For hire: Growing corporate profit will lead to a boost in outsourcing HR to industry operators

The Human Resources and Benefits Administration industry provides a wide range of everyday office administrative services to businesses in the United States. Over the past five years, the industry has performed well as rebounding business sentiment, rising consumer spending and improvement in overall economic conditions encouraged companies to outsource administrative duties. Additionally, the rising number of businesses has increased the potential number of customers for operators. The industry is expected to continue performing well over the next five years to 2022. However, as growth for corporate profit and the number of businesses slows after postrecessionary booms, this will lead to slightly lower industry growth...read more.

Industry Statistics & Market Size
Revenue
$54bn
Annual Growth 12-17
1.0%
Forecast Growth 17-22
Profit
Employment
704,809
Businesses
281,160
Market Share of Companies
There are no companies with a dominant market share in this industry
What Our Customers Say

Industry Threats & Opportunities

  • Larger businesses are expected to earn higher profit, boosting demand
  • A steady trend among larger businesses is to outsource administrative services
  • Outsourcing is expected to continue moving from basic services to higher value-added offerings
  • Industry Report - Industry Analysis Chapter

    The Human Resources (HR) and Benefits Administration industry has performed well over the past five years as rising business sentiment, renewed hiring and rising corporate profit boosted demand for outsourced office administration services. Overall, the industry is expected to grow at an annualized rate of 1.0% over the five years to 2017. As a result of strong demand from small to midsize businesses and rising corporate profit, industry revenue is expected to increase 2.3% in 2017 to reach $53.7 billion.Increasing businessesIndustry operators provide HR, benefits, regulatory compliance and other administrative services to businesses, nonprofit organizations, government entities and individuals. Businesses generate 78.0% o...purchase to read more.

    Additional Insights for the Human Resources & Benefits Administration Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Human Resources & Benefits Administration Industry are

  • Access to quality personnel management
  • Ability to quickly adopt new technology
  • Accessibility to users
  • IBISWorld analysts also discuss how external factors such as Corporate profit and Demand from professional, scientific and technical services in the Human Resources & Benefits Administration industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What is the Human Resources & Benefits Administration Industry?

    This industry provides a range of day-to-day office administrative services to clients, such as assistance with financial planning, billing and record keeping, personnel, physical distribution and logistics. This industry also furnishes general or specialized management services on a day-to-day basis and on a contracted or fee-for-services basis. These businesses do not provide any actual operating staff to clients to carry out management or operational activities.

    Industry Products
  • Human resources administration
  • Employee benefits administration
  • Regulatory compliance administration
  • Industry Activities
  • Administrative and business management services
  • Executive management services
  • Hotel and motel management services
  • Managing offices of dentists
  • Managing offices of physicians and surgeons
  • Managing offices of other professionals
  • Human resource services
  • Business process outsourcing
  • Regulatory compliance services
  • Health insurance and workers' compensation claims administration
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Corporate profit
  • Demand from professional, scientific and technical services
  • National unemployment rate
  • Number of businesses

  • Current Performance
  • Increasing businesses
  • Growth opportunities
  • Outsourcing becomes mainstream
  • Industry structure
  • Chart: Revenue Growth

  • Industry Outlook
  • Outsourcing on the rise
  • Industry expansion
  • Table: Human Resources & Benefits Administration Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Human Resources & Benefits Administration Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Construction
  • Manufacturing
  • Finance and Insurance
  • Professional, Scientific and Technical Services

  • Key Selling Industries
  • Commercial Leasing
  • Computer Stores
  • Data Processing & Hosting Services
  • Office Supply Stores
  • Wired Telecommunications Carriers

  • Products & Services
  • Human resources administration
  • Employee benefits administration
  • Regulatory compliance administration
  • Other
  • Chart: Human Resources & Benefits Administration Industry Products and Services Segmentation

  • Demand Determinants
  • Relative cost to downstream demand
  • Employment and small business growth
  • Changes in legislative policy

  • Major Markets
  • Businesses with less than 20 employees
  • Businesses with between 20 and 99 employees
  • Businesses with 100 employees or more
  • Individuals
  • Nonprofit organizations
  • Federal government
  • State and local government
  • Chart: Major Market Segmentation for the Human Resources & Benefits Administration Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Wages
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Human Resources & Benefits Administration

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Human Resources & Benefits Administration Industry

  • Industry Globalization
    There are no major players in this industry. This report includes analysis of other companies.
    Capital Intensity
  • Chart: Level of Capital Intensity for the Human Resources & Benefits Administration Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Human Resources & Benefits Administration Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Wages (2008-2022)
  • Corporate profit (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Benefits Administration
  • The creation and management of employee benefits.
  • Hrm
  • An abbreviation for the set of services known as human resource management.
  • Nonemployer
  • A small enterprise that does not employ any personnel (i.e. a self-employed company owner).
  • Third-Party Administrator
  • A company that processes certain aspects of employee benefit plans for another party.
  • Why buy this report?

    The Human Resources & Benefits Administration industry market report contains data and analysis of the most influential current and future trends shaping the industry. IBISWorld’s in-depth industry market research is presented in a logical, user-friendly format, and provides growth and profit forecasts for a five-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Human Resources & Benefits Administration:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Human Resources & Benefits Administration market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Human Resources & Benefits Administration, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.

    clear