Human Resources, more commonly known as HR, is an essential component of many businesses. In fact, some would argue than an HR function should exist from the beginning of a startup’s existence. But how can a new business afford this?
The answer could be HR software, which is swiftly gaining a following in the business world. With this article we’re going to look at what it is and analyse why it is proving to be so popular.
HR Software Explained
To define HR software we first need to look at human resources itself. This is commonly defined as the department in a company or organisation which deals with the recruitment, administration and training of personnel. Managers and company owners the world over believe that HR is vitally important, because without employees a business usually cannot function.
So, from this we can deduce that HR software – also known as an HR management system – is a computerised way of managing people. This type of software can combine a number of functions and we’re going to look at them below to see just how they are helping businesses.
The Features of HR Software
The best HR software systems offer a host of functions that can make management easier and workplaces more productive. These could include:
- Absence management, to record and track days off;
- Personnel management, to store employee data securely and access it quickly;
- Employee services, to allow employees to perform functions such as booking holidays and saving performance reviews;
- Performance management, to track how well your employees are meeting business objectives and their personal goals;
- Expenses management, to allow for the addition, approval or rejection of claims;
- Timesheet management, to track workflow and facilitate planning;
- Recruitment databases, to store and analyse information about prospective employees;
- Health and safety management, to handle everything from incident tracking to compliance.
Why is HR Software Becoming So Popular?
Businesses are turning to HR software not only because it can give managers and employees a wealth of features, but because it offers:
- Affordability, with packages usually being based on the size of a business;
- Flexibility, with the ability to scale as a business grows;
- Insights, with businesses being given the benefit of updates and training;
- Customer service, with professional support usually being just a phone call away;
- Efficiency, with businesses being able to manage HR functions quickly and effectively.
As you can see, HR software brings with it a broad range of possibilities for businesses of all sizes. If you are starting a company or looking to expand it could be well worth your time to investigate this option.