07 Benefits of an HRMS Software | HRMS Advantages in 2021
Category: HR & Payroll, Posted on: 22/03/2021 , Posted By: Webtel
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Those days when the job of an HR was limited to keeping tabs on employee attendance, ensuring timely transfer of payroll and organizing office celebrations are over. With the passing of each year, their KPIs have come to include several key responsibilities such as offering career guidance to employees, setting up corporate scholarships and career development programs, identifying the right talent that would help the company achieve its vision; not to mention ensuring that no cyber bullying takes place at work.

The long and short of it is that their hands are full. With a top HRMS software, you not only free up their time to concentrate on more vital tasks that need their attention, but also ensure that errors are minimized due to manual oversight. The benefits of HRMS software are as follows:

benefits of HRMS software

Benefits of HRMS Software

#1 Customize as per your needs

Every organization has a different set of policies for its employees which define the wages and salaries, annual leaves, overtime, bonuses, commissions, shift rules, and more. Majority of HRMS software providers allow you to customize the above mentioned policies which can be perused once entered into the system. This helps in reducing the workload of your HR team whilst ensuring that employees can access and adhere to company policies and guidelines diligently.

#2 Utilize your HR team’s time judiciously

With the assistance of an HRMS software solution, a lot of tedious and time consuming tasks of a company have been successfully automated - filing and documentation of employee information, requesting and approval of leaves, remote punch-ins, payroll processing, etc. This helps your HR team to work towards aligning teams towards company goals and objectives and better focus on improving employee satisfaction, morale, and productivity.

#3 Enhance employee experience

Have you stopped to wonder for a minute how myriad amenities are available to you on your fingertips? Need a cab? Call an Uber. Feeling hungry and not in the mood to cook? Swiggy’s there to save you. You can make your credit card payments, deposit or transfer money to your bank through your phone, book flight tickets, apply for jobs and whatnot through your smartphone.

Why shouldn’t your employees have access to the same convenience? With advanced HR software, your employees can download their payslips, request leaves, punch in their attendance, check company policies, and upload their documents directly to the portal.

#4 Derive insights from analytics to improve decision-making process

It’s said the oil of the 21st century is data. Through data, one can derive actionable insights that help you take vital decisions for the betterment of your business. Companies use data to track customer behavior on their websites, tailor and streamline their experience to maximize purchases while simultaneously making improvements.

HRMS software helps you track the data of your employees thereby enabling you to take decisions through actionable insights. By tracking employee performance, accrued leaves, taxes paid, and more you can take a call on the value offered by the employee to your firm.

#5 Secure employee data and improve accessibility

If you file and store documents on paper, you not only waste your HR team’s precious time that could have been used somewhere else, but also leave your company open to theft or worse corporate espionage.

HRMS software helps you digitize your documents and store valuable employee information online which can be accessed anytime without having to sift through multiple paper files. These HR software also come with built in anti-theft mechanisms that are essential to keeping your data safe and secure.

#6 Track leaves and attendance efficiently

Manual tracking of holidays and attendance of employees’ leaves room for error that can affect payroll leading to either the company losing money or the employee becoming disgruntled due to not receiving the correct wage due to them. A good HR software solution not only streamlines your leave and attendance system but also comes equipped with a biometric attendance system to help you better track employee attendance.

#7 Run error-free payroll

Running payroll is one of the most important as well as thankless tasks in an organization. When it is working right no one bats an eye, but god forbid if anything wrong were to happen, like a delay in processing pay or incorrect transfer of salary, you would be facing quite a few annoyed employees.

Read about common payroll errors that may occur in an organization here.

With the assistance of HRMS software, you can link your employee attendance with your payroll and ensure that payroll is executed without incurring any errors. This would also benefit the company in the long run as they’d be safe from any lawsuits that may leave them vulnerable to expensive settlements.

Also Read: How to Stop Payroll Management from Turning into Your Worst Nightmare


The long and short of it is that HRMS software is a godsend. Once your organization gets on board, it’ll help you modernize your HR operations while cutting out mistakes. Go for HR Pearls - it not only offers several nifty modules such as attendance management, employee database management, leave management, company policy, shift management, HR reports but also other systems - payroll management system, compliance management system, and employee self-service portal to help run your organization smoothly and seamlessly.

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