THE MORNING INDIA-MANAGING VALUE IN BUSINESS OUTSOURCING RELATIONSHIP WITH

AKZO-HR

AKZO HR – About the company• A leader provider of HR solutions.• Employes 6 lakh temporary workers and 30000 full time workers catering to 1

lakh business clients everyday through 5000 offices situated in 50 countries.• The company recorded a revenue of 12 billion euros in 2009.

Contingency recruitment

Turnkey staffing

Cross border recruitment

Recruitment process

outsourcing

SERVICES PROVIDED BY THE COMPANY

CONTRACT SIGN UP

TRANSFER RECRUIT

RECRRUITMENT/SELECTION/CO SHARING

JOINING PROCESS

STRUCTURED TRAINING

MONTHLY INFORMATIONCOLLECTION

PAYROLL PROCESSING & STATUTORYADHERENCE

SALARY CREDITS/SETTLEMENTS

RESIGNATION/TERMINATION OF ASSOCIATE

Akzo-HR’s STAFFING CYCLE

Evolutionof the TMI-Akzo relationship

• The Morning India faced logistical issues due to increasing number of sales representatives.

• The relationship evolved in 2008 when the need to tackle these issues emerged.

SERVICES OUTSOURCED BY TMI:

COMPENSATION MANAGEMENT

PROVIDENT FUND MANAGEMENT

TARGET SETTING AND MANAGEMENT

• Akzo-HR provides TMI an adequate number of sales reps to suffice their needs.•In return they charge a fixed amount plus a variable component based on sales.•As a result, focus of the company can easily shifted to core operations and not handling the sale representatives.•The deal costs 35 percent extra to what it costed TMI, if they handles the sameon theor own. However, in long run it will become profitablefor TMI.•TMI pays extra because it is ableto reduce the burden of managing sales reps and avoiding legal work.•TMI montitors productivity on a monthly basis and provides data to Akzo.•Akzo the pays accordingly. The sales force has a fixed and a variable pay component.•Most of the employees achive their target as their compensation is based upon the same.•And when the target is not met, TMI removes that representative.

• TMI has a renewable annual contract with Akzo-HR for assistance in selection,induction, and payroll mnagement.

• Akzo-HR maintains an employee database and use thesame to fulfill requests made by their clients bt mapping the employees from this pool.

• The recruitment is done by TMI, but the employees are on a payroll by Akzo-HR.

• As an incentive, TMI absorbs Akzo-HR employees as permanent TMI employees when there are openings.

AREA SALES MANAGER TMI sales head Akzo-HR Akzo-HR staff