When considering any new technology, you need to be certain that the benefits outweigh the costs. Especially when you need to show the C-suite that a new system will add serious value to the business.
Human resources technology can include payroll, performance management, talent acquisition, people analytics, and more. Let’s dig in and see why the benefits of HR technology are worth the investment.
The days of paper-based systems and complicated spreadsheets are over. Employees and HR professionals shouldn’t have to sort through a maze of paperwork to find the information they need—whether that’s about payroll, insurance, vacation time, anything.
Information should be neatly organized and available at the click of a button, and HR technology can integrate different databases while automating certain administrative tasks.HR technology allows information to be neatly organized and available at the click of a button. Click To Tweet
The saved time adds value to the business, because it allows HR to focus on strategic activities such as talent acquisition.
Reduced Cost & Added Value
The increased efficiency allows each HR professional to service a higher number of employees. If the average ratio of HR staff to employees is 1:100, a new software system may be able to increase that ratio to 1:140 or 1:150.
You can either reduce the number of HR staff or use that newfound efficiency to create more specialized roles for the team.
Improved Performance Reviews
Performance management technology can revolutionize your company’s goal-setting and performance review processes. Goal management software allows managers and employees to continually track progress toward quarterly goals. Surveys and real-time feedback allow teammates to celebrate wins and share constructive criticism instantly, providing managers a better insight into each employee’s performance.
Streamlined performance management software brings the review process into the 21st century. Managers, executives, and HR can get a clearer picture of departmental strengths and weaknesses while also identifying top employees that are suited for future leadership roles.
HR technology is able to run analytics that would otherwise be impossible to gather.
Predictive talent models analyze data across various categories—including demographics, educational and professional experience, compensation, and performance ratings—to pinpoint common characteristics among high and low performers, identify employees that are at risk of leaving the company, filter applications to distinguish the strongest candidates, and eliminate bias in the hiring process.
These insights can help your company determine where to focus recruiting efforts and allocate funds.
Data Security and Recovery
Data breaches can cost companies millions of dollars. Because human resources is responsible for protecting employees’ sensitive personal information, you need to ensure that data is extremely secure. New HR technology offers the highest level of data security while also providing an invaluable backup in case of a disaster.
You can’t afford to lose data in the event of fire, flooding, or other natural or technological disasters.You need to ensure that your HR data is extremely secure. Click To Tweet
Many systems today require a digital signature from an employee to acknowledge receipt and acceptance of HR paperwork and policies. Your company will also be able to identify whether an employee has participated in mandatory procedures or training sessions. This creates a digital paper trail, which protects the company in case of a legal dispute.