Business as we know it is changing thanks to the rise of the digital age. Accordingly, 40% of HR practitioners adopted a roadmap for digitization, and more will follow suit as technology continues to improve the way organizations can manage one of their most important resources—people. 

Where would a company be without the people who run the day-to-day operations?

Leaders and business owners should find better ways to recruit, retain, and train staff to grow their businesses and reach their goals. To do that in these times where “there’s an app for that” and people turn to online resources like clockwork, human resource professionals and managers should start looking into HR management systems that will help them in HR-related activities.

Types of HR Management Systems

There are countless HR systems and processes to assist Human Resource managers and staff when performing their duties. These systems help us hit all kinds of milestones such as recruiting the right staff, improving employee engagement, systematizing human operations, and so on.

Let’s talk about five HR management systems that businesses, both small and large, can use to significantly improve human resource management.

1. Recruitment systems
Recruiters are all too familiar with the college tuition increase and rising wages, which make recruitment a tricky business. On any given workweek, the average human resource professional will have several tasks related to recruitment, including scanning through resumes, moving applicants through a funnel, or interviewing them to see if they’re a good company fit. With the use of recruitment systems, HR managers and recruiters can better systematize these processes by creating visual funnels that make it easier to take notes, get information, and move promising candidates up the recruitment funnel.

2. Employee management systems
Up to 30% of new hires resign in the first three months of work. To lower turnover, HR managers should focus on better HR systems that will ensure work productivity while also tracking workload and time off so they don’t get burned out and leave their jobs. Using employee management systems, managers can administrate employee schedules better. Here are some tasks that these systems can do for an HR department.

• Time tracking — Use virtual tools to allow employees to clock in and out remotely or on-site using the right tools.
• Task management — Manage workload and track completion rates. Use these tools also to monitor performance and reward staff for milestones. 
• Scheduling and leave management — Track time off and use artificial intelligence and automation to move schedules around so that your schedule managers don’t waste time manually rearranging everything.
• Policies and benefits management — Track benefits that staff qualify for and create automated schedules to deliver them. You can use this kind of software to track health benefits, sales incentives, and so on.

3. Employee records management systems
For efficient virtual work setups, many companies turn to cloud-based records management systems. This alternative also makes it easier to save space and resources on printing by moving all files and information in a virtual setting.

4. Learning and development systems
Another of the more helpful types of HR software are those related to employee learning and development. Companies can use tools like learning management systems where managers can upload training materials and resources that can help staff learn technical and soft skills to improve at work. 

5. Payroll systems
Payroll systems are pretty straightforward — they record time or output delivered and inform HR departments and staff how much personnel should get paid every salary cut off. These systems can also automatically compute for tax and deductions and create payslips to make it easier to track and compute salaries. In some cases, these solutions can also disburse the salaries virtually.

How to Select the Right Software

For sustainable human resource management with virtual tools, companies and their HR managers should ensure that they’re using the right tool for the job. There are many options for each of the types of HR software mentioned above, but not all will meet the company’s needs best. Here are some considerations when selecting HR software.

Consider your pain points
The best HR software for you is the one that solves your pain points and context best. Understand the unique aspects of your company such as size, location, and work arrangements. For example, the time-tracking software for a virtual team and an in-office one will be different.

Check your budget
Selecting the right human resource management system also entails finding the one that fits your budget best. Study all your options and look at their pricing offers. Select the one that offers the features you need for the least price possible.

Align with a roll-out plan
Roll-out is the last factor on your list to keep in mind. There’s no point in having software if no one uses it. Talk to your staff and have a few of them try out the software before landing on the one you’ll use long term.

HR in the Future
There’s no knowing what the future holds for businesses, but we can get a good idea of the overall direction. And it seems that all businesses that have seen some level of success are moving towards using more tech-based solutions, especially in human resource management.