Understanding the benefits of an HR system

Understand the benefits of an HR system

Use cloud HR technology to drive business successSome things are no-brainers. And when it comes to choosing new HR software – cloud is one of them.Cloud is revolutionising the traditional HR function, enabling HR managers to become people-focused, and allowing them to design great workforce experiences for their people.Nearly 40% of businesses have moved their core applications to the cloud already, with a third of the remainder planning to migrate over the next 12-18 months, according to the fourth annual HR Technology Survey by PWC³.

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A modern global cloud HR management system (HRMS) enables companies to design better workforce experiences for employees. It is secure, flexible, and can be used across the world, as well as on mobile and on-demand.Cloud HR technology means reports can be generated at the touch of a button. Automation eliminates the likelihood of human error. And most of all, the best technology frees up HR and People leaders’ time to concentrate on what’s really important - delivering great workforce experiences for their people.

Companies increasing spending on HR technology⁴

45% large companies

51% midsized companies

Top expected benefits from intelligent automation investments⁵

56% improved performance

54% freeing resources or staff to perform more strategic work

8 persuasive reasons for HR investment

There are a whole host of tangible, measurable benefits associated with implementing a new, cloud-based HR system. This includes:

1. Reduce attritionWith an ongoing skills shortage, workforce attrition can be a big problem. Employees want to work for a company that listens to their needs, enables career progression and has a forward- thinking approach. Implementing a new HR system demonstrates your commitment to creating an agile and engaged workforce.2. Improve performanceEmployees crave appreciation. A new HR system can help you give your employees a clear path to improving performance with regular feedback and communication.3. Reduce time to hireFinding the right people and attracting top talent for your business can be a long process. The best HR systems cut down on the time spent on hiring, contracts and onboarding new employees, so you can get the best new people in quicker.4. Drive productivityBy improving workplace experiences and reducing time spent on repetitive admin, a new HR system with AI and automation functionality can help you significantly improve employee productivity.5. Provide better experiencesThe right HR system can help you improve communication and boost engagement across your workforce. You can create a collaborative culture where employees feel confident having their say on how the business works.6. Maintain complianceAs data becomes ever more important to running a business, you need to be confident your figures are reliable. A data-driven HR system makes it easy to collect and analyse data, improving accuracy and reducing errors.7. Make data driven decisionsBy having all of your data in one place, you can get a clear, singular source of insight into your business. This visibility will help you make smarter, quicker decisions about a range of issues.8. Accelerate growthAll of these benefits combine to create a business that’s free to grow and achieve its ambitions.

With the introduction of a more efficient HR system, you can improve the way you manage your people

Better experiences matter
Great workplace experiences increase loyalty, attract top talent and drive business success.But what do we mean by workplace experience?Essentially, it’s the outcome of all interactions between an individual and their employer, from work environment and salary to communication and appraisal process. With the introduction of a more efficient HR system, you can improve the way you manage your people, from how you communicate to the way you encourage employee growth and development.

Crucially, this has to be a collaborative relationship. Disappointingly, this is not often the case, with 50% of employees surveyed saying they’ve never been asked what would improve their workplace experiences⁶.

In our recent survey, 78% of respondents said a positive work experience has a huge impact on their productivity. And this figure jumps to a massive 92% for younger generations: a demographic that will comprise 50% of the workforce by 2020⁷.

Making HR the leaders of change
Driving change requires two important elements: leadership and planning.Change management is all about having a clear vision for the future and taking control of making it happen.As you build your business case, you need to be clear about how you’ll prepare and support individuals, teams, and the business as a whole as you make this significant organisational change.By confidently setting out why this change is important, what the primary needs for change are, and the benefits it will have to the business as a whole, you can align all stakeholders in one shared aim.

Change management follows four basic stages:

1. Determine the need for change

Identify and illustrate the reasons for investing in a new system, including failings of current system, advances in technology, cost efficiencies and the need to remain competitive.

2. Prepare and plan for change

Be clear about the impact implementing the new system will have both financially and on a day-to-day basis. Demonstrating that you have a plan for every outcome will give stakeholders confidence in your recommendations.

3. Implement the change

Once you have a greenlight for investment, you need to hit the ground running with a detailed plan of action. A strong business case should always think beyond acquisition and on to implementation.

4. Sustain the change

Many positive changes fail because they are not applied consistently and for the long term. HR needs to be the driver for sustained change and a strong business case always considers the short, medium and long-term factors.