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Why Firms Outsource Their Human Resources Activities: An Empirical Analysis

In this paper, we develop and estimate an explanatory model of Human Resources Outsourcing. Six HR activities are analyzed: Payroll, Benefits, Recruiting, Training, Labor Relations, and Human Resources Information Systems. The determinants of outsourcing are drawn from two fields: the field of organizational analysis and strategy formulation, and that from transaction-cost theory. Our results indicate that the drivers of HRO are rather specific to each type of activity. The transaction-cost determinants appear to play a particularly important role in the HRO decisions. In particular, the prior experience of the organization with outsourcing of other functions, the uncertainty of the transaction, and the presence of a union have a commanding influence. Ce memoire developpe et estime un modele causal de l'impartition des ressources humaines. Six grandes activites ressources humaines sont analysees: la paie, les avantages sociaux, la dotation, la formation, les relations de travail et les systemes d'information de ressources humaines. Les determinants de l'impartition proviennent de deux litteratures scientifiques : celle de la theorie des organisations et de la formulation de la strategie d'une part, et celle de la theorie economique des couts de transaction d'autre part. Nos resultats montrent que les determinants de l'impartition varient d'activite a activite. Les determinants suggeres par l'approche des couts de transaction semblent jouer un role particulierement important. L'experience qu'ont les organisations avec l'impatition de d'autres fonctions, l'incertitude de la transaction et la presence d'un syndicat ont une influence preponderante sur la decision d'impartir les activites ressources humaines.