Companies looking to narrow their emphasis on core capabilities and achieve significant cost savings have embraced outsourcing as a strategic strategy throughout the transitional phase of the corporate environment. From the HR standpoint, the tasks are getting more difficult and time-consuming. If companies want to succeed and satisfy the demands of national and worldwide competitiveness, they must properly organize and deploy their workforces. The difficulty lies in maintaining high levels of dedication and productivity in the face of corporate, regulatory, and technical settings that are undergoing fast change, while also providing for workers’ demands for rewarding, innovative, and encouraging work environments. Additionally, both public and private sector enterprises have accelerated the adoption of e-business and the electronic mediation of consumer interactions (and, more lately, employee relationships). The issues of work structure and location, knowledge management, and skills obsolescence are being brought up. Because of these and other changes in company strategy, employers are expecting more from their staff in terms of performance and productivity. As a result, the value of HR management to the organization is being highlighted. This paper attempts to delve deeply into the area of HR Outsourcing, including its conceptual underpinnings, the wide range of HR outsourced services, its role and relevance as a strategic business tool for cost reduction, enhancing employee effectiveness,