Reading Time: 3 minutes

The retail industry faces numerous challenges in today’s customer-driven market, including efficient workforce management, employee retention, and maintaining competitiveness. HR Tech in Retail industry play a crucial role in addressing these challenges and improving HR functions.

HR technology streamlines processes, improves data access, and enables informed workforce decisions. Integrating HR technology into the retail industry is essential to meeting market demands, retaining top talent, and staying competitive.

This blog covers the evolution of retail, HR challenges, available solutions, benefits, and the future of HR technology that retailers can use to make informed decisions and drive their business success.

The Retail Industry and Its Evolution:

Advancements in technology and e-commerce have transformed the retail industry, and HR technology has played a crucial role in this evolution. Manual and time-consuming HR processes have been streamlined with the introduction of digital platforms, cloud-based solutions, and mobile technologies.

HR management systems automate key functions such as employee onboarding, benefits administration, and performance management, while talent management systems and employee engagement platforms help retailers identify and develop top talent and improve employee experience.

By leveraging the latest HR technology solutions, retailers can manage their workforce effectively, track employee performance, monitor satisfaction, and make informed decisions, remaining competitive in a rapidly changing landscape.

HR Challenges Faced by The Retail Industry:

The retail industry faces unique HR challenges that can impact business success, such as employee turnover, attraction and retention, and managing diversity. To combat employee turnover, retailers must improve satisfaction and implement programs that incentive employees to stay.

Attracting and retaining top talent requires creating opportunities for career growth, development, and a good work-life balance, along with competitive compensation packages and a supportive work environment. Retailers must also manage diversity by creating an inclusive workplace culture, fostering diversity in recruitment and promotion, and providing training opportunities.

Cloud-Based HR Technology Solutions in the Retail Industry:

Retailers have various HR technology solutions to manage their workforce effectively, including HR management systems, talent management systems, and employee engagement platforms. HR management systems automate manual processes, including time and attendance tracking, payroll processing, and benefits management. Retailers gain real-time visibility into workforce status and make informed staffing and resource allocation decisions. Talent management systems identify and develop top talent through performance management, succession planning, and employee development tools. Employee engagement platforms enhance employee satisfaction and reduce turnover with tools like employee surveys, feedback systems, and recognition programs.

Benefits & Future of HR Technology in The Retail Industry:

The implementation of cloud-based HR technology solutions can bring significant benefits to the retail industry.
Firstly, it can improve the efficiency of HR processes by automating manual tasks and streamlining workflows.
Secondly, HR technology provides retailers with access to a wealth of data and analytics, enabling informed decision-making and data-driven insights into workforce trends and behaviors.

Additionally, cloud-based HR technology can enhance employee satisfaction by providing them with a self-service platform for managing their benefits, payroll, and time-off requests, as well as a communication platform for staying informed about company news and initiatives. This can increase employee engagement and lead to better retention rates.

When it comes to future of HR technology in the retail industry, Artificial Intelligence (AI) and Machine Learning takes the centre stage. With this, HR technology will become more sophisticated, providing retailers with even more insights into their workforce. Additionally, the use of gamification in HR technology is becoming increasingly popular, allowing retailers to create fun, engaging, and interactive experiences for employees.

Conclusion:

SAVVY HRMS is a leading provider of cloud-based HR technology software solutions, offering a wide range of SaaS solutions that simplify HR tasks for retail businesses of all sizes. The company is renowned for delivering high-quality solutions and exceptional customer service, ensuring that organizations receive the support they need to achieve their desired outcomes.

If you’re looking for a solution to simplify HR tasks in your retail business or organization, we highly recommend scheduling a demo with SAVVY HRMS today.

Reading Time: 7 minutes

The ultimate HR checklist for startups is a comprehensive guide that outlines the key HR considerations and actions that startups should take to ensure the success and growth of their organization. The purpose of this checklist is to provide startups with a step-by-step guide for establishing and maintaining effective HR practices.

Human Resources (HR) plays a crucial role in the success of any organization, including startups. Startups face unique challenges and HR is critical in addressing these challenges. HR is responsible for attracting, hiring, and retaining talent, creating a positive and productive workplace culture, ensuring compliance with labor laws and regulations, and managing employee relations.

Effective HR management can help startups attract top talent, increase employee satisfaction, reduce turnover, and avoid legal and financial consequences. The checklist covers key HR areas such as planning and preparation, employee onboarding, performance management, compensation and benefits, compliance and legal matters, and employee engagement and culture. By following this checklist, startups can ensure that they have all of the HR processes and systems in place to support their growth and success.

Master HR Planning & Preparation: Essential Steps for Success

A. Establishing HR policies and procedures

HR policies and procedures provide the framework for how HR activities are conducted within a startup. They define the rules and guidelines for how HR will support the organization, how employees will be treated, and how HR issues will be resolved. Establishing HR policies and procedures is a critical step in the HR planning process, as it helps ensure that HR practices are consistent, fair, and compliant with relevant laws and regulations.

Some of the key HR policies and procedures that startups should establish include:

  • Employee handbook
  • Anti-discrimination and harassment policies
  • Leave policies (e.g., vacation, sick leave, etc.)
  • Performance evaluation procedures
  • Disciplinary procedures
  • Privacy and data protection policies

B. Creating an HR budget

Creating an HR budget is a crucial step in the HR planning process. The HR budget should be based on the organization’s HR requirements and should take into account the costs associated with HR activities such as recruiting and hiring, employee benefits, and HR technology and systems. The HR budget should be reviewed and updated regularly to ensure that it remains aligned with the organization’s needs and goals.

C. Identifying HR requirements and finding the right talent

Identifying HR requirements and finding the right talent is essential for the success of any startup. Startups should assess their HR needs based on their business goals and growth plans, and identify the skills, experience, and qualifications required for each HR role. Startups should also consider their budget constraints, company culture, and other factors when making hiring decisions.

To find the right talent, startups should consider a variety of recruitment methods such as job postings, employee referrals, and social media, as well as utilizing online recruitment tools and resources.

Empower New Hires with a Streamlined Onboarding Experience

A. Defining the onboarding process.

The onboarding process is a critical component of HR, as it helps new employees’ transition smoothly into their role and the organization. The onboarding process should be well-defined and include clear steps and expectations for both the new employee and the organization. The steps in the onboarding process may include orientation sessions, training sessions, and completion of required forms and paperwork. The onboarding process should also providenew employees with an overview of the company culture, expectations, and benefits.

B. Developing onboarding materials and training programs.

To ensure a successful onboarding experience, startups should develop a comprehensive set of onboarding materials and training programs. Onboarding materials should include information on company policies, procedures, and expectations, as well as information on company culture and benefits. Training programs should be tailored to the specific needs of the new employee and should cover any skills or knowledge that the employee needs to perform their role effectively. Startups should also provide ongoing training and development opportunities to help employees continue to grow and improve in their role.

C. Gathering necessary employee information and documentation.

In order to comply with legal requirements and ensure the accuracy of employee records, startups should gather all necessary employee information and documentation during the onboarding process. This may include information such as the employee’s personal information, tax forms, and emergency contact information. Startups should also obtain signed copies of any relevant HR policies, such as the employee handbook, and any other required documentation, such as non-disclosure agreements or confidentiality agreements. It is important to properly store and secure all employee information and documentation in accordance with relevant privacy laws and regulations.

Transform Performance Management for Optimal Results

A. Setting performance goals and expectations

Performance management is the process of setting performance goals and expectations for employees and regularly evaluating their progress and performance. Startups should establish clear performance goals for each employee, based on their role and responsibilities, and communicate these goals to the employee. These goals should be measurable and aligned with the overall goals of the organization. Regular performance feedback and coaching can help employees stay on track and make improvements, while also fostering a positive and productive workplace culture.

B. Implementing performance evaluations and feedback processes

To effectively manage employee performance, startups should implement a regular performance evaluation process. This process should include regular check-ins and feedback sessions between the employee and their manager, as well as formal performance evaluations at predetermined intervals. Feedback should be constructive and provide specific, actionable steps for improvement, while also acknowledging the employee’s strengths and contributions. The performance evaluation process should also provide employees with an opportunity to give feedback to their manager and to discuss their career goals and development plans.

C. Offering performance improvement and development opportunities

In addition to regular performance evaluations and feedback, startups should also offer performance improvement and development opportunities to employees. This may include training and development programs, mentorship opportunities, and coaching and feedback sessions. These opportunities help employees continue to improve their skills and advance in their careers, while also supporting the growth and success of the organization. Startups should regularly assess the effectiveness of their performance improvement and development programs and make changes as needed to ensure they are meeting the needs of both employees and the organization.

Compensation & Benefits: The Key to a Thriving Workforce

A. Determining compensation and benefits packages

Compensation and benefits packages play a critical role in attracting and retaining top talent, and in supporting employee satisfaction and motivation. Startups should carefully consider their compensation and benefits offerings and determine packages that are competitive and aligned with the organization’s overall goals and budget. This may include base salary, bonuses, health insurance, retirement plans, paid time off, and other benefits. It is important to regularly review and assess compensation and benefits packages to ensure they are still aligned with the organization’s goals and are keeping up with industry standards.

B. Administering payroll and taxes

In addition to determining compensation and benefits packages, startups must also ensure they are properly administering payroll and taxes. This includes accurately calculating and distributing employee pay, withholding and remitting taxes, and filing required payroll tax returns. Startups should also ensure they are complying with state and federal labour laws and regulations, such as minimum wage laws, overtime laws, and laws related to tax  withholding.

C. Ensuring compliance with labour laws and regulations

To avoid legal and financial consequences, startups must ensure they are compliant with all relevant labour laws and regulations. This includes compliance with laws related to minimum wage, overtime, equal employment opportunity, and workplace safety, as well as regulations related to payroll and taxes. Startups should regularly review and assess their HR practices and procedures to ensure they are in compliance with all relevant laws and regulations, and should seek the advice of legal counsel as needed. By maintaining compliance with labour laws and regulations, startups can create a safe and fair workplace environment, while also mitigating their risk of legal action.

Streamline Compliance and Legal Matters

A. Understanding and complying with labour laws and regulations

Labour laws and regulations play a critical role in shaping the HR practices of startups. These laws and regulations outline the rights and responsibilities of employers and employees, and ensure that workplaces are safe, fair, and inclusive. Startups must have a comprehensive understanding of relevant labour laws and regulations, including those related to minimum wage, overtime, equal employment opportunity, workplace safety, and taxes. By understanding and complying with these laws, startups can create a safe and fair workplace environment, while also mitigating their risk of legal action.

B. Implementing anti-discrimination and harassment policies

Discrimination and harassment can have a devastating impact on employees, and can also damage the reputation and financial stability of a startup. Startups must implement strong anti-discrimination and harassment policies to ensure that their workplace is safe and inclusive for all employees. These policies should clearly outline prohibited behaviours and procedures for reporting and addressing incidents of discrimination and harassment. Startups should also provide training and education to employees on these policies and procedures, and regularly assess and update them as needed.

C. Maintaining employee records and ensuring data privacy

Maintaining accurate and complete employee records is a critical component of HR management. Startups must keep accurate records of employee information, including contact information, job history, and compensation and benefits information. These records must be kept confidential and secure to ensure employee privacy and to comply with relevant data privacy regulations. Startups must also have a comprehensive data privacy policy in place, outlining the use and protection of employee data, and must regularly assess and update their data privacy practices to ensure they are in compliance with all relevant laws and regulations. By maintaining accurate employee records and ensuring data privacy, startups can ensure the confidentiality and security of employee information, and mitigate their risk of legal action.

Boost Employee Engagement and Strengthen Your Startup’s Culture

A. Creating a positive and inclusive workplace culture

Employee engagement and workplace culture are critical components of a successful startup. A positive and inclusive workplace culture fosters employee satisfaction, motivation, and commitment, while also attracting and retaining top talent. To create a positive and inclusive workplace culture, startups should establish clear values and expectations, create a safe and inclusive environment, and encourage collaboration and teamwork. This may involve offering diversity and inclusion training, promoting work-life balance, and creating opportunities for employee engagement and feedback.

B. Offering opportunities for employee engagement and development

In addition to creating a positive and inclusive workplace culture, startups should also offer opportunities for employee engagement and development. This may include regular employee events and activities, training and development programs, and opportunities for employee recognition and feedback. These opportunities help employees feel valued and supported, and can also improve their skills and knowledge, leading to improved job performance and satisfaction.

C. Encouraging open communication and feedback

Open communication and feedback are critical to maintaining a positive and productive workplace culture. Startups should encourage employees to communicate openly and provide feedback to their managers and the organization. This may involve establishing regular check-ins and feedback sessions, creating opportunities for employee surveys and suggestion boxes, and promoting a culture of transparency and trust. By encouraging open communication and feedback, startups can foster a workplace environment that is supportive, collaborative, and responsive to the needs of employees.

Conclusion

The ultimate HR checklist for startups is a comprehensive guide to help startups establish effective HR practices and create a positive and productive workplace environment. This checklist covers key HR areas including planning and preparation, onboarding, performance management, compensation and benefits, employee engagement and culture, compliance and legal matters. By following this checklist, startups can ensure they are meeting the needs of their employees, while also mitigating their risk of legal action and promoting their long-term success.

In conclusion, effective HR management is critical for the success of any startup. Startups should prioritize the implementation of strong HR practices and procedures, including those outlined in the ultimate HR checklist. Additionally, startups should regularly assess and update their HR practices to ensure they are in line with the
evolving needs of their employees and the organization. Startups should also seek the guidance of experienced HR professionals and legal experts as needed, to ensure they are fully compliant with all relevant laws and regulations.

By taking a comprehensive approach to HR management, startups can create a positive and productive workplace environment, while also promoting their long-term success.

Reading Time: 3 minutes

With the COVID pandemic in effect for the last two years, the scenario of business operations has changed drastically across the globe. Earlier it was said that the future of work is going to be remote. Meaning the majority of the people who work from offices will start working from anywhere and won’t be location dependent to get their job done.

With Covid, this future has become a reality a little too early and businesses across the world are adapting to operational practices that help them better coordinate their everyday tasks with the same efficiency and productivity as working from an office environment.

One of the biggest challenges for any organization is to effectively run the business operations seamlessly when their employees are working remotely from multiple locations. Companies have to manage them and conduct critical business functions related to human resource management so that the company’s productivity is consistently maintained and they achieve their goals on time.

One of the key aspects of human resource management of any organization is managing the payroll of their employees on time by consistently monitoring critical aspects and parameters even though the team is working remotely.

Let’s explore some of the methods that companies can adopt to conduct accurate and error-free payroll management on time and as per the set corporate guidelines.

Top 5 Strategies to Facilitate Better Remote Payroll Management

The biggest tool that can make remote payroll management possible and effective is a feature-rich and automation-driven cloud-based payroll management software that not only holds the HR department of a company intact but also support the workforce efficiently and strongly.

Just like work from Office Payroll Management, remote payroll management is dependent on the following –

Level of Communication between employees & the Company’s HR Department.

When working remotely, the success of business operations boils down to effective communication between the employees and the HR and Payroll Department.

Through this communication, the whereabouts of the employees must be known all the time throughout the working hours. Not just for tracking whether they are working or not, but also to keep them in the loop for any need they might have during their remote working hours.

It’s all about being a little compassionate, understanding, and trusting towards your employees. Another important aspect of communication is to circulate remote working policies and related payroll aspects.

In case there is a delay in processing payroll, it must be communicated on time to the employees. Also, from the employee’s side, if they cannot attend work due to any whatsoever reason, it must be communicated properly.

In short, the employees must keep the HR department informed about their whereabouts and choices, and vice versa.

Seamless & Accurate Attendance & Leave Management using Cloud-Based Tools.

When your employees are working remotely, you must get into the practice of managing payroll by integrating the payroll management software with the attendance and leave management software. All these have to be cloud-based so that everyone in the organization is connected and these critical aspects are managed effectively.

Cloud-based Payroll tools not only keep track of employee information but also track their attendance and hours logged each month which can help in accurate payroll calculation. Since these tools are based on the cloud and are location independent, they can be accessed from anywhere by the employees to log in and log out during their official working hours.

Effective Collaboration across multiple teams.

Cross-Functional collaboration ensures effective roll-out and management of employee payroll-related activities and aspects. When working remotely, the company’s HR, finance, as well as payroll staff must be synced together using a state-of-the-art feature-rich cloud-based payroll management software where everyone can collaborate for maximum productivity. Creating and managing group channels for effective communications between HR and payroll departments can streamline productivity in processing employee payroll better throughout the month.

Leveraging Automation Driven Payroll Software that Facilitates Self-service.

When remote work is the priority of the company given the circumstances, they must ensure that they use payroll
management software based on the cloud that facilitates some of the trivial payroll activities via employee self-service. These may include activities like payslip generation, submitting reimbursement requests, investment-related documents,etc.

Using the Best Cloud-Based Software that Adapts to Changes in No Time.

When working remotely, organizations have to ensure compliance with many guidelines just like working from the office. So always go for a cloud-based payroll management software that can quickly adapt to changes in guidelines and regulations. Your software must ensure policy implementation seamlessly without any miscommunication happening between your teams.

Be it tax management and calculation, validating the data, custom payroll report generation, or any other, a cloud-based payroll software that is compliant with design and can quickly adapt to ever-changing regulations will ensure business success for any organization that works remotely.

Reading Time: 4 minutes

Everyone works for Money at the end of the day. As employees, you get a fixed salary on a per annum basis in return for your services to a given organization. You can be associated with any company and industry vertical. But your salary is something that keeps you going every single day because it’s hard-earned by you for your daily fixed hours of effort to that company.

Based on your total package you get a monthly salary in your account either at end of every month or at the start of the next month. But there are a lot of components associated with your monthly salary and annual package which everyone must know about.

The trends in employee payroll management have changed significantly and employees’ salary structure today is a bit more complicated and detailed as compared to what it was a couple of decades ago.

In this blog, we are going to help you decode your salary and show its various components that make up for the total amount a company has to pay you for availing of your services.

Decoding the Breakup of Your Annual Salary Structure

Your salary constitutes a large number of components which you must know as a responsible employee of a given company.

When you are hired at a company, the first thing to get to hear is your CTC also known as Cost to Company. This is the total amount of money that an organization has to spend to retain its employee in the company. You will know about this when you first apply for the job or when you get your joining letter which clearly states your CTC for the given job profile.

Now let’s breakup your CTC and look into its various components.

  • Basic Salary
  • Gross Salary
  • Net Salary / Take Home Salary.
  • Allowances
  • Arrears
  • Gratuity
  • Reimbursements
  • Provident Fund
  • Insurance / ESIC
  • Loans
  • Income Tax
  • Professional Tax

Let’s dive into each of these ones and see what each of these stands for.

Basic Salary is the primary component of your CTC which is usually a fixed amount that varies according to your profile and designation, as well as your industry and your experience. In terms of percentage, your basic salary can account for 40-50% of your CTC. It is taxable.

Next comes the Gross Salary which is the total of your basic salary and all other components/allowances combined.

The formula for gross salary = Basic Salary + Allowances.

Then comes the net take-home salary which equals subtracting all the deductions from the gross salary. It’s the amount that an employee receives in his/her bank account (also called as in-hand salary). The formula goes as –

Net Take Home Salary = Gross Salary – All the Deductions and Taxes.

 

Let’s Explore this High-Level Salary breakup in Further detail.

The section of deductions and taxes in the above formula consists of the below aspects as part of the total CTC of an employee.

  • Allowances are the extra benefits that an employee receives from a company based on their designation and profile. These include aspects like House rent allowance, conveyance allowance, leave travel allowance, mobile allowance, medical allowance, dearness allowance, etc.
  • Then comes Arrears. This is the amount that a company is liable to pay to their employee after rectifying any salary calculation mistakes for the previous cycle.
  • Next, we have Gratuity. This is the amount that an organization pays to their employee once they have completed 5 years of continuous service with them. This component denotes a way of saying thanks to an employee from the side of the organization and is often a part of the overall CTC of the employee.
  • Reimbursements are the amount that an organization pays to their employee after showing proof of spending. This is the company’s way to compensate the employee for the spending done which can be for a wide range of aspects. The type of areas covered here varies from company to company as they usually try to keep limited
    options available here and only the ones that make the most sense.
  • Then we have PF also known as Provident Fund. It’s a fixed amount that the company deducts every month from your monthly Gross Salary based on your CTC and contributes towards your retirement benefit. It constitutes the Employee Share as well as the Employer Share. Applicable to companies that employ more than 20 workers and can be withdrawn only when the employee retires.

Here are some of the Other Deductions Components of Your Yearly CTC.

  • Insurance / ESIC refers to the medical insurance that the company provides to the employee with 1-year validity and a maximum amount of 1 Lakh. This component may or may not apply to you based on your monthly gross salary limit.
  • Next, we have loans and advances which a company gives to their employees in the form of advance monthly salary. This means if you need a loan for any reason, you can get your next month’s salary in advance after you fulfill a set of conditions defined by the organization.
  • Income Tax is another component that you pay to the government and it constitutes a major chunk of your salary. It’s a tax that you have to pay based on your income bracket that goes towards government funding public services.
  • Last but not least, we have Professional Tax which state governments levy on the income of salaried personnel. Before a company pays the wages to their employees, they deduct this from their Gross Salary. The final amount also depends on the income slab of the employee.

To Wrap Things Up

Salary is a crucial result of your employment with any company. Everyone must have a fundamental awareness of the various components of their salary structure.

PMS - Payroll Management System

Companies across industry verticals use high-quality cloud-based Payroll Management Software solutions to seamlessly maintain the payroll aspects of their employees. It’s highly important to roll out employee salaries on time and these cloud- based tools help to achieve those goals efficiently.

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