HR, Thought Leaders

6 Ways HR Software Makes Employee Management More Efficient

September 18, 2020

by Ritik Singh

Content Writer, Pocket HRMS

An HR management system can be a useful tool for businesses looking to streamline their employee management. Look for software solutions that can help with recruitment, performance checks, employee data management, and more.

The future looks bright for business technology. As new solutions and use cases emerge, more businesses are discovering how technology can help improve their internal operations. This is particularly true for HR software.

To manage your workforce effectively, you need to understand your employees and internal stakeholders. This means looking at:

  • Employee engagement
  • Attendance tracking
  • Performance tracking
  • Internal workflows

These are just a few factors to consider, but the list goes on and on.

Many businesses turn to a human resource management system (HRMS) to support their HR department. Whether it’s a custom solution or an off-the-shelf option, a good HRMS can help with a range of processes.

At the end of the day, the right software for your business is based on your company’s unique needs. So, it’s a good idea to get informed about your options. This article will go over a few common HR features that your company might want to consider when shopping for an HRMS.

6 Ways HR Software Makes Employee Management More Efficient

  1. Ease the recruitment process
  2. Track employee performance
  3. Facilitate employee data transfer
  4. Help manage sister companies
  5. Keep track of time off
  6. Make full and final settlements simple

1. Ease the Recruitment Process

The best way to improve a company’s performance is by hiring the best talent. However, recruiting a new employee is an expensive process that takes time. An HRMS makes it easier to track applications, monitor candidates through all recruitment rounds, and even help with onboarding. 

Once a candidate is hired, they can access and fill out any required forms through the HRMS portal. Any HR software should allow you to keep all sensitive documents in one place.

2. Track Employee Performance

For companies that follow the 360-degree feedback methodology, performance management software can be a time-saver. 360-degree feedback gives a holistic picture of an employee’s performance based on input from various sources.

Feedback should come from direct reports, managers, customers, and peers.


That includes feedback from managers, peers, and even clients closely associated with the employee. 

An HRMS can automatically select a group of people to evaluate an employee and provide feedback. You can define a set of questions for each evaluator to ask (or use provided templates) as well as a scoring rubric through the software. 

The HRMS will then collect the responses for review. This helps standardize the assessment process while gaining a full performance picture

3. Facilitate Employee Data Transfer

An HRMS can help transfer employee data if a resource earns a promotion, needs to switch into another role, or relocates to another office. With a few clicks, you can transfer and modify nearly all employee data without having to redo forms.

This includes information related to an employee’s insurance, address, department, company, and many more. Even better — you can select multiple employees at the same time and transfer all data simultaneously.

4. Help Manage Sister Companies

For those unaware, sister companies are closely affiliated companies owned by the same entity. An HRMS allows you to manage sister companies, all from a single admin portal. Just assign tasks and views to individual workers per company.

Each company’s data isn’t siloed either. Employees can freely switch between companies as required, which promotes a wider learning scope and more alignment on business goals.

5. Keep Track of Time Off

All employees need time off to be productive, whether it’s for personal time or sudden emergencies. Employees should have a safe, centralized channel where they can communicate with management regarding their working hours, leave of work, or vacation days. 

For example, Gusto is an HRMS that integrates into other key workflow management tools, such as Homebase, TSheets, and When I work.

Gusto is an HRMS that integrates into other key workflow management tools, such as Homebase, TSheets, and When I work.

Having an admin portal where you can look at all of the data in one location is particularly helpful. Clarity around time off can help you better manage your resources, whatever the situation. 

Some business solution providers have even built tools that are mobile-compatible, allowing employees to notify you of unexpected time off in real-time. 

6. Make Full and Final Settlements Simple

Full and final (F&F) settlements were traditionally a chore to do. There’s a long pile of papers that needs to be filled out by the employee as well as asset management for company-owned items. But an HR-based software can make that a breeze if you have the right modules set up. With just a few clicks, you could process an F&F settlement in no time.

The Right HR Software Can Streamline Your Business’s Workforce

A well-thought-out HRMS can make it easier for you to manage your employees. But, you have to keep in mind that not every provider’s software will be the right fit for your organization. 

It’s important to consider exactly what your business needs before making a selection. Do you need to organize your recruitment efforts? Or maybe you need a solution that focuses on managing sister companies. These are all things to think about when looking for an HRMS.

When your business is backed by a good HRMS, employee management can become a lot smoother. Do some research to figure out what works best for you.

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