A company's guide to human resource systems

Valentina GolubovicValentina Golubovic
Last updated on:
November 15, 2023
Published on:
November 8, 2022

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If your company is growing quickly, you may want to consider adopting a human resource information system that helps you organise and store employee data. It's important to have one because it centralises vital information which allows employees to be more productive.

What is HRIS?

A HRIS or Human Resources Information System manages processes and can help streamline employee information and communication, it is often interchangeably used with the term human resource management system. These systems are designed to automate HR management tasks, particularly in larger organisations.

What are the functions of HR systems

Absence and attendance management

Absence management is one of the main uses of HR information systems. This function keeps track of employee absences and provides managers with the data they need to make staffing decisions and control their budgets. Employee data management provides insight into what causes absence and how often employees are absent from work to help management strategise on how to improve productivity.

Payroll functions

A HR system that offers a payroll function will allow you to integrate with your current 3rd party systems used to make the payments, simplifying your operational workflow. Combining the HR functions and payroll software can lead to efficiencies gained through reduce administrative tasks, better visibility of data and improved compliance.

Performance management

Performance management is used as a guide in measuring employee performance and establishing goals for employees. The HR system helps to track how well individual employees are performing as well as the company's overall success. An improved talent management process ensures your employees are equipped to grow internally reducing staff turnover.

Recruitment and onboarding

One of the most important uses of HR technology is recruitment. It can be used to do things like screen applicants, schedule interviews, and track applicant progress from start to finish.

Another key function that ties in with recruitment is onboarding new staff. A HR management system can simplify this process by ensuring all data is collected, policies read and signed and information delivered.

Curious about automated data extraction from documents?

Benefits of a HRIS

Compliance management

A human resource information system is essential for effective compliance management. It provides a centralised way to assemble, store and manage employee data that supports compliance processes. A good HRIS allows all relevant internal and external stakeholders to create and access job records, schedule and track compliance training, report on compliance metrics and receive accurate employee time-off requests.

Automated workflows

HRIS is a tool that automates workflows throughout the hiring, payroll, and training processes. For example, a HRIS will allow your employees to apply for jobs through an online portal, which can automatically cross-check their experience against what’s needed for the job. This saves you time and ensures that your applicant pool is as strong as possible before any in-person interviews take place.

An HRIS is an information system that integrates and processes the data necessary to support HR tasks and strategies, and provides information at the right time and in the right format to people who need it. It reduces manual data entry and simplifies tasks for hr professionals and management.

Staff and employee experience

HR systems help streamline the recruitment process, holiday requests, employee training and performance management. It can protect your organisation from costly litigation by increasing transparency, improving data accuracy and integrity, enforcing policies consistently and managing performance reviews. If you’re interested in enhancing the employee experience, then you need to implement HRIS tools. HR systems help streamline the recruitment process, holiday requests, employee training and performance management. It can protect your organisation from costly litigation by increasing transparency, improving data accuracy and integrity, enforcing policies consistently and managing performance reviews.

How HRIS solution is important for remote workforce management?

An adequate human resource information system is essential for companies in 2022, especially for companies with hybrid and remote workers. Employees who work remotely need to be onboarded effectively, receive a salary, submit time off requests, and engage with the company culture. A comprehensive HRIS software solution can help to make sure employees are satisfied and have a comfortable set-up enabling them to carry out their work successfully.

How much does HR software cost in the UK?

PeopleHR conducted research which suggested that the average cost of implementing a HRIS software was £7.7 per employee, this price fell as the number of employees increased. The price to businesses in setting up a HR software will depend on factors such as the size of the company, requirements and features used and the provider. Different providers may have different pricing models, there may also be an initial set-up fee and update fees.

Top 5 human resource systems

  • BambooHR
  • Cezanne HR
  • monday.com
  • Personio
  • hibob

When deciding on what type of HRIS to buy, it is important to consider the specifics of your operation. Assess which features are most important for your business and determine how much time you will have for training staff on the new system. If a great deal of time isn't available, choose an easy-to-use software suite that includes many features.

When evaluating software, also consider compatibility—if you currently use other applications from a particular developer and plan to continue to do so, it makes more sense to purchase a HRIS that runs on the same platform as your other software. Think carefully about which solutions best fit your needs and could save you valuable time in the future by automating repetitive tasks.

About Legislate

Legislate is a legal technology startup which allows landlords, letting agents and small businesses to easily create, sign and manage contracts that are prudent and fair. Legislate’s platform is built on its patented knowledge graph which streamlines the contracting process and aggregates contract statistics to quickly unlock valuable insights. Legislate’s team marries technical and legal expertise to create a painless, smart contracting experience for its users. Legislate is backed by Parkwalk Advisors, Perivoli Innovations and angel investors.

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