The accelerated development of Indian companies presents continued challenges for HR teams, from implementing remote, hybrid, and stricter compliance to meeting growing expectations from employees.
The way that HR teams historically manage their employees (spreadsheets, emails, and manual registers) cannot support the needs of a modern workforce due to the inefficiencies created in worker experience, errors, and delays.
Consequently, Indian organizations (especially startups, small to medium-sized businesses (SMEs), and large corporations) are adopting a modern Human Resource Management System (HRMS) to improve productivity, enhance efficiency, and maintain a competitive edge through simplified operations.
What Is HRMS and Why Does It Matter for the Employee Lifecycle?
A Human Resource Management System (HRMS) is a software application that enables organizations to manage and maintain their human resources and all core HR functions.
HRMS provides the flexibility and scalability to support the entire employee life cycle, from recruitment through to exit, with minimum manual effort.
HRMS is an important element for organizations to stay competitive in today’s fast-changing and fast-paced business world, as it enables them to transition from administrative tasks to strategic management of their people.
Key Benefits of HRMS
- Centralizes employee information from recruitment to exit in one secure location.
- Automates repetitive HR activities so that there are fewer human mistakes and delays.
- Improves compliance with labor laws and statutory requirements.
- Increases the employee experience through the use of employee self-service portals.
- Provides valuable data for real-time reporting for better decision-making.
- Has the ability to grow quickly as organizations expand globally.
How HRMS Simplifies the Recruitment and Onboarding Process?
The first stages of an employee’s journey are their recruitment and onboarding experience. A smooth recruitment and onboarding experience can establish the tone for an employee’s engagement, productivity, and potential retention with a company.
Many companies utilize modern recruitment management software (HRMS) and automated hiring workflows to improve their recruitment process by reducing their time to hire and ensuring that employees are productive from Day 1 of employment. The entire hiring process can all be completed digitally.
Key Ways HRMS Simplifies Recruitment & Onboarding
1. Centralized Candidate Management
All resumes, interviews, candidate communications, etc., are stored in one central place to allow for faster screening and improved teamwork among hiring managers.
2. Automated Job Posting & Tracking
Software for human resource management allows users to create job postings across multiple portals and track applications as they happen, removing the need for manual follow-up, and no candidate is missed.
3. Faster Offers
Customizable letter templates for job offers lead to faster completion, as well as being done correctly and consistently with company policy and compensation practices.
4. Paperless Onboarding
Removing the necessity for paper forms by allowing the submission of digital documents and providing e-signatures and various onboarding forms will lead to a smoother line between joining the organization and completing the joining process.
5. Pre-Joining Engagement
Using an HRMS will allow for the delivery of welcome emails, policies, and unique joining instructions prior to the start date, enabling greater confidence and readiness on behalf of the candidate even before they join.
6. Task-Based Onboarding Checklists
Automatic assignment of tasks between HR personnel, IT, and managers ensures that all necessary systems are accessible, required equipment has been provided, and all roles have been clearly defined by the start date.
7. Reduced Time to Productivity
Having a structured onboarding process will help new employees establish themselves in their positions and contribute at a greater level immediately.
How is Employee Performance and Development Managed by HRMS?
The management of employee performance has developed beyond just annual appraisals. Organizations today highlight continuous feedback, development of skills, and working towards aligned goals.
Performance Management Software that is integrated into your Human Resource Management System (HRMS) can help you to set goals, track performance, identify any skill gaps associated with employees, and ultimately provide support for the employee’s growth from a data-driven perspective.
How HRMS Improves Performance & Development?
1. Goal Creation And Alignment
The HRMS allows for the smooth creation of SMART goals that support organizational goals, enhancing both clarity and accountability for teams.
2. Frequent Performance Reviews
Ongoing feedback and check-ins will take the place of traditional performance appraisals, which will improve transparency and connect employees to their companies.
3. KPI And OKR Monitoring
Performance monitoring dashboards enable real-time tracking of individual and team metrics to assist management in making better, more informed decisions based on current performance metrics.
4. 360 Degree Feedback
Obtain feedback regarding employee performance from all employees, thus creating a well-rounded view of an employee’s performance.
5. Learning And Development Opportunities
An employee’s training requirements and performance gaps are bridged through an HRMS that integrates training programs and establishes learning paths related to the employee’s role within an organization.
6. Career Growth And Advancement
By leveraging analytics to identify high-potential employees, therefore providing more actual data to human resources professionals based upon employee performance metrics, it is possible to better plan for the organization’s future leadership requirements.
7. Performance-Based Incentive Programs
Improved fairness and effectiveness of incentive programs resulting from automated connections between employee type, category, and incentive opportunity based on employee performance ratings.
8. HR Decisions Based
By using HR analytical data properly, an organization will achieve increased employee productivity, lower employee turnover, and create a stronger workforce.
How Can Exit Management HRMS Ensure a Smooth Offboarding Process?
Employee exit is an important but frequently neglected part of the employment cycle. When companies do not provide a proper exit for their employees, it creates risk surrounding compliance, loss of information, and a tainted brand as an employer.
An HRMS that includes functionality for exiting employees creates a way for the company to exit employees in a structured, legal, and proper way while maintaining the integrity of the organization and its employees.
HR software automates resignations, approvals, clearances, final settlements, and all documentation, thus ensuring exits will be smooth processes for both departing employees and the HR department.
Benefits of HRMS in Exit Management
- Establishment of resignation process and approval procedures.
- Automation of all final and full settlements.
- All waivers of claim against the Company will comply with applicable legal notice and payroll guidelines.
- Tracking of clearances associated with IT Support, Finance, and Assets.
- Securing the cancellation of system access.
- Digital exit interviews to provide feedback and additional comments about a former employee.
- Document creation and letter generation.
What Are the Key Features to Look for in HRMS?
1. Payroll Software
Process payrolls accurately and in compliance with statutory requirements; calculate taxes; provide payslips; process reimbursements; and handle statutory deductions, e.g. EPF, ESIC and TDS.
2. Attendance Management Software
Track employee attendance in real-time through biometric devices, mobile apps or by using geo-fence technology across hybrid and remote teams.
3. Leave Management Software
Automate leave policies, leave approval requests, leave remaining balance and holiday calendars in accordance with Indian labour regulations.
4. Employee Self-Service Portal
Employees can independently access their payslips, apply for time off work, update their personal information and submit any request for assistance.
5. Performance Management Software
Goal tracking, employee performance reviews, feedback and performance improvement analytics.
6. Recruitment & Onboarding Module
Define end-to-end recruitment workflows, manage documents required for employment and automate the onboarding process.
7. Compliance and Statutory Reporting
Automatically generate and file documents related to compliance with Indian labour laws, audits and statutory filings.
8. HR Analytics & Reports
Create customized management dashboards and reports to gain insight into your workforce, analyze employee turnover and perform strategic employee planning.
Why Savvy HRMS Is the Perfect Choice for Indian Companies?
Designed especially for Indian companies, Savvy HRMS has been developed for compliance with local labour laws, accommodating a variety of employees and providing scalability in terms of companies’ growth.
Savvy HRMS serves to assist HR departments by minimizing repetitiveness in work processes, increasing the performance and accuracy of their operations and generating better overall employee experiences throughout all aspects of an employee’s lifecycle.
What Are The Advantages Of Using Savvy HRMS?
- Retirement-to-rehire end-to-end solution.
- Advanced payroll solution, Indian statutory compliance.
- Intelligent attendance and leave management.
- A performance management solution that is easy to use.
- Ability to create workflows to meet operational and business requirements.
- Secure, cloud-based software, real-time access.
- Develop a solution that continues to grow with your organisation.
Conclusion
These days, having a simplified human resource management system (HRMS) is important to a successful business. As an Indian organization looking for an agile and compliant system, you need to have an efficient and compliant HRMS that will manage your personnel effectively and keep you competitive.
With its wide range of capabilities and user-friendly, India-specific design, Savvy HRMS enables organizations to simplify HR processes and develop workplaces that are ready for the future while providing a great employee experience.
If you are searching for a software solution to manage HR activities such as payroll, attendance tracking, performance management and compliance, Savvy HRMS is a great option for modern Indian companies.
