Research amongst AIM
finance directors exploring their attitudes towards outsourcing has found that health and safety policy work and related tasks such as COSHH risk assessment or DGSA are most likely to be outsourced.
The research has highlighted that more than two-thirds of finance directors of AIM listed companies find complying with corporate regulations an increasing burden, particularly with development of their health and safety policy and related risk assessment tasks such as COSHH or fire.
The poll of 100 finance directors of AIM listed companies found that although only a minority currently outsource to health and safety consultants many more are considering outsourcing key corporate functions - and the health and safety policy function is at the top of the list. The research found that some 88% of AIM company finance directors would like to achieve best practice in health and safety and other corporate regulations, but 75% are concerned about the increasing amounts of time spent on these.Only one in ten outsource the management accounting function as most AIM listed companies are likely to have an in house finance function. However, over 50% do or would consider outsourcing health and safety risk management to safety consultants compared to 40% for company secretarial and 35% for HR.
The main reasons for outsourcing, cited by respondents, were that it frees up time to focus on core business, it’s cost effective and provides access to high quality personnel who may be competent in issues not core to the business such as COSHH risk assessment, Dangerous Goods Safety Advisor (DGSA) or CDM Coordination.
David Page, Chief Executive of Noble Corporate Management, commented, “Clearly companies must run their businesses in line with EU & UK regulatory rules and regulations. Directors of small to mid-sized businesses are considering outsourcing as a way of managing the very real risk of non compliance. This may be as a result of just not being aware of rules they need to follow or not having sufficient time and the right resources to comply with regulations without distracting from their core business efforts.”
“For example many companies are finding it an increasing burden to comply with the health and safety regulations and are facing an increase in employer’s liability insurance, a reflection of the increased risk of non compliance. One way of managing this risk and insuring that premium increases are minimised is to demonstrate to the insurers that you are complying with the regulations relevant to your business. It is not surprising therefore, that small and medium sized businesses welcome access to qualified professionals who can work with the company to ensure it is compliant. Outsourcing, when well managed, can free up directors’ time so they can focus on core business as well as giving them the confidence that they are complying with their legal and regulatory requirements. At Noble we ensure that we provide tailored solutions to assist companies comply with current health and safety regulations.”
Noble Group ("Noble") is an investment bank providing a unique range of professional services to fast growth small/mid cap companies and investment vehicles. The company has over 110 employees based in Edinburgh and London. www.noblegp.com
If you would like to discuss any of the above in more detail please contact us and one of our experienced safety consultants will visit your business to tell you more.
