Human Resource Management Systems: Simplifying the HR Work

You have probably heard a lot about how human resource management systems (HRMS) simplify routine HR work. The question is, have you invested in such HR technology? If not, you’re missing out on a lot of benefits.

Think about how your human resources team can reduce administrative time, lower costs, enhance employee collaboration, improve decision making, and ensure compliance. 

A good HRMS lets you reap all these things at once—all thanks to its functional elements! Here are four crucial features of an HRM system: 

1.Employee Database

The HR department is divided into units, such as hiring and recruitment, training and development, compensation and benefits, health and safety, and employee and labour relations. While these units perform different tasks, they have one thing in common: documentation.

Record keeping and documentation legitimise work activities, streamline work processes, and help in planning future actions for continuous business improvement. An effective records management also optimises workflows, boosts productivity, and encourages knowledge sharing.

Below are a few documents that human resource units manage:

  • company policies 
  • employee master file
  • job description
  • employment contract
  • employee handbook
  • statutory documents
  • appraisal documents
  • training records
  • OSHA documents
  • performance metrics
  • salary structure

 

Since HR professionals store and maintain several documents, they may experience a lack of control over essential data and prolonged processes, make data errors and inaccuracies, and above all, face the consequences of ineffective data monitoring.

This is where HRMS come in handy. human resource management systems works under the cloud, which means all data is processed and stored in a single place electronically. It eliminates the need for filing and printing HR-related documents, cutting down administrative time and saving costs.

With this technology, human resource employees can save time going through the paper pile and finding the information they need. Since less time is spent on paper, HR teams can focus more on the work that matters.

2. Applicant Tracking

Companies need the perfect combination of employees and must fill open positions as soon as possible to maintain operations and move their businesses forward. This elevating need requires the expertise of HR recruitment professionals.

Human resource professionals understand what skills a company needs and are skilled in employing the right people. They engage with the ideal candidates and map future talents to establish a better workforce and help the business remain competitive in the industry.

Unfortunately, the paper-based HR management system makes recruitment a long and tedious process. The heavy use of papers halts recruiters from carrying out their jobs and managing applications more efficiently. 

If only businesses digitise the recruiting process, HR staff could free up a vast amount of time and streamline the aspects of recruitment. Recruiters would also have a 360-degree view of their talent acquisition process in real-time.

Human resource management software lets them post job openings and job descriptions on multiple job boards, store applicant data, and sift through applications for matched skill sets. Also, most HRMS have built-in communication channels that help recruitment staff communicate with candidates easily.

3. Time and Attendance

Time and attendance management is another painful HR process, especially for departments that still rely on paper.

Imagine how many employee time cards human resource departments gather, validate, and calculate every pay period. This traditional timekeeping and recording not only accumulates a lot of hours but also hurts their productivity.

Conversely, human resource management systems eliminate manual data entry. Such technology integrates time off and absence management, enabling HR teams to process time-off requests and manage payroll more effectively.

The good thing about this HR software feature is that it provides a digital record of employee working hours. Thanks to this data, it’s easier to monitor or verify employee time and attendance and accelerate the payroll process. 

Moreover, HR payroll teams can avoid salary-related disputes, ensure payroll compliance, and steer clear of human errors and wage theft issues.

4.Learning Management

Human resource units manage all people-related functions, including training and development. HR plays a pivotal role in creating development programs that will harness employee’s individual and group skill sets.

Organisations analyse the current employee needs or competency gaps to prepare them for future assignments and responsibilities. This HR objective primarily helps businesses improve overall efficiency and stay ahead of the competition.

Suppose your company still utilises a traditional HR management system. All of your employee’s information is either stored in a physical space or filing cabinets. Whenever HR managers track relevant training data, it takes a long time to find it and move to the next steps.

In short, paper-based systems impedes productivity and prolongs the process—which is the exact opposite of HR software. HRMS is usually built with a training module to facilitate learning and development within a company.

The training module comes with training management features that enhance the overall training experience for all employees. Examples of such functionalities include the following:

  • Self-service portal. The employee self-service module allows employees to view their training history and certifications and lets HR managers see future training requirements and map out a suitable training plan.   

 

  • Data mining. Most human resource management systems have a data mining functionality that enables HR staff to find learning management profiles or develop in-house talents that fit in the open positions. 

 

  • Collaboration tools. A good set of collaboration tools fosters positive mentoring relationships. It helps establish a culture that encourages employees to learn new skills from peers and managers, with a little-to-no problem. 

Summing It Up

HR data is one of the most important, if not the greatest, assets. It helps companies gain insights into their business and employees performance, solve organisational problems, and make data-driven decisions to fuel their growth. 

To ensure your human resource team capitalises on the power of data, invest in HR management software. Digital HRMS is packed with advanced functionalities that make it easier to manage the workforce while eliminating human error and ensuring compliance at the same time.

 

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