Companies invest in HR software to simplify managing their human resources needs. It helps save time so your HR team can focus on more important things and help you grow your business.
However, it also makes it considerably easier for your employees to access their information, keep it updated, and generally have a better employee experience. This aspect of HR software is just as important as the first: it helps you create a suitable environment for your employees. Investing in quality HR software benefits all parties at your company, simplifying processes to keep both leadership and staff fully informed and able to access their benefits.
The Benefits of HR Software
HR software, typically called a Human Resources Management System (HRMS) or Human Resources Information System (HRIS), is a software solution or platform designed to combine human resources and administration processes in a centralized system. Thus, HR software might include a database of employees with their position, salary, or contact information, information for onboarding new employees, and digital access to the employee handbook.
From the employer's perspective, this helps keep everything related to employees and payroll in one place. For example, you can easily send out a mass email to all employees or, even more helpful, to employees that fit specific criteria. That may not even be by department or seniority; good HR software can send out an email alert to only employees working on site on a specific day, so those working from home don't receive unnecessary notifications about an issue in the building. By keeping everything in one place, it reduces data entry errors. It also helps facilitate real-time performance management by maintaining an ongoing record, helping alert you to issues to address early and prevent anything from waiting until annual review time.
From your employees' perspective, they can make time off requests or even change their address without needing to talk to HR. They can access and verify the information on record about them, review the employee handbook, and verify their benefits. That saves their time and makes it easy and seamless, especially for younger employees who are used to doing everything online. It also saves HR staff time because employees no longer need to inquire about this information, saving time for everyone and giving back more time to complete their work.
Types of HR Software
HR software is available to cover all your needs and streamline the process. For example, this software can offer employees instant access to:
- Healthcare benefits information
- PTO information and the ability to submit time off requests
- All the information new employees need during onboarding
- Their retirement and 401k accounts
Modern HR software is available through desktop browsers and mobile apps like Healthjoy. Employees and supervisors alike can manage data conveniently wherever they go. For example, an employee who gets sick or injured can access healthcare benefits information from their doctor's office, an urgent care center, or an emergency room. Supervisors can approve PTO requests even if they are off for the day, whether they're sick or simply sitting on the beach somewhere.
Companies can adjust HR software in a modular manner to give you precisely what you need. Some employers may want their employees to have access to safety micro-training for traveling teams or manufacturing facilities, whereas this may not be as important if everyone is in an office or working from home.
The downside to HR software is that it can be expensive, especially for smaller companies, many of whom have traditionally seen it as a luxury. However, there is a way to get enterprise-grade HR software for a very affordable price.
Partner with a PEO to Manage Your Software Needs
For smaller companies, developing and using HR software is challenging. Buying software off the shelf means you will likely be paying for functions you don't need while having somebody code custom solutions is prohibitively expensive and time-consuming. It also means you must maintain the software moving forward, using many of your limited IT resources.
Partnering with a PEO is the easy answer. PEOs already have enterprise-grade HR software they can help you set up and use. Because they are working at scale with multiple clients, they can get better software for a lower price than you can acquire on your own.
They also have people who have been using this software for months or years that you can talk to, helping you get up and running faster and learn the "pro tips" that will let you get the best out of the software. You will have seamless access to all your HR information, as will your employees, allowing everyone to devote that time to growing your business. Your employees will also be happier and feel they have more control over their data.
Keep Teams in Touch Using HR Software
HR software is increasingly essential, as it helps streamline access to all the data HR handles and interactive needs, such as applying for PTO, "calling in" sick, or quickly contacting all or a subset of employees. This software makes everything easier and more accessible for everyone in your company, from the C-suite down. The easiest way to get high-quality HR software for an affordable price is to partner with a PEO.