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How Can HR Software Benefit Your Company?
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Workforce Management

How Can HR Software Benefit Your Company?

HR software can help companies to improve talent management systems,

better manage employee records, and optimize hiring practices. Many

companies across all industries and geographical locations have already

made the leap into automating HR systems. For those that have not yet

made the leap, the following are several ways that HR software may be

beneficial to your company.

1. Save space

One thing that HR systems are virtually guaranteed to do is save

companies space. Eliminating or minimizing paper records removes the

need for extensive filing systems and large storage areas, which can in

turn save your company money on rent and utilities.

2. Improve organization

When records are kept in an automated system, it becomes much easier

to organize and recall needed information. The degree to which HR

systems may help improve organization depends on your company’s existing

systems and the features of the software.

3. Streamline information sharing

HR systems can make it possible for employers or managers to share

information across an entire organization with one click. If employee

self-service options are in place, this information may be accessed from

anywhere at any time. This can eliminate inconsistencies when sharing

information regarding procedural changes and other company news.

4. Conquer geographical barriers

For companies that operate across the globe, an HR system can help

employees and managers to communicate from remote locations and attend

conferences online. Depending on the industry, it may be possible to

communicate completely online and hire skilled employees without ever

needing to travel or have the employee relocate. HR software can also

help to establish greater consistency in systems and standards when

there are numerous company locations across a large geographical area.

5. Optimize decision making

With the help of analytics and data reporting, managers can optimize

decision making in many areas. HR systems can help managers determine

when and who to hire and what the best methods will be for employee

development. HR systems may also be able to help managers determine how

to increase productivity and improve systems, though this requires

analysis skills as well as access to information.

6. Better use of human capital

HR software makes HR professionals’ jobs much more efficient. HR

personnel does not have to spend time writing out and filing employee

information and searching through files to answer questions or make

changes. With information easy to enter and available in one place, HR

professionals have more time to devote to endeavors that will truly

benefit the organization.

7. Increase performance management effectiveness

Performance management can be altered from a once-a-year grueling review

process to a daily or weekly feedback session in which managers truly

find out how an employee is progressing and use the information to

effectively develop the employee. HR systems make it easy to obtain

performance feedback from a variety of sources so that a more realistic

and rounded view of the employee is seen. With this information,

managers can more effectively develop employees by giving specific

advice and suggesting training systems that will be of the greatest


About the author

Dave Rietsema has worked in the human resources field for nearly 10

years in multiple roles—from HR Generalist to VP of Human Resources. He

holds an MBA with an HR focus and earned a PHR certificate from HRCI in


Dave is the Founder & CEO of HR Payroll

Systems and HRIS Payroll

Software, websites that help HR

professionals in identifying, evaluating and selecting HR and payroll

software solutions.