HRMS: What Does It Stand For And It’s Importance in SME’s
Human Resource Management System (HRMS) is a one single platform for all the HR processes. It is designed to streamline, automate, and optimize an organization’s HR processes into a single database.
Start-ups and SME’s mostly have a flexible business culture. So, getting the right HRMS sets a foundation to support the management of their recruitment and talent pool with a plan for growth and longevity. Hence, HRMS is the ‘Talent Management Ecosystem’ for an organisation.
1. Simplify Recruitment process:
HRMS can carefully sift through and sort applications and resumes to pick qualified candidates as per specified requirements. With an efficient recruitment and applicant management, you can attract the right talent for the right position at the right time. Thus, saving time and simplifying the process.
2. Increase Productivity:
This is the biggest benefit that an HRMS can bring to your organization. The HRMS leads to the automation of the countless functions of the HR department e.g. employee onboarding, payroll management, retention of talent, tracking leave and attendance of hundreds of employees and so on. This can drastically reduce the amount of paperwork required to be done by the HR personnel, hence saving time and driving improved productivity.
3. Compliance management through HRMS:
HRMS has been playing a major role in business transformation. It helps the managers to take strategic decisions. Organizations have legal obligations which they must fulfil to keep their business running and avoiding penalties. The obligations can be related to pursuing fair trade practices, maintaining conducive working environment for its employees, and obtaining necessary certifications from government agencies. Non-compliance with government regulations puts the business at risk. To streamline and meet all your compliance related needs, you need an HRMS. It serves as a reminder for the certification and maintains records in a database.
4. Performance review to boost employee morale:
With an automated HRMS in place, the employees can easily log on to the HRMS portal, update information and check the status of their benefits, such as bonus, incentives etc. PMS (Performance Management System) is a continuous feedback schedule. Employees can monitor their individual KPI’s, apply for regular appraisals. The employee feels more in control and this boosts his morale. A proper executed performance management system can improve employee morale, increase productivity and retain its top workers.
HRMS makes it easy to centrally collect data, automate business workflows, and add visibility by means of charts and graphs. This generates data and identifies patterns and trends. It also helps you figure out training requirements, manpower planning, utility of employee, job rotation etc. and helps to plan KPI’s for future.
The automation of time, attendance and leave management that a HRMS software brings in yields a lot of benefits for the organization. To begin with, it gives the employees the power to keep a tab on their work hours in real time every day (employee self-service), as the software updates info from biometric or RFID cards into the system. It even makes it easier for managers to approve leave requests and the HR to detect any errors in the data and prevent payroll frauds. Leave accrual rules also aid in actuarial calculation of unpaid leave liability, which is a statutory requirement.
7. Cost Effective:
The cloud HRMS is available at relatively low prices, almost always with a flexible, pay-as-you-go tariff. With the help of Cloud infrastructure, you can maintain all the company related documents and employee-related document safely without the fear of destruction or damage to the important files. With cloud-based HRMS, there is no new hardware or software to purchase – which immediately saves businesses thousands of rupees. The cloud pay per use model also helps in effective cashflow management for start-up and SMEs. HR staff and employees can access cloud-based HRMS from anywhere, at any time, and through any device (e.g. computer, laptop, tablet or smartphone).
HRMS represents an investment in your people, processes and the organisation.
- Employee Onboarding
- Travel & Reimbursement
- Performance Management System
- Leave Management System
- Learning Management System
- Shift Management
- Payroll Process
- Attendance Management System
- Employee Self Service
- Timesheet Management
- Buzz book
- Exit process
TalenTicks is one such HRMS application that offers all the above benefits and many more. To request a Free Demo, visit https://www.meetcs.com/talenticks-hrms/