As a human resources manager, you know how quickly the days can get away from you. With so much on your plate, human resource management (HRM) software can streamline some tedious tasks so you can focus on big-picture initiatives.
To get the most benefits from this software, however, you need to make sure you choose the right HR management software for your company. It’s a big decision, but with some planning, you can choose the best HR software for your company’s needs and goals.
What is HRM Software?
HRM software, also known as a human resources management system (HRMS), refers to a program that manages core HR functions, such as onboarding, performance management, payroll, and benefits administration. Essentially, you can think of HRM software as a digital toolbox to manage the entire employee lifecycle.
An HR software solution can transform your workflows, streamlining the tasks that need to get done but take up too much of your time. For example, it can automate many manual tasks, such as payroll processes and time tracking.
Beyond its ability to automate HR processes, the benefits of HR software include:
- Better organization: Human resources management systems allow you to store and organize employee data in a central location. The software also provides a secure way to manage employee records.
- Smoother workflows: HRM software enables smoother workflows and approvals for different processes, such as leave requests and expense reports.
- Improved employee experience: This type of software typically includes an employee self-service portal for workers to manage their information. For example, they can use the software to access their paystubs or request time off.
- Easier performance tracking: With HRM software, you can easily track and manage employee performance by using features for goal-setting and performance reviews.
- Enhanced talent management: An HRMS can lead to improved talent management by streamlining tasks for recruitment, training, and development.
- Reduced compliance risks: An HRMS can provide compliance solutions to ensure you follow all labor laws and regulations.
While a robust HRMS can have many benefits for HR teams, not all programs have the same features and functionalities. It’s essential to do your research to find the best HR software for your business.
How to Choose the Right HRMS for Your Company
Follow these steps to choose the right HR management system for your company.
Assess Your Needs
Before you start comparing software products or requesting demos, determine what you need in an HR software solution. Consider the current challenges your HR team experiences, such as manual tasks or data silos. Once you know the problems you want to fix, identify the goals you have for using HR management software. For example, you may want to improve efficiency by integrating HR and payroll software for ease of use.
As you assess your needs, start to determine what tools are most important to you in an HRMS. You may consider key features like:
- Applicant tracking
- Employee onboarding
- Performance management platform
- Payroll integration
- Workforce analytics
- Employee engagement
- Workforce planning
- Compliance
Research HRMS Options
With your goals and must-have features in mind, begin to research the different HRMS options available to you. Identify the leading HRMS vendors in the market. You can review industry publications or explore analyst reports to get recommendations.
Consider full-service HRMS vendors, such as Axiom. We partner with UKG Ready to deliver HRM solutions that address a wide range of workforce management needs, including recruitment, onboarding, payroll and benefits administration, performance management, and analytics.
As you research, pay attention to key HRMS features to ensure the software aligns with your needs and goals. You should also consider other factors, such as scalability, ease of use, integration capabilities, data security, and customer support.
Create a Shortlist
Once you’ve done some research, create a shortlist of top vendors. Narrow your options based on your initial assessment of different programs. Aim to have three to five options on your shortlist. In particular, you should consider vendors that accommodate your company’s size and plans for future growth. For example, some HR software solutions are geared toward small businesses, while others work better for enterprise resource planning.
Additionally, some HRMS vendors may specialize in your company’s industry, which can be helpful. Prioritize vendors that align with your HR department’s needs and goals.
Evaluate and Test
Now that you have a shortlist of top vendors, it’s time to contact each one. Request a demo so you can see the HR software in action. You can also ask specific questions to gain a better understanding of the software. Some vendor questions you might ask include:
- What does the implementation process look like?
- What type of training and support do you offer?
- Does the software offer customization options?
- What are the security standards in place?
- What other HR tools does the software integrate with?
- What pricing models do you offer?
Some vendors may also offer trials, giving you the opportunity to use the software for a short period before purchasing the full system. In this case, spend some time using the software to learn whether it meets your needs. Allow stakeholders, such as other HR staff, IT managers, or C-suite executives, to try the software as well.
During a demo or a trial, carefully consider different factors as you evaluate HR solutions. Most notably, assess the interface and user experience for both the HR department and your employees.
Make Your Decision
For the final step, it’s time to make your decision about the HR software you want to use. Contact vendors to get final quotes and compare the pricing models for your top picks. Remember to factor in long-term costs, including implementation and maintenance. Consider other costs you may encounter in the future as well, such as additional modules you may want to add.
Make sure all HR professionals and stakeholders feel comfortable with the final decision for an HRMS. Inform them how the software fits the company’s HR needs, budget, and culture. Getting buy-in from all stakeholders will make it easier to implement and onboard the new system.
Explore Your HR Management System Options with Axiom
Choosing a new HR management system for your company is a big undertaking, and it’s one you shouldn’t take lightly.
At Axiom, we’re ready to help your team optimize HR processes and workflows. We provide an all-in-one platform to simplify HR tasks, centralize employee data, and manage your workforce in an easier, more cost-effective way. Plus, our customizable solutions ensure we can tailor the system to meet your organization’s unique needs. Contact us today for more information or to request a demo.