Interview with Sven Feldheim, Managing Director of ICS adminservice: The role of outsourcing in the changing landscape of HR departments

Human Resources

Mr. Feldheim, ICS adminservice has been a reliable partner for companies outsourcing their HR and payroll processes for years. Recently, we have been experiencing some changes in the industry. What do you see as the biggest current challenges for HR departments, and how does ICS adminservice support them?

Sven Feldheim: One of the biggest challenges for many companies is the increasing complexity of legal requirements in the area of personnel and payroll accounting. There are constantly new regulations that need to be implemented promptly, and many companies are facing a resource and competence gap. Especially in medium-sized companies, there is often a lack of internal capacity to implement these changes efficiently without affecting day-to-day business. This is where we come in: Our specialists are always up to date with the latest legal requirements and relieve companies by reliably taking over these processes.

That sounds like ICS adminservice is particularly strong at addressing specific customer needs. How exactly do you ensure that outsourcing runs as seamlessly as possible?

Sven Feldheim: A smooth transition is crucial for us, and that’s why we rely on very individual support. Every company has its own requirements, especially for sensitive processes such as payroll accounting. We always start with a detailed analysis of the current situation of the existing structures and identify together with the customer which processes can and should be outsourced. We look at what requirements the company has and how we can tailor our services to them. We then develop an individual plan that regulates both the migration process and the ongoing cooperation. It is important to us that the customer has as little effort as possible and that their ongoing processes are not interrupted. It is also important to us that the customer always feels integrated. We rely on regular feedback loops and close coordination to ensure that we provide the best possible support not only technically but also in terms of content. Our experience shows that this transparent communication is crucial to building trust in the outsourcing process.

It sounds like direct contact is an essential part of your service. How do your customers react to the transition to outsourcing? Are there often reservations?

Sven Feldheim: Yes. Concerns are normal, especially with sensitive processes such as payroll accounting. Many companies fear the loss of control or have security concerns about the handling of confidential data. We take these concerns seriously, and that’s why we attach great importance to security and confidentiality from the outset. Data security is our top priority. We use state-of-the-art encryption technologies and certified data centers to optimally protect our customers’ data. At the same time, we work closely with our customers to individually address their security requirements. A central aspect is also compliance, i.e. compliance with all legal requirements, in particular the EU General Data Protection Regulation (GDPR). We conduct regular audits and training courses to ensure that our processes always meet the highest standards.

Another important point is that we give customers the opportunity to actively participate in the transition process. Many customers therefore experience the outsourcing process less as a loss of control and more as a gain in flexibility and security.

In today’s fast-paced business world, flexibility is becoming increasingly important. How do the services of ICS adminservice adapt to the individual requirements of companies?

Sven Feldheim: Flexibility is one of our core values. Companies today face the challenge that their requirements can change quickly, whether due to growth, market changes or new legal frameworks. Our services are designed to adapt to these changes. We offer solutions that are scalable and enable companies to adapt their HR and payroll processes as needed.

For example, if a company expands and new locations are added, we support the integration of new branches into the existing HR and payroll processes. We also provide advice and support during the switch to new software solutions or the adaptation to changed legal frameworks, ensuring that the transition runs smoothly.

You raise an interesting point: Many companies are in a constant state of change. How do you prepare for the possibility that your customers’ demands may continue to change in the future?

Sven Feldheim: In fact, we too must continuously develop. The demands on service providers in the BPO sector are constantly growing, and we are doing everything we can to offer our customers the best possible solutions in the long term. An important aspect here is the training of our employees. We continuously invest in the training of our teams to ensure that they are always up to date with the latest developments and legal requirements.

Another important point is the technological development. While we do not currently use AI-based solutions, we see the trend in this direction and are closely monitoring developments. At the moment, we rely on established accounting systems such as SAP, P&I Loga and BRZ-HR to ensure maximum security and efficiency. This enables us to serve both customers who have their own system and those who want to take over the entire solution from us.

Speaking of technological development: Many companies are using automation solutions such as Robotic Process Automation (RPA). How is ICS adminservice positioned in this area?

Sven Feldheim: For us, individual customer support is our top priority, and we are not currently using RPA solutions. It is important to us that every process and every service is tailor-made and precisely tailored to the needs of the respective customers. We believe that the human factor plays an important role, especially in the area of payroll accounting and HR services. Our customers appreciate having a direct contact person who understands their individual requirements and implements them with expertise. The processing is carried out via standardized processes based on established and modern systems. These offer a high degree of automation and efficiency. Rather, they benefit from our many years of experience and the reliability of these systems. This structure enables us to guarantee very precise and punctual processing. We are observing the RPA development and understand that there is potential here.

That sounds like a strong focus on the people behind the processes. If you take a look into the future: What role will outsourcing play in the HR and payroll sector in the next few years?

Sven Feldheim: I am convinced that outsourcing will become even more important in the coming years. The administrative burden in HR departments is constantly increasing, whether due to legal changes or the increasing complexity of personnel management. Companies will need to focus more on their strategic goals, and outsourcing administrative tasks will help them create this freedom. The demand for specialized service providers will continue to rise because companies are not only looking for cost savings, but also for quality improvements and process reliability. We at ICS adminservice are prepared to actively shape this change and continue to offer our customers the best possible support in the future.

Mr. Feldheim, thank you very much for the interesting interview and the insights into the future of HR and payroll outsourcing.

Sven Feldheim: It was a pleasure. Thank you very much!