A Survey of Factors that influence human resource outsourcing decisions by government technical training institutions in Nairobi, Kenya.
Kanyi Rachel N
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As many organizations turn to Human Resource outsourcing as a key strategy to reduce costs and help organizations concentrate on their core competencies, it is important to establish the factors that influence HR outsourcing decisions. This study was done to specifically focus on the factors that influence HR outsourcing decisions among the government technical training institutions based in Nairobi, Kenya. Data was collected in these institutions between September and October 2007. All the six government technical training institutions in Nairobi were covered and the response rate was 100%. The researcher used descriptive statistics to analyse the data. The findings were then presented by use of tables, bargraphs and pie charts. The findings from the analysis showed that the key factors that influence Human Resource outsourcing decisions by government technical training institutions in Nairobi include the need to improve the institutions focus, the need to reduce operating costs and increase efficiency, to keep up with the ever changing technology as well as the institutions not having enough resources internally, among many other factors. In selecting an external service vendor, these institutions considered such factors as the vendors professionalism, competence, quality of service, credibility, cost of service, among many other factors. The study, therefore, reveals that it is important for any organization involved in making Human Resource outsourcing decisions to consider these very important factors in order to maximize their gains from Human Resource outsourcing as a key management strategy.