For several reasons, including cost savings and the freeing of human resource professionals to focus on more strategic efforts, HR functions are among the services organizations are most likely to choose to outsource. As a result, HR professionals are being asked to identify outsourcing solutions for businesses and guide organizations through vendor selection and management of the outsourcing relationship. We serve a roadmap for HR professionals involved in the HR outsourcing process. We explain the types of arrangements prevalent in HR outsourcing, states the business case for HR outsourcing and discusses HR’s role in the process. Then examines various HR functions suitable for outsourcing: compensation, workforce administration, external recruitment, relocation, employee rewards and recognition, and benefits administration. We outline special considerations for developing an outsourcing agreement and transitioning from in-house to third party administration of select HR functions. It concludes with the discussion of successful vendor relationship management.