Human resource administration is a critical and complex dimension of any successful business. A large survey conducted by consultancy Sierra-Cedar indicates business executives are “25% more likely to consider Human Resources as strategic – even compared with those within the department itself.”
HCM (Human Capital Management) software is a powerful set of tools that helps automate tasks and present employee information in clear, accessible ways. HR software has been developed, tested, and refined over many years – it is essential for the management of most companies today.
What is HCM Software?
Multiple applications work together seamlessly in one system to assist both management and employees directly.
Help for Employees
The people you hire need access to benefits and services important to them – not just the tools needed to perform their work. Employees constantly wish to view and update information, including:
- Pay
- Time off
- Scheduling
- Health insurance
- Work incentive plans
- Job-related education
Employee Management
Each employee is a complex, individual resource whose needs must be managed. Employers can make great use of HCM software to streamline issues concerning:
- Time clocks, absences, and scheduling
- Benefits administration
- Help desk automation for questions and concerns
- Recruiting, onboarding, performance, career planning, and training
What Benefits Will HCM Software Offer My Company?
This solution benefits any business in many effective ways.
Cost Savings
Payroll and benefits are typically large expenses for any company. HR software provides human resource teams with various options to cut costs. Consider the ability to easily track benefit-usage data to assist in negotiation with carriers. Another example is employee online access to simple game-like activities that encourage healthy habits by issuing rewards and discounts on premiums.
Employee Experience and Morale
Worker engagement can be challenging to maintain, particularly for leadership positions and for those who work onsite vs. from home. Human Capital Management software tools enhance the employee experience in creative ways. There are pulse surveys to gauge sentiment, simple ways to connect with each other and experience peer recognition, apps for exploring benefit discounts, and many others.
Efficiency and Productivity
Research from Sierra-Cedar indicates that 80% of companies are using HR software to gather information and implement process efficiencies. Organizations discover significant gains in talent retention, free up HR staff for value-added projects, minimize audit findings, and more. Efficiency gains are almost immediate – no more tracking down managers to complete reviews or obtain request approvals.
Error Reduction
Payroll automation is a valuable area for businesses, considering that manual data entry results in payroll errors. Error correction wastes time and resources, and tax withholding mistakes may expose any business to IRS penalties.
Employee Development and Retention
Businesses spend considerable time and money finding people to hire and retaining them. Some of the top HCM software functionality relates to recruiting, onboarding, and performance management to help with this challenge.
Regulatory Compliance
Sierra-Cedar revealed that 69% of organizations surveyed are using their HR systems to effectively monitor and report compliance issues. Today’s compliance requirements stretch across a wide spectrum, ranging from security breaches to new work models and labor laws related to the pandemic. Employee data and related information will be centrally stored, and HCM software can send automated reminders when compliance action is required.
Attendance Monitoring
Tracking attendance can be simplified with time clock systems, manager approval requirements, alerts, and reporting.
Benefits Administration
This large, complex process may be the biggest challenge for any organization. HCM software helps with the management of dynamic government regulations and the time needed to administer benefits and related paperwork. HR systems calculate eligibility and extend self-service options to employees to choose coverage and integrate these choices with payroll.
Security
Human Resources must ensure that company security policies are current and well-communicated. How should phishing emails be identified and malicious attachments or links avoided? How can unauthorized access to employee and company resources be minimized or removed? HR systems help prevent security breaches and protect company assets.
Improved Decision-making
An HCM system offers HR professionals the ability to rest assured that daily payroll, benefits, and personnel administration are being handled accurately and effectively. This enables a shift of focus toward employee experience improvement. Reaching for new ways to engage and educate the workforce regarding their available benefits will help with morale and retention.
Metrics Availability
Metrics are critical for any HR department to manage costs, compliance risk management, and employee engagement. HR systems excel in providing vast stores of information in meaningful formats. Determination of future workforce plans, turnover prediction, and other assessments are easily accessed and viewed in real-time.
ASAP Payroll has partnered with iSolved to provide you with a powerful, comprehensive HCM system. Packaged into one software platform, this framework will help you successfully implement a wide range of HR functionality.
Contact us today for more information, a complimentary demo, and more.
