Every business enterprise- big or small primarily deals with their most important asset, i.e. their human resource. Consequently, the HR department is common to all kinds of organizations.
Nowadays, the process of recruiting, training and managing workforce has undergone a colossal transformation. The HR departments are driven into small and easily manageable units, each one responsible for carrying out a particular task, such as recruiting new staff, training the existing workforce, retaining employees, supervising, etc.
Now to manage the entire process, business organizations require a robust and competent Human Resource Management Software that effortlessly compiles all workforce management systems to augment business efficiency. In today’s post, we will have a look at the various aspects of a well-designed Human Resource Management Software and understand how it can benefit your business along with the involved cost structure.
Human Resource Management Software
A Human Resource Management Software is a competent solution that offers complete control of all aspects of management process including Recruitment Management, Payroll Management, Performance Evaluation, Work Delegation, etc. The software stores all the necessary data that helps in retrieving any piece of information from anyplace at any time. The software eliminates the need for maintaining the humongous amount of paperwork, saving a lot of effort and time of the HR managers and HR departments.
Benefits of a Human Resource Management Software
- Digitized Employee Database
The foremost function of HR software is to electronically store all employee information that can be easily managed and retrieved at the time of need. This improves the organization’s overall productivity by eradicating the need for maintaining countless files with detailed workforce information. Additionally, the software is governed by robust security practices that ensure all the data is completely secure.
- Payroll System
HRM software comes with an automated payroll system that diminishes the need for outsourcing payroll to a third-party provider. The payroll system can be easily linked to the employee information, time, and attendance tracking software. This helps in accurately calculating employee salaries and other benefits without any chances of error.
- Employee Self-Help Portals
Employee Self-Help Portals empower your employees by allowing them to access and maintain their own information and keep it well-updated, for instance, any change in address, marital status, etc. This largely streamlines communication and saves the HR managers a lot of time and effort for other significant operations.
- Performance Management
HRM software allows the HR managers to monitor the performance of each employee and obtain a clear picture of their strengths and exemplary skills. This management is especially helpful in offering special training to employees, reviewing appraisals, giving bonuses as well as improving the overall productivity of the company.
- Stress-free Workforce Management
With robust HR software, there is no need for maintaining lengthy spreadsheets and assigning tasks to the employees via emails. The software helps in performing all significant operations on a single platform including assigning of work tasks, evaluating progress, reviewing employee performance, and even rewarding them.
- Recruiting Systems
HRM software efficiently manages thousands of application forms and helps the managers in locating the most promising talent. Connecting the system to the employee database can later help in quickly converting the information from the application form into employee file without any hassle.
Important Features of Human Resource Management Software
- Payroll- This feature helps in tracking employee salaries, bonuses, provident fund, health and medical deductions, and issue paychecks.
- Employee records- This includes the employee’s general data along with all the medical insurance and taxing information It also stores his job history, performance evaluation, awards, and certifications.
- Training Management- This allows you to offer remote learning as well as live training to the employees.
- Talent Management- Especially used in tech-driven organizations, this feature allows HR managers to offer online training to their employees so that they can augment their skills and contribute more to the company’s value.
- Benefits Management- The feature offers complete information on the benefits provided to the employees.
- Compensation management- This allows managers to reward their top-performing employees with bonuses based on the value they bring to the company.
- Performance Tracking- Employees can review other fellow-workers or get reviewed by them. This enables the HR managers to gather quick insights into the employee’s work performance.
- Document Management- This allows for managing all the employee documents by their name or type of document. They can be easily converted to PDF or any other format for use in other applications.
- Onboarding-Onboarding makes it easy for new recruits to get acquainted with the company’s regulations as well as find all the necessary information regarding the company or the employer on a single platform.
- Recruitment- A recruitment module helps in compiling a robust database of talent which can add to the company’s value. Also, it helps in creating ads, managing applications from hundreds of applicants, administering important documents, etc.
- Timesheet – This helps the HR managers in knowing the time spend by the employees on various projects.
- Reporting & Analytics- This is an important feature that helps you to evaluate the performance of each employee individually and of the company as a whole. This enables you to detect the areas for improvement.
- Time Clock & Attendance-This feature helps in marking the daily attendance of the employees as well as in keeping a check on their leaves. Booking, tracking and approving any leave form can also be managed with this.
- Employee self-help portal-Employee self-help portal enables the employees to handle their own records and make changes to the information to make sure it is accurate and up-to-date. They can also submit leave applications, communicate with other employees and view their working schedule easily with this feature.
- Centralized HR Data- All the data is centralized in an interactive database that makes retrieving information extremely straightforward. Any change made in one document is reflected across the board, ensuring the information is always up-to-date.
Types of Human Resource Management Software
Depending upon the features integrated into the software, it can be classified in the following types:
- Core Operations HRM Software
This is the most common type of software used by organizations that are based on three significant aspects of employee management, which includes basic workforce tracking, payroll administration, and benefits management. This is based on basic functionality, yet eases the dreariest and most taxing jobs of an organization.
- Strategic HRM Software
This type of HRM software is most commonly used by employment agencies as it focuses on offering the best recruitment features. It provides onboarding feature along with talent management, online training modules, and other tools that help in applicant tracking and recruitment.
- End-to-end Workforce Management HRM Software
As the name suggests, this software comes with almost all features of employee management such as recruiting, onboarding, performance tracking, payroll management, benefits administration, etc. They help the HR managers in storing all employee information and turning it into operable intelligence that improves the company’s efficiency.
HRM Mobile Application
Well, as it generally happens, HR managers are usually on the go. Therefore, having a competent HRM mobile app that enables them to access the complete software from their smartphone is crucially important. These apps offer adequate flexibility and the required level of access to the software, enabling managers to concentrate on their relative fields.
Let’s have a look at some of the most pronounced benefits of HRM Apps.
- Worker Directory– Apps will have complete worker profiles along with all the other relevant details. The managers can even check the current location of the employees and assign them important tasks.
- Learning – Mobile apps are a great source for employee learning and training as they offer engaging content in the form of videos, MCQs, surveys, etc. that the employees can read and share with other members.
- Recruiting – A recruiting app is one of the most effective ways of attracting the best talent towards your business. You can easily collect all their information and keep them engaged through the taxing hiring process.
- Greater flexibility– Mobile apps provide for an increased level of flexibility by allowing the HR managers to control and direct the employees from any place. They can assign roles, delegate work and communicate with the staff members while on the go.
- Improved engagement– Employee learning apps boost engagement by offering the employees an interactive way of learning through videos, games and other embedded contents. It facilitates easy learning by making training modules more interesting.
The Process of Developing Human Resource Management Software
After you have decided upon the type of HRM software you require for your business and have outlined the precise list of features that will be included, it’s time to move on to the HRMS software development process. It is important to closely monitor the development process to make sure that all the following stages are well taken care of
- Market Research & Analysis
- Wire-framing & Designing
Required Team Structure
For developing a robust and feature-rich Human Resource Management Software, you need to get in touch with a professional and experienced software development agency that boasts a team of expert technicians. It should clearly apprehend your business requirements and then propose customized software with all the necessary features and a concrete timeline.
- Project Manager – A capable project manager should possess astute managerial skills. He should have a solution-oriented and positive approach towards all obstacles.
- Developers– Android App Developers, iOS App Developers, Web Developers, Front-end Developers, Back-end Developers
- Designers– Graphic Designers, UI/UX Designers
- Testers– A shrewd team of testers and accomplished Quality Assurance experts for extending a pleasant user experience
The Cost to Develop Human Resource Management Software
Pricing is one of the most crucial aspects of software development. Every business wants to know the budget and pricing of developing a custom Human Resource Management software. First of all, the price largely depends upon the number and type of features incorporated into the software. The number of features will result in expensive software. Also, the cost differs across the world and each company set their own rate that primarily depends upon two factors- the quality of work and the location.
We have done a comparative research and enlisted some of the most popular areas along with their labor costs per hour.
U.S. based developers: – $50 to $250 per hour
Eastern Europe based developers: – $30 to $150 per hour
India based developers: – $10 to $80 per hour
Clearly, India is the most feasible country for software development that offers skilled labor at the most affordable prices. But again, there are various other factors that control the cost of development.
Given the efficiency and usefulness of HRM software, it is no wonder that most of the business enterprises are looking to integrate it into their everyday working operations. The benefits of managing multifarious tasks such as payroll, performance evaluation, onboarding, attendance, etc. help in enhancing the productivity of companies. Therefore, if you are planning to make significant investments in implementing HRM software, now is the time.