By Lim Say Ping

HR software technologies, a prevalence of technology around the world, technology has become one of the main drivers of change in the workplace even disruption business models that have existed before the development of HR software.

With HR being a critical function in any company, CHRO or HR managers must evolve to adapt and help the organization be more competitive, prosper, or survive industry changes depending on the speed of change, the flexibility of the workforce, HR processes, and the robustness and flexibility of their HRMS.

That said, HRMS also known as HRIS, has slowly grown to be a mandatory tool to automate operational HR activities in companies with the implementation of HR software technologies such as Payroll and HR software being the bare minimum.

With the transition of the HR function moving into a more strategic role, assisting the C-level management team in managing fast changes in the company has become a strategic issue that the CHRO or HR managers must contribute towards as part of the company’s strategy. To handle this strategic role effectively, CHROs and HR managers will require more than just a smooth-running HR and Payroll software in HR software technologies sectors.

HR software technologies with real-time reports for top management

Even with the minimum HR and payroll software most companies implement, they can often be fine-tuned to automate the operational activities of each unique company with functions such as multi-currency payroll, and performance-based periodic bonuses (MVC or AVC monthly or annual variable component). As such the HR software handles a wide variety of incoming data that could be core HR information, claims and benefits, attendance management, etc in HR software technologies. These activities will generate many data points about each employee, and the department and they form the foundation for which top management can extract the information and analyze it to produce useful information for strategic decisions. With the multitude of various incoming data, the availability of reporting and visual tools such as a dashboard will help greatly. Information is ultimately the key competitive tool for the top management to observe and create suitable strategies from and CHRO supports the management by contributing greatly in this aspect.

Talent management is another key strategic function

With Singapore’s aging population and low birth rate, the war on younger talent is slowly heating up in the labor market. And to add to the challenge, HR departments now need to also focus on upskilling the older workforce to continue to contribute positively to the company. As such, one should have a structured process and the necessary software tools to assist business management and HR management to be more effective. Though many HR departments do well with a minimum operational system such as payroll and HR software, companies big or small should consider having a working talent management process that focuses on how to attract (recruit) develop, and retain people. An integrated system with both HRMS and talent management will be critical as it eases the burden on HR personnel and provides a holistic view of an individual employee and the total workforce. With a flexible integrated system, one can also set up a succession plan and workforce scheduling, thus, accommodating the various needs of the workforce with the varied skills and competencies. This is possible only with a comprehensive competency framework, appraisal system that is integrated with training or learning management system that is interconnected seamlessly with HR information and payroll system to cater to a flexible and varied workforce.

How disparate HR software technologies reduce HR effectiveness

Some companies have adopted a “best of breed” systems and components strategy for HR software implementation. While it may work operationally, ie they can be interfaced with each other to handle the daily activities and reporting, it may be a challenge to extract strategic information. It may lead to a higher cost of monetary and manpower efforts in the long because of the disparate definition of data. In my opinion, key components such as HRMS and Talent management software should be integrated and share an integrated database, ensuring the database is secured and easy to extract management information from using reporting tools and dashboards.

In summary, people continue to be a critical factor of success, one must manage well in the face of a changing business environment and fast-changing technology that though, disruptive to business may also aid us in achieving more in the future. Integrated human capital management will not only enhance productivity but also enhance your ability to contribute to company strategy formulation and execute a modern flexible and competitive HR strategy and process.

Future CHROs must be keenly aware of the potential impact of technology on the industry, and prepare the company and its workforce to be ready when the tide hits the shore.

If you would like to find out more about our HRMS and Talent Management Solutions, please contact us here.

iQDynamics is now a Microsoft-acknowledged Gold Partner in Application Development and has been providing organizations in Singapore and the APAC Region with our proprietary HRiQ  HRMS and Talent Management System with over 10 years of experience.