A company does not achieve overnight success; it takes a lot of hard-work and patience from each department to take it to its zenith. For a business to keep moving forward it is imperative that all its divisions work together. Irrespective of organization size (small, medium or a conglomerate), there is always this one department that bears the maximum amount of pressure: the Human Resources department. Being one of the most crucial assets of a business, it is of utmost importance to manage and utilize the available resources in the best possible manner. This is the reason organizations have resorted to the Human Resources Management Software or HR software for the smooth functioning of each aspect of the HR department.
Those days are gone when HR software was simply an online repository of employees' data, it now provides a plethora of services and benefits. The automated HR systems are packed with a bunch of features to administer various complex business processes such as Recruiting, Benefits administration, and Performance monitoring. This centralized system is put in place for business leaders to get insights about the company resources and frame strategic decisions to improve performance and efficiency of the organization.
Undoubtedly, an automated HR system offers a wide variety of business advantages if you go for the one that perfectly corresponds to your business needs. Below mentioned cornerstones, which are common in most of the HR software today, enable the businesses to solve various management problems in an efficient manner:
1. Employee Management
Employee database or employee management module is the core of any HR software. It reduces or eliminates the need for hard-copy documents and keeps all the employee related data or information in an organized way. Also, the entire employee database is stored either in a local or centralized server from where it can be easily accessed via the Internet.
2. Automated Payroll Management
With an electronic payroll system in place, HR departments can save the businesses from the hefty costs associated with outsourcing payroll division. This comprehensive feature enables companies to link the payroll data with employee information, which can further be utilized while making changes in payment or keeping track of employee working hours.
3. Attendance Management
This is yet another vital aspect of HR software that solves employee management issues on various levels. It is a sheer wastage of time and energy to manually track attendance of the employees, a slight error in the database can lead to information management ambiguity. Also, this will affect other modules including leave, payroll, and administration. However, every HR software today comes packed with a comprehensive attendance management module that helps the businesses to track accurate attendance of its employees without fail.
4. Employee Self-Service Portals
Self-service portals are a great way to bridge the communication gaps between the employees and their managers or HRBPs. It provides employees with an access and control to their information; they can edit the personal details, request time-offs, view scheduled information and communicate with fellow peers or HR professionals. As these portals are mobile-friendly, it offers great convenience to employees.
5. Recruiting & Onboarding Management
Both recruiting and onboarding are valuable parts of the HR department but these can be time-consuming too. With an innovative HR system in the organization, it gets easy to manage job postings on company websites or social media, filter the applicants by relevant skills and qualifications and also, transfer all the information of employee into the database once hiring is done.
6. Improve Performance Management Effectiveness
The automated HR systems allow the managers to get an employee's performance feedback from multiple sources thereby giving him/her an overall review. This information helps the managers in rating, giving feedbacks or advice to employees in addition to suggesting training sessions for improving their professional efficiency.
7. Benefits Administration
Investing in modern HR software that offers benefits administration can save cost and time of organizations. This element of HRMS allows the employee to understand enrollment and details of policies. Also, it reduces the chances of non-compliance violations that not just saves the penalty amount but maintains an organization's reputation.