With an ever-growing list of responsibilities and priorities, it can be tempting to automatically renew your existing contracts without undertaking a review of the service provision. For this reason, many Schools choose to stay with their current provider, even when they are dissatisfied with the level of service. Although sticking to what you know may seem like a low-risk option, it can result in an increased workload, unhappy employees and increasing costs.
Deciding to change, or considering alternatives, can seem a daunting task but it doesn’t need to be. It’s always good practice to review each contract annually, and to carefully consider whether any changes are required to meet the evolving needs of your School. For large Trusts, this may involve a formal tender process. However, for Schools and smaller Trusts, this may simply involve obtaining three quotes, comparing specifications and reviewing the package benefits against the service cost.
So, what are the benefits of reviewing your current provision?
1. Potential savings
Your current provider may have provided the most competitive quote five years ago, but small annual increases soon add up – and, they may no longer be the most competitive provider. In some instances, Schools are not aware of their current service charges, let alone how they compare to the rest of the market.
2. Improved service
It’s easy to assume that all HR and Payroll services are the same, which leads to some Schools settling for a mediocre service. However, there is a big difference between providers and Service Level Agreements (SLA). Some providers regularly update and develop their service offerings, whilst others remain almost unchanged. Therefore, it's worth investigating alternative providers to see what additional support they can provide you with.
We recommend undertaking a tabled specification comparison, to ensure that your current provision still meets your requirements and that nothing that you would expect to be included is missing from your current SLA. Asking providers for their specification will also allow you to understand if your current provision is fit for purpose.
3. Avoids complacency
If Schools continue to automatically renew with their current provider, without so much as a review, there is no pressure for your current provider to improve or update their service offering. A healthy annual review keeps providers on their toes, encourages them to make improvements and has a positive impact on the standard of provision across the sector.
4. Find the most suitable solution
Education is ever-changing and so are the needs of your School or Trust. Whether your School has grown in size, restructured or simply experienced subtle changes over the years, it’s likely that your needs have evolved. The service that was suitable several years ago, may no longer suit your needs. Consider your current requirements and find a provider that meets those needs. Even if a short review identifies that your current provider is still the most suited, you can be assured that you are receiving the best service.
5. Improved employee morale
HR and Payroll are key areas of any organisation and have a direct impact on employees. HR issues and Payroll errors can quickly lead to an unhappy workforce, which can result in an increased workload and employee turnover, grievances and ultimately legal proceedings. Ensuring that you have an effective HR and Payroll provision will have a positive impact on employee morale.
To find out exactly what you should be considering when changing your HR or Payroll provision, read our 8 Key Considerations When Changing HR Providers in Schools and The Top 10 Key Considerations for Schools ‘Changing their Payroll Provider articles.