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Should HR Be Outsourced?

Companies can rapidly change team size based on a given event cycle, and human resources (HR) is a critical component to that process. The HR function may be hiring temp workers for a large expo while maintaining all necessary HR compliance, whether in a single jurisdiction or across multiple jurisdictions.

“At its core, HR exists to protect the business, support the people and make the organization actually work,” says Tara Furiani, CEO, Keynote Speaker, Author and Host at Not the HR Lady. “That includes hiring, onboarding, performance management, employee relations, compliance, compensation, benefits, training, culture, investigations, documentation and leadership support. Today’s HR function is not just administrative. It is operational and strategic. Recognizing HR’s strategic role can inspire business leaders and HR professionals to prioritize effective HR practices for long-term success.”

Therefore, HR faces significant pressure to remain agile, accurate, and cost-effective. Against this backdrop, many organizations in the exhibitions and events sector are evaluating whether to outsource HR functions to specialized firms or keep them in-house.

“Outsourcing HR means a company hires an outside firm, consultant, or provider to handle some or all HR responsibilities instead of building everything internally,” says Eric Kingsley, Partner, Kingsley Szamet Employment Lawyers. “That can include payroll, benefits administration, handbook creation, compliance support, recruiting, investigations, employee relations guidance, training, termination support, performance management processes, and, sometimes, a full-outsourced HR leader or a fractional CHRO. In some cases, it is transactional. In the best cases, it is strategic and long-term.”

For businesses facing changing labor needs, a third-party provider can provide access to existing infrastructure and compliance knowledge, as well as processes that help reduce administrative tasks. These can make HR outsourcing feel like a strategic opportunity that reassures industry managers about operational efficiency and risk mitigation.

According to Furiani, a 10-person company does not need the same HR structure as a 500-person company because industry-specific needs influence HR requirements. A creative agency does not have the same risk profile as a healthcare organization, a manufacturer, or a government-funded nonprofit. Highly regulated industries often require greater expertise and tighter compliance processes. Budgets matter, but so does the type of organization. Some smaller companies outsource because they cannot afford a full internal team. Some larger companies outsource specific functions because it is more efficient or specialized.

Outsourcing can be cost-effective, fast to implement, and useful, but external partners may lack insight into the company’s culture. Recognizing this helps HR managers feel more prepared to balance external support with internal understanding.

For an industry reliant on both relationships and brands, losing control over hiring practices and employee engagement can lead to a disconnect. External HR providers are often unfamiliar with the company’s culture, how the client expects to be served, or what is needed for live events—this may affect everything from the quality of booth staff to how quickly they can respond in a high-pressure on-site environment. Recognizing these risks can help industry managers to operate cautiously and make informed decisions.

In-house HR has the advantage of maintaining greater control over an organization’s events calendar. Additionally, HR departments tend to be more effective at creating a consistent, cohesive company culture, developing targeted training programs for employees, and maintaining relationships with a stable pool of suppliers. As a result, in-house HR also tends to be able to react to last-minute events, such as sudden staffing needs or schedule changes, far more readily than someone from an outside vendor can, ensuring smoother execution during tradeshows and conventions.

A hybrid HR model offers flexibility. It combines internal ownership with outside expertise, empowering companies to adapt their HR support as they expand. In-house HR models offer control. And outsourcing HR provides cost-effective options and outside expertise. The right question to ask is at what level of HR expertise and coverage the company needs.

Regardless of how HR functions are handled, whether they are outsourced or operated internally, a strategic and dedicated approach to HR is essential. Tradeshows and conventions are relying on people—skilled, qualified and flexible people who represent their brands on the floor and behind the scenes. Companies that view HR as part of their core operations, not just a back-office function, will be more successful at delivering seamless experiences, keeping their workforce safe, and remaining competitive in an industry that demands precision and performance.

This story originally appeared in the Q3 2026 issue of Exhibit City News, with the original magazine layout available here.

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