With the advent of high technology and Artificial Intelligence, the benefits of automating numerous HR processes through effective HR softwares have become evident. So much so, that the 9.6 Billion USD market of core HR softwares is expected to grow by 6.5% by 2032.

The Impact Effective HR Software Has on Business Success

The biggest advantage of using effective HR software is that it reduces the amount of administrative load on the human resource (HR) department. Many tasks that require HR oversight are often monotonous in nature, hence automation isn’t only possible but rather a necessity for large businesses.

Using effective HR software, such as a human resources information system (HRIS) for information, workforce, and talent management can help streamline the following processes:

Advanced Data Security

With new technologies making phishing, data breaches and malware attacks easier, organizations with sensitive employee data are at an increased risk of having it stolen and misused.

The risks associated with cybersecurity — which is especially evident in remote and hybrid teams — can be curbed to a large extent by using HR software tools that focus on keeping employees up to date with current security policies, provide training for identifying phishing attempts, and protect the company devices and credentials from malicious intent.

The software itself keeps employee information behind access-controlled security so that sensitive employee and payroll records are only accessible by authorized personnel.

Administration Assistance

HR executives are responsible for many day-to-day administrative functions of an organization.

By using quality HR softwares, many of HR’s administrative tasks can be automated. Additionally outcomes can be improved. A hiring team can, for example, reduce the amount of hours they spend on screening candidates and make hires faster by making use of an applicant tracking system (ATS).

Applicant tracking software has proven to lead to improved time-to-hire, quality-of-hire, and candidate experience. The returns of using these tools are evident in a company's productivity and bottom line.

Data Analysis For Business Development

All key decisions involving business development and operations are made after carefully analyzing the previous data, trends, and other metrics. People operations are no exception.

More and more HR professionals are using trustworthy softwares for improving HR outcomes at all stages of business operations by making data-based decisions.

In fact, according to Deloitte, over 70% of organizations claimed that people analytics was an essential part of their day to day business operations with over 30% believing it to be a ‘very important’ factor.

Employee Satisfaction And Retention

Productivity and business success are heavily dependent on how happy employees are with their responsibilities, work culture, pay scale, and flexibility of work, among other factors.

Many organizations use employee recognition software to enhance the employee experience they offer. Many of these tools come with native employee engagement features that enable HR teams to conduct anonymous surveys and polls. They use the feedback from employees via these channels to improve their operations, and as a result, the employee retention rates.

HR Functions That Can Be Automated with HR Software to Increase Value

Many HR processes are monotonous and time consuming in nature. By adopting effective HR softwares, an organization can save time, money, and resources.

Let’s take a look at HR functions that can easily be automated with effective software:

Recruitment and Hiring

The process of recruitment can be completed in half the time with the help of recruiting software such as applicant tracking systems, sourcing tools, interview tech, and candidate assessment software.

For example, an ATS tracks the application of a candidate throughout the recruitment pipeline, and schedules interviews and sends out next steps, offers, and rejection emails. These systems ensure a consistent touchpoint with candidates so that they are not ghosted or otherwise fall through the cracks. This ensures employers offer a positive candidate experience which in turn ensures a positive employer brand.

Additionally, the automation an ATS offers frees up hours that would have otherwise been consumed in resume reviews and candidate communications.

Recruiting software can also help with passive recruitment. Many organizations, especially tech companies and the Fortune 500 use sourcing and hiring software to identify the best candidates from the talent pool based on pre-set criteria.

Payroll Management and Auditing

Payroll auditing is an essential part of an organization’s compensation and benefits strategy. It refers to the process of ensuring that all employees receive their due on time according to a fair and industry aligned pay band. Effective payroll management and auditing also prevents discrepancies in the deductions and reporting of data.

An effective HR software makes payroll auditing faster and more accurate. In addition, it takes care of components like overtime, tax deductions, 401k, incentives, and other variables, even with global payroll auditing, that may vary based on the country of residence of an organization’s employees.

Running parallel with this, a payroll software can integrate with a company's employee benefits to ensure co-payments are automated, and paid time off is tracked correctly.

Time Tracking and Management

An HR team can’t keep track of every employee’s working hours manually, especially if they’re flexible in nature. A robust HR software with time tracking capabilities certainly can.

Not only can a time tracking system keep tabs on employees logging in and out hours, but also keeps a check on break time, periods of inactivity, which projects have been completed, are more time consuming, and other relevant details for effective time and workforce management.

Employee Onboarding and Offboarding

Onboarding and offboarding employees require precision and take a large amount of time from the daily responsibilities of HR teams.

By automating the onboarding process, an employee can be deployed successfully into the organization, without the hassle of continuous back and forth emails.

Similarly, during the offboarding process, an automated HRIS system can help with the handover of intellectual property and responsibilities, scheduling the exit interview, creation of an online feedback form, revoking access from all company softwares, and reclaiming all hardware equipment, and any physical documents.

Wrapping Up

Human Resources (HR) is an all encompassing department that deals with the most important resource of any business, it’s people. By using software technology that protects and improves the lives of employees, businesses can amp up their productivity manifold.

Today, with the help of trailblazing HR software, many aspects of HR enjoy improved outcomes. It stands to reason that, as technology continues to evolve, there’s no doubt that HR professionals will continue to make organizations modern and more efficient for their employees.

Since the idea of using effective HR softwares is aimed at bridging the gap between the needs of the business and that of the employees, organizations of all sizes are focused on upskilling their HR teams with courses on Artificial Intelligence, psychology, leadership, and specific HR softwares.

A lot of these courses can be completed online such as the Research.com psychology degree online course which helps the HR professionals gain insights into human behavior, making them more adept at effective utilization of HR softwares for improved HR outcomes.