What is Hosted delivery model?
The hosted delivery model in human resources (HR) refers to a model where the HR software and services are hosted by a third-party provider and made available to the organization over the internet. The organization does not need to install, manage, or maintain the software or hardware infrastructure required for HR operations. Instead, these tasks are managed by the third-party provider. The hosted delivery model is also known as Software as a Service (SaaS) or cloud HR. This model is becoming increasingly popular as it offers flexibility, scalability, and cost savings compared to traditional on-premise HR solutions.
What are the benefits of a hosted delivery model?
The benefits of a hosted delivery model in human resources (HR) are:
- Cost savings: Organizations can save on hardware and software costs, as well as IT staff expenses, as the infrastructure and maintenance are managed by the third-party provider.
- Scalability: Organizations can easily scale their HR services up or down as needed, without incurring additional hardware or software costs.
- Flexibility: Organizations can access HR services from anywhere with an internet connection, allowing for remote work and flexible working arrangements.
- Security: Data and information are stored in secure, centralized servers managed by the third-party provider, which reduces the risk of data loss and improves data security.
- Automatic software updates: The hosted delivery model provides organizations with automatic software updates, ensuring that they are using the latest version of the HR software at all times.
- Reduced IT staff workload: The hosted delivery model reduces the workload of IT staff, as they no longer need to manage and maintain HR software and hardware infrastructure.
Is the hosted delivery model suitable for all organizations?
The suitability of a hosted delivery model in human resources (HR) depends on various factors, including the size and complexity of the organization, the type of HR services required, and the organization’s IT infrastructure and policies.
Small to medium-sized organizations may find the hosted delivery model to be a cost-effective and scalable solution, as it eliminates the need for in-house HR software and hardware infrastructure.
Large organizations with complex HR requirements and extensive IT infrastructure may prefer to have more control over their HR systems and data, and may opt for a traditional on-premise HR solution.
Ultimately, the choice between a hosted delivery model and a traditional on-premise solution depends on the organization’s specific needs, preferences, and resources. It is important to carefully consider the benefits and drawbacks of each solution before making a decision.
