What is HR software?
In a nutshell, HR software are particular platforms that mix different systems and processes to make sure a business’ employees are readily available when needed and data is appropriately stored.
However, all HR software is different, and each business has unique needs. But systems usually include payroll management, benefits administration, attendance recordkeeping and time stamps, or a combination of those features.
HR automation isn’t new. But we are finally at a point where it’s cost effective and feasible for small businesses to use it.
The benefits of HR Software
Do you know the cost of employee turnover? It’s possible; you’ve considerably underestimated what it costs your company to replace an employee. According to research, a company spends anywhere from 16 percent to 213 percent of its average employee’s annual salaries to hire a new employee.
How is all this related to HR software? Well, an HR platform helps reduce turnover by ensuring that the needs of the employees’ are taken care of. Also, it makes the process of finding the right candidates easier. Hence, there are lesser chances of hiring someone who is wrong for the position — which further increases the costs.
Better use of time
Time is the one thing we are all always complaining about. Thus, it’s crucial that you create systems that maximize time. If your HR team is constantly putting in data by hand, making phone calls and manually screening candidates for openings, they won’t have time for work that is more important like handling legal issues and enforcing company policies.
More accurate insights
With the quantity of data that comes through an HR department, it’s impossible for anyone or group of people to process everything. This could lead to valuable information being overlooked or misplaced.
The good part of working with HR software is that you don’t have to rely on human limitations. Data is synthesized and analyzed in ways that allow you to attain more accurate insights and make planned decisions.
Surprisingly cost effective
Many businesses believe that buying a good HR software package will bankrupt their entire marketing budget. That is not true. Quite a few of the best HR packages have financing programs and monthly memberships. These can work with even the smallest start-up budget.