HRMS Success: How To Manage Human Resources

HRMS

Liz Strikwerda

Content strategist and corporate blogger (2000+ posts). Her work has been featured on G2's Learning Hub, Human Resources Today, Better Buys and over 500 business websites. She plays bluegrass mandolin and enjoys sailing her catamaran and hiking in the red rock wilderness of southern Utah. Connect with me on LinkedIn

Human Resources Management

Because small businesses have unique challenges, they need a Human Resources Management System intentionally designed for their needs. Not simply a scaled-down version of enterprise workforce management tech.

We all expect software to have an intuitive user interface. That said, HR tech has a reputation of user-unfriendliness. Small business HR departments shouldn't assume a product is going to work as well as the project management and collaboration tools they are already using. If you are in the market for an HR system, take advantage of free trials to see if the product lives up to the marketing claims.

Accurately tracking employee time is a foundational process for every business and the process used is integral to the employee experience. A straightforward, uncomplicated, and transparent process helps employees focus on their responsibilities. An inaccurate or confusing method wreaks havoc at all levels.

HR inefficiency has an outsized impact because labor and benefits take the biggest share of the budget. An HRMS can help you operate leaner than ever before. Significantly reducing or completely eliminating the repetitive and mundane actions that every human resources employee is tasked with on a daily basis is the ultimate dream.

Welcome to the Swipeclock guide to Human Resources Management Systems for small businesses!

Chapter 1. Why Do You Need an HRMS?

A Human Resources Management System (HRMS) is the most effective small business HR software for hourly workforces. How can a Human Resources Management System improve your small business?

  1. Your business will grow faster
  2. Human Resources management will be as efficient as possible
  3. It will be easier to maintain compliance with workplace laws
  4. Your employees will be happier, more engaged, and more likely to stay with your company

When evaluating how an HRMS will improve your business, it’s helpful to separate the benefits into two categories; efficiency and engagement. The efficiency benefits can be quantified. For example, reducing time-to-hire 20% by automating hiring tasks. Decreasing labor costs 30% by reducing overtime and eliminating employee time theft.

The benefits in the engagement category aren’t as easy to put a number on. But intangible benefits are no less important—and they boost revenue just as reliably.

For example, improving employee work/life balance by offering flexible scheduling. Increasing employee productivity with self-service HR.

These benefits of a human resource management system make your company a better place to work. The efficiency and engagement benefits work together to create a culture of competence, mutual respect, and continual improvement.

What is an HRMS System?

A Human Resources Management System is a suite of integrated tools that perform Human Resources tasks. Unified HR systems go by various names. Let’s discuss the most common: HRMS, HRIS and HCM.

HRMS vs. HRIS vs. HCM vs. HRM

  • HRMS-Human Resource Management System
  • HRIS-Human Resource Information System
  • HCM-Human Capital Management
  • HRM-Human Resources Management

All are integrated software systems that manage HR functions.

HRIS tends to focus on information instead of processes. You wouldn’t expect an HRIS to include time and attendance or scheduling. You may be missing applicant tracking as well.

HCM is generally designed for enterprise workforces. HCMs often include components that aren’t applicable to small and mid-sized organizations.

HRM puts the focus on Human Resources management to the exclusion of information processing.

HRIS, HCM, and HRM all lack essential components.

An HRMS is the Comprehensive Solution

An HRMS is your total HR solution. It has everything you need to manage your workforce. It includes both the information and management tools found with the other platforms.

An HRMS includes:

  1. Hiring and applicant tracking
  2. Onboarding
  3. HR management
  4. Time and attendance
  5. Employee scheduling

Chapter 2. A 5-Step Guide to Choosing an HRMS

Your HRMS has a profound impact on your employees, business processes, and performance. Choose your HRMS carefully. This will ensure that it will improve the employee experience, maximize ROI, and help you execute your business strategy.

Following is a step-by-step guide to the selection process. We will discuss the steps in greater detail following this summary.

  1. Assemble a team
  2. Create a timeline for selection and implementation
  3. Assign HRMS researching tasks
  4. Narrow it down to 3 or 4 systems
  5. Compare results and make your selection

1. Assemble a Team

Include a representative and employee from every department or business function. Appoint a project manager. Define objectives and tools/features that will meet the objectives. Rank them in order of importance. Verify your budget.

2. Create a Timeline

Make your roadmap as detailed as possible. Meet at least twice a month to share feedback and track progress.

3. Research Tasks

Talk to vendors. Perform cost analyses. Review software features. Consult online reviews. Talk to software users—especially similar companies. Watch online demos/webinars. Attend trade shows and in-person demos.

4. Narrow it down to 3 or 4 systems

Confirm that the cost is within your budget. If the vendors offer free trials, have the entire group use the software for their specific functions during the trial(s).

5. Compare results and make your selection

If you follow the process outlined, you can choose a system with confidence.

Questions to ask HRMS Vendors

Use this checklist for vendor research:

  1. What is the fee structure and the total cost of ownership? (Find out if there are hidden fees, recurring expenses, etc.)
  2. What type of tech support do you offer? (Email, live support, online chat, knowledge base, troubleshooting guide, FAQs, etc.)
  3. What training and set-up is included?
  4. How do the compliance tools work?
  5. What other business software does it integrate with?
  6. What business size and industry is your HRMS designed for?
  7. Is your system scalable?
  8. How can I customize the system?
  9. What are your security protocols?

Identify the HRMS Tools/Features Your Company Needs

An HRMS handles hundreds of functions. We will discuss the features as organized into core HR areas. Preceding each section is an explanation of the benefits provided by the tools and capabilities listed.

HRMS Aren’t One-Size-Fits-All

Looking for the best HRMS for small business?

A small business isn’t a mini-me of an enterprise company. Indeed, operating a small business is vastly different. Employees fill multiple roles. Margins are generally a lot smaller. Keeping consistent cash flow is an ever-present challenge.

In fact, millions of small business owners are wondering how they will keep the lights on next month, let alone make payroll.

Because small businesses have unique challenges, they need a Human Resources Management System intentionally designed for their needs. Not simply a scaled-down version of enterprise workforce management tech.

Small Business HRMS Must-Haves

  1. Affordability
  2. Swift time-to-value
  3. Ease of use and a quick, hassle-free roll out
  4. High adoption rate
  5. Scalability
  6. Seamless payroll integration

Let’s discuss these requirements in more detail.

Affordability and Swift Time to Value

Small businesses don’t have the financial reserves of enterprise companies for an HR platform with high upfront and ongoing costs. As such, they need immediate ROI on their software spend. The best HRMS for a small business budget is cloud-based software with a subscription model.

With thin margins and little wiggle room, new software should make a significant difference in less than 30 days. We call this the ’30-days or less justification.’

Ease of Use and Hassle-Free Roll Out

We all expect software to have an intuitive user interface. That said, HR tech has a reputation of user-unfriendliness. Small business HR departments researching systems shouldn’t assume a product is going to work as well as the project management and collaboration tools they are already using. If you are in the market for an HR system, take advantage of free trials to see if the product lives up to the marketing claims.

Why is this especially important for small businesses? First off, HR teams in small companies are often responsible for training employees on new software and aren’t likely as tech-savvy as training specialists in large companies. For many organizations, it’s going to be the owner or a top-level manager doing the training.

In addition, small businesses generally don’t have implementation departments and are more likely to have downsized IT teams due economic conditions. Furthermore, small business IT is currently overwhelmed supporting the employee data security needs of remote workforces. They don’t have time to train for a complicated HR solution. A good rule of thumb: if the dashboard isn’t as easy as your favorite app, move on.

High User Adoption

This requirement is related to the previous ones. Ease of use is more likely to result in high user adoption, employee engagement and ROI. If HR tools and interfaces are too complicated, or too far out of the regular routine, nobody will use it. Small businesses without professional HR teams use HR software throughout the organization. With geographically-disbursed teams, an HRMS without a mobile app is a dealbreaker.

Scalability

‘I don’t want to have to do this again, so let’s get it right now.’ While it’s true that small businesses can’t buy new HR software every few years, that’s not the only reason scalability is essential. It takes considerable effort and expense to change workforce software. Even thinking about changing workflows takes mental energy.

Most people, as a rule, are reluctant to overhaul their HR processes and routines. Indeed, that’s why small businesses keep manual processes for decades. As an example, one of our small business clients used paper timesheets for 35 years before automating time and attendance!

A small business owner I interviewed for this article pointed out, ‘The advantage needs to outweigh the pain, and I don’t want to have to endure this pain more than once if I don’t have to.’

Scalability is also necessary for rapid growth. If your company is fortunate to ramp-up quickly, your HRMS should enable rather than hinder your trajectory.

Furthermore, many small businesses are seasonal and need employee management systems that are elastic. No small business owner wants to pay for subscription-based software year-round if the business only has revenue for a few months.

Let’s talk about compliance. (You knew we would get to it eventually.) The best HRMS for small business has a compliance module tailored specifically to small businesses. This is because compliance requirements change significantly during early growth relative to later-stage growth. For example, when a company goes from 10 to 500 employees, compliance changes with each workforce milestone. In contrast, a large company that goes from 10k to 11k employees may have few, if any, compliance changes.

Payroll Processing Integration

Why is payroll integration paramount for small business HR software solutions? First off, integration reduces payroll errors which are potentially more damaging to a small business. In addition, downsized small business HR teams don’t have time to manually enter data into the payroll software.

Two priorities for small business owners are 1) save money for the company, and 2) have more personal time. If the owner is handling payroll and it takes a lot of time, they would rather spend that time generating revenue or taking a break from work.

Suppose an employee is handling payroll. The owner also has a strong incentive to save their time, as well. In a small business, it’s likely that payroll is handled by someone already performing many job roles. Extra time on payroll means they may not be getting their ‘real’ job done.

Another small business owner I talked to said if his team was falling behind, he would think ‘It’s because we have to run payroll again. I hate payroll, and why do I need all these employees if all we’re doing is working on the employee stuff?’

Indeed, a common small business pain point is wasting time on HR instead of making widgets.

WorkforceHub is Intentionally Designed for Small Businesses

So, what is the best HR software for small business? Welcome to WorkforceHub from Swipeclock. At Swipeclock, we understand the complexities of small business talent management in 2021.

WorkforceHub checks all the boxes for small business HCM. It’s affordable, provides immediate ROI, rolls out quickly and guarantees high user adoption.

WorkforceHub is your unified HR management software:

  1. Recruitment and applicant tracking
  2. Onboarding synced to employee records
  3. HR management
  4. Employee scheduling
  5. Employee benefits enrollment
  6. Time and attendance
  7. Reports and analytics
  8. Employee self-service portals
  9. Templates, alerts and checklists
  10. Mobile app for Android and iOS
  11. Employee performance management

WorkforceHUB is the HRMS software of choice for small businesses in healthcare, manufacturing, retail, construction, hospitality, and food and beverage. It’s a complete Human Resources solution that integrates seamlessly with your payroll system.

Are you using spreadsheets for human capital management? If you want to dramatically improve efficiency and productivity, switching to an HRMS is your low-hanging fruit.

To schedule a demo, visit WorkforceHub, the best HRMS for small business.

Chapter 3. Recruiting, Applicant Tracking and Hiring

One of our biggest challenges is getting through to potential job candidates when sometimes hundreds of other recruiters are reaching out to them at the same time. The techniques that worked 10 or even 5 years ago just aren’t effective anymore. Candidates know they have choices, so it takes a lot of effort to really stand out. — Harrison Doan, Director of Analytics, Saatva

11 Benefits of HRMS Hiring Tools

  1. Find more qualified candidates by expanding your recruitment marketing reach
  2. Provide a mobile-friendly hiring process—a majority of job seekers use a mobile device in their job search
  3. Save time by automatically posting to multiple job boards
  4. Improve efficiency and communication by standardizing hiring workflows
  5. Track and manage thousands of applications from a single database
  6. Quickly isolate a pool of top candidates with automatic filtering
  7. Simplify interview scheduling and stop losing candidates because of interview scheduling confusion
  8. Reduce cost-per-hire by automating manual processes
  9. Strengthen your employer brand by providing an applicant-centric hiring process
  10. Simplify hiring compliance with structured interviews and bias-reduction settings
  11. Measure performance of job boards to identify the most effective hiring channels

83 percent of talent say a negative interview experience can change their mind about a role or company they once liked, while 87 percent of talent say a positive interview experience can change their mind about a role or company they once doubted. (LinkedIn)

13 Applicant Tracking, Recruiting, and Hiring HRMS Features

1. Job requisition templates

2. Job description templates

HRMS

3. Single sign-on job board posting

HRMS applicant tracking tools

4. Pre-screening questionnaires with knockout questions

5. Branded recruitment marketing

HRMS branded job posting

6. Job board analytics

HRMS analytics

7. Application/resume parsing

8. Email triggers

9. In-app candidate texting

HRMS

10. Structured interview scripts

11. Hiring stage change triggers

12. Standardized scoring

HRMS

13. Mobile-friendly

HRMS

7 Applicant Tracking and Hiring Key Findings

  1. The most sought-after candidates have found a position within two weeks. Many companies take almost a month to fill an entry-level position and longer for higher-level positions. If it takes your company over three weeks to make an offer, the top candidates have been taken by competitors with a better process.
  2. 60% of job seekers have quit filling out an employment application due to its length or complexity. (SHRM)
  3. Organizations that invest in a strong candidate experience improve the quality of their new hires by 70%. (Glassdoor)
  4. 83% of talent say a negative interview experience can change their mind about a role or company they once liked, while 87% say a positive interview experience can change their mind about a role or company they once doubted. (LinkedIn)
  5. 80% of job seekers say they would be discouraged to consider other relevant job openings at a company that failed to notify them of their application status. Yet they would be 3.5 times more likely to re-apply to a company if they were notified. (Workplace Trends)
  6. 85% of the 13,000 job seekers surveyed from North America, EMEA (Europe, the Middle East, and Africa) and APAC (Asia Pacific) regions claim that consistent communication throughout the recruitment process is the top driver of candidate satisfaction. (Allegis Group)

 

employee timekeeping survey

Swipeclock Small Biz Survey: Top Trends for 2022

What are the top workforce and employee challenges businesses expect to face in 2022? Check out the key findings from the Swipeclock small biz survey.

Chapter 4. Employee Onboarding

Onboarding is a critical process that affects everything from employee performance to the customer experience. High turnover is one of the stickiest problems in the current employment climate. Firms with effective onboarding processes experience less turnover.

How does effective onboarding help your company?

5 Benefits of HRMS Onboarding

  1. Effective onboarding increases productivity by helping employees learn how to do their jobs faster.
  2. Good onboarding creates engagement from the beginning. Engaged employees buy into your mission and values.
  3. Effective onboarding saves money by lowering turnover. You’re probably aware of how expensive it is to hire a new employee. It costs between 100% and 200% of the employee’s salary to recruit, hire and train. Improving onboarding is a savvy investment.
  4. Effective onboarding improves your company reputation. Confident employees feel good about your firm. They leave positive reviews on Glassdoor and other review sites. They share their enthusiasm within their circle of influence. Your reputation is critical for customer loyalty as well.
  5. Companies with exceptional onboarding processes can nearly double their revenue growth compared to those with average onboarding.

The onboarding-revenue connection is due to several factors. Good onboarding decreases a new employee’s time-to-productivity. It helps them be more effective once they start contributing. Improved retention increases the cumulative experience and competence of the workforce. High-performing employees are better mentors to new employees. Therefore, the benefits of good onboarding increase over time.

6 HRMS Onboarding Tools/Features

  1. Online portal for new hire paperwork
    • Federal and state tax forms
    • Benefits enrollment and plan information
    • Employee handbook
    • Payroll setup
  2. E-signature
  3. Completion confirmation
  4. Real-time analytics and reporting
  5. WOTC application and filing
  6. Background and reference checks

9 Onboarding Key Findings

U.S. employers don’t excel at onboarding. Check out these numbers:

  1. 31% of workers have quit a job after less than 6 months
  2. 53% of employees said they could do their job better with improved training
  3. Only 32% of employers have a formal onboarding program
  4. 56% of self-labeled ‘disengaged’ employees said they got poor training or no training at all
  5. 17.5% of employees said they didn’t understand what was expected of them until they had worked 90 days or more
  6. The cost of losing an employee can be twice the employee’s salary or more
  7. Onboarding has the second-highest business impact of all 22 HR practices
  8. Unhappy and disengaged workers cost the U.S. $483-$605 billion each year
  9. 44% of CFOs say poor hiring decisions greatly affect morale

The good news? The overall sad state of onboarding presents an opportunity for you. You can create a superior onboarding process with an HRMS. Onboarding can become an important competitive advantage.

When employees go through structured onboarding, they are 58% more likely to remain with the organization after three years.

Chapter 5. Employee Timekeeping and Scheduling

Accurately tracking employee time is a foundational process for every business. Payroll depends on it. Project management depends on it. The process used to track time and attendance is integral to the employee experience. A straightforward, uncomplicated, and transparent process helps employees focus on their responsibilities. An inaccurate or confusing method wreaks havoc at all levels.

Let’s discuss the benefits of HRMS employee time tracking and scheduling.

17 Benefits of HRMS Timekeeping and Scheduling

  1. Avoid payroll errors
  2. Reduce time spent managing labor
  3. Increase trust between employees and management
  4. Eliminate buddy punching
  5. Prevent missed punches
  6. Reduce labor expenses
  7. Improve oversight of mobile and offsite employees
  8. Speed up timecard approvals
  9. Keep track of PTO requests
  10. Prevent double booking employees at two locations
  11. Reduce time spent creating employee schedules
  12. Track certifications and licenses
  13. Prevent shift coverage gaps
  14. Accommodate employee schedule preferences—improve work/life balance
  15. Comply with predictive scheduling laws
  16. Ease admin burden on managers with self-service shift trading
  17. Prevent employee burnout due to excessive overtime

14 HRMS Employee Timekeeping and Scheduling Tools/Features

To enjoy the benefits mentioned previously, consider the following features.

1. Online timesheets

HRMS online timesheets
2. Mobile clock in/out

3. Biometric time clock integration

HRMS biometric clock
4. Geofencing

HRMS geofencing
5. PTO tracking

6. Employee self-service

HRMS

7. ‘Employee aware’ time clock

HRMS
8. Project billing

9. Notifications/alerts

10. Schedule templates

HRMS schedule templates

11. Schedule enforcement

12. Absence management

13. Overtime management

14. Meals/breaks management

HRMS

5 HRMS Labor Cost Reduction Key Findings

  1. Schedule enforcement can save a 200-employee company $173,333 per year.
  2. According to the American Payroll Association, 43% of hourly employees commit wage theft.
  3. If 40% of your employees steal 10 minutes a day (a conservative estimate), that means you are losing roughly $150 a day (based on a staff of 150 employees).
  4. U.S. employers pay $304 million a year in back wages due to payroll errors.
  5. HRMS can save over 2000 hours per year of manager time for a 200-employee workforce.

Chapter 6. How Does an HRMS Benefit Employees?

An HRMS shapes the employee experience (EX). It defines the way your people engage with your company.

The employee experience isn’t merely a new name for employee engagement. There are fundamental differences. Engagement programs are designed to help employees invest in your business culture.

EX theory comes at it from the other side—molding the corporate culture to meet the needs of the employees. If you design processes with an employee-centric focus, your team members will naturally engage.

A great EX starts with carefully-designed hiring, onboarding, and training. It requires managers who help their teams succeed. And convenient, transparent, and responsive HR.

Let’s look at how an HRMS benefits employees.

11 Ways an HRMS Helps Employees

1. Employee Onboarding

Nothing results in success like a carefully-executed onboarding experience. With an HRMS, you can create an onboarding process on par with the most innovative businesses.

2. Benefits Enrollment

Offering competitive benefits attracts talent to your company. Making it easy to manage benefits keeps them there.

Employees compare plans, enroll, and sign forms in the portal. Centralized management and e-signature streamline what can be a tedious process.

In all the years I’ve been in HR, I’ve never encountered a person who didn’t want to fully utilize their benefits. They simply didn’t understand how to navigate the complexity or how all the benefits worked. Zach Montroy, SPHR, ‘Navigate the Journey’

3. Time and Attendance

Your HRMS is synced to a time clock. Punching in is smooth and easy. The HRMS timekeeping module accurately tracks hours. Your employees don’t have to fill out paper timecards—which has long been the bane of hourly employment. The clock reminds employees of missed punches so they can fix them before payday.

An HRMS creates payroll integrity. Employees know they will be paid extra when they come in early or stay late. They know that overtime will be correctly calculated. They have confidence that their accruals are tracked accurately. If benefits eligibility depends on full-time status, an HRMS can validate hours requirements. Payroll accountability brings peace of mind to employees.

4. Employee Scheduling

With an HRMS, employees can see their schedule, swap shifts, request time off, and manage FMLA in the portal.

It improves work/life balance by accommodating schedule preferences. It takes the hassle out of shift trading. When a shift opens up, employees who want extra hours can request it. This eliminates the need for a manager to beg unwilling employees.

Part-time employees can better juggle two jobs when their employers use HRMS scheduling. Employees are loyal to employers that support their work/life balance.

5. Productivity

HRMS with employee performance dashboards are popping up in many industries. Employees appreciate having access to the big picture.

Real-time feedback is a powerful motivator. It can make tedious jobs more interesting. It can make interesting jobs even more enjoyable.

We all get distracted by processes and forget how our efforts contribute to business goals. Real-time analytics show our progress.

HRMS performance dashboards are objective. They remove the subjectivity inherent in manager evaluations.

6. Mobility

Mobile tech tools make life easier. GPS helps us find our way. Notifications help us remember everything. Our phones provide constant web access. We get frustrated when we have to use old-school tools.

HRMS apps give employees 24/7 access and convenience. Easy mobile tools help you engage and retain increasingly tech-dependent employees.

7. Career Paths

78% of employees said they would remain longer with their employer if they saw a career path within the current organization.

Businesses are placing a greater emphasis on career paths. They help you keep your best employees. (You can be sure your competitors are trying to lure them away.) Career paths strengthen your employer brand. An HRMS helps you set up a career paths program. And manage performance reviews as part of that program.

8. Oversight

We discussed how an HRMS benefits rank and file employees. Your managers are an important part of your workforce. Let’s discuss HRMS advantages for managers.

Team oversight is a priority. But it can be challenging even when all employees are in the same office. Managers with mobile, offsite, or remote employees have even greater challenges.

An HRMS mobile app allows managers to monitor teams from a smartphone or tablet.

9. Timecard Approvals

An HRMS creates digital timecards. The hours are tallied with each shift. Managers have all timecards in a centralized location. They don’t need to round them up. The system doesn’t make addition mistakes, so managers don’t need to double-check. HRMS prevents missed punches and other timecard mistakes.

10. PTO Requests

Confusion surrounding time off is a common problem. Without a formal system, managers are at risk of scheduling employees who are on vacation. Or forgetting someone’s request.

Employees request time off with the HRMS PTO tool. Managers can see all the requested dates together, side by side. It is a great way for managers to outsource their memory.

Managers never have to remember which requests they have approved. It shows the dates the requests were submitted. This puts everyone on a level playing field if you have a first-come-first-served time off policy. It removes any actual or perceived inequity.

The PTO tracker is synced with the scheduling system. Managers are notified if they attempt to schedule an employee who will be on vacation during the dates in question.

11. Schedule Building

Managers create schedules in minutes with templates and drag-and-drop tools. The system finds eligible employees to cover open shifts. View schedules by team, week, or location.

An HRMS reduces manager scheduling time by up to 70%. (Plus it removes 100% of the hassle!)

3 Key Findings About Employee Engagement and Retention

  1. 91% of employees say the last time they left an employer, it was voluntary. (Gallup, State of the American Workplace)
  2. The top reasons given by employees for leaving their jobs include lack of career development (22%), lack of support with work-life balance (12%), their manager’s behavior (11%), unsatisfactory compensation and benefits (9%), and poor well-being (9%). (Work Institute)
  3. 87% of workers expect their company to support them in balancing their life between work and personal commitments. (Glassdoor)

Chapter 7. Do You Need an HRMS? Answer These 5 Questions

No two organizations are the same. A manufacturing operation has different needs than a chain of retail stores. Here are some issues to consider.

1. How Many Employees Do I Have?

The regulatory burden increases as your workforce grows. All employers are subject to the Fair Labor Standards Act (FLSA). When you hire your 11th employee, you are subject to the Occupational Safety and Health Act (OSHA). At 15+, the Americans with Disabilities Act (ADA) kicks in. When your staff hits 51, the Affordable Care Act (ACA) applies.

An HRMS is the best tool for managing compliance.

2. Are We Growing Quickly?

Though it’s a great problem to have, you’re especially vulnerable to problems when expanding quickly.

An HRMS can help you manage rapid business growth. You will need to ramp up hiring. Quality of talent is critical.

Payroll becomes more complicated. Unmanaged overtime can sink your labor budget. It’s more difficult to prevent time theft. Manual paperwork becomes overwhelming.

A good HRMS will prevent lapses in productivity as you scale up. It will help you create processes that will accommodate your pace of growth indefinitely.

An HRMS will not only prevent problems, it will fuel your growth.

3. Is My HR Team Overwhelmed?

Is your admin staff scrambling to stay on top of everything? Are employees frustrated because HR is slow to respond? You give your other employees the tools they need, don’t shortchange your hard-working Human Resources team.

When HR can automate tedious, repetitive tasks, they can use their time on projects that have a greater impact. For example, better onboarding, formalized career paths, and employee engagement programs.

Take care of your HR team and they will take care of your employees.

4. Do I Lose Too Many Employees?

Do you have a high turnover rate? You need to improve your company culture. A capable HR director can use an HRMS to turn things around.

Haven’t any idea if your turnover rate is high or not? Take that as a sign you need an HRMS to track data and present it in an easy-to-understand format. HR metrics matter. You can’t improve retention unless you figure out what’s going on.

5. Are My Operating Expenses Spiraling Out of Control?

Many operating expenses are fixed. A five-year lease on office space, for instance. Administrative costs, however, are variable. Inefficiency has an outsized impact because labor and benefits take the biggest share of the budget. An HRMS can help you operate leaner than ever before. Significantly reducing or completely eliminating the repetitive and mundane actions that every human resources employee is tasked with on a daily basis is the ultimate dream.

There is absolutely no reason why your HR team should be tied up with dull data entry and administrative tasks when they have much larger fish to fry, such as enhancing the company culture, improving benefits, and strengthening employee relations and satisfaction.

An HRMS system is the perfect solution to address those smaller tasks and allow your HR department to focus on what truly matters. Plus, an HRMS will give your company the momentum it needs to scale quicker by improving workplace efficiency.

Tips for Successful HRMS Implementation

Introducing a new HRMS is a no-brainer, but that doesn’t mean you won’t run into a few speed bumps on your road to implementation. Let’s discuss the best ways to obtain stakeholder buy-in for a new HRMS system as well as the ten top tips to implement it smoothly (once you have approval).

How to obtain buy-in for your HRMS

Those speed bumps we just discussed take shape as the key stakeholders in your project, and you will notice very quickly that you have more than just leadership to worry about. Leadership will be your first obstacle, then you will need to get your HR team on board, and lastly, your concern should be focused on your users. Ensuring that the employees who will actually be using the HRMS are satisfied should be your biggest priority.

Let’s walk through how to get it done successfully.

First and foremost, get everyone who needs to be in the know involved early and often. A new workplace process as large as this one is going to take a lot of time to get used to, so make sure the news isn’t sprung on anyone. You will want to collaborate with all parties involved to ensure you have all of their thoughts on the matter and that all of your bases are covered when you’re ready to move forward.

When it comes to dealing with leadership, you will need to come prepared. This means providing a clear path to proving ROI. You should start by pointing out all of the issues that your HR team is running into during their day-to-day duties. Call out the biggest blockers and prove exactly how an HRMS will solve them.

Additionally, your team’s, as well as the entire company’s, long-term success will be of interest. Many HRMS providers will be able to map out exactly what you can expect in terms of success if you use their service, and you should leverage this to improve your case. Paint a picture of where your company will be in six months, one year, and five years after the rollout. Prove the value that a new HRMS will bring to the company. You should also align your HRMS provider’s timeline for success with the upcoming goals your leadership is hoping to achieve. Doing so will ensure that the ROI is in the company’s future favor as well.

10 Top Tips Successful HRMS Implementation

Now that all of your stakeholders are on board and are successfully bought into the idea of an HRMS, it’s time to actually implement the system. Use these ten tips to guide your transition.

Tip 1: Determine clear objectives and goals

Before you start anything, you will need to set clear objectives and goals for your new HRMS. You should have a list of all the issues that your HR department is currently facing, and how the HRMS will solve them. This step is all about planning. You should know your company’s budget, future goals to be accomplished, and the exact ways the HRMS will affect them.

Tip 2: Set a realistic timeline

Be honest with yourself and your team that’s helping you when creating your timeline. You want to budget for unforeseen circumstances that come up, adequate testing time, learning sessions, and strategy building. If you set a go-live date that’s too ambitious, the adoption and success of your entire project will suffer.

Tip 3: Recruit your implementation team

You are only one person. Yes, it’s true that you’re the one person who is in charge of this project, but you will need a lot of support. Oftentimes, this team will be made up of your key stakeholders. Not only do these people have a say so in how this pans out, but they genuinely care for the success, because more likely than not, the new HRMS will affect their day-to-day work moving forward.

Tip 4: Evaluate all HRMS options on the market

Choosing the perfect HRMS for your company can be an extremely overwhelming process when considering the number of options on the market. To make this as simple as possible, be sure to focus on your company’s primary business needs and which solution will serve them best. Budget is also a huge consideration, so be sure you’re not overspending. Lastly, ensure that you are choosing a provider that has a fantastic support team. You will need this along your implementation journey and beyond.

Tip 5: Create a process map

Now that you’re more aware of what this implementation is going to take to roll out, it’s time to set a more specific timeline with smaller completion goals. You can break this up in phases or weeks, the purpose of this is to meet project milestones more quickly and break up the daunting task of implementing a project as large as this one. This will also keep you and your team accountable and on track for the go-live date.

Tip 6: Start migrating the data

Migrating your company’s data over to a more efficient solution will be useless if the data has gaping holes or is wildly inaccurate. You’ll want to send out a company-wide request to have every employee check their information. Once you have that, you can begin transferring. It’s crucial to note that before you do any sort of migration, backing up your company’s data is of the utmost importance. It would be devastating to learn that a system failed during the transfer process and every piece of information that’s crucial to the inner workings of your business is lost for good. No matter how often your company performs a backup, you cannot rely on one source or team to have it. Do your due diligence as the project leader and get your IT team to backup the data before you begin, just to be safe.

Tip 7: Obsess over security during the migration

You’ll want your IT team to help you with this next step as well. You can never be too careful when it comes to personal data. Ensure that you have all of the proper data security parameters in place before, during, and after the migration process. Every employee trusts that the company has their best interests in mind, and this process is no different.

Tip 8: Train a group of employees to become HRMS experts

Poor user adoption is one, if not the biggest reason large-scaled implementations such as this one fail. The key is to get the right people up to speed on how to start using the HRMS before the company-wide rollout, which in turn will create a trickle-down effect for the rest of the company. Recruit your C-suite, managers of all levels, and of course, the people who will be spending a lot of time with the new system to learn best practices and how to properly integrate the new workflow into day-to-day work.

Tip 9: Get ready to go live!

Once you have every single thing above this completed, it’s (finally) time for the moment you’ve been waiting for. It’s go time. You should have a plan of action in place to address anything that could go wrong. Doing so will ensure you’re prepared for everything and know what to do in the event a problem does arise. Your IT team can come in handy at this step as well, alongside your vendor’s representative.

Tip 10: Measure performance, success, and issues

Now that your HRMS is live and it’s starting to get some real use by employees across the company, it’s time to track the performance thus far. This is a step that should take place upon completion of any project, and it ensures continued success for the future. Of course, if any serious issue or workflow blockers have come to the surface, your next big job is to work on remedying the situations. Your key stakeholders will more likely than not have some things to say. Listen to everyone and take notes. Feedback from those who matter most to this project will only improve the process.

Begin HRMS implementation now

Successfully receiving the buy-in needed to implement an HRMS is just the beginning. The real battle begins when it’s time to introduce a new and very large-scaled process into your workplace. Allow these ten tips to guide you in the right direction when it’s time to finally put your plans into motion. Upon successful implementation, you will begin to see the quick scale of growth that your business will have due to the increased efficiencies of each and every department, specifically your HR department. On top of that, an HRMS will ensure that your company is kept up to date on all necessary compliances with workplace law while diminishing the mundane tasks that previously had to be done by hand. It will be incredibly worth it once you have successful integration – quick growth and success are now on your horizon.

How to Optimize Your HRMS

Hiring

  1. Build applicant tracking workflow
  2. Create an internal recruiting process and an external recruiting process
  3. Assign tasks to members of the hiring team
  4. Create templates for job descriptions, emails, questionnaires
  5. Use standardized scoring for questionnaires and interviews
  6. Connect stage changes to automated process actions (texts/emails, invitation to interview scheduling calendar, background/reference checks)
  7. Use a self-service interface to schedule interviews

Onboarding

  1. Enroll newly hired employee in the payroll system
  2. Employee handbook (digital or print)
  3. Gather new hire paperwork
    • I-9
    • W-4
    • Insurance enrollment,
    • Retirement plans
    • Life insurance,
    • HSA
    • Disability insurance, employee handbook

Day One Prep

  • Send email to new hire prior to first day. Include parking instructions, building access, map to office, name of person who will meet them.
  • Prepare workspace: phone extension, email account, computer, network connection, software apps and passwords, furniture, paper, pens and other office supplies
  • Human Resources Management

Day One

  1. Greet new hire at the door
  2. Introduce team
  3. Explain collaboration tools
  4. Building tour
  5. Instruct on time and attendance process
  6. Assign short-term project to focus energy and build confidence
  7. Invite new hire to company social events

HR Management

  1. HRMS employee portal
  2. Company directory
  3. Suggestion box
  4. Recognition wall

Time and Attendance

  1. Enter employee in the time and labor system
  2. Instruct new hire on:
  3. Tracking work time–onsite and mobile
  4. Submitting timecards
  5. View PTO balance and submit time off requests
  6. Accessing schedule and shift trading
  7. Employee signature for agreement to follow time and attendance rules

Employee Scheduling

  1. Enter new employees in the scheduling system
    • Contact info
    • Job title
    • Part-time or full-time
    • Job roles they can perform
    • Qualifications/certifications
    • Shift availability
    • Schedule preferences
  2. Create schedule rules
    • Minimum and maximum shift lengths
    • Number of employees per shift
    • Multiple locations
    • FLSA requirements
    • Predictive scheduling rules
  3. Set alerts for double booking, scheduled PTO, overtime thresholds
  4. Use self-service shift trading
  5. Cross-train for schedule flexibility
  6. Track scheduling data for ongoing optimization

Using Your HRMS for Offboarding Employees

Offboarding is the process of ending the employment relationship between an employer and employee. There are multiple reasons for separation:

  • Employee is laid off
  • The employee is terminated
  • Employee resigns voluntarily
  • The employee retires
  • The business closes

HRMS Offboarding Tools/Features

Similar to onboarding, an HRMS streamlines the separation process:

  • Offboarding checklists
  • Internal task assignment with reminders
  • Termination paperwork with e-sign and completion confirmation
  • Real-time analytics and reporting

Conclusion

In summary, companies that want to maximize their human capital will choose a capable HRMS. Let’s review why an HRMS is your key to success:

  1. Your business will grow faster
  2. Human Resources management will be as efficient as possible
  3. It will be easier to maintain compliance with workplace laws
  4. Your employees will happier, more engaged, and more likely to stay with your company

WorkforceHub from Swipeclock is the unified time and labor system tailored to and created for small businesses.

Simplify HR management today.

Simplify HR management today.

International HR Day 2022

International HR Day 2022: Shaping the New Future

May 19, 2022
Posted in

International HR Day 2022: Shaping the New Future As a provider of HR solutions, we love honoring hardworking HR professionals. International HR Day is a perfect opportunity to do just that. This year, the theme of International HR Day is “Shaping the New Future.” “We are leading a future that will be more inclusive, flexible,…

Read More
employee onboarding

How to Improve Your Onboarding Process [Onsite & Virtual]

May 9, 2022
Posted in ,

How to improve your employee onboarding process? First, don’t let it lag behind policy updates. Carefully review your policies, then update your employee onboarding checklists. In addition, keep employee handbooks up-to-date. Let’s discuss the issues that affect new hire onboarding: Remote Work Time and Attendance Health and Safety Benefits Compliance The Human Part of Onboarding…

Read More
brand-workforce-shower

WorkforceHub takes care of business.

We’ll show you how.

Request a Demo

Looking for log-in help? Please reach out to your HR or payroll manager.

brand - dots