Put in the fewest terms, the value of HR software and the automation it provides for an organization is found in its ability to drive down costs, maximize productivity, and optimize the effectiveness of employees, but there is much more to it than that. Automating human resource management in your organization holds a variety of benefits you may not be considering, such as:
Increased payroll efficiencies
It is common to see businesses who manage payroll manually spend up to five hours or more running payroll and five hours of your payroll manager’s time each pay period really adds up to a significant direct expense. Many HR systems offer the ability to automate the time and attendance system and provide a more accurate payroll processing in a fraction of the time. Those hours that used to be spent processing payroll and the related wages can then be reallocated elsewhere.
Improved onboarding processes
The onboarding process for new employees is their very first experience with your organization, so making it smooth is important to not only reinforce their decision to take a job with you, but also to retain them and get them working faster. According to “Aberdeen’s Mobile Talent Acquisition: Adjusting to the Times” two of the top five pressures facing HR departments during the onboarding process relate to efficiency. Too much time is being wasted on paperwork and manual processes during onboarding which slows down the time to value on your new hire and takes HR employees away from other critical tasks. Further, if you’re using mostly paper processes at this point, you run a very high risk of misplacing documents, making mistakes, and there could be privacy issues and/or compliance problems.
Electronic documents and automated workflow granted to organizations via HR software gives HR managers real-time insight into what steps of the onboarding process have been completed, what needs to be done next, and by whom. This can speed up the process significantly to get your employees up and working as soon as possible and increase the productivity and focus of HR employs on other tasks. Additionally, you can ensure data is protected, correct, and easy to share across the organization and outside of your walls to benefit vendors or government regulatory bodies.
As a result of HR automation software, companies can reduce the costs of HR administration processes by an average of 60% (The Hunter Group). This cost savings comes from an organizations ability to quickly and effectively make decisions based on data in their HR system, increase productivity, save money on office supplies, etc. Further, you can actually track the areas of your business costing you the most and then have access to data to make informed decisions to curb those expenses.
Ready to implement your first human resource management system or considering making changes to your current one? There are a ton of optoins out there, but not every one will be a good fit for your organization. We’ve put together a guide to selecting and implementing the HR software that will best suit your needs. Click below to get your copy.