Outsourcing of human resource management services among large flower firms in Kenya

Abstract

The principal objective of this study was to investigate outsourcing of human resources management services in large flower farms in Kenya. Despite being a relatively new concept, outsourcing of human resource management services is gradually taking root in large flower firms in Kenya; this was authenticated by the fact that all the respondents outsource at least one human resource management services. A questionnaire was administered as the major tool for data collection and the respondents gave the answers on reasons for outsourcing; nature of outsourcing; criteria for selection of vendors; and the benefits of outsourcing of human resource management services. The results indicated that 87.9% of large flower farms outsource human resource management services irrespective of ownership and it was considered to be a strategic management tool in these farms. The respondents cited several reasons/benefits for outsourcing; however. the most mentioned was to improve company efficiency and the need to keep the company focused on its core activities and purpose. The respondents noted certain risks emanating from outsourcing of human resource management services. There is therefore, a need for a deliberate effort to develop comprehensive framework before initiation of and supervision of the process.