How Can An EOR Service Help With Employee Lifecycle Management - Aspirock

It is often said that a company is nothing with its people. This, in turn, underscores the importance of knowing what the employee lifecycle is, as well as managing the lifecycle effectively to support the company’s success.

 There are many ways to help optimize employee lifecycle management within an organization. However, the use of an Employer of Record (EOR) service could be one of the most effective.

 An introduction to the employee lifecycle

 You will probably be aware of the concept of the “customer lifecycle”, and the importance of managing this lifecycle to help attract, engage with, and retain customers for your business.

The employee lifecycle is the equivalent of this for your staff. It is a term that covers the entire journey, or “cycle”, of the relationship between an employee and the organization for which they work.

 The exact stages of the employee lifecycle model can vary slightly, depending on who you ask. Nonetheless, you can generally expect the cycle to consist of the following stages:

• Attraction, the stage at which the potential employee is first exposed to the employer or the employer’s “brand”
•  Recruitment, the process and experience of the potential employee transitioning to becoming an actual employee of the business
• Onboarding, the stage at which the new hire is introduced to the company culture and what will be expected of them in their role
• Retention, whereby strategies are implemented to help keep the employee engaged and motivated to remain with the employer
• Career development, which involves the employee being provided with opportunities to develop new skills and progress their career with the employer
• Offboarding or separation, whereby the process of the employee leaving the company is managed to help ensure a smooth transition.

 Why is it so important to optimize the employee lifecycle?

 All the above stages profoundly influence the employee’s relationship with their employer. So, if you are an employer, you will want to make sure you get all these elements right.

 Managing the employee lifecycle effectively will help to ensure a positive day-to-day experience in the role for the employee themselves. It will also be key to boosting the employee’s productivity, which will feed into strong performance for the organization as a whole.

 Not insignificantly, a well-optimized employee lifecycle will help you retain your valued staff members – and therefore enjoy the aforementioned productivity and performance benefits – for longer.

The role an Employer of Record can play in employee lifecycle management

 An “Employer of Record”, or EOR, agrees to serve as the legal employer of a given worker, even though the employee is effectively working for another organization (the client company of the EOR).

 You might be tempted to use an EOR if you wish to hire workers from other parts of the world to work for your company remotely.

 Under such an arrangement, the EOR would typically manage the payroll, taxes, compensation, benefits, and social security obligations for the worker, in addition to ensuring compliance with local regulations. However, as the client company, you would still be overseeing the worker’s tasks and job performance.

 This arrangement, in turn, could free you up to focus on other aspects of your relationship with – and management of – your worker. It could mean more of your company’s own financial and time resources can be invested in optimizing the entire employee lifecycle.

 To learn more about how choosing Aspirock as your organization’s EOR could help with your company’s employee lifecycle management, please don’t hesitate to contact our team today.