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3 Benefits of Having an Integrated HR System Consisting of Leave, Payroll and HR

Integrated HR System

It goes without saying that managing an employee’s leave and salary is of tantamount importance. Your employees do not work for free and they certainly will not take kindly to having their leave deducted or wrongly processed.

It is not unusual for these functions to be run independently of each other, using different systems and in larger companies, dedicated staff, or departments. These functions are highly connected so not only does it make practical sense to combine them, it can lessen or eliminate duplicate work, boost efficiency, reduce the chances of errors, and save your business money.

This is why HR, payroll and leave management are three operational functions that go hand-in-hand with an integrated HR system. While there certainly has been operational overlap in most Human Resource systems, we at IQ Dynamics have designed a cloud-based program that offers users seamless integration between these business functions.

Here, we take a look at some of the benefits of shifting to an integrated leave, payroll, and HR management system.


Eliminate manual data input and repetition

The process of information exchange between HR and payroll often involves various spreadsheets. Mistakes made during the data entry process are one of the top causes of inefficiency in the workplace. Along with this, small errors can have costly consequences for the organization i.e. leave being over or under-deducted.

As data entry is a laborious and extremely repetitive task, this task is often left in the hands of inexperienced interns or overworked clerks. Instead of leaving your hapless employees to process mountains of paperwork, IQ Dynamics provides integration with the HR, payroll, and claims and leave application modules.

Instead of manually processing data, your employees can export and input data directly into the relevant modules for processing. For example, leave information can be exported to the payroll module to process no-pay leave applications and leave liabilities.

All of this, without a doubt, will go a long way towards eliminating data entry inaccuracies caused by human error and repetition. Along with this, this frees up valuable company time and allows your employees to focus on more beneficial tasks.

Related Article: 3 Common Payroll Errors Made by SMEs.


Improved leave application process

In the past, when employees were looking to apply for leave, they would need to fill in an application form which would then be reviewed by their supervisors. After a decision has been made, the application would be passed on to the HR department and Payroll department for further processing.

This traditional method is time-consuming for all parties involved and can be subject to human error i.e. forms going missing or wrong data being input. Over the long term, these errors can result in costly mistakes that require rework or investigation, thus wasting more time and money.

Fortunately, with IQ Dynamics’ integrated leave application system, you can revamp your entire leave application process for more efficient business operations. With our system, employees are able to submit leave applications anywhere via their smartphones.

From there, this information is passed on to the employee’s manager for approval. After a decision has been made, the HR and payroll modules will be automatically updated. In the event that an employee applies for unpaid leave, this information will be sent to the payroll module to ensure that the employee’s salary is deducted accordingly.

This system ensures that an employee’s leave records are kept up-to-date and compliant with the latest government guidelines.


Better employee management with accurate reporting

Employee absenteeism can have a major negative effect on an organization’s financial and operational performance. While the majority of employee absences are perfectly reasonable, employees who have a habit of missing work are bad news for the organization.

Besides seriously affecting morale at the workplace, an employee who constantly misses work also sets a bad example for his/her colleagues. Also, absenteeism could also be an indicator of a larger problem in the workplace.

A study has shown that bullying and harassment as well as burnout and stress are some of the top causes for absenteeism in the workplace. This is especially true in Asian work cultures where speaking up is often discouraged or even penalized.

Related: HRiQ™ Dashboard Report Builder

Synced leave management and payroll systems provide a consistent, real-time view of employee data, which enables better analysis and reporting. Management will have a much more accurate oversight of absences, leave patterns, and how much this is costing the business. This in turn enables better workforce scheduling and labor budgeting.

With an integrated solution, employees can now access their own information conveniently, which allows them to be better informed about their leave, pay, and benefits. This can save valuable time for your HR staff which they would otherwise be spending on resolving simple queries.


Thanks to iqDynamic’s integrated HR management system, HR professionals will be able to draw up detailed reports on an employee’s leave application trends and past absences. Hence, this will allow said employee’s manager and HR representative to further investigate the issue at hand and take further action if needed.

Human Resource management is one of the most important business processes in the workplace. It also goes without saying that payroll and leave application functions go hand-in-hand with HR management.

This is why we at IQ Dynamics have designed a cloud-based system that integrates all of these functions together for improved efficiency and communication. To learn more about our HR management system, feel free to drop us an email or give us a call.


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