Roberta Whitman has recently been hired by Jackson Pharmaceuticals as the senior vice president of human resources. Jackson Pharmaceuticals has a history of problems within its HR department including difficulties recruiting and retaining qualified employees, EEO violations, inadequate employee training programs, and confusion regarding health benefit enrollment and coverage. With years of experience transforming HR departments in other firms, Whitman believes she can correct the problems at Jackson Pharmaceuticals. Which of the following best supports Whitman's idea to develop a shared services arrangement to handle benefits administration?
A)An embedded HR unit would assist top management with big picture issues as well as benefits administration.
B)Extensive training has been provided to line managers so that they fully understand the different insurance options available to employees.
C)Outside vendors specializing in all aspects of benefits administration would provide improved support to the firm's employees.
D)Lower insurance premiums would eliminate the need for outsourcing services and improve employee health coverage.

Question

Quizplus · Accepted Answer

C)The shared services (or transactional)HR teams focus on using centralized call centers and outsourcing arrangements with vendors (such as benefits advisors)to provide specialized support in day-to-day transactional HR activities (such as changing benefits plans and providing updated appraisal forms)to the company's employees. By outsourcing benefits administration, Jackson would allow HR managers to focus on other issues and enable benefits specialists to handle benefits enrollment and coverage issues.

Roberta Whitman Has Recently Been Hired by Jackson Pharmaceuticals as the Senior