Years ago if HR departments wanted to keep electronic records on their employees their only option was an HR system, hosted on-site and accessible to a select few HR administrators. Luckily, nowadays HR systems are available in the cloud and can be accessed securely by employees via the internet. This has drastically reduced the barriers to adoption, however many companies in the UAE still manage their workforce with a haphazard system of spreadsheets, documents and post-it notes. So what exactly are the benefits of using an HR software to help manage your employees?
Organizations must look for ways to manage their internal processes efficiently while preserving the integrity of each practice. In Human Resources, this involves many transactions affecting people, including the benefits they receive and the ways they are treated by the organization. Tracking HR activities through a human resources information system is efficient and effective for many businesses.
Why should I invest in a Human Resource System? Here are the top 4 reasons.
#1 It allows you to streamline your business functionaility
Adding a new digital function to an HR system provides an opportunity to re-examine the overall functionality of the business. Cycle-time processes are reduced which leads to a more streamlined decision making process within the organisation. Efficiency is maximised due to the one point of contact system which offers time saving benefits and thus reduced cost per transaction fees.
Integrated HR processes are more efficient. While technology cannot be seen as the solution to all problems, they certainly add several benefits to an organisation. Most firms report heightened productivity and enjoy increased profitability through improved HR processes.
#2 Balance the employee-employer relationship
While HRIS (human resource information system) can be used for its HR compliance and reporting tool capacities, the system is best optimized when used to delegate HR transactions and data maintenance to employees. While certain team members may be resistant to switching to a digitally based department, it’s generally an easy process as in today’s world where most employees are online-savvy and enjoy shopping on their favorite e-commerce sites, downloading apps, completing bank transactions online or even making a dinner reservation online.
Service management of the HRIS can provide the same level of ease and simplicity for your employees 24/7 from their mobile devices or computers. The HRIS system offers employees complete transparency of all HR processes which leads to a heightened sense of employee understanding and an increase in fairness and overall job satisfaction.
#3 Leverage on key performers
Digital employee performance monitoring forms a valuable part of the performance management system. Employees should however be informed in advance and briefed in full about which set of criteria will be monitored. By communicating openly with employees, and setting clear deliverables, the system has led to improved performance and improved performance of the organisation.
#4 Data creates actionable insight
Since the implementation of HRIS, the HR industry has been able to answer a new set of criteria; as a result of the systems’ ability to capture a new set of data. For HR personnel, HRIS systems provides immediate and optimised results to questions related to long-term performance and staff retention.
The new HRIS systems fully support HR management by providing immediate access to data. In years gone by, HR data was not readily available which proved difficult to extract an accurate answer to questions posed by Executive Management.
The reality is that the days of the famous ‘old’ excel spreadsheets are gone, companies in UAE have noted the importance of having a HRIS in place specifically when it comes to compliance requirements. A strong HRIS in the UAE can help organisations gain a competitive advantage through its contribution to the organisations strategic goals and its ability to significantly increase organisations performance and productivity.
Danielle Suchley is the Managing Director of Blue Sky Thinking Group, a Dubai based holding company which includes Safe Hands, a first aid company; Finsbury Associates, a wealth management company and Beneple, an HR & corporate insurance business.
Danielle has 13 years leadership experience managing businesses across the finance, insurance, tech and wellness space. For 2 years running, she has been recognised by International Adviser as one of the Top 100 influential people globally within the Financial Services space.