Raet has recently announced that Jumbo Supermarkets is going to outsource its Human Resource (HR) and payroll processing subject to certain conditions. Outsourcing is part of the wide strategic plan of Jumbo to restructure the company and to focus more on its core business. Its retail accounting divisions has been sold to BDO and B.SIS was sold to Simac.
Jumbo has not disclosed any financial terms of the agreement but it said that employees from both divisions will be transferring to Raet. Raet is better known as a provider of cloud-based HR and Payroll software and the agreement perfectly matches with Raet’s strategies as provider of HR solutions. According to Ton van Veen, CFO of Jumbo Supermarkets, Raet was selected as service provider because it is a reliable partner and a leading player in the Human Resources market. Employees will be able to keep their jobs and continue working with Raet.
Jumbo cannot be considered as a small company. At present, it has 580 shops including 3 Food Markets. There are also 250 pickup points where customers can pick the purchases they made through the online website. The supermarket chain also provides delivery of purchases to its customer’s home. As a result, Jumbo was honoured as being the best supermarket in Netherlands for the 16th time.
In January 2016, Jumbo announced the restructuring of its headquarters staff because of they wanted to reduce their operational costs. Restructuring was the result of a rapid expansion following other acquisitions like La Pace chain of restaurants it acquired in January of this year. When HR functions are outsourced to Raet, Jumbo will benefit from cloud-based HR and payroll software. On the part of Raet, once it becomes successful in delivering self-service and talent management, it will enhance its credibility. If all the relevant hurdles are overcome by Raet and Jumbo, it will be an interesting story to follow.
The best way to simplify and amplify payroll management is through payroll outsourcing service. Instead of the cumbersome process of payroll calculation, payroll processing can be executed in a systematic and orderly way. The payroll system is compatible with external accounting systems and compliant with government standards.