HR Software - Why Your Business Needs an Online HR System

HR Software – Why Your Business Needs an Online HR System

HR software helps free HR teams from time-consuming admin work—embedded workflows and automation help to streamline processes, such as holiday or absence approvals. Having one online database that is updated in real-time saves everyone time chasing emails or waiting for the following information meeting.

Employee Self-Service

Most online HR systems for businesses offer self-service features, including employee portals. These tools allow employees to update their data, review documents, and access payment details such as hours worked. They can also request time off and communicate directly with HR. This type of technology aims to save HR teams time by automating efficient processes. It also frees up HR leaders for more critical tasks such as analyzing and reporting on HR data. It also allows employees to manage parts of their workflow, improving their overall work experience. The best online HR systems will enable you to centralize team, department, and company-wide communication. Employees can share ideas, collaborate on projects and make requests. This results in increased productivity and a more engaging workforce. It also helps managers and employees keep up to date with current policies and procedures, which can help reduce confusion and frustration.

Performance Management

An HR system allows employees to track their time at work from anywhere with internet access. This data is collected and displayed on employee self-service portals or mobile apps, making it easy for employees to check their schedules, submit vacation requests or even clock in from home. Employees can also upload documents and change personal information. These systems help keep records organized and reduce the number of times HR professionals manually edit data. HR managers use these online systems to track employee performance, including attendance, training, and workplace safety. They can also use these systems to monitor federal, state, and local labor laws. For example, they can determine how many hours a person has worked in a given period and whether overtime was requested. An HR system can reduce bottlenecks for human resources departments and allow them to focus on more critical tasks, like finding and retaining top talent. It can also reduce the need to hire outside consultants to handle time-consuming administrative functions. However, a well-designed HR system can still include channels through which employees can get assistance from a human if needed.

Time & Attendance

HR systems allow businesses to track employee work hours, approve leave requests, and monitor employee time-off balances. These systems also help business owners save on labor costs by eliminating overtime and helping to ensure compliance with local, state, and federal labor laws. Unlike spreadsheets, which can be hard to keep updated and secure, online HR management systems are designed with security in mind. They are accessible by only authorized personnel and can be locked down with password protections if necessary. This helps to protect sensitive employee information and prevent data leaking or loss. The best HR systems also offer automation features, which can be especially useful for busy HR teams that need to make updates frequently and accurately. This allows them to spend more time on other important projects, like training and employee performance evaluations. They can also use these tools to create automated workflows for things like holiday approvals, which can be more efficient and effective than relying on emails that often get lost or ignored. The right system will also enable self-service for employees, which will help them update their details and take a more active role in their HR management.

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HR systems’ essential functions are recruiting and hiring, including job postings, applicant tracking, screening, interviewing, and more. Depending on the system, these functions can be automated with tools to find the best talent and streamline the process for faster results. Many vendors offer centralized employee database tools to keep all records in a single place. These can be hosted on the vendor’s servers or in the cloud, where your employees and managers can securely access them. The system can also help you manage standard benefits like health, dental, and life insurance, retirement plans, tuition reimbursement, and tax-advantaged flexible spending accounts. It can even handle contingent workers, such as freelancers and contractors, giving them the duplicate security IDs and tools full-time employees receive. These features can help you make the most of your budget and workforce. Some HR systems also provide tools to assess and improve core HR functions, such as training, succession planning, and performance management. This can help you better understand your current processes and pinpoint opportunities for improvement, making the investment worthwhile.


HR systems can save leaders time by automating and managing efficient processes. They also give teams the data to drive people-focused initiatives forward and tie metrics back to business goals. An online HR system can centralize and connect every aspect of employee management. It eliminates switching between multiple platforms, logging in to different systems, and re-keying data. This frees up time to focus on the day-to-day and helps employees stay productive by providing a single source of truth for all their data. A quality HR software solution will be scalable for your organization. Most vendors offer a range of pricing plans that provide access to the core functionality required for your business. Some even include additional features to help you take your HR strategy to the next level. HR technology can help your business manage data securely and comply with regulations. It also allows for centralized access and automated updates. However, online access requires a consistent internet connection and increases the risk of cybersecurity breaches from external parties.

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