of HDB operators.

Opting for outsourced service therefore also means freeing up time for your internal teams. They will therefore be able to keep bandwidth for the unexpected. This will make it easier for them to free up their time to manage emergencies or important last-minute requests. Increased productivity is also an advantage for teams already in place.

This service also represents an advantage with the possibility of managing fluctuations in activity thanks to an outsourced service that is more consistent in high season and lower when activity decreases.

Beyond the time that is difficult to quantify, HDB Solutions' partners who have chosen its outsourced service solution save an average of €21,600 per resource per year.

In addition, the operators that HDB uses are already trained, qualified and highly competent. And all this makes it possible, in addition to saving money, to drastically improve the quality of services.

Using an outsourcing service also gives the advantage of being able to automatically adapt to your real needs. You therefore only pay for the need identified internally. Fee-for-service treatment, since that's what it's all about, simply makes the product more competitive because it adapts. Therefore, normally, there are no failures in production systems. We therefore make its organization and its production systems agile with a commitment linked solely to productivity. We therefore vary the fixed load and in order to better control its costs.

If internal recruitment is long because the management of change and recruitment takes time, we can talk about several weeks or even several months with the training time. Commercial outsourcing only takes 45 days on average compared to 6 months internally.