Genesis Consolidated Services: People Business
Professional Services
Written by Liz Jones   
Wednesday, 31 October 2007
Genesis Consolidated Services: People Business - American Executive - RedCoat Publishing
Bob Burbidge explains how this New England-based PEO is delivering superior service to more than 300 clients.

When Bob Burbidge formed Burlington, Mass.-based Genesis Consolidated Services in 1991, the professional employer organization (PEO) concept was just beginning to bloom. As the former head of a contract engineering firm, Burbidge saw the benefits of the PEO model over the traditional staffing model and jumped on board.

Genesis Consolidated Services: People Business - American Executive - RedCoat Publishing
Bob Burbidge
“I did some investigating and found the PEO concept was very different from temporary staffing,” said Burbidge. He explained that temporary staffing firms recruit individuals and place them with a client company, whereas a PEO acts as the employer for an entire organization. “We began offering a wide array of HR services in addition to payroll services.” Burbidge added that PEOs typically serve small- to mid-sized businesses while temporary staffing firms generally deal with large corporations.


By 1992, workers’ compensation reform brought new regulations that affected the PEO industry, creating opportunities for the handful of PEOs practicing in New England at the time. Concurrently, one of the largest PEOs in the country left Massachusetts, leaving Genesis an open market.
Genesis began developing relationships with a number of well-known regional health insurance providers, including Blue Cross Blue Shield, Tufts, Harvard Pilgrim, and Aetna, which ignited its growth. By 1996, the company finished third on Inc’s list of the 500 fastest growing companies in America, landing it in several national and international publications. Today, Genesis is the largest privately owned PEO headquartered in New England, and that is not expected to change any time soon.

Comforting clients
Since its inception, Genesis has been an active member of NAPEO (National Association of Professional Employer Organizations). In fact, Burbidge served as a chapter president for several years, eventually becoming national president in 2003. Located in Alexandria, Va., NAPEO is what Burbidge calls “the voice of the industry,” with more than 400 PEO member companies. “NAPEO provides its members ample services and takes the lead in legislative and regulatory initiatives in the state and federal arenas.”

Just as customers feel comfortable doing business with banks that are FDIC insured, small businesses rest assured knowing their PEO is certified by the Employer Services Assurance Corporation (ESAC). “In our business, a lot of money changes hands—PEOs collect money from clients and pay employees, taxes, and health insurance benefits. The ESAC has taken a watchdog approach to ensure that money is handled appropriately,” said Burbidge, adding that Genesis has achieved and maintained ESAC certification since 1996.

Genesis has 40 employees working at the Burlington headquarters, but it issues paychecks every week to more than 3,500 individuals at companies across 30 states. Although the majority of Genesis’ customers are headquartered in New England (mostly Massachusetts), many have branched out into nationwide operations. Burbidge explained that every state places different restrictions on PEOs, and for that reason, Genesis has dedicated an entire department to licensing and insurance requirements. “No two states are identical,” he laughed.

Beyond payroll
As a general employer, Genesis is not only responsible for payroll, but also for taxes, garnishments, and other payment issues. “Our clients have peace of mind knowing they have a partner in the game—someone to take on some of the risk. Sharing responsibility creates a system of checks and balances that a typical employer wouldn’t have,” said Burbidge.

With respect to workers’ compensation and risk management, Genesis has an advantage over its competition thanks to its wide array of clients—from electrical contractors and R&D firms to law firms and retail establishments. Burbidge explained that some PEOs traditionally only work in the white collar market, and although they are required to participate in workers’ compensation programs, their loss control offerings are limited.

“We have loss control engineers who evaluate our clients’ risk and set up programs that help them create a safer working environment. A safer environment means less absenteeism and more productivity.”

With some of the largest healthcare providers in New England on board, a relationship with Unum for long- and short-term disability benefits, and a 401(k) program that is hard to beat, Genesis offers its clients more benefit programs than would be available otherwise. And because Genesis is operating under economies of scale, it is able to offer such programs at competitive prices. Burbidge also mentioned a Red Sox ticket lottery that is only available to its clients’ employees.

Burbidge spends a significant amount of time on Capitol Hill and Beacon Hill in Boston advising legislators on workers’ compensation and health insurance issues that affect small businesses. In fact, he and others in the industry are currently working on a Massachusetts bill that would require licensure or registration for all PEOs in the state.

High-touch service
Burbidge feels that HR is Genesis’ selling point. The company’s HR business partners travel to client locations regularly to speak with clients and their employees face to face. In fact, many have an office at each client location and have open hours for employees who need assistance. They also provide a wide variety of HR training courses.
For that reason, Burbidge has no plans of taking Genesis outside of New England. “We are not going to solicit a company in Pennsylvania, for instance, because I can’t send someone there on a regular basis,” he said.

“Some of the national firms are too large to offer personalized service. As a client, if you have an issue, you might have to call someone in another time zone or, with offshoring becoming more popular, perhaps another country. And with all the layers to peel back, you will probably never get to speak to the president. At Genesis, I will always answer the phone.”

Genesis is taking its high-touch service to the next level with a re-branding initiative and the recent launch of its new Web site. Although the company’s previous tag line, bringing “peace of mind for your growing business” still applies, the new image brings partnership into the equation. “I told my sales representatives that when they go to a networking event and start talking about PEOs, they can put people to sleep real fast. But if we say we bring peace of mind to small businesses through partnership, that usually results in a follow-up call.”

 
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