Make use of Automation for Streamlining your HR Department


There is an acute requirement of automating the HR functions due to the cost of processing them. Also, the productive output of these tasks is limited for the companies. The high employee turnover ratio and the declining employee life cycles have been a major driving force apart from the cost factor. The American Payroll Association (APA) has revealed that a business can save 80% of the cost incurred in Payroll processing by automating it. Adding up the other administrative formalities, the entire HR profile turns into a clerical job with a tonnage of counter-productive activities. The employers, therefore, need to reconsider their approach to other HR functions such as staffing and employee utilization also because of their importance in organizational success. We will have a look at the effects of automation in the entire HR department to streamline all functions and run them in a parallel manner. The central idea of office automation is to do strategic planning and enforce HR policies with minimum internal friction. A conventional approach will be considered as the reference standard for this article. Dive in deeper to learn more about the subject.

Save the cost of remuneration and disbursement processing and 50 percent of HR time:

When a company implements an HR Software solution, the Payroll Processing module will completely eliminate the requirement of human intervention at all stages of the remuneration process. The Attendance Management System will provide the attendance component of the salary, and all other elements are generated as per the configurations made by the administrator. The reimbursement claims are processed with the inputs from the Travel and Claim Processing module. The gross payable amount and the net pay are calculated as per the policies concerning individual employees by the system. The statutory deductions are made as per the slab applicable to them. Entire calculations are made by the system, and the HR has to only approve the amount in the system portal. Once the amount is approved, the HR shall directly disburse the amount to the employees’ bank accounts. This shreds a significant portion of the workload from the HR’s shoulders and helps them save almost half of the time in office. Therefore the synergy of cost-saving and time-saving will prove to be a driving factor behind the implementation of HR software solutions.                                                                                                                     

Automate administrative portions of talent management:

With the help of various modules, most of the administrative portions in the human resource management are automated. The employee presence and movement are marked by the Attendance Management System as the staff has to only punch on the biometric machine while moving in and out of the company premises. Their total working hours are calculated to generate a payable amount for the staff members. The employee utilization is monitored with the help of Performance Management System. Daily service reports are fed to the system for generating the KRA and KPI components as per the concerned employee’s work profile. Their percentage goal achievement can be used as the variable pay component in the dynamic remuneration policy. The Travel and Claim Processing module is extremely important for the companies as the time taken in hr and payroll software  processing of the remote staff and salespeople is affected by the manual correspondence. The Employee Self Service Portal is used by the employees and employers for making official correspondence. The digitalization of communication will eliminate the physical documentation of the same. 

Implement smart reporting for decision making:

The computerized processing will generate comprehensive reporting for serving the business interests of the organization. The attendance data is used to create statutory compliance filings required at monthly, quarterly, and yearly basis. Performance reports are used for the appraisal and promotion of the staff members. Leave request data becomes very useful when the workload distribution is to be made and also simplifies the workflow management.

The conservative approach to the handling of the HR department can still be sufficient for a small number of employees but as the company grows to have a considerable amount of staff members, implementing an HR Software package will be beneficial in both materially and financial aspects of handling the employees. The cost reduction is a significant incentive while increasing the efficiency of the company is achieved as the primary target. Overall streamlining of the HR functions help in the growth of the company.

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