Imagine an organization with hundreds of employees but still relying on manual, old school techniques for administration and employee management. This results in having an unproductive and disorganized taskforce wasting most of the time in doing unnecessary tasks.
Hence, to deal with this inefficiency, a smarter and unified solution is being opted by many companies. This contemporary approach is an HR Management software, established to streamline and automate HR related activities.
Earlier it was believed that such technological innovations were purposed to serve the bigger organization. But over a while, even SMEs are now shifting over HR software to cultivate productivity and efficiency at a large scale.
The Indian Market for Human Resources Management System – Present and Future
Over the past few years, we have witnessed a consistent rise in demand and market cap of HR technology in India. As per the market experts, the current valuation of HR software in India marks up to 30 billion dollars. Moreover, amid changing industry trends and increasing demand for technological assistance in HR, expert opinion and statistics forecast this market cap to get increased by 34 billion dollars by 2021, which is massive.
Impact of COVID-19
The rise of a new and deadly disease was diagnosed in early 2020. Starting from China, the virus soon engulfed the almost entire world, resulting in being tagged as a pandemic by WHO. With no development in finding vaccines yet, social distancing is the only way to control its spread. This unfortunate situation has severely affected businesses and eventually devastating economies.
This has made work–from–home culture acquiring foreground in industries. Since India has imposed complete lockdown, companies switched to this working model in a bid to survive during such tough times. Trade pundits and experts forecast this as a long-term implementation for many businesses.
TCS model: redefining dynamics of working culture
One of the tech giants of the Indian industry, Tata Consultancy Services is planning to take a big and revolutionary step by enabling 75% of their employees to work from home by 2025. According to the TCS CEO & MD Rajesh Gopinathan, this global lockdown has paved the way for many companies to mull over the possibility of remote working culture.
If this successfully gets implemented, this pioneering model will soon become an industrial trend. And this will generate an absolute need for an efficient cloud-based HRMS software that not just manages employees, but ensures the growth in their productivity and efficiency.
What is HRMS software and its components?
An HRMS software is a next-gen technological setup designed to aid human resource professionals to manage everything from employee hire to retire. A modern HR management system focuses on people and not just processes, enabling HR managers to regulate HR operations single-handedly and efficiently. Now the question arises, “What should be an ideal and perfect HRMS system?” Hence, below we are presenting a few must-have components of an HR management solution –
Centralized and streamlined database
Long gone are the days of managing piles of papers and racks of files. A modern HR management solution offers an efficient platform to keep vital employee & organization info organized and accessible at fingertips.
One of the most desired components required in an HRMS solution. The selection of a wrong and inefficient asset may result in efficiency and monitory loss.
Employee retention is more challenging than selection. This calls for timely evaluation and appreciation of employee performance. Thus, having tools for performance assessment becomes an absolute need.
Increased employee involvement
The system should not be a channel of one-way communication. Today’s employees demand equal involvement in the organizational structure. Hence an HRMS system needs to be equipped with the tools and features promoting employee collaboration.
In today’s competitive scenario, market analysis is a much–needed component for HR managers. Data helps them improving the company’s productivity, increase worker retention, and implement better policies.
This has been the most complex structure for HR managers to deal with. Right from employee contract to salary declaration, expense management to payslip creation, an HRMS is expected to have a robust Payroll component.
Use and benefit of HRMS software: A statistical review
As per a global survey conducted on Human Resources Technology the data revealed how tech portfolios are helping organizations to modernize and streamline HR activities. Few are the findings that are presented below:
Adding to this, the survey also focuses on the benefits of cloud-based HR software. The cloud solution is gaining massive popularity, as per the stats discussed below:
(Entire data is based on the 2020 survey carried out by PwC)
Reasons to use HRMS software
COVID-19 has made it necessary than ever for organizations to opt and rely on an HRMS or human resource management system solution. Through this blog we are going to enlighten our readers with some of the major reasons that make companies replace the manual management of human resource activities with contemporary HR management solution:
Time is money, and hence it is the biggest reason for deploying HR management system in your organization. Automating process not only saves time and resources but helps companies control their expenses too. From reduced labor to optimizing your taskforce, the HR software handles every critical issue that makes organizations deliver more in less time.
As per the HR technology survey 2020, 58% of the total respondents face challenges in finding, acquiring and retaining the right talent from the pool. To simplify the recruitment process companies are rapidly selecting HR software to digitize and speed-up their recruitment process.
Improving employee experience
In the same survey, 42% of respondents find it difficult to improve the employee experience. This can be achieved through increased employee involvement. With the help of an efficient HR software employees can manage their own profiles, fill their own details and can also raise an issue or give suggestions regarding the organizational management, thus realizing better experience.
Establishing effective communication looks barely possible through old techniques. Multiple are the modern tools in HR software that help to set uninterrupted and easy communication among and within the teams. HR can instantly share messages, important announcements, or declarations with a particular employee, team, or department. Any change in policies can be immediately uploaded and shared with the entire organization in real-time. Thus, this becomes a prime need for organizations to acquire HRMS systems.
This is one of the important reasons why companies are choosing automated HR systems over manual and traditional approaches. Since every organization aims at growing bigger, you must have a system to make this period of transformation or expansion easier for you. Manual methods could only complicate the processes, whilst a scalable HR software can easily adapt to the expansion within no time.
These are the various reasons that make HR management software a must-have tool for your organization. BatchMaster, a renowned brand known for delivering best-in-class technological solutions for business needs, presents HeRd. It is a complete package of tools and features designed to cut the complexities of employee management. For detailed info about plans and features, reach us at [email protected]