Technology is changing the HR landscape. The transformation is driven by changes in technology itself – the modern HR software is different to the software HR teams used around a decade ago. One of the major changes is the introduction of automation.
Automation is present in all the good small business HR software out there. In fact, automation is a huge benefit to businesses in multiple different fields from marketing to accounting. If you are looking for new software, then your focus should definitely be in finding something with automation. Why? The benefits of automation can transform your business for the better.
1. It provides cost-effectiveness
Perhaps the most intriguing aspect of HR automation is its cost-effectiveness. This is important for any business but especially so to small businesses with much more limited resources. Automation allows small business to select the HR software solutions and functionalities they need without a huge investment.
According to Hewitt Associates, companies can save up to 20% in HR delivery costs and benefits by using HR process automation. This is mainly achieved by the low initial cost of HR automation tools. Many of these systems are often agile in the cost – you only pay for what you use and need, allowing you to grow with the tool if necessary.
2. It has time-saving capabilities
One reason HR automation is such cost-effective is down to its time-saving capabilities. Since automation effectively takes some tasks away from the HR professionals, the professionals can focus on other tasks and be more productive. With the right automation tools, you’ll automate repetitive tasks, bridge process gaps and eliminate manual intervention. These will all end up saving a lot of time.
The big benefit of automation is the reduction in the need for human labour. When you remove this manual requirement, you unleash a 24/7 operative process. Your small business HR software can be working away at any time of the day – it will save time by using more time.
3. It improves accuracy
With automation, your business is going to enjoy more accuracy. In the HR department, accuracy is everything and errors can lead to numerous costly problems. If you input holiday requests wrong or if your employee data is incorrect, you can lose money, upset employees, and hinder productivity.
Since automation can take care of these things digitally, you reduce the number of errors you make. The right small business HR software will pull up data from other sources, double checks it and implements correcting based on data. Complexity is not an issue any longer and different processes can be dealt faster and with more accuracy. For business, the enhanced accuracy can save time, money and result in a happier and more productive workforce.
4. It breeds efficiency
The above four benefits will result in more efficiency within your organisation. Because you don’t have to waste time in mundane tasks or constantly have to look for errors, you will have time to focus on the value-adding tasks. The HR team can direct their time and resources into the areas that require it the most.
Automation takes care of functions that don’t require constant human attention. Small business HR software can sort out your holiday pay, sickness leaves and payroll information, among other things, efficiently, accurately and fast. Due to this, your HR professionals have more time to work on complex issues such as training programs or employee retention. With automation, decision-making becomes informed and this results in efficiency.
5. It results in more consistency
Finally, automation can help improve consistency. Manual management of HR functions is rarely consistent because people always work in different ways. One person’s approach to inputting data will always differ from another’s, no matter how good guidelines you have. The manual aspect of managing HR tools will add variety to the system and this can be negative.
Automation won’t have this problem. Studies have found that HR automation uses identification to maintain consistency. These small business HR software tools can exclude identical processes and variable outputs from the data. You’ll end up with a consistent approach to management.
Opting for HR automation can help your business
The above five ways HR automation can boost your business are evidence of the benefits of implementing automation technology. It will benefit a business in a number of different ways – creating not just cost reduction but also resulting in a more strategic and professional approach to HR.
Small business HR software should use automation at its core. When you are trying to find the right products to use, it’s important to focus on automation. How can the specific software aid you in automation? If it can’t, it’s probably not worthy of your investment.
So, make sure to gain the above benefits by adding automation to your core technology strategy. The small initial investment will end up paying dividends in no time.