Case Study: Leading Energy Utility Company Streamlines HR Services with PA Consulting

Developing a strategy for outsourcing HR services

Leading Energy Utility Company engaged PA Consulting to review the performance, cost, and service model of its HR function. The challenge was to determine the best future delivery approach for HR services, including what to outsource, whether to keep activities in-house or move them to external providers, and whether a single large provider or multiple niche suppliers would be the best fit.

PA Consulting assessed the cost-benefit of in-house versus outsourced models, along with the technology, service assumptions, risks, and alignment to the company’s future business strategy. PA Consulting recommended outsourcing a defined package of HR services and supported the procurement process, resulting in a 7+ year contract covering workforce administration, payroll, employee services, reward management, performance management, and succession planning.