Human Resource Management Outsourcing Risk Analysis And Control

This article is based on a study under the global enterprises' business processreengineering background, and seeks a new focus of Human Resources ManagementOutsourcing (HRMO). The twinkling points of this article is the expatiation of riskanalysis and control on HRMO, which contributes to the Human ResourcesManagement Outsourcing theories a lot.This article is systemically made of six parts. The first part-"LiteratureOverview" concludes most typical theories of Business Outsourcing/HRMO'sdefinitions, motivations and disadvantages from scholars of both inside and outsideChina. The second part-"HRMO's Theory Base" well sums up theory base of HRMOwhich involves theories of Economics, Management, International Trade and otherrelated subjects. The third part of "HRMO's categories and modes" is fromresearching and collecting all the study materials, as well as the practice launched inGE Corp. HR Dept. by the writer. The fourth part "HRMO Risk Analysis" makes useof the "Principle-Agent" theory, "Transfer Costs" and "Exit Obstacles" narrations,combines with case studies, and makes broad and deep analysis into HRMO risks interms of strategy and practice. The fifth part "HRMO's Risk Control Study"introduces the control methods in detail for each procedure in operating HRMO, inwhich part the writer creatively launches a "Main/Supportive providers HRMOService Model". The last part is "Conclusion".The purpose of this article is to enrich the HRMO theories from the aspect ofrisk analysis and control, and provide the companies which have/is going toimplement(ed) HRMO strategy with theoretic references.