4 Reasons to Use a HRMS System

The human resources department is probably the bread and butter of most organizations. Finding and hiring the right people is crucial to an organization’s success. Companies spend millions of dollars hiring, onboarding, and training employees. This requires the HR department to be hyper-organized.

Cue human resources management system (HRMS).

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There is a HR system available to suit every budget and organization capacity, so there is really no excuse for companies to not invest in one. But there are still many companies that hold off on using a HRMS system, because of one reason or another: upfront expense, training to use it, etc.

If you’re still reluctant to invest in a system for HRMS in Hong Kong, here are the reasons you should consider one:

1. Hiring

Everything starts with hiring the right person. A HRMS system allows one central place for job postings, tracking CVs, scheduling interviews, recording interview results, processing new hire paperwork, and every other conceivable task related to hiring resources. This is convenient, saves a lot of time, and makes sure everything is neatly organized in one place.

2. Increased Productivity

HR department is typically more than just the human resources. Sometimes they act as payroll or general record keeping. HRMS systems allow your business to outsource these parts of the HR department so they can focus just on managing people and training employees.

3. Employee Management

Any accolades, praises, and compliments for specific employees can be recorded in a HRMS. This is handy when annual evaluation comes around. If you’re a manager and you want to express your thanks to your star employees, having a copy of your thank-you letter can be placed into an employee’s “file.” In this case, it’s not a physical file but a HRMS.

Laying off or firing someone is never a decision taken lightly, but it’s often necessary to keep a smooth operation. A dark side of employee management is keeping track of who to let go when the time comes. HRMS software lets you document all the grievances, so in case there’s a chance of litigation, you have an electronic “paper trail” to back you up.

4. Reduce Errors

Payroll errors can be costly. A HRMS system can help you dodge those errors. It does a better job of Excel spreadsheet or any accounting book. It can also automate payroll and increase efficiencies.

In the past, companies were reluctant to invest in a HRMS system due to high cost. With improved HRMS technology like cloud HR software, upfront costs are getting lesser and lesser. Cloud technology also makes it easier to replace the HRMS system if you don’t like it, since it’s not as highly customized and proprietary as the traditional option.

Despite all the talks of outsourcing and robots replacing potential jobs, human resources remain the most crucial and central part of any organization. Employees drive companies. To hire the right ones, there needs to be a right system to keep all the info. That’s the purpose of having an HRMS system.

5 Practical Signs That Indicate Your Organization Needs a New HR System

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Today's organizations are confronted with an array of employees from all walks of life with varying qualifications, experience, skills and achievements. Therefore, organizations need to be prepared to record this information and ensure that the human resource records are a true account of each employee.

When looking at the frameworks we use to track and deal with employees in our organizations, there are a number of elements we need to consider when choosing whether your current system is adequate, many organizations still battle with the essentials of Human Resource frameworks.

A portion of the examples we've heard of paint a surprising picture of businesses being unable to manage company and employee information accurately. This indicates that new HR systems are worth deploying regardless of the industry your business is in. Here are a couple of genuine illustrations to support this:

1. The first sign can be identified when incidents occur in the workplace that break HR practices. There are examples of numerous organisations who have reported the usefulness and ease of having information recorded, then again, as HR pioneers know, reporting solicitations are frequently time consuming and require accurate details which some systems cannot handle or do not allow enough detail. So if this is a point of frustration for your organization, it is recommended to opt for another human resource system which may cater to the sudden situations faced by the organization. Another HR framework might simply be compatible by acquiring the data which is readily available.

2. Another trigger might be when cash or cash reserves decline due to the investment on the organization’s HR systems like HRIS software or HRMS software. Organizations have a tendency to keep frameworks for longer periods than recommended and these systems can lack functionality. When a merchant lets you know that redesigns or process backing will never again be given to the variant of the product you have, this means that it is actually an opportunity to update or buy another software system.

3. The issue of Human Resource Systems continuing to pay their previous employees but then discontinues paying the presently hired employees, should definitely encourage you to update your current HR management system. For eliminate this problem, HRMS software (Human Resource Management System software) can be used in order to keep a check on the payroll structure of the organization.

4. When the HR System is not keeping accurate records on the hiring system. This depicts that the companies hire more employees or less employees upon the job requirements. The solution: The organization may use HRIS software (Human Resource Information System software) to manage company’s people effectively.

5. Another example of an obsolete HR System, is when the software misplaces an organization's internal applications and has no capability of storing CVs in Human Resource system.

The above points mentioned are only a few examples that may encourage you to purchase or upgrade your HRIS Software. The importance of keeping accurate records is not only imperative for your employees and the general operations of your business but it is also an important part of being able to value your business in regards to the expertise of your employees, the worth of your assets and the worth of your business as an entity.

 

Struggling to Choose HRMS Software That Fits Your Business?

Your human resources department is essential to the success of your business. Your HR team not only handles compliance and labor issues, they also help keep morale high, paychecks flowing, and your workers trained. The problem? Well, as essential as your HR team members are, they are extremely expensive for your business to maintain.

Combating the Costs of HR with Online Accounting Software
According to the International Data Corporation (IDC), an international business analytics firm, ERP software is driving a 130% increase in cloud computing by 2016. More specifically, HR software solutions are thought to be a huge factor behind that increase.
The reason is quite simple: using HR systems can save businesses money. As the numbers from Human Resource Executive Online show, the average business will spend more than $1,600 per employee, per year, on their HR departments. Part of this has to do with the cost of traditional HR software systems, but it also has to do with the time spent to train each employee. Both of these problems can be mitigated with HRMS solutions, like online accounting software.

How to Find the Best HRMS Software
Look at Price vs. Functionality
Like any other type of software, HR applications vary in price. This price varies based on what each piece of software does. For example, HR solutions that simultaneously serve as online accounting software and employee self service portals will likely cost more than a single function application. Choosing a software suite that covers your needs is the best way to mitigate costs and benefit from improved HR software.


Industry Specific or General HR Software?
As About.com suggests, there are multiple types of human resources software that you should consider when looking for the perfect solution for your business. Some businesses can get away with using general HR software, but others, like wholesale distributors and product manufacturers, should really look for a system that offers industry specific online accounting software and other functionality that's tailored to individual business types. 


How Big is Your Business?
Just as some HR software options are engineered to be used by specific industries, others are built to be used by companies matching certain size specifications. For example, Inc.com writes of online HR software that is written with small and medium businesses specifically in mind. These systems are best used by businesses employing under 100 people, with one to 40 possible system users. On the other hand, if you run a large or enterprise-sized business, you'll want to find a system that can handle your particular requirements.

Finding a great piece of HR software can drastically reduce your HR costs and increase your team's productivity. However, not all human resources software was built up to the standards your business needs. Keep these tips in mind to find something that can help, not hinder, your business.

How HRMS Applications Are Changing the Way Business is Done

One of the fastest growing industries in the United States is cloud-based software. As IDC predicts, ERP, or Employee Resource Planning, software will become one of the most essential types of cloud-computing technology for businesses looking to reduce costs and increase data and employee management, with 130% growth expected by 2016. HRMS applications, a type of ERP software, are useful to businesses looking to cut down on wasted resources and bulk up on productivity.

What is HRMS Software?
HRMS, or Human Resources Management System, solutions are pieces of software developed to bring human resources together with modern management technology to increase worker productivity and well-being, while reducing the cost of this essential service to businesses. Because of their universal utility across all industries, one out of every 10 dollars is spent on ERP solutions, like HRMS applications, to bring sorely needed benefits into the workplace.

Benefits of Using an HRMS Application
Streamline HR

As HR Daily Advisor suggests, HRMS solutions go a long way towards reducing clutter, both physical and digital. When you make the switch to using HRMS applications, payroll, bookkeeping, network management, and other utilities that were previously managed by separate programs are rolled into one suite, meaning that HR professionals only need to learn one piece of software.
HRMS applications further allow employee self-service. With some training, employees can access HR forms and databases they need to perform their jobs, file complaints, and the like. A recent study from Deloitte shows that improving employee self service with HRMS applications can cut in-house HR costs by as much as 15%.

Improved Data Management and Tracking

HRMS applications allow businesses to improve their data management and tracking by providing them with an organized, convenient way to manage payroll, contracting invoices, scheduling, and more. As Network World writes, businesses lose as much as 10% of staff costs every year because outdated filing and organization methods make it too difficult to find the data they need to do their jobs. With HRMS applications, this ceases to be an issue.
Create and Manage Employee Development Solutions

For many businesses, the ability to drastically cut employee training and development costs represents the biggest bonus of using this type of HR system. Using an HRMS application, HR departments can create and tailor training programs for each type of employee. By training digitally, Deloitte statistics show, businesses can reduce their staff development costs by 40%.
Using HRMS applications offers multiple benefits to any type of business looking to streamline its HR department and reduce overall operating costs. Taken together, these three benefits help ERP software generate as much as a 269% ROI in one year, according to ERP Cloud News. Any business who wants to shave nearly 300% off its HR bills would do well to consider HRMS solutions.

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