What is an Administrative Services Organization (ASO)?

What is an Administrative Services Organization (ASO)?

by Steven sieja
Flex HR Is Your Administrative Services Organization (ASO). Investing in human resources protects the most valuable asset of a business: your people. It’s crucial to ensure your HR is in good hands.

When you use Flex HR as your back office HR support, you can rest assured that your HR is being watched over properly on a daily basis for compliance as well as best practices. Within human resources outsourcing, there are professional employer organizations (PEOs) and administrative services organizations (ASOs). Flex HR is considered an ASO, which provides more flexibility and better service. Relying on an Administrative Services Organization (ASO) allows your business to achieve the benefits of HR outsourcing but with the flexibility of establishing you as the owner of your business, not a PEO.

What is an ASO?

An ASO delivers business leaders significant flexibility and cost savings. Flex HR is known as one of the top ASOs in the United States. We provide companies with more choices for HR services. Additionally, Flex HR supplies Human Resources support and administration designed to meet your dynamic needs. Our widespread offering includes expert strategic consulting and planning, HR back office administration, regulatory complianceorganizational developmentbenefit solutionsmergersrecruitingtrainingpayroll,
employee websitesethics hotline and administration, risk management, and human capital consulting and outsourcing, to name a few.

Streamlining HR for your Business

Managing your business processes is a complex task and few organizations have the resources to handle these issues on their own. By trusting Flex HR as your ASO you can focus on your core business responsibilities, to therefore free up your time, resources, and establish needed confidentiality around salaries and any employee concerns. You maintain the employer of record and choose the HR functions you wish to retain or outsource. Our mission and passion are to strengthen and streamline your organization’s HR functions with results-oriented service and innovative solutions. Through our extensive HR knowledge and proficiency, we minimize risk, using customized and proven approaches so that each business may successfully evolve.

ASO HR Administrative Services Organization
ASO Administrative Services Organization Cost Savings

Does my company need an ASO?

The answer is most small and medium sized companies could benefit from retaining an ASO. It has become the norm that the majority of businesses are turning to Human Resources Outsourcing (HRO) companies to manage their HR functions. The Society for Human Resource Management (SHRM) surveyed clients and results indicate that by engaging an HRO firm, companies save money, can focus more on strategy and improve their compliance with federal and state regulations. With an ASO your business receives a complementary extension of human resources including strategic HR planning, better benefits coverage for employees, minimized compliance risk, and inclusive HR administration. Your business is unique, and your HR needs are too.

What is the difference between an ASO and a PEO?

Professional Employer Organizations (PEO) are “co-employment” arrangements, thus when you decide to work with a PEO you simply enter into a co-employment agreement. In some cases, you hire a company’s employees to work for your business by leasing them back, often referred to as employee leasing. In other terms, the PEO becomes the employer of record (EOR) for tax purposes, running payroll under the PEO’s tax ID numbers. Flex HR is not a PEO because we believe that you the employer should remain the employer of record for your firm. Flex HR professionals typically take over when a PEO is not supporting that company to its maximum means.

PEOs only provide a general range of insurance benefit plans that are an all-purpose fit, dividing up the elements to all their customers equally. Due to the shared employer risk, client organizations lose control over HR policies and benefits and aren’t able to establish their own health care employee history over time, which can be damaging down the road.

Serving almost every industry, Flex HR covers all 50 states as well as Puerto Rico, the Virgin Islands, and Europe supporting U.S. subsidiaries of foreign owned companies.

What are the benefits of an ASO?

  • Trained and knowledgeable HR professional support
  • Current and up to date on the ever-changing laws across the nation
  • Predictable and scalable HR process
  • HR Best Practices that are already developed
  • Back-up at all support levels so you do not need to overstaff for absences, vacations etc.
  • Single source for HR and payroll functions
  • Confidentiality within your organization for salary information
  • Live U.S. call center for employee support
  • Customized employee HR intranet portal