There are more options than ever before for small and mid-sized businesses to take their HR administration online with software. But with choice comes complexity – with so many kinds of software, how can HR leaders ensure they are using the right system for their organization?
By taking tasks like hiring, onboarding, benefits enrollment and more online, these software tools streamline traditionally paper-based processes and optimize employee experiences.
But with choice comes complexity – with so many kinds of software, how can HR leaders ensure they are using the right system for their organization?
One consideration is whether to choose an all-in-one HR system or a variety of point solutions for each of the tasks mentioned above. All-in-one systems typically provide a broader scope of HR features to administer the full employee life-cycle. Alternatively, point solutions address just one part of the HR ecosystem — time and attendance, for example.
There can be circumstances where a point solution is required. If your organization has unique time and attendance needs, you may need a more robust time tracking solution than those included in comprehensive HR systems.
But for most employers, an all-in-one solution has more than enough functionality. Further, there are particular benefits associated with using one comprehensive HRIS as opposed to adopting multiple point solutions. Here are four of those advantages.
1. Optimize the entire employee life-cycle
Features in a comprehensive system support the entire employee life-cycle. In other words, new hires would use the system from their first touch with your company to the offboarding process.
These features include applicant tracking, onboarding, benefits enrollment, time & attendance, PTO and offboarding, and may include other compliance or employee communication tools.
This allows the HR department to realize significant efficiency gains across the scope of HR comprehensively, as opposed to point solution by point solution.
2. Single point of data entry
By using a single platform, employee data only has to be entered into the system once. Information entered during the application and onboarding process doesn’t have to be re-entered as the employee enrolls in benefits.
Using separate systems, or a paper-based process means employee information isn’t stored for future uses, and an employee has to re-enter data like their address or Social Security Number multiple times and every year when re-enrolling in benefits.
Alternatively, a single point of data entry makes the administration process easier on both the HR department and employees, as well as reducing errors and improving compliance.
3. One-stop support
Using multiple point solutions to manage the employee life-cycle diminishes the efficiencies gained by bringing HR online in the first place. Doing so requires employees to keep track of multiple logins and passwords, and the HR department has to deal with separate, disparate support teams.
In the event that issues arise, this can cause significant headaches. Benefits is a good example of why connectivity is beneficial—because benefits touches so many parts of the HR ecosystem, a mistake in the onboarding process can have a downstream impact on an employee’s benefits eligibility.
If you’re using multiple systems, this process would likely require several phone calls or emails to different support teams to resolve. Using one system that allows the different parts of the HR ecosystem to talk to one another streamlines the support process.
4. Ease of use
A common complaint from HR when it comes to using a benefits enrollment platform is that employees aren’t tech-savvy. Some employees have trouble logging in or aren’t sure how to use the system, and it can seem like technology is the problem, not the solution.
But the reality is employees will face challenges with any system they use only once per year. Alternatively, having an employee use a comprehensive HRIS from the moment they begin engaging with your company means when benefits enrollment comes around, they are already comfortable using the system.
This means they can take better advantage of employee communication regarding their benefits, leading to more informed choices and, ultimately, more satisfied employees.
When evaluating your options for HR technology, consider the advantages of a system that manages the entire employee life-cycle. For most organizations, this strategy produces optimal results.