Digital transformation has changed the way companies hire and manage talent. There was a time when HR professionals had to manually handle all the hiring, firing, and payroll responsibilities. But with the advancement of technology, the HR role has diversified and it now includes end-to-end talent management responsibilities.
Now, more than ever, modern HR professionals are required to have complete, in-depth knowledge of their organization’s core competencies so that they can hire employees that fit the job requirements and the company culture perfectly.
What is the role of the HR department?
The human resources (HR) department is responsible for managing the company’s most valuable assets—employees. The HR department has a number of responsibilities, including:
1. Hiring and recruiting
One of the major responsibilities of the human resources department is to recruit the right talent. The HR managers have to actively keep track of the vacant positions in the company and make sure they are filled within the required time.
2. Training and development
The HR department creates training programs for new employees as well as the existing ones. The idea is to get the new employees up to speed and improve the skill set of the existing employees. HR managers also work closely with department heads to determine the current training needs of the employees and create a training budget accordingly.
3. Managing compensation
The HR department usually handles payroll and makes sure the employees are being paid on time. It is also responsible for managing the compensation programs offered by the organization.
4. Employee relations
The human resources department helps maintain the relationship between the company management and the employees by promoting fairness and seamless communication. In case of any disputes between employees and the management, or disputes between the company and labour union, it is the HR department that mediates and handles everything.
Major challenges faced by HR managers
1. Attracting top talent
Attracting and retaining top talent in an organization is one of the biggest challenges for the HR department. It requires a lot of time and a whole lot of work. To attract the right candidates, recruiters and HR managers don’t just need to post vacant job requirements on the major job platforms, but they also need to manage seamless communication with applicants.
It is worth noting that active candidates only make up for 30 percent of the global workforce, and the rest 70 percent are passive candidates. To target these passive candidates, recruiters need to create an internal talent tool that can help in tracking, filtering, and contacting the right candidates for the job. An HRMS can help with that.
2. Fostering a culture of continuous learning
Over 37 percent of employees leave their jobs when they aren’t given opportunities to learn new skills in the company. As a result, 79 percent of employees state that when applying for a new job, they always check if the company offers a formal training program.
That is why, it is extremely crucial for the HR department to setup internal training programs within the company for continuous learning in order to attract and retain talent.
By automating training and development modules through an HRMS, you are able to give employees the flexibility to take part in different skill training sessions according to their own time without disrupting their usual work schedule.
3- Offering an ideal employee experience
Even if the recruiters manage to hire the best employees for the organization, retaining them is a whole another human resource challenge.
When the employees are satisfied with their job responsibilities, workplace culture, and the people that they work with, they are far less likely to consider changing their job. That is why creating an ideal employee experience is one of the biggest priorities of the HR department.
It isn’t surprising that most companies are now trying to offer the best possible employee benefits and amenities in order to create an inspiring and encouraging work environment.
11 Best Practices for HR Managers
Best practices for HR managers set out what an organization and its employees have a right to expect from their HR team. HR managers who are competent and skillful know what it means to serve the management and workforce will have an arsenal of HR best practices in place to drive efficiency into their day-to-day functions.
Listed below are 11 best practices for HR managers in 2020:
- Design a safe, healthy, and happy workplace for your workforce
- Find, attract, and hire the best talent within the right time frame
- Build high-performing, self-managed teams at work
- Deliver an onboarding experience, not just a process
- Create a fair and bias-free performance evaluation process
- Make conflict management safer and transparent for all parties
- Establish an inclusive workplace culture with employee feedback
- Follow an open door policy to encourage open communication
- Reskill employees to fill existing and future knowledge gaps
- Find ways to increase employee engagement and reduce turnover
- Offer your employees the gift of graceful exits
How can an HRMS simplify things for HR managers
A human resource management system (HRMS) is a type of HR software or HR solution that helps manage all the major HR functions of the organization with the help of technology. The main goal of an HRMS is to improve the overall efficiency and productivity of the HR department by automating and streamlining tasks. This in turn frees up the time of the HR team and allows them to focus on the more strategic and business-critical tasks.
The major HRMS functions typically include:
Recruiting employees with just the right mix of competencies and skills is a critical task. An HRMS allows you to streamline and automate the end to end recruitment process to make sure the right candidates don’t fall through the cracks. The tool can help create a talent pool, filter resumes, schedule interviews, and manage candidate feedback through a unified HR platform.
An HRMS can streamline the dynamic onboarding process for new hires and offer them a seamless onboarding experience. This, in turn, helps new employees in getting up to speed with existing employees and understanding the company’s culture in a better way.
An HRMS makes it easy to manage employee timesheets and leave requests by automating the entire process. The employees can update their timesheets through the HR platform and raise leave requests which are then directly sent to their department heads and the HR managers.
4. Payroll processing
Payroll processing is one of the most critical responsibilities of HR managers. Even the smallest mistakes can lead to big problems in the organization. An HRMS allows you to avoid human errors all together by pulling timesheet and employee leave data to automatically calculate the salaries at the end of every month. The best HR solution online can even take into consideration other employee benefits like tax deductions and reimbursements to make sure the salaries are accurately disbursed.
5. Employee offboarding
Employee offboarding can be a long drawn and complicated process. If there isn’t a standard procedure in place for offboarding, then there is a high chance of something getting lost in the shuffle. An HRMS can automate the entire offboarding process by managing all the necessary documents online and enforcing the required policy compliances through an online offboarding checklist.
Standalone HR apps vs. HRMS: Understanding the difference
A standalone HR app tackles a particular HR process or issue. These HR apps can be on-premise or cloud-based. But with restricted and very specific features, you often have to use them along with other third-party HR tools in order to digitize your entire HR department which won’t just cost your company more money, but it can also create confusion among employees.
An HRMS, on the other hand, helps manage and streamline all the critical HR processes in the employee lifecycle including recruitment, onboarding, employee management, and offboarding. Instead of using multiple standalone HR apps, you only need to use one single HR solution that lets you manage all HR functions through a unified and dedicated online HR platform.
The ultimate checklist to select the right HRMS tool for your business
1- Cloud support
With more and more companies adopting cloud-based SaaS applications for managing their internal business processes, it is also important to have a cloud-based HRMS so that it can easily integrate with other internal company applications and allow HR team to manage their work from wherever they are, irrespective of their device or physical location.
Go for an HRMS software that can grow with your company. After all, it would be a waste of time and resources to invest in an HR solution that cannot accommodate the growth of your business.
Before finalizing an HRMS software, you need to identify the needs of your HR department. The idea is to understand the current bottlenecks in the HR processes and then see if taking your HR online can make your HR processes within the department more effective. You should then make a list of all the features that you expect the HRMS to have.
4- User interface
If the HRMS is too complicated or technical for your HR department to use, then it may not be helpful at all to invest in an HR solution like that. Instead, the HRMS should have a user-friendly interface with a small learning curve so that the HR managers can use them on their own, without any technical assistance
Select the right HRMS to hire better talent
Human resource management software can give your HR department all the tools that they need to hire and retain talent. Kissflow HR Cloud is an end-to-end HRMS tool that allows you to digitize and manage HR processes in your company.
With a user-friendly interface and the option to create customized workflows, Kissflow HR Cloud can automate HR processes and ease the workload of your HR team so that they can focus on what they know best—hiring and managing people.
Sign up for a free trial of Kissflow HR Cloud to know how it can improve the efficiency of your HR department.
- How to Choosing the Best HR Software
- HR Management Software for Your Small Business
- Analysis to Help Your Organization Choose a HR Cloud Solution
- 8 Best Practices of Paperless Onboarding Process (With Benefits)
- 7 Questions to Ask When Before Buying HR Software
- The New Roles of the Modern Human Resources Managers
- 4 Ways Automating HR will help your Hotel Stand Out