Based on a report that was provided by Enterprise Service Venture Capital for 2016, the investors of Venture Capital are giving more focus on the human resources department out of all the other sectors in the field of enterprise service for the year 2016. The Venture capitalists have already put in their money to about 436 investments available on the enterprise services and out of all this, 72 are coming from the human resources department.
The report was published ITjuzi which is a company specializing in providing data regarding technology investment via its own website. The company announced it during the summit that was held by Venture Capital investment last December 21 during an enterprise service.
According to the same report, there are indications that the human resources department have increased by 50 per cent on its year-on-year with a market value of 3.6 billion yuan. The report also stated that around 24 per cent of new companies that are related in human resources have received funding from the Venture Capital investments last year. This figure is higher compared to the overall funding received by the enterprise service sector which only totals to 16 per cent.
There is now an increasing demand for Saas or software as a service because there are many new businesses that are looking for a flat organizational structure where they can base their business. With the help of SaaS, the company will have access to a third party application where they can store all data and the same system can be accessed by the customers online.
According to the founder of Hunteron which is a job search company, Xin Xiaode, there is now a very high demand when it comes to the human resources department including HR outsourcing service. This is true whether the company is still offering or after they have offered. The problem is that the service supply is not able to cater the need of the sector. There is no denying that the business will garner a profit no matter what so it should not be the major priority of companies.