What is ASO and How Can it Enhance Your HR Operations?

What is ASO and How Can it Enhance Your HR Operations?

A person writing on a clipboard

Your human resource operations are a key part of how you conduct your business. Your HR management creates a positive work environment and maintains rules and regulations that guide your employees on best practices and workplace culture. 

However, many businesses do not have the size or need for a dedicated HR employee or team. It is usually not cost-effective to staff an HR employee if your team is small and conflicts or issues are rare. Instead, in these situations, it makes much more sense to outsource your HR needs. 

One way to outsource your HR is through an Administrative Services Organization (ASO). These companies provide businesses with HR solutions in a variety of packages, including one-off services and more regular cooperation. These services can save businesses in a big way, especially in terms of manhours and dollars. 

When you work with an ASO, you also get the expertise and compliance advice that can only come from an expert in the field of human resources. However, there are many more advantages to be found in outsourcing your human resource efforts. 

In this post, we will discuss ASOs, what they are, how they can help your business, and the difference between an ASO and a PEO. Keep reading to learn more! 


People around a table. Two people are shaking hands

The Hidden HR Needs You Didn't Know You Had 


Running a business comes with its fair share of challenges, and many of them revolve around managing human resources effectively. While some HR challenges are immediately apparent, others tend to be hidden and often overlooked. These hidden challenges can hinder the productivity and growth of a business if left unaddressed. 

Common hidden HR needs include regulatory compliance, employee benefits administration, and effectively managing employee relations. Small and midsize businesses may not have the resources or expertise to handle these aspects on their own, leading to administrative burdens and increased risks. 

This is where ASO services come in. ASOs provide comprehensive HR solutions, handling everything from payroll processing and tax obligations to employee benefit programs and regulatory compliance. By outsourcing these functions to an ASO, businesses can free up valuable time and resources to focus on core business operations. 

ASOs offer a wide range of services, tailored to the specific needs of each client. They act as a service provider, offering expertise in areas like employee relations, performance management, and health benefits, essentially becoming an extension of the business's HR department. This allows businesses to tap into specialized HR knowledge and services without the need to hire additional staff or invest in expensive infrastructure. 

One of the key advantages of ASO services is cost savings. Rather than paying a fee per employee, businesses can benefit from flexible pricing models and only pay for the services they need. This makes ASO services particularly appealing to smaller businesses looking for effective HR solutions without breaking the bank.  


ASO vs. PEO: What's the Difference? 


When it comes to outsourcing human resources functions, two popular options that businesses often consider are Administrative Services Organization (ASO) and Professional Employer Organization (PEO). While both ASO and PEO can provide comprehensive HR solutions, there are key differences between the two approaches. 

ASOs primarily focus on providing administrative services and handling various HR tasks, such as payroll processing, tax obligations, regulatory compliance, and employee benefit programs. They act as a service provider, supporting businesses in these areas without taking direct ownership or control of the employees. ASOs essentially become an HR extension of your current business, offering specialized knowledge and expertise that your team does not have in-house. 

On the other hand, PEOs offer a co-employment relationship, where they become the employer of record for the client companies. This means that PEOs take on a broader role, assuming significant responsibility for employee management, including payroll, benefits administration, and employee relations. PEOs handle the day-to-day HR operations, allowing businesses to focus on core operations while still having access to comprehensive HR support. 

The co-employment model offered by a PEO is what differentiates ASOs and PEOs. While ASOs provide services and support, they do not take direct control of the employees, as PEOs do. This distinction may be particularly important for businesses that want to maintain complete control over their employees and company culture. 


Why ASO from the Human Resource USA is Right for You 


When it comes to outsourcing your HR functions, The Human Resource USA's ASO services offer several unique selling points that make us an ideal choice for businesses of all sizes.  

One of key advantage of The Human Resource USA's ASO service is our nationwide reach. This means that no matter where your business is located, you can rely on our expertise and support for seamless HR operations. With a dedicated team of HR professionals, we understand the unique challenges and regulations that businesses face in different states. 

Compliance is a critical aspect of HR operations, and The Human Resource USA's ASO services excel in this area. We stay up to date with the latest labor laws and regulations, ensuring that your business remains in full compliance. This proactive approach helps mitigate any potential legal risks and protects your business from costly penalties. 

Additionally, The Human Resource USA places a strong emphasis on employee relations. We understand the importance of maintaining a positive work culture and fostering strong relationships with employees. By implementing effective employee relations strategies, we help businesses improve employee satisfaction, engagement, and retention. 

What long-term services does the Human Resource USA offer? Click here to learn more! 


ASO for Your Business from The Human Resource USA 


As a business owner, you understand that a comprehensive human resources plan is imperative for the success and progression of your company. However, it is not always feasible to have an in-house HR representative, especially for smaller businesses.  

HR workers can oversee day-to-day operations and handle administrative tasks, but they are better left to handle duties such as payroll or conflict management. For that reason, if your company does not have the bandwidth to support an internal HR team, then outsourcing your human resources needs to an ASO is the best option.  

The Human Resource USA provides your business with all the expertise you need on conflict resolution, compliance, best practices, and more. We are your advisors on all things human resources, but instead of devoting a salary and benefits to a dedicated HR professional, you can call us as needed or you can set up regular meetings.  

If you want to learn more about what a premiere ASO can offer your business, then click here to start a conversation with the Human Resource USA today

Happy with the difference the Human Resource USA has made for your business’s HR needs? Leave us a quick five-star review here!