Key Takeaway
These five case studies demonstrate how businesses across industries — from European tech firms to Indian manufacturing companies — reduced HR costs by 30–45%, achieved 100% statutory compliance, and scaled their workforce 3x faster by partnering with a specialised HR outsourcing provider. Each case study includes specific challenges, solutions implemented, and measurable results.
Why Case Studies Matter in HR Outsourcing
Choosing an HR outsourcing partner in India is a significant business decision. Generic marketing claims about cost savings and efficiency rarely address the specific challenges companies face — multi-state compliance complexity, PE risk for foreign companies, payroll errors during rapid scaling, or the hidden costs of in-house HR. These case studies from TMS client engagements illustrate real-world outcomes across different industries, company sizes, and service models.
Case Study 1: European SaaS Company — EOR for India Market Entry
Industry: Enterprise SaaS | HQ: Berlin, Germany | India Team Size: 12 employees | Service: Employer of Record (EOR)
Challenge
A Berlin-based SaaS company wanted to hire a product engineering team in Bangalore to take advantage of India’s strong talent pool and favourable time zone overlap with European clients. They evaluated setting up a subsidiary, which would have taken 4–6 months and cost approximately EUR 25,000 in legal and registration fees. Their CTO needed the team operational within 6 weeks to meet product roadmap commitments.
Solution
TMS deployed its EOR service with the following approach:
- Week 1: Service agreement signed, compensation benchmarking for Bangalore tech market completed
- Week 2: Employment contracts drafted, PF and ESIC registration initiated for all 12 employees
- Week 3: Employees onboarded with India-compliant offer letters, IT asset coordination with client’s Berlin IT team
- Week 4: First payroll cycle processed, statutory deposits confirmed, monthly reporting dashboard activated
Results
| Metric | Without EOR (Entity Setup) | With TMS EOR |
|---|---|---|
| Time to first hire | 5–6 months | 23 days |
| Setup cost | ~EUR 25,000 | Zero upfront cost |
| Monthly compliance burden | In-house team needed | Fully managed by TMS |
| PE risk | Subsidiary creates PE | Minimised through EOR structure |
Case Study 2: Indian Manufacturing Firm — Payroll Outsourcing Across 8 States
Industry: Auto Components Manufacturing | HQ: Pune, Maharashtra | Employee Count: 1,200+ across 8 states | Service: Payroll Outsourcing
Challenge
The company operated manufacturing plants in Maharashtra, Tamil Nadu, Karnataka, Gujarat, Haryana, Rajasthan, Uttarakhand, and Himachal Pradesh. Their in-house payroll team of 6 people struggled with state-specific Professional Tax slabs, varying LWF contribution schedules, and different Shops & Establishments Act requirements. They faced 3 compliance notices in 18 months due to late PF filings and incorrect PT deductions.
Solution
- Migrated payroll for all 1,200+ employees to TMS within 45 days
- Configured state-specific compliance rules for all 8 states in the payroll system
- Automated PF (12% employer + 12% employee), ESIC (3.25% + 0.75%), and PT calculations
- Set up monthly compliance calendar with automated filing reminders and audit trails
- Provided dedicated compliance manager for the account
Results
| Metric | Before TMS | After TMS |
|---|---|---|
| Compliance notices | 3 in 18 months | Zero in 24 months |
| Payroll processing time | 8–10 days/month | 3 days/month |
| Payroll errors | 15–20/month | Less than 2/month |
| Annual HR cost savings | — | Approximately 35% |
Case Study 3: IT Services Company — Contract Staffing for Project Delivery
Industry: IT Services & Consulting | HQ: Hyderabad, Telangana | Contract Staff Deployed: 85 engineers | Service: Contract Staffing
Challenge
The company won a large enterprise migration project requiring 85 additional engineers with specific skills (cloud infrastructure, data migration, DevOps) for a 9-month engagement. Direct hiring would take 3–4 months and create long-term employment obligations beyond the project duration. Their existing vendor provided inconsistent quality and delayed onboarding.
Solution
- TMS sourced and screened 120+ candidates within 3 weeks, deploying 85 qualified engineers
- All contract employees onboarded on TMS payroll with full PF, ESIC, and PT compliance
- Monthly performance reviews coordinated between TMS account manager and client project leads
- Managed complete exit process at project completion — full and final settlement, experience letters, and PF transfer assistance
Results
| Metric | Result |
|---|---|
| Deployment speed | 85 engineers in 21 days |
| Candidate quality (client-rated) | 92% acceptance rate |
| Attrition during project | Under 5% (industry avg: 15–20%) |
| Cost savings vs direct hiring | Approximately 40% (no long-term obligations) |
Case Study 4: US Fintech Startup — Statutory Compliance for GCC Setup
Industry: Fintech | HQ: San Francisco, USA | India Team: 35 employees (Mumbai GCC) | Service: Statutory Compliance + Payroll
Challenge
The company set up a Global Capability Centre (GCC) in Mumbai with 35 employees. Their US-based HR team had no experience with Indian labour laws — PF contribution rates, ESIC eligibility thresholds, Professional Tax slabs for Maharashtra, gratuity provisions, and the Shops & Establishments Act registration requirements. They received a compliance show-cause notice from EPFO within 4 months of starting operations due to incorrect PF contributions.
Solution
- TMS conducted a full compliance audit of the GCC’s first 4 months of operations
- Identified and corrected PF contribution errors, filed revised returns with EPFO
- Took over statutory compliance management — monthly PF/ESIC filings, quarterly PT returns, annual LWF contributions
- Set up integrated payroll processing with compliance-first approach
- Provided quarterly compliance health reports to the US leadership team
Results
| Metric | Before TMS | After TMS |
|---|---|---|
| Compliance status | Show-cause notice received | 100% compliant for 18+ months |
| Monthly compliance effort (US HR) | 40+ hours/month | 2 hours/month (reviewing TMS reports) |
| Penalty exposure | INR 3.2 lakh (potential) | Zero |
Case Study 5: E-commerce Company — NAPS Apprenticeship Programme
Industry: E-commerce & Logistics | HQ: Gurugram, Haryana | Apprentices Enrolled: 150 | Service: NAPS Third-Party Aggregator
Challenge
The company needed to onboard 150 warehouse and logistics associates across 5 fulfilment centres. Direct hiring costs were high, attrition in warehouse roles exceeded 30% annually, and the company was not meeting the 2.5% apprenticeship obligation under the Apprentices Act, 1961. They had no internal expertise to manage NAPS registration, stipend disbursement, or apprenticeship contracts.
Solution
- TMS acted as the authorised Third-Party Aggregator (TPA) under NAPS
- Registered the company on the NAPS portal, created apprenticeship contracts for 150 positions
- Handled monthly stipend processing with government reimbursement claims (INR 1,500/apprentice/month)
- Managed on-the-job training documentation and progress tracking
- Coordinated with RDAT (Regional Directorate of Apprenticeship Training) for all regulatory requirements
Results
| Metric | Result |
|---|---|
| Government stipend reimbursement received | INR 27 lakh over 12 months |
| Apprenticeship Act compliance | 100% — 2.5% obligation met |
| Apprentice-to-employee conversion | 62% (93 of 150 apprentices offered permanent roles) |
| Cost per hire (vs direct recruitment) | 45% lower |
Key Patterns Across All Case Studies
| Pattern | Insight |
|---|---|
| Speed | All engagements achieved operational status within 3–4 weeks |
| Compliance | 100% statutory compliance maintained across all clients post-engagement |
| Cost reduction | 30–45% savings compared to in-house management or direct hiring |
| Risk elimination | Zero compliance notices or penalties after TMS engagement |
| Multi-state capability | Operations supported across 8+ Indian states simultaneously |
Frequently Asked Questions
Are these real case studies from TMS clients?
These case studies are based on real TMS client engagements. Company names and some identifying details have been generalised to protect client confidentiality. The metrics and outcomes represent actual results achieved through TMS services.
What industries does TMS serve?
TMS provides HR outsourcing, contract staffing, EOR, and compliance services across 15+ industries including IT, manufacturing, fintech, e-commerce, logistics, healthcare, BFSI, automotive, and professional services. Each industry has specific compliance requirements that TMS manages through dedicated industry expertise.
How quickly can TMS start managing my HR or payroll?
For EOR and contract staffing engagements, TMS can onboard employees within 2–4 weeks. Payroll outsourcing transitions typically take 30–45 days depending on employee count and number of operating states. Compliance-only engagements can begin within 2 weeks after audit completion.
Can TMS handle multi-state compliance across all Indian states?
Yes. TMS has active registrations and compliance capability in all 28 Indian states and 8 union territories. This includes state-specific Professional Tax, LWF, Shops & Establishments Act, and Contract Labour Act compliance. Contact TMS to discuss your multi-state requirements.
Last Updated: March 2026
