HR departments across the world are experiencing a rapid digital transformation with an increasing number of documents being digitized and cloud-based HR and payroll software being adopted. Human resources departments handle everything from job postings, pre-and post-interview formalities, onboarding, performance tracking, offboarding, and much more. As a company grows, it becomes necessary that HR systems are cloud-based and scalable. Legacy HR systems that involve a large amount of paperwork may become expensive and become bottlenecks in the organization’s operational efficiency.
A cloud-based HR system has the potential to revolutionize HR processes by allowing automation of routine tasks which may otherwise take up significant company time and resources.
There are many reasons to switch to a cloud-based HR management system. First, the organization will start reaping benefits immediately after making the switch by increasing its productivity. Second, a cloud-based HR system can help make personnel records accessible from anywhere. Employees prefer organizations that value their healthy work-life balance, including being sensitive to the employee’s family needs and work preferences. Especially in the context of the pandemic, the option to work from home is becoming increasingly popular. This necessitates the secure availability of personnel records over the internet that enables your employees and human resources executives full access to important information from home or traveling. A cloud-based HR system does exactly this by providing different access modes, including mobile applications, web platforms, etc., to access the records at the user’s convenience. Cloud HR also enables easier decision-making by allowing access to relevant information in just a few clicks. Organizations can also automate document delivery processes by using HR systems. For example, the HR software can be configured to send a welcome email to a new recruit as soon as their record is added to the system. This paperless approach of cloud-based HR can make the personnel records management process more engaging and convenient for all stakeholders.
Many important processes and formalities can be automated and done with a very few clicks using a cloud HR system. For example, finding an employee personnel record will be significantly more manageable on a digital platform using the search and filter features. It should be noted that proper training and orientation sessions should be held for the employees in the human resources department regarding the features of the HR system to facilitate the easier transition and ensure maximum productivity. HR departments can also automate the periodic record purge and shred process using scripts that automatically delete irrelevant information. Once the organizational rules are defined and applied, the HR system will periodically track and manage the records to weed out the information that is no longer relevant. Many cloud HR systems also develop advanced capabilities such as optical character recognition algorithms that automatically recognize and digitize information from physical forms and documents and save it to the cloud.
Management of employee records constitutes a vital part of human resources management. Many offices have already digitized personnel records. However, they still use legacy offline storage systems to store the records. The long-term benefits of migrating to a cloud-based HR management software significantly outweigh the initial costs involved by facilitating greater accessibility to the records and automating routine tasks, thereby improving the organization’s productivity.