Gartner Research

Common HR BPO Pricing Models

Published: 25 June 2019

ID: G00434041

Analyst(s): Armin Deuter, Eser Rizaoglu

Summary

Pricing issues are among the leading causes of relationship problems between HR and BPO service providers. CHROs must select pricing models most suitable for their requirements, minimize risks for both parties and incentivize the provider to support the organization at the most reasonable price.

Table Of Contents
  • Key Challenges

Introduction

Analysis

  • Evaluate the Pros and Cons of Different Pricing Models
    • FTE-Based Pricing
    • Fixed-Fee Pricing
    • Transaction-Based Pricing
  • Renegotiate Pricing Arrangements to Include RPA and AI
  • Conclusion

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