Why HRM is Important to discover the most nimble, scalable and end-to-end HRM software. Bringing in-depth functionality and ease of use. Humans are unrivaled as the most complex and important component of any business.
We are the creators of ideas and are able to make them a reality in the world of commerce through a collaborative effort. Yes, of course, we can get things done on our own, but scaling a business requires a joint effort between many stakeholders.
This necessity for effective teamwork means that companies need to find, train, and retain employees that fit the workplace environment, gel with other team members, and feel motivated to consistently produce their best work.
While this is the responsibility of managers in all departments, the human resources department is on the front line, and need to have effective systems in place to execute core HR functions, in particular hiring and onboarding processes that set a solid foundation for happy and productive employees.
In this post, we’re going to take a close look at the giant of HR management when it comes to software: Human Resource Management Systems (HRM).
An HRMS (Human Resource Management System) is an all-in-one, centralized type of HR software that enables the management of several HR functions.
Ultimately, the aim of an HRMS is the improve the productivity and efficiency of a business through efficient management of HR processes, primarily by consolidating data and automating manual and repetitive tasks.
An HRMS offers a simple way to integrate all of the core and strategic HR functions into one solution. The most common HRMS modules are:
As popularity for HRMS software has grown over the past decade or so, other slightly different systems including Human Capital Management (HCM) and Human Resource Information System (HRIS) have entered the market, each offering varying levels of functionality at different prices points. I will clarify the difference between these three systems a bit later on.
Let’s dive into some of the most important benefits of integrating an HRMS solution. Then we’ll address some of the main challenges of integration and run through a useful guide to getting started.
While reading through the benefits, it’s important to keep in mind that each benefit can be broken up into other, more specific benefits. The capabilities of an HRMS stretch so far that the impact it can have on your organization is incredibly broad; influencing numerous aspects of business performance from an individual employee perspective as well as overall business efficiency.
This is obviously a big one, in that by optimizing core HR processes you are in turn improving the efficiency of a variety of functions like recruiting, onboarding, and performance reporting.
Because an HRMS solution provides a central hub for information, employees and managers can track and update information in real-time right from the software, avoiding the inefficient process of tracking down fragmented spreadsheets and paperwork.
The collection and centralization of real-time data paired with powerful filters and graphical representations allow managers to generate any reports concerning the workforce based on a variety of parameters, on an on-demand basis.
A “big-picture” view of critical information can also be easily accessed and reviewed on a single screen with detailed dashboards.
The ability to easily access and create rich, insightful reports empowers managers to make quality decisions in a timely manner, and gain the insight necessary to take action in order to prevent any inefficiencies that the reports suggest may arise.
Employee data is arguably the most sensitive and important data held by any organization.
Before HRM software, the method of storing and managing this data was, you guessed it, paper-based, which then migrated to libraries of spreadsheets. This approach is fragmented, error-prone and time-consuming to manage.
An HRMS solution provides a cutting-edge level of security for all employee data, maintained within robust software that is incredibly difficult to penetrate and provides an easy way for managers to store and review data.
The centralization of data is also incredibly beneficial in terms of scalability because as the company grows and the headcount increases, there is minimal risk of losing sight of information concerning new employees.
Our HRM software gives you all the necessary tools to build, manage, and motivate your employees. From onboarding and attendance management to time tracking and appraisals, we’ve got it all covered.