What is HR Software?
HR software is software that attends to the information and processes required to manage employees within an organization. This information and these processes must be managed within every organization to ensure that employees are properly paid and that all labor laws and hiring laws are followed.
While HR information and processes can be managed manually, using technology to assist with and automate these processes can increase efficiency and save valuable time.
In addition to saving time, employing HR software to assist with HR processes can allow for better planning, budget management, and decision making. HR software makes it possible to see, for example, how many employees are needed at certain times of year based on historical data so that recruitment resources can be allocated and mobilized accordingly. There are a myriad of other instances that a company may benefit from relying on HR software rather than faulty and disorganized paper records.
Types of HR Software
There are many different types of HR software that can perform a variety of HR tasks. Some solutions may be comprehensive, encompassing most or all of the functions of HR management, while other solutions may offer assistance with only one or two HR tasks.
Additionally, some solutions are flexible and offer assistance with core HR administrative tasks like managing a database, with the option to add modules that can assist with things like time and attendance tracking and self service as desired.
HR software includes, but is not limited to:
- Human Resources Information Systems (HRIS)
- Human Resources Management Systems (HRMS)
- Human Capital Management (HCM)
- Applicant Tracking Systems (ATS)
- Learning Management Systems (LMS)
- Payroll Software
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Benefits of HR Software
The benefits of HR software can vary widely depending on the type of software that is selected and the details of the company that has acquired the software, but the main advantage that is shared among most is the HR labor time that is saved doing mundane administrative tasks. This HR time can be redirected towards more lucrative or productive tasks that help to better the organization.
Depending on the HR software solution that is selected and the way in which it is used, companies may also see a decrease in errors with the elimination of double data entry, an improvement in organization with the introduction of electronic records, and a space and cost savings due to minimized use of paper, paper clips, ink, and associated supplies.
Beyond these wide-ranging benefits, companies may see benefits that stem from the specific type of software or modules that were chosen, like an improvement in succession planning and employee development after implementing a robust learning management system. Companies that select an all-encompassing HR software solution may see a number of benefits that occur across several areas of the organization.
HR Software and Payroll
Payroll is often the biggest organizational expense, so managing it effectively using HR software can save time and trouble while helping to avoid employee dissatisfaction caused by errors. Integrating time and attendance software and scheduling with payroll functions can help a company to better control labor costs, overtime, and compliance issues like number of hours worked by minors. Analytics based on these types of integrations can enable better real-time decision making and planning.
HR software can change the way that a company works from the inside, so it is very important that a company select the solution that matches the company best. The ideal HR software should fit with company culture and help to promote the ideals and visions that the company holds highest.
Find Your Ideal HR Software
If you have decided that HR software is right for your company, we can help you get started with the selection process. You can call or email to receive advice and suggestions from our experts or you can browse through our extensive database of HR software solutions to begin researching for yourself.
Authored by: Dave Rietsema