Checklist To Choose The Best HRMS Software

Agile Principles

HRMS Software- A Vital Decision For Any Organization

We all know about the crucial role played by HRMS software in helping HR professionals to manage their employees and automate HR tasks. HR software is used by organizations to manage various routine HR operations such as:

  • Recruitment
  • Onboarding
  • Training
  • Payroll
  • Time tracking
  • Attendance
  • Employee performance
  • Employee benefits

And so much more! This is why every company out there needs smart employee management software like Flowtrack. Now, before selecting HR software, there are many things you need to consider.

It is estimated that HR managers spend around 41% of their time doing manual, redundant tasks like posting job descriptions, monitoring employees, and updating payrolls. Now, the question is, why should they waste so much time on such redundant tasks when they should be focusing more on the employees? This is exactly why your company needs HRMS software. But, choosing any HR software will not help. The choice is something you need to make after a detailed analysis. While the right HR can help you manage your workforce easily, a wrong choice can make your HR drown in workload. And, you don’t want the latter to happen at any cost. Also, a bad HR can drain your company’s financial resources.

In this article, we will walk you through some of the crucial factors you need to consider before choosing HR software. We have also listed down the features you need to look for while selecting the HR software.

HR Software- Know The Types And The Perks

Once your company’s top management decides to invest in HR software, the next step they need to take is to examine the options. There are a wide variety of options to choose from. HR software usually comes in the form of various software modules. Though HR software was intended to be used to just track your employee records and manage their payrolls, today, it has a much bigger role to play. Smart HR platforms like HRAPP offers functionalities and features that can be extended all across the organization.

HR platforms go by several names, and most often, these names are used interchangeably.

  • Human Capital Management (HCM) software
  • Human Resources Information Systems (HRIS)
  • Human Resources Management Systems (HRMS)

The Benefits

With the help of efficient HR software, HR staff can divert their focus back on managing the employees, improving employee engagement, and enhancing their experience. The software will take care of other routine tasks, procedures, and processes. And HR software will take care of:

  • Automating payroll, benefits, compliance administration, and vacation, time tracking
  • Streamlining the hiring and recruitment process with the help of technology tools.
  • Speeding up the time-consuming tasks like screening candidates, interviewing them, and onboarding the best.
  • Performance management, recognition, training, and development activities.
  • Offering employees easy access to resources, getting regular feedback, and getting self-service options.
  • Improving employee experience as a whole and thereby strengthening the company strategy.

Analyze Who Will Need The HR Software & How They Will Use It

Before choosing an HRMS software, you need to first analyze who will use it and what features they need. After analyzing your requirements, you can go ahead and check the features your HR software offers. If both match, then that is the HR software that suits your organization! Generally, HR managers and employees are the ones who will be using HRMS software.

Features HR team will need:

  • Automation of applicant tracking and recruitment procedures.
  • Creation of candidate profiles so that recruiters can easily share the job postings.
  • Collection of employee data to enable HR managers to track or access employee information easily.
  • Payroll, performance, reporting, and learning management.
  • Creation of employee training plans as per the job requirement.

Features employees will need:

  • Benefits management, 360-degree reviews, and PTO ( Paid Time Off) tracking.
  • Self-onboarding- Get all the information an employee will need at the time of onboarding.

Key Points To Consider Before Choosing An HRMS Software

Let us now look at the key points you should not miss while evaluating HRMS software.

Intuitive User Interface (UI) for ease of usage

An effective HR software should make the lives of HR professionals easier. If the HR software you choose doesn’t have an intuitive user interface, then the HR professionals might be flooded with queries from your employees. Managing all these queries can end up disrupting their productivity. An HR software that is not easy to use will never help HR professionals to focus on strategic planning. Hence, always choose an HR software with an intuitive UI. Your employees will find it easier to use, and your HR professionals will get time to focus on the core business operations.

Seamless integration for maximum efficiency

The right HCM will help in making the entire HR ecosystem of your office easier. Besides that, it will also integrate seamlessly with all the other business procedures and processes. If the HR software you choose helps in serving the HR department but obstructs the functioning of all other internal systems, then you might have to rethink about your choice. Always look for HR software that doesn’t disrupt your ecosystem. It should be flexible and integrate easily with the existing pack. Smart integration should always be a key factor while choosing an HRMS software.

Scalable solutions for company expansion

A recent survey conducted by Human Capital Institute proved that only 43 percent of companies admitted that they found a scalable human resource management solution. All the remaining companies are still struggling to find the right HCM solution with scalable features. And that is exactly why you need to get added to that small 43 percent and not among the majority. Every company needs to grow, and yours too. And, as the company expands, if the HR solutions are not scalable, then you will have to struggle or look for a new solution every time you plan an expansion. To avoid such a scenario, here are a few questions you need to ask yourself before making a choice:

  • Is there any limit to the number of employees the HR software can support?
  • Does the HR software offer the benefits you had planned to provide your employees?
  • Can the HR software continue streamlining the processes even if the company scales up?
  • Are there any interesting updates or new features being planned? Will it be useful for you?

If your answer to all the above questions satisfies your HR and company requirements, then you can zero in on that HR software.

Customer service for improved user experience

A great HR software will undoubtedly be the one that offers a great customer experience. While using software, some roadblocks are bound to happen one day or the other. Though simple issues can be tackled by themselves, complex ones will need expert assistance. Hence, always check and ensure whether your HR software vendor has a team of customer service experts readily available to address the issues your users might face.

Reasonable costs with an excellent ROI

Cost is obviously one of the important factors you need to consider before investing in HR software. Rather than looking for a low-cost option, you should check whether the ROI is greater than the cost. If your answer is yes, then your choice is right. Though the software can be costly at first, if it helps reduce other expenses as your company progresses, then it is absolutely worth the investment.

Advanced analytics to eliminate administrative tasks

It’s no secret that HR professionals often get baffled by big data. Hence, if you can choose an HR software that can offer smart analytical tools and advanced reporting facilities, then you’ve got a winner. It will help your HR team to finally get rid of the mundane, confusing, and tiresome administrative tasks. This will help them to keep focused on the major decision-making tasks and strategic leadership part. A good HCM will also help HR professionals gain a competitive advantage by helping to manage the employee data efficiently.

Ready-made or Custom-built?

Now that you have decided to invest in HR software and know the features to look for, the next question is whether to go for ready-made software or a custom-built one. Well, both come with their own set of pros and cons. Let’s unwrap the details for you.

Ready-made HR Software- The Pros

  • The cost is less, and hence, your savings will be more.
  • Quicker and easier to deploy
  • Multiple vendors will offer maintenance support
  • The companies will offer training to use the software effectively
  • The product will be compliant with all employment laws

Ready-made HR Software- The Cons

  • Vendor lock-in- It will be difficult to switch to another HRMS in the future.
  • There will not be any customization or flexibility as it is designed for multiple companies across multiple industries.

Custom-built Software- The Pros

  • Exclusively made for your company.
  • Greater control and flexibility
  • Easily scalable to handle more data and workloads in future
  • Custom-built features that exactly meets the needs of your company

Custom-built Software- The Cons

  • The cost will be high, and it might require extra maintenance charges too.
  • An in-house team or external team will have to be assigned to maintain it.
  • The software might take time to develop. Developing software with just the core HRMS features alone will take around four months.

Wrapping Up

Choosing the right HR software is a decision that demands time, investment and research. Hence, do not hurry it. Take time to think, compare options, analyze, and decide. Ensure that you consider all the above-listed factors before choosing the HR software for your company. The right decision can be a winning decision for the growth and development of your company. So choose right and choose the best!

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