Before the era of computers and advanced data collection, organizational change usually consisted of new personnel, location and new business processes and procedures. In the last 20 years we made tremendous leaps and bounds in technology and science and those advances eventually make their way into our businesses where they affect our everyday lives.
We don’t need an HRMS, we use Excel…
At the moment some HR Departments are where accounting departments were 10 years ago with abundant manual processes and a dozen or so spreadsheets. Most HR professionals are still using outdated technology like Access or Excel to track HR information or an outsourced solution with limited visibility. Look at the difference automated accounting systems like Sage 100 ERP (formerly MAS 90 & 200) has done for finance over the past couple of decades and some of the more recent developments in the realm of cloud-based ERP systems. Imagine how HR departments of all sizes would be transformed if they had an accountant’s equivalent of ERP.
Fortunately these systems do exist are much more inexpensive to own and maintain than ERP systems. An Integrated Human Resources Management System (HRMS) encompasses all phases of the employee relationship from recruiting through handling their retirement and COBRA benefits after they leave. It provides a single point of access for everything related to your employees and provides a way to share data. HRMS helps HR professionals go from being reactive to proactive by helping them spend less time plugging data into excel or manually entering time into an accounting system.
The average HR professional spends 60%-80% of their time on performing administrative tasks. Think about how many hours you spend filing papers, looking for employee information in filing cabinets and taking a phone call from a previous employee who needs payroll information from 4 years ago (ugghh). Performing menial tasks on a regular basis will effectively limit your HR department’s actions to reactive damage control rather than proactive and preemptive planning. Here are the top 10 reasons to use and HRMS starting with the top 5 benefits for the CEO/CFO followed by the top 5 reasons for the HR and Payroll department.
Top 10 Reasons to Use a Human Resources Management System (HRMS)
Top 5 benefits for the CEO/CFO
- High Cost of Employee Turnover
- Lower cost of Recruiting
- Reduce Benefit Administration Costs
- Reduce high cost of Service Bureaus
- Reduce risk for costly payroll errors
Top 5 benefits for HR/Payroll
- Comply with Government Reporting requirements
- Reduce risk of employee litigations
- Meeting training certifications and requirements
- Reduce HR workload
- One integrated system for HR/PR/Attendance/ Training and Applicant tracking.
The conflict is simple!!! HR managers do not have any time left to develop Strategy and Planning and help the CEO attain his or her goal.
Sage HRMS (formerly Sage Abra) is an entry-level solution containing all the essentials HR Managers need for first-class human resource management. With one centralized database, Sage HRMS helps users reduce time-consuming clerical work and effectively manage, track, and report on employee data.
HR Managers will be able to provide more strategic value to their organizations with the Sage HRMS human resource management software solution. Leveraging the solution’s powerful reporting and analysis tools, HR will be able to quickly evaluate critical areas including salary, turnover rate, and performance. HR Managers and staff can easily transfer critical HR information on a routine basis with strong import/export capabilities. Plus, Sage HRMS gives users the peace of mind with sophisticated, multilevel security options that enable them to control data access to various groups throughout the organization.
