08/06/2020
The significant role of HR systems in business
By: Lana Bawaneh
We all agree that Human Resources is one of the most essential and critical functions of every company. For some people, HR is all about managing employees only, but as it turns out, that they have so many responsibilities that require qualified people and advanced tools to be performed successfully.
I actually don’t have deep knowledge in HR management and their exact tasks, but the things I know were enough to make me write this article and to appreciate the important role of the HR in companies. One of the things that encouraged me to create this article is that many people focus on the achievements of the operational or technical departments in making the business up and running. But only a few people know that there are administrative departments that contribute as much as the technical departments do.
HR responsibilities are way wider than hiring, firing, and payroll. They are responsible for personnel management, payroll, vacations & leaves, talents & competencies, recruitment, on-boarding, training & development, compliance, and many more. In addition, they play an important role in developing a healthy environment for employees that can help big time in increasing their productivity.
HR people are overwhelmed with the responsibilities they have, and with the rise of technology, many HR systems were developed to support their work! These systems have proven their efficiency in managing and handling all of the above-mentioned responsibilities. But how can such systems support the main functions of HR?
Because of the huge number of HR systems in the world, you have to select the best system that suits your business and that will ensure having the best features and functions required to benefit from all the values these systems offer.
Personnel Management
Personnel management is responsible for handling the human capital in particular by recording and tracking the employees’ information, contracts, promotions, training, and a wide eclectic range of documents.
Using a system, you will be able to store all of this information in one hub that is searchable and secure to provide easy and secure access to your employees’ information.
Payroll
Payroll is a very critical module because the information it contains needs to be very accurate and confidential. It is a must to have a system to manage the employees ‘contracts, salaries, and deductions. Throughout the system, you will easily update your payroll list and ensure that the employees’ information is up-to-date and accurate.
Vacations and leaves
Monitoring and managing the vacations and leaves balances and calculations for the employees require a lot of time and effort. An effective HR system offers a single and centralized place to manage them accurately.
Talents and competences
Talent and competencies help companies in monitoring and managing the evaluation and appraisals of their employees then defining the skills of employees for other purposes such as promotions, skills mapping, and skills benchmarking. A good HR system allows you to control these processes in a flexible and easy way that ensures time-saving and accurate operation.
Recruitment
Recruitment is a complicated process because it goes through so many phases; from job advertisements, collecting CVs, sorting candidates, shortlisting, preparing for interviews, interviewing, testing, to on-boarding. Recruitment modules were designed to simplify your hiring processes and save your time by helping you select the best candidates and managing your talent pool.
Training and Development
To improve your business, you should invest in your employees by giving them the training they need in order to develop. Using an HR system, you can manage employees’ training easily by having a full history of the training records for the employees. This is achieved by enabling the HR team to plan, monitor, and manage the training activities and the overall training progress. In addition, the system shall be able to produce statistical reports obtained from training requests, allowing the HR team to better decide on the training plans, needs, and objectives.
One of the interesting things in most common HR systems is that you can decide what modules can be included in the system you are considering buying, depending of course on the business of your organization and the company size. This will help you to capitalize/benefits from all the modules in the system. However, having all of these modules integrated with each other will enable achieving your goals and objectives through streamlined processes.