5 Must have modules in your HR Software – HRMS
An HR Software is a robust technology that manages the gamut of administrative and operational daily HR processes easily. The life of the HR department is nearly impossible in a current era without an HRMS (Human Resource Management Software/System). By Utilizing HR Software, HR can automate all the manual tasks that help them save time and energy. It reduces the risks of making errors and gives accurate data and updates.
What is an HR Software or HRMS?
HR software is also known as HRMS or HCM (Human Capital Management) and HRIS (Human Resource Information System). Each term sounds different, they all refer to the system a company uses to effectively manage employees. It is a set of modules and functions specially designed for HR for all size businesses to boost the productivity level in HR activities and increase employee satisfaction. It combines HR functions like talent management, payroll, time tracking, benefits administration, and more into one platform.
Why Use an HR Software or HRMS?
The major function of an HR software or HRMS is to make your HR processes more efficient. A software system with integrated modules can automate many of the tasks that take up the bulk of an organization’s HR department’s time.
5 Core must have HR Modules every HR Software
Recruitment Management System: The recruitment module in your HR software can streamline the entire process of recruiting and provides a centralized process to post job advertisements online, track applicants, sort applications, administer tests virtually, keep in touch with the talent pool, and makes the process easier by holding all the relevant information and documents in one place. It manages all the internal form-filling and authorization processes; allows managers +/or HR to post advertisements and supporting documentation online, offer applicant tracking, and even initial sifting.
Onboarding: Employee Onboarding module gives a structured and seamless onboarding process. It is the key module that simplifies the entry of new employees into your organization and makes a good impression about your company. Many of the new employee onboarding steps can be completed through workflows, such as user accounts, badge access, training, and more. Onboarding module features include:
- Pre-first day preparation
- Easy (and paperless) set up of accurate employee records
- Provision of essential information about the company and key personnel
- Gamified learning
- Automatic scheduling of essential meetings
- Compliance with legislative mandates
- Goal-setting as a basis for a probationary period
Performance Management Module: The Performance Management module in HR software empowers organizations in recording their job descriptions, employee training, and annual reviews in one convenient location. This module automates the performance review process, tracks personal goals and company KPIs and as well as manages the completion of training and certification programs. Common performance management module features include:
- Setting and managing goals
- Links to the competency framework
- Scheduling of appraisal meetings
- 360 performance feedback
- ‘In the moment’ feedback tools
- Big Data gathering for a broader picture of individual performance
- Links to talent management and succession planning functions
Leave and Absence Management: leave management module in HRMS is an automated framework to apply, allocate, book, approve, track and monitor any leave or absence from the workplace. It can be any reason from an employee’s point of view, but a request and approval process must be automated to achieve a streamlined and appropriate leave management procedure. A few leave and absence management module features include:
- Employee self-service leave the application process
- Self-service leave requests
- Approval and Rejection automated process
- Integration with workforce management (scheduling) and time and attendance functions
- ‘Account management’, tracking accrued vacation time and usage.
- Metrics and analytics, including absence levels and trends
Payroll Management: Payroll management within your HR software is vital for various reasons. Since the module is synced to the HRMS, Leave Management, and other relevant modules, the likelihood of overpaying, underpaying, and other payroll errors are chopped off. The payroll module automatically disburses salaries and remittances, taking the stress off HR. It is linked to the Employee Self-Service portal, allowing employees to request their payslips and giving them access to a Marketplace where they can access loans, salary advances, and other value-added benefits.
Bottom line: There are numerous features and modules aligned with HRMS these days. But, few are most important for any organization to run its basic HR functions. One must also look at other important functionalities such as automated reports and analytics, learning management, ESS (Employee Self-Service)n portal, Benefits management, Time & Attendance, etc.