There are so many benefits for including HR software as part of your small and medium sized businesses (SMEs). But without purpose, these benefits would just be ‘nice to have’, so while we will explore 5 key benefits of HR software, it’s vital to first consider why it’s important to even think about HR software for your SME.
Why HR software?
The most valuable and important asset in your company is the people who work there, not your office building or your warehouse but your people. Without them, your SME simply would not exist. Human resource is the most critical factor in production and the effectiveness of end to end processes for any organisation. Therefore, one of your top priorities is to look after your people, the most precious resource in your business.
HR software makes managing people simple, it will save you (and everyone else) a lot of time and will help you to keep your most valuable asset happy, motivated and focused on the job at hand.
Here are even more reasons to ditch haphazard systems of spreadsheets, documents and post-it notes and adopt HR software into your SME:
1.It saves a huge amount of time
Affordable HR software will automate the time-consuming tasks which you loathe to do, so you have more time to come up with that incredible idea which will take your business to the next level.
If you have more than a few employees, then staying on top of basic employee information can become a nightmare if it’s all paperwork and filing cabinets. Just think, how long does it take you to dig out the holiday request form someone filled in a few months ago to find out how much holiday time is still remaining? “I have a spreadsheet for that” I hear you say, but I’m willing to bet it took you a few hours (and headaches) to set up and requires some time maintaining it.
The impact that HR software can have on your SME can be significant: from automating simple processes, such as holiday allowance, absence, training, and giving employee self-service (to maintain their personal details for example), to streamlining processes, enabling your employees to be efficient and productive, and focusing on the activities that are valuable to your business. These are just some of the many ways HR software will save you time (and money).Everything available, at a glance
2. Our clients tell us that they love how everything they need to know, is readily available at a quick glance.
Having relevant data immediately available whenever you want or need makes decision-making easy. On the flip side, poor decision-making can happen when the information we’re looking at is out of date or inadequate.
Additionally, with great data comes great power, having the ability to really dig into analytics can help you solve problems and spot trends. For example, is there a particular role with a high turnover or absence? You can dig into this and find out if those employees were getting enough training or having enough one-to-ones with their line manager. HR software makes collecting this data easy and accessing it will be a breeze.
The opportunities are endless and would simply be unfeasible given the amount of time and effort using a paper-based system would take to gain the same insights.
3. Grow your staff
As explained earlier, your staff are your most valuable asset and holding on to them is a top priority. It is also more cost effective to grow and develop the staff you already have than to keep recruiting. Which is where HR software will be hugely beneficial.
Human resources software can help you to keep track of all points of development for your employees, from performance to the training courses they’ve attended. For instance, we know that holding regular appraisals is hugely beneficial to your employee’s morale. With HR software you will never forget an appraisal again and will always have the data available to remind you what you talked about, the feedback received and the objectives you set together. All this information is also available to your employee helping them to feel engaged with the company and their work and drives your business forward as employees’ contribution increases as their performance develops and they improve their skills.
Using all this information you can work together to plot the career development of your staff, giving them something to aim for.
4. Secure document management
For too long companies have kept all their sensitive employee data in a filing cabinet. With your obligations under Data Protection and GDPR, it’s time to ask ourselves how secure is that filing cabinet? We simply cannot know who has access to it or even if someone unauthorised has actually accessed it.
With modern HR software, all the information you store is extremely secure and you can set permissions on who can access what information.
The added benefit to storing all your documents within cloud-based HR software is the knowledge that all your data is safe from any physical catastrophes such as a flood or fire. As long as you have a computer (or mobile device) you can still access your data.
Only with HR software will you get a full document management solution. From knowing who reads what when, to increasing productivity by reducing paperwork. It’s also an easily accessible place to archive old documents, policies, staff handbooks and training manuals. You no longer have any need to print everything out, meaning you can finally become a ‘paper-free office’.
5. Leave and sickness monitoring
Properly managing absence is a necessity when running a small business. Having a problem with sickness absences or a rush of annual leave can be a nightmare to manage with a small team. With HR software you can implement more careful holiday planning and know the data behind absence.
Even more than being a glorified calendar, good HR software will also calculate pro-rata entitlements, keep track of remaining leave and manage all holiday requests.
Most HR Managers agree that holiday booking is the most time-consuming aspect of people management, but with HR software you can automate it. Making the whole process simple and straight forward, allowing employees to request holidays at any time. No more messy, time-consuming, email trails and spreadsheets!
There are many more benefits to HR software, but I hope that this has given you a helpful overview of what HR software can do for your business.
So if you’re fed up with being bogged down with your current HR admin and processes, I’d love to hear from you.