THE EFFECT OF OUTSOURCING HUMAN RESOURCE ON ORGANIZATIONAL PERFORMANCE: THE ROLE OF ORGANIZATIONAL CULTURE
The improvement that high organizational performance provides is becoming more critical in today’s increasing conditions of competition. The effects of human resource functions and organizational culture to perform a significant organizational efficiency attracts both theoreticians’ and practitioners’ interest much more. When outsourcing is considered as one of the methods that organizations utilize for strengthening their core competencies to allocate their resources efficiently, the question of the degree to which human resource functions could be outsourced brings in mind the effect of organizational culture enabling outsourcing on organizational performance. Besides performing the administrative services such as catering, cleaning, employee transportation, and security as outsourcing, operations of some human resource practices like training and payroll via outsourcing contribute the desired performance positively by means of only true strategy and organizational culture shaping the strategy. The performance of human resource management and the viewpoints of employees about outsourcing have critical importance to improve a convenient strategy. In this literature research, what kind of human resource practices can be outsourced and can add value to organizational performance are discussed. The influence of workers’ changing attitudes about outsourcing towards organization in detail and the effect of organizational culture in the mentioned relationships are missing in the literature.